Seanad debates

Thursday, 12 December 2019

An tOrd Gnó - Order of Business

 

10:30 am

Photo of Michelle MulherinMichelle Mulherin (Fine Gael) | Oireachtas source

I will cut to the chase on the issue of the price beef farmers are receiving at the meat processing factories. We all know it is below the cost of production. I would like to make a Christmas appeal. I would like to make that appeal to Larry Goodman today, that Larry Goodman would pay to farmers a fair price for their animals when they present at his factories. The meat industry is profitable and is growing, and we know that by virtue of exports, the new markets that have been won by Government in the likes of China, and by virtue of live exports. This is an area where a lot of people, such as multiple retailers and meat processors, are making money, and yet a basic condition, which is that farmers be paid the cost of production, is not happening. It is true he does not own all the factories around the country - we all know that - but he is the man with the influence. While he does not own these factories, he very much influences the factors that control prices and it is the very reason every farmer who presents to a factory on a Monday morning is pretty much getting paid the same price. We have had the Competition and Consumer Protection Commission at times tell us it does not have enough evidence in relation to the issue, but I can tell Senators that with the suite of legislation that is going to come and is in the pipeline, based on the European unfair trading practices directive and price transparency directive, which are required to be implemented for the food supply chain, and the introduction of a regulator with teeth, which is envisaged by both Minister for Business, Enterprise and Innovation, Deputy Humphreys, and Minister for Agriculture, Food and the Marine, Deputy Creed, the net is closing.

At the moment, farmers are getting between €3.50 and €3.55, and they need €4 to break even. Our year has been marked by discontent on the part of farmers, with disruption and blockades at factory gates throughout the summer. More recently, the capital was brought to a standstill with tractor blockades, and now the IFA is blockading wholesale distribution centres for the multiple retailers. Where does it all lead back to? It all leads back to Larry Goodman. He should do the right thing here. If he does not, he is going to kill the golden goose that is laying the eggs that are making the profits for him, and there will not be farmers who will want to undertake producing suckler animals or beef animals.

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