Denis Naughten (Longford-Roscommon, Fine Gael)
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Question 646: To ask the Minister for Agriculture and Food if she will outline the ownership of the Irish sugar quota; and if she will make a statement on the matter. [1294/05]

Mary Coughlan (Donegal South West, Fianna Fail)
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Under the EU sugar regime, which runs until 30 June 2006, there is no provision for the buying and selling of sugar quotas and therefore the question of quota ownership does not arise. The EU regulations stipulate that the national sugar quota must be allocated to the sugar manufacturing enterprises in the member state. Accordingly, the entire Irish sugar quota has been used by Irish Sugar Limited, which is the only sugar manufacturer in this country. The company in turn places contracts with farmers to grow sugar beet sufficient to manufacture the sugar quota. There is no specific quota for sugar beet.

The issue of quota ownership has been raised in the context of the Commission's proposals for reform of the EU sugar regime. The proposals envisage the possibility of cross-border mobility of sugar quotas in the future. Several member states, including Ireland, are opposed to this idea. If the proposal for quota mobility is maintained, then the Commission will also propose appropriate rules to deal with that situation. I have already sought the Attorney General's advice on the matter of quota ownership. However, one of my main priorities in the upcoming negotiations is to ensure that mobility of quota is not allowed.