Paul McGrath (Westmeath, Fine Gael)
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Question 20: To ask the Minister for Agriculture and Food her plans to evaluate the economic implications of the use of genetically modified organisms; the action being taken by her Department to trace the full consignment; and if she will make a statement on the matter. [1796/05]

Mary Coughlan (Donegal South West, Fianna Fail)
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An interdepartmental inter-agency working group was established within my Department in October 2003 to develop proposals for a national strategy and best practices to ensure the co-existence of GM crops with conventional and organic farming. Part of the group's work programme has been to examine the economic implications of such farming practices.

Preliminary research completed by Teagasc does indicate that the cultivation of certain crops with certain modifications may provide a financial incentive to the Irish farmer. While strands of this research parallel recently completed work in other countries it does not specifically address the predicted costs of co-existence to the Irish farmer.

The general conclusion of recent Danish and UK research on the economic impact of co-existence on farm profitability is that the costs of complying with the required thresholds for crops of maize, potatoes, cereals, oilseed rape and sugar beet vary from zero to 9% above the costs of growing conventional crops. However, it should be noted that costs described were based on estimates.

In order to establish greater clarity in the matter, as far as Irish conditions are concerned, I have asked Teagasc to explore the possibility of carrying out an evaluation of the possible national economic implications for the agri-food industry from the possible use of GMOs in crop and livestock production.

In relation to tracing a consignment, I wish to state that EU legislation which was adopted by the European Parliament and the Council in 2003 requires that all GM products, including animal feed, have to be properly labelled and be accompanied by the appropriate documentation to facilitate full traceability.