Bernard Durkan (Kildare North, Fine Gael)
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Question 380: To ask the Minister for Agriculture and Food her views on the future of cereal growing here; her plans to develop and expand in this area; and if she will make a statement on the matter. [14591/05]

Mary Coughlan (Donegal South West, Fianna Fail)
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The year 2005 marks one of the most significant developments in the recent history of Irish farming as policy shifts from production supports to the decoupled single payment scheme. The new Common Agricultural Policy regime will allow Irish cereal farmers greater freedom to farm, giving many producers the opportunity to tailor their enterprises to meet consumer and market demand and to reflect their own strengths, individual preferences and aspirations. Improved efficiency of production at farm level will be important to maintain incomes and to ensure that the volume of output is maintained to support the processing sector. The maintenance of an efficient and viable cereals sector is of the utmost importance. In addition to providing an income for growers, it provides the livestock sector with an important source of feedstuffs. It is desirable to maintain the current level of production to avoid over-dependence on imported grain and I am satisfied that, subject to weather conditions, production will continue at the 2 million tonne average.

Early indications show a drop in the sowing of winter cereals this year, with early estimates suggesting that winter sowings are back by up to 25% in some areas. This situation involved a combination of bad weather experienced during peak sowing time last autumn, uncertainty concerning entitlements following decoupling, and farmers reconsidering their conacre options in the light of the new single payment scheme.

My Department continues to operate a range of services aimed at improving the efficiency, quality and viability of cereal production. These services include seed certification, seed testing, recommended lists of varieties etc. In addition, Teagasc provides comprehensive research, training and advisory services for cereal producers. The value of all these support services is reflected in the fact that Irish cereal producers have consistently achieved some of the highest yields in the world and I am satisfied the outlook for cereal growing in Ireland is quite positive and Irish cereal producers are well positioned to meet the competitive challenges ahead.