John Curran (Dublin Mid West, Fianna Fail)
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Question 56: To ask the Minister for Agriculture and Food if she will report on her efforts to develop a competitive potato sector here. [14143/05]

Mary Coughlan (Donegal South West, Fianna Fail)
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The potato industry makes an important contribution to the rural and national economy. The farm gate value of the sector is estimated at €85 million in 2004 which represents a fall on the previous year due mainly to lower prices and a reduction in fresh potato consumption. Since taking up office in the Department of Agriculture and Food, I have become very conscious of the need to bring the sector to a higher plane and maximise the contribution and value of this traditional industry to the economy.

In 2004, my Department completed an expenditure review report of State programmes in the sector. What was very clear from the report was the need to further develop seed potato production and bring commercial focus to this area of activity. Following a series of meetings with representative bodies, State organisations and others I have put in place measures aimed at revitalising this key area. Charges are being introduced for the first time this year for seed certification. The growing of pre-basic seed, heretofore carried out by the Department, will in future be carried out by growers themselves. These measures will assist in the development of a specialised seed sector and allow market forces operate. The need for close marketing linkages between seed and ware growers is essential and this new framework will assist in this process.

I am also introducing measures which will further protect the high plant health status of Irish potatoes and prevent the entry of such quarantine diseases as ring rot and brown rot which could have a devastating effect on the industry. Accordingly, I will sign a statutory instrument next week which will make it obligatory on all importers of potatoes for planting to notify the Department five days in advance of such importations.

Since last December I have approved grant aid of more than €6.3 million to 17 potato projects for the modernisation and development of new facilities under the Department's marketing and processing scheme. This brings to some €10 million the total grant aid provided to potato growers and packers under the current NDP programme. The modern infrastructures which are now being put in place will ensure all year round availability of quality potatoes, the development of value added products and the minimisation of the need for imports. I am also considering the provision of grant assistance to producers who are prepared to modernise and invest in facilities necessary for high quality seed production, particularly for early generation material. These measures will ensure the development of a competitive potato sector in Ireland.