Written answers

Tuesday, 17 October 2006

Department of Agriculture and Food

Dairy Industry

7:00 pm

Photo of David StantonDavid Stanton (Cork East, Fine Gael)
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Question 186: To ask the Minister for Agriculture and Food the proposals she has to support the modernisation of the dairy processing industry to help improve efficiency; and if she will make a statement on the matter. [32929/06]

Photo of Phil HoganPhil Hogan (Carlow-Kilkenny, Fine Gael)
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Question 189: To ask the Minister for Agriculture and Food her views on the restructuring of the dairy industry; and if she will make a statement on the matter. [32741/06]

Gay Mitchell (Dublin South Central, Fine Gael)
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Question 211: To ask the Minister for Agriculture and Food the steps she is taking to ensure that the new dairy processing scheme is maximised; and if she will make a statement on the matter. [32737/06]

Photo of Mary CoughlanMary Coughlan (Donegal South West, Fianna Fail)
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I propose to take Questions Nos. 186, 189 and 211 together.

In July of this year I launched a dairy processing sector investment package amounting to some €300 million over the next three years. The investment includes some €100 million of Government grant assistance. The objective of the Dairy Processing Investment Fund is to support Capital Investment related to the processing of dairy products. It will stimulate the necessary investment in the dairy sector to ensure the long-term competitiveness and viability of the dairy industry in Ireland.

Enterprise Ireland will manage this scheme and implement the Fund. They will play a key role, together with my Department, in the evaluation of the suitability of investment projects submitted for grant assistance.

The key eligibility criteria are that support will be provided for Annex 1 dairy projects with a minimum level of investment of €5m. Subject to these restrictions, it is my intention that each project will be fully evaluated for support on its merits. I should point out that the closing date for submission of applications which should be submitted to Enterprise Ireland has been extended to 23 November 2006.

I firmly believe that with commitment, innovation and investment from the Irish dairy industry, the Fund will go a long way toward the development of a modern, competitive, market focussed and highly efficient food sector in Ireland, as envisaged in the AgriVision 2015 Action Plan.

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