Brian O'Shea (Waterford, Labour)
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Question 115: To ask the Minister for Agriculture, Fisheries and Food her proposals to deal with the crisis in the pig industry (details supplied); and if she will make a statement on the matter. [21268/07]

Mary Coughlan (Donegal South West, Fianna Fail)
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I am aware of the current difficulties for pig producers arising from the escalation of feed prices in recent months. While I appreciate the need for increased pigmeat prices to compensate for higher input costs, I do not have a role in price setting. I am glad to see, however, that Irish producer prices increased by around 7% in the last few weeks while prices throughout the EU are in line with the average for the past 5 years. I have asked Bord Bia to intensify its Autumn pork and bacon promotion campaign.

As regards the reference to imported pigmeat being sold under Irish brand names, I am working with the Department of Health and Children on draft legislation that will require the country of origin to be shown on pigmeat, poultry and sheepmeat. A public consultation is currently being conducted on the website of the Food Safety Authority of Ireland. This legislation will require the approval of the European Commission.

A number of factors have contributed to the dramatic rise in feed prices over the last 6 months. These factors include (i) heavy demand for cereals in Asia (ii) the increased demand for feed materials from the biofuel industry and (iii) unfavourable weather conditions which affected many of the major cereal growing countries.

The decision at the September Agriculture Council of Ministers, to set at zero the set-aside rate for 2008 will have significant impact on the availability of cereals in the EU next year.