Bernard Durkan (Kildare North, Fine Gael)
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Question 140: To ask the Minister for Agriculture, Fisheries and Food if he has investigated the potential impact on the food and agriculture sector of recent decisions by the EU Commissioner to rearrange and refocus support for the sector; if due regard has been had for the food deficiency within the European Union and the failure of national and EU institutions to address this issue; his views on an increased dependency on food imports to the EU in the future with obvious consequences for the agricultural sector here and throughout the European Union and with implications in respect of security of supply; if he unilaterally or in conjunction with like minded EU colleagues will take action to address these issues; and if he will make a statement on the matter. [43954/08]

Brendan Smith (Cavan-Monaghan, Fianna Fail)
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I presume the Deputy is referring to the proposals from the EU Commission on the Common Agricultural Policy (CAP) Health Check and the recent final negotiations, which I successfully concluded with my EU Council of Ministers colleagues.

The package of measures that I secured for Ireland is of substantial value in terms both of additional funding worth some €70 million and additional milk quota valued conservatively at approximately €100 million by 2014. It will have a lasting benefit not only on our farming community, but also on our agri-food sector as well as our rural and national economy. These gains were hard won following all-night negotiations with 26 other Ministers, many of whom did not share my views on the future protection and development of the Common Agricultural Policy.

I also lobbied hard and with considerable success for the retention of market supports in the dairy sector as well as simplification in the operation of EU schemes.

In advance of the negotiations, my Department engaged in a consultative process with key stakeholders to advise me on the main issues arising in the Health Check. This consultative group examined the economic impact of the proposals from the Commission and also took into account the wider economic implications for the various sectors, the development of the rural economy and the agri-food sector. I took full account of the feedback from this process during my negotiations with the Commission and in the Council of Ministers.

The Deputy mentions the shift in world food production with increased product deficits and I was very conscious of this during the negotiations. It was one of the reasons I argued for increases in milk quotas, in the light of the increase expected in world demand for dairy products. Increased quotas and the retention of the market support mechanisms will be vital in giving confidence to our producers to expand production in a volatile market environment and in allowing them to meet the increased demand expected for dairy products in the coming years.

These Commission proposals were based on the European Council's decisions on the Financial Perspectives for 2007– 2013 and the invitation to the Commission to undertake a full, wide ranging review covering all aspects of EU spending, including the CAP.

As regards future EU agriculture policy after 2013, I had an opportunity to discuss this with my EU colleagues at a specially convened meeting of the Agriculture Council in Brussels on Friday last. At that meeting, I strongly advocated that we maintain a strong agricultural production base in the European Union. I referred specifically to the challenges ahead in meeting increased demands for food. Indeed, I warned that any reduction in food production in the EU would be taken up elsewhere where less efficient production systems exist and would result in a heavier carbon footprint. I emphasised that there would be a continuing need for an active, and appropriately resourced European agricultural policy to achieve these objectives and to help our farmers and processors adapt to the new and emerging challenges.