Bernard Durkan (Kildare North, Fine Gael)
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Question 254: To ask the Minister for Agriculture, Fisheries and Food the steps he proposes to take to address the issue of collapsing prices in the agri sector with particular reference to the fact that costs remain disproportionately high; and if he will make a statement on the matter. [36599/09]

Brendan Smith (Cavan-Monaghan, Fianna Fail)
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There is no doubt that certain parts of the industry are facing significant challenges this year, although, some reduction in input prices should help to soften the impact of these difficulties. In the dairy sector I have successfully pressed for action at EU level to support market prices. I continue to work with colleagues from other Member States to ensure the maximum possible support for the sector.

For the medium term outlook the European Commission forecast a gradual recovery aided by growth in global food demand due to population increase and also a longer-term decline in the growth of food-crop productivity. With this in mind work is being advanced on a new development plan for the agri-food sector for the period to 2020. It will focus on the critical issues of competitiveness, the challenges from the global economic downturn, currency fluctuations, climate change and how best to maximise the opportunities arising from a growing international food and energy crop markets.