Jan O'Sullivan (Limerick East, Labour)
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Question 121: To ask the Minister for Agriculture, Fisheries and Food his views on the viable size for a full-time dairy farmer; the scale that is required to earn the average industrial wage; the measures that he is taking to support dairying in the poorer land areas where farmers cannot practically meet the production cost levels set down by Teagasc; and if he will make a statement on the matter. [21984/10]

Brendan Smith (Cavan-Monaghan, Fianna Fail)
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Viability is affected by considerations such as geography, land quality, technical and management skills and market conditions, in addition to size and scale. The focus must therefore be on the achievement of the maximum possible efficiency in the production of milk by all producers. By producing milk at the lowest possible cost under whatever constraints or limitations may prevail, every producer is giving him or herself the best chance of running a viable dairy enterprise.

I have demonstrated my commitment to the attainment of increased cost efficiency through the introduction of the Dairy Efficiency Programme. Over the next three years €18 million will be spent on encouraging increased participation in dairy discussion groups all over the country, leading to the more widespread adoption of best practice in relation to grassland management, breeding and financial management. My intention is to bring about a more businesslike approach to the management of all dairy farms, which will in turn help to maximise viability regardless of location or other limitation.