Áine Collins (Cork North West, Fine Gael)
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Question 44: To ask the Minister for Agriculture, Fisheries and Food if he has raised concerns in relation to the trade negotiations with Mercosur countries with the EU Agriculture Commissioner and his EU Agriculture Minister colleagues; and if he will make a statement on the matter. [12584/11]

Simon Coveney (Cork South Central, Fine Gael)
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As I have stated previously, I am very concerned about the EU/MERCOSUR negotiations.

I raised this issue at both the March and April meetings of the EU Council of Agriculture Ministers and expressed my reservations about these negotiations, particularly regarding the impact a deal with MERCOSUR might have on the Irish and EU beef sector. I also conveyed my concerns directly to Commissioner Ciolos in a private meeting in advance of the March Agriculture Council. At the Council meeting in April, I highlighted the importance of the beef sector in Ireland where 80% of our production is exported, almost all of it to other EU countries.

Ireland has been to the forefront in raising this issue at European level. I have repeatedly requested that impact assessments on the EU/ Mercosur negotiations should be carried out and the results shared with member states before any offers are made in the negotiations. We expect to see the full results from the Commission impact analysis within the next few weeks. Initial results suggest that this will confirm our view of the very negative effects it could have on the beef sector and also on the EU agriculture sector generally. Once the full results are available I believe it is vital that they are fully and carefully examined in the Agriculture and Trade Councils.

At the Agriculture Council in April, France, Italy, Austria, Greece, Romania, Poland, Belgium, Slovenia and Portugal all intervened to support the call for transparency and discussion of impact assessments. I have specifically urged the Commission to exercise extreme caution in the negotiations and to take on board Irish proposals on sustainability and on measures to mitigate the effect of tariff quotas in the beef sector. My officials have had a series of meetings with senior Commission officials and have made several presentations and submitted a number of papers to the Commission explaining the implications of such an agreement for Irish agriculture, and the beef sector in particular.

At a bilateral meeting with the French Minister for Agriculture in Paris on 18 March, I raised my concerns about these negotiations and the effect on the beef sector. My concerns were shared by the French Minister and we agreed to a joint initiative to highlight the positive contribution of EU extensive beef production to the global fight against climate change. I also met separately with Commissioner Geoghegan-Quinn on 3 May to express my deep concerns about the negotiations and the possible implications arising from the impact assessments.

It is obviously desirable that any FTA negotiations should deliver an increase in trade opportunities and a new trading environment that is equitable and fair to all of the key sectors, economic operators and individual Member States. I was therefore particularly concerned at the preliminary findings of the impact assessments of the EU/Mercosur negotiations, which were presented to Member States at a Technical Group meeting in May. While this analysis shows an overall net gain to the EU, it also shows that substantial losses could arise in a number of key agriculture sectors and that these would seriously impact on many Member States. The impact assessments suggest that an equitable balance of advantage will be very difficult to achieve.

When my colleague, Minister of State for European Affairs, Lucinda Creighton TD met with her French counterpart in Paris on 11 May, they discussed the current negotiations on a Free Trade Agreement between the EU and Mercosur. In the joint communiqué that issued from that meeting it stated that France and Ireland believe it is vital to avoid concluding an agreement that will damage European agricultural interests, particularly for the beef and poultry sectors. The Ministers reaffirmed their commitment to the priority of concluding the Doha Round.

The Minister for Enterprise, Trade and Innovation, Mr. Richard Bruton TD is as concerned as I, about the potential negative impact a Mercosur Free Trade Agreement might have on our economy, based on the draft impact assessments undertaken by the Commission. He requested that the EU/Mercosur negotiations be put on the agenda of that Council meeting, which took place on 13 May, 2011. At that meeting, he emphasised the Government's view that any final agreement with Mercosur needs not only to provide extensive new market access to exporters but also that it cannot undermine the viability of any particular sector, especially our agriculture sector. Furthermore he said that the impact assessments now being evaluated by the Commission must be subjected to scrutiny and review by both the Trade and Agriculture Councils and that these reviews should take place in advance of any exchange of offers taking place. France, Luxembourg, Poland, Belgium, Finland, Romania, Lithuania, Greece supported the concerns and expectations of Ireland on substance and procedure in relation to the Impact Assessments. Minister Bruton also emphasised these issues in a separate meeting he had with Commissioner DeGucht following the Council.

I am of the view that any agreement must not undermine the continued viability of a particular sector in individual member states. Because of the important potential long-term implications for the future of the EU agriculture and food sector, the EU has to take special account of its critical interests in this area and in particular the economic importance to the EU of the sector as well as its contribution to food security, sustainability and the delivery of the EU 2020 strategy.