Andrew Doyle (Wicklow, Fine Gael)
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1182. To ask the Minister for Agriculture, Food and the Marine if he will discuss the recently implemented EU trade deal with Honduras, Nicaragua, and Panama and the effects it will have on the Irish agriculture sector in view of the fact that both sides of the deal must work towards cutting tariffs on manufactured and agricultural goods and that dairy tariffs will be almost entirely eliminated; his views on whether any further effects will be felt here when the deal is expanded to Costa Rica, Guatemala, and El Salvador;; and if he will make a statement on the matter. [37573/13]

Simon Coveney (Cork South Central, Fine Gael)
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The EU/Central American Trade negotiations were concluded in May 2010 and on 29 June 2012, the EU Trade Commissioner and his counterparts in Central America (Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua and Panama) signed an Association Agreement. On 11 December 2012, the European Parliament approved the agreement to apply to EU relations with Honduras, Nicaragua and Panama as of 1 August 2013. In parallel, Central America partners are progressing the completion of their internal procedures and implementation of Geographical Indicator (GI) protection. Nicaragua, Honduras, Guatemala and Panama have already ratified the agreement. The trade pillar of the agreement, including the tariff reductions, has been provisionally applied between the EU, Honduras, Nicaragua and Panama as from 1 August 2013.

In agriculture, tariffs on key agricultural products will be largely eliminated under the agreement while "sensitive areas" for local markets are being respected. Panama, for example, is a main importer of European whiskey to the region. 70% of its whiskey imports come from the EU and those are liberalised from day one of the entry into force of the Agreement. All other Central American countries will liberalise this market after six years. It is estimated that EU exporters of wine and spirits can expect savings of €6 million annually in customs duties.

Tariffs on dairy products will be entirely eliminated with the exception of milk-powder and cheese, for which the EU has obtained duty-free quotas. These quotas cover the currently traded quantities and will be increased on an annual basis. Irish Exporters will have an opportunity to increase their exports into this region and benefit from eliminated and reduced tariffs. Our largest exports at present to these markets are dairy products, valued at over €10m, and beverages such as spirits and whiskey valued at €4.3m.

Imports from these countries to Ireland comprise mainly fruits and coffee, with imports of bananas valued at €13m and pineapples at €2.7m. There are no imports of meat products. A quota for beef of 10,000t has been granted for imports of beef into the EU for all six countries which will allow for some incremental increases.

My Department will continue to monitor the implementation of this agreement and the trade flows occurring as a result of the Agreement.