Written answers

Thursday, 18 December 2014

Department of Agriculture, Food and the Marine

Beef Industry

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
Link to this: Individually | In context | Oireachtas source

15. To ask the Minister for Agriculture, Food and the Marine the extent to which it has been found possible to stabilise the price of beef to the producer with particular reference to the need to arrive at a situation whereby beef producers here may expect to be paid for their produce in line with adjoining and other European jurisdictions; and if he will make a statement on the matter. [48421/14]

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael)
Link to this: Individually | In context | Oireachtas source

Questions of price are matters to be determined between the purchasers and the sellers of cattle. Prices are determined by supply and demand dynamics and by a range of different factors such as consumer preferences, distance to market, consumer confidence, retail promotions, competition with other meats and the overall macroeconomic situation. It is neither appropriate nor possible for me or any other Minister for Agriculture in the EU to intervene directly on these issues. Indeed, the new Competition and Consumer Protection Commission has emphasised this point again recently in correspondence with members of the Beef RoundTable . Rather than directly influencing prices, m y role as Minister for Agriculture is to create a policy support environment that will allow the beef sector to flourish in line with normal market principles.

In this regard, I have brought forward a number of initiatives to help the sector, including the creation of the Beef Genomics Scheme with a budget of €23 million in 2014 , payments for which issued to farmers last week. Building on the success of this, I announced an increased provision of €52 million for a new Beef Data and Genomics Programme in 2015, subject to approval by the European Commission. This is just one of a number of measures included in a total package of approximately €74 million for the beef sector in 2015.

We have also had notable successes in securing new market opportunities for Irish beef in recent times, with Japan, Lebanon and Philippines opened in the last 12 months. There has also been significant progress in securing market access to Canada, and I expect that Irish beef will be landing on supermarket shelves in the US next year. In addition, Ireland secured a major breakthrough during my recent trade mission to China and, as a result of this, an inspection team from China has been hosted by my Department over the course of the last week or so. This is an important step in securing access for Irish beef to that market.

I should also note recent agreement on a number of outcomes through the Beef RoundTable process. This agreement addresses a range of the issues raised by farmers in recent months, particularly as regards market signals and product specifications. The RoundTable also endorsed the development of Producer Organisations which should, in my view, go a long way to addressing negotiating power along the supply chain and ensure a fair return to beef producers over the medium to long term.

Finally, it should be noted that prices for R3 steers In Ireland have risen by 26 cents per kilo since the beginning of September. This is an increase of over 7% during this period and Irish prices are now at 101% of the EU15 average price.

Comments

No comments

Log in or join to post a public comment.