Denis Naughten (Roscommon-South Leitrim, Independent)
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22. To ask the Minister for Agriculture, Food and the Marine the steps he is taking to support the sheep industry; and if he will make a statement on the matter. [48277/14]

Simon Coveney (Cork South Central, Fine Gael)
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The industry wide strategy for developing the sheep industry in Ireland was set out in the Food Harvest 2020 document which envisages a 20% increase in value terms of the sector by 2020. My approach to building on the significant achievements of the strategy up until now is to drive the development of the industry at home and increase Ireland`s market share of the world market. This will ensure that producers and processors can plan for the future, increasing the value of the industry for the benefit of all.

In terms of the performance of the sector in 2014, I am pleased to note that, for the period up to week ending 7 December 2014, Irish sheep throughput at DAFM-approved plants was almost the same as for 2013, with a marginal decline of 0.38%. Prices paid to producers over the same period have increased, with the average factory price running at 3.24% of last year's level.

At producer level I continue to put in place incentives to ensure that producers see a viable future in the sector. Earlier this year I announced the extension of the Sheep Technology Adoption Programme (STAP) for a further year. In committing funding of €3m to the programme in 2015 I am acknowledging the success of the scheme in 2013 and 2014 in which 4,000 producers participated.

Support for the sheep sector also comes from the Grassland Sheep Scheme for which I have prioritised funding over the last five years. This scheme delivered €83 milliondirectly to the incomes of Irish sheep farmers. As it was not possible to implement the Grassland payment under the new CAP regime I decided that payments received under the 2014 Grassland Sheep Scheme will be incorporated into the calculation of the entitlement value in each year of the new regime for those farmers who participated in that Scheme. This will have the effect of increasing their entitlement value and ensure that such farmers do not lose through the cessation of the scheme at the end of 2014.

Under the new Rural Development Programme (RDP) I have made provision for improving efficiency and profitability in sheep production under the Knowledge Transfer measure which has a budget of €100m. The experience in STAP will inform the development of this measure. In addition to profitability, the emphasis will be on the key issues of business skills, environmental sustainability and herd health, with increased interaction between individual farmers and advisors in order to customise information exchange. The Knowledge Transfer Programme for the sheep sector will be launched in 2016 when the current STAP concludes.

The current AEOS Scheme supports sheep farming through its commonage measure. The proposed new agri-environment scheme, GLAS (Green Low-carbon Agri-environment Scheme) will also support, amongst others, extensive and hill farmers, who have shown themselves to be careful custodians of the countryside in previous agri-environment schemes. GLAS intends giving priority to those commonage farmers who come together to form an agreed plan to manage these valuable landscapes. It also includes a menu of environmental actions, many of which will be suitable for all sheep farmers.

On the export frontI intend to drive further the search for new markets. My Department in consultation with the meat industry and in cooperation with Bord Bia and the Irish Embassies abroad is constantly pushing for new markets and opportunities.

Already this year, we have agreed veterinary health certificates with Lebanon, Namibia, Hong Kong and The Philippines thus allowing for the export of Irish sheepmeat to those countries. Also, during my visit to China leading a Trade Mission in November 2014, I was able to hand over the completed version of a sheep questionnaire which we had been asked to complete in connection with our efforts to gain access to the Chinese market for sheepmeat. This represents the first milestone on the road which will lead, I hope, to Ireland gaining access to the Chinese market for sheepmeat in the future.