Dara Calleary (Mayo, Fianna Fail)
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253. To ask the Minister for Agriculture, Food and the Marine his views on restrictions and penalties being placed on farmers by major factories, and the potential impact these are having on farm incomes; and if he will make a statement on the matter. [41520/15]

Simon Coveney (Cork South Central, Fine Gael)
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Questions of price and market specifications 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, currency fluctuations and the overall macroeconomic situation. It is neither appropriate nor possible for Government to intervene directly on these issues.

Of course the best interests of this very important industry will ultimately be served by ensuring a continuing supply of high quality cattle to the processing sector, and, subject to the exigencies of the market , this objective can best be achieved by providing a reasonable level of remuneration to suppliers for their efforts.

I would, also encourage processors to ensure that their systems for determining price are as open and transparent as possible to the farmer, that any requirements or changes in relation to specifications are clearly communicated and have regard to the realities of the production cycle.