James Browne (Wexford, Fianna Fail)
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473. To ask the Minister for Agriculture, Food and the Marine his plans to remove the 14% import tariff that applies to fertiliser imports to the European Union; and if he will make a statement on the matter. [18119/16]

Michael Creed (Cork North West, Fine Gael)
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Farmers across the EU continue to be severely affected by the ongoing difficulties on agricultural markets. The recent packages of support measures from the Commission are welcome, but we should continue to deploy any and all available options that might help to mitigate the effects of these difficulties. Such options should include measures that will help to reduce production costs for farmers.

According to Eurostat, fertiliser is the third most important expenditure item on EU farms, accounting for €19.2bn in 2014. Fertiliser prices have increased significantly in recent years, in part due to the protection provided by the imposition of duties on non-EU imports, while opportunities to manage price risk through hedging mechanisms are limited.

The International Food and Policy Research Institute (IFPRI) published a report in February of this year (commissioned by the Irish Farmers’ Association) on the effects of import duty elimination on competition in the EU fertiliser market. The report concluded that the protection afforded to EU manufacturers by the application of anti-dumping duties and customs tariffs is costing farmers up to €1 billion per annum.

I believe that appropriate action in this area could be of significant benefit to farmers at this very difficult time. In addition to the ten-point package that Ireland proposed in the lead-up to the March Council of Agriculture Ministers, we asked the Commission to consider a temporary suspension of import tariffs on fertilisers.

Other Member States made similar calls, and at the March Council Commissioner Hogan indicated his readiness to raise the matter with Commissioner for Economic and Financial Affairs, Taxation and Customs, Pierre Moscovici, and Internal Market Commissioner Elzbieta Bienkowska. At the April Council in Luxembourg, Commissioner Hogan said that he was following up with his colleagues in an effort to secure their agreement to possible changes.

I am continuing to pursue the matter with the Commission and in consultation with my Member State counterparts, and I hope that progress can be made in the short-term. I would hope that Commissioner Moscovici in particular would be in a position to look favourably on this proposal.