Written answers

Tuesday, 31 January 2017

Department of Agriculture, Food and the Marine

Departmental Funding

Photo of Niamh SmythNiamh Smyth (Cavan-Monaghan, Fianna Fail)
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648. To ask the Minister for Agriculture, Food and the Marine the funding supports in place at present for sheep farmers; and if he will make a statement on the matter. [4280/17]

Photo of Michael CreedMichael Creed (Cork North West, Fine Gael)
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There are a range of existing supports available to sheep farmers under the BPS, GLAS, TAMS, Knowledge Transfer and ANC schemes. Added to this is the new Sheep Welfare scheme under the Programme for Government in which there was a commitment to the introduction of a scheme for sheep farmers under the Rural Development Programme with a budget of some €25 million in 2017. This Sheep Welfare Scheme was launched successfully by my Department last December and officials from my Department held a series of strongly attended public meetings on the scheme in the last number of weeks. I am glad to report that applications are being received by my Department in high numbers on a daily basis.

 The scheme provides support of €10 per ewe to farmers for undertaking actions which make positive contributions to flock welfare. In designing the scheme, I was conscious that the varying challenges faced by sheep farmers in lowland and hill areas would need to be taken into account and I believe we have successfully struck this balance. The end product is a reflection of the extensive consultations which were carried out by my Department with a range of stakeholders, particularly farm organisations, in 2016, in addition to intensive discussions with the European Commission.

The scheme represents a clear acknowledgement of the contribution the sheepmeat sector makes to the Irish Agri-Food sector, which in 2016 saw an increase in exports of sheepmeat of 3% in volume and 4% in value terms to €240 million supporting some 35,000 farm families directly, as well as providing several thousand jobs indirectly in rural areas. This scheme in addition to the others outlined above will make a vital contribution to ensuring the continuing viability and sustainability of the sheep sector in Ireland.

Photo of Niamh SmythNiamh Smyth (Cavan-Monaghan, Fianna Fail)
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649. To ask the Minister for Agriculture, Food and the Marine the funding supports in place at present for pig farmers; and if he will make a statement on the matter. [4281/17]

Photo of Michael CreedMichael Creed (Cork North West, Fine Gael)
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The pig sector remains a valuable and integral part of the Irish agricultural economy, accounting for 8% of Gross Agricultural Output and supporting approximately 7,000 jobs in the rural economy.

My Department announced the opening of the new Pig and Poultry Investment Scheme under TAMS II in late 2015. A total of €395m has been made available for TAMS II schemes over the course of the Rural Development Programme period, with some €17m earmarked for the pig and poultry sector.  The new scheme is being co-funded by the European Union.

The areas of investment available include: medicine dispenser units, water meters, solar panels, heat recovery units/heat pumps, energy efficient boilers, feed system upgrades (for medication reduction and energy efficiency), energy efficient upgrade for farrowing house, weaner housing, fattener housing.

The scheme is open to all farmers who meet the eligibility criteria, offering a standard rate of 40% on investment up to a ceiling of €80,000.  This investment reflects our ongoing commitment to the growth potential of this important sector and to the modernisation of farming in Ireland.

There is also additional funding under the Young Farmer Capital Investment Scheme. This Scheme is jointly funded by the European Union and the national exchequer.  Grant aid will be paid on approved, completed and eligible expenditure and shall be paid at the rate of 60% up to the applicable maximum investment ceiling of €80,000 per holding.

In recognition of the importance of the Pig Sector to the economy, in May 2015 my Department set up a group representing all stakeholders (producers, processors, specialist pig vets, Teagasc and DAFM) in the pig sector with an independent chairperson, Dr. Sean Brady, to examine issues in the sector informed by extensive consultations with additional experts. This is one of the recommendations under the Food Wise Strategy.

The group consulted widely and met with or received contributions from a wide range of bodies. Their report was finalised in early 2016 with 65 recommendations identified and was presented to the Food Wise High Level Implementation Committee in January 2016.

It was crucial to the development of the Irish pigmeat sector that an appropriate forum was established to ensure follow-up on these actions. Against that background the Department recommended the appointment of an Implementation Group and proposed the re-convening of the stakeholder group chaired by Dr. Sean Brady.

The Implementation group held their inaugural meeting in November 2016. The group will meet as often as is practicable for the relevant stakeholders to implement the actions and  the Chairman will report to the HLIC annually.

The sector is also supported by Bord Bia’s pigmeat promotions. Their current campaign will be aired for the last time in March, before it is replaced with a new pork and bacon campaign due to be rolled out in May, with additional advertising planned for September and October. 

In terms of trade development and market access for the pigmeat sector, my Department continues to make these a priority. Opening markets is of the greatest importance, particularly in the context of Brexit, to further increase the market opportunity for Irish food and drink internationally. It is for this reason that we have undertaken major trade missions to Asia and Africa in recent times.

Irish pigmeat exports in 2016 increased by 2% in volume while average pig prices were almost 2% higher. This left the value of Irish pigmeat exports up by 4% in 2016 at an estimated €615 million. Net production also increased last year, helped by a significant demand for exports, particularly in China, with volumes up an estimated 44% at 65,000 tonnes reflecting strengthening demand for product in this market. China is the second largest market for Irish pigmeat exports after the UK, accounting for almost 30% of total exports. Increased volumes to International markets, particularly Asia, offset lower shipments to the UK. Market access for pigmeat in the Philippines and Vietnam has also provided new market opportunities for Irish companies.  These markets have significant potential due to rising per capita wealth and urbanisation.

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