Mick Wallace (Wexford, Independent)
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19. To ask the Minister for Agriculture, Food and the Marine his plans to address the situation in which there is overproduction of beef; and if he will make a statement on the matter. [12363/17]

Michael Creed (Cork North West, Fine Gael)
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There are a number of challenges facing the beef industry in the short and medium term, including exchange rate volatility, Brexit and political uncertainty both within the EU and in third countries. I am also aware, as I am sure the Deputy is, that a number of forecasts have predicted an additional 100,000 head of cattle to be available for slaughter in 2017, with the majority of these to go to plants in the early part of the year according to Bord Bia's performance and prospects publication. 

While concerns have been raised about the impact of the supply of cattle on prices in 2017 I note however that R3 steer prices have held steady, and actually risen slightly, since the beginning of the year, despite increased slaughter numbers, which is a relatively positive start to 2017.

 One of the key elements in coping with all challenges facing the beef sector is ensuring that there are sufficient markets for Irish beef. A strong demand for meat, including beef exists globally, and figures from the European Commission's most recent Short Term Outlook for meat markets showed a 2.1% projected growth of per capita beef consumption for 2016.

While we exported approximately 97% of our beef exports in 2016 to the UK and EU, I am acutely conscious of the importance of growing third country markets as a valuable outlet for any increase in Irish beef production. Indeed, this is a crucial component of the Food Wise 2025 strategy.  Very significant progress has been made in this regard in recent years, and my Department is currently in the process of securing beef access to a range of third countries including China, South Korea, Ukraine, Thailand and Vietnam.

One of my priorities now, particularly in the context of Brexit, is to further increase the market opportunity for Irish food and drink internationally. We are after all an exporting nation, with 90% of our food produce leaving the island. I have just returned from a successful trade mission to Saudi Arabia and the United Arab Emirates last week during which enhanced access to the Saudi market was achieved for Irish beef. This builds on the opening of some major markets in the last two years including the US, Canada and Japan.  To date this year we have also secured new market access for Irish beef to Egypt.  This is a vital means of providing our beef sector with as many commercial opportunities as possible for Irish beef in addition to our traditional European markets.

I am also very conscious of the vital role that live exports play in providing an alternative market outlet for Irish farmers, especially in an environment where the number of calf births has increased, as in recent years.  The opening of the Turkish market for live cattle exports in 2016 has been a good example of this, with approximately 20,000 live cattle exported there over the course of the last few months of 2016. I also note that exports of live cattle to Libya have recommenced, which is a positive and welcome development.  My Department is also currently actively examining the possibilities of bilateral health certificates for the export of cattle to Kazakhstan and Montenegro and for breeding cattle to Morocco. I remain actively committed to ensuring that Irish beef producers have the option of exporting to as many markets as possible.

 My Department and state agencies such as Bord Bia will continue to work to ensure that any increase in production from the Irish beef herd can deliver a viable return to the primary producer. I allocated additional funding to Bord Bia in Budget 2017 for the specific purpose of dealing with the impact of Brexit which will help to support Irish food and drink exports in 2017. This, in addition to the opening of a new office by Bord Bia in Singapore this year, will ensure that exports of Irish beef are promoted effectively to provide viable export markets for any increases in Irish beef production. Bord Bia has been very proactive in recent years in its promotion of Irish Beef in Europe and further afield and this work allied to our trade missions and  promotional work will help to ensure there are a growing number of viable markets open to Irish beef this year and into the future.