Written answers

Thursday, 11 May 2017

Department of Agriculture, Food and the Marine

Brexit Issues

Photo of Charlie McConalogueCharlie McConalogue (Donegal, Fianna Fail)
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223. To ask the Minister for Agriculture, Food and the Marine if his Department or Bord Bia have completed an analysis on the effects of agri trade here since the Brexit vote in June 2016; and if so, the documents and publication dates concerned. [22570/17]

Photo of Michael CreedMichael Creed (Cork North West, Fine Gael)
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My Department and its agencies have conducted various analyses of the likely impact of Brexit on the agri-food sector, ranging from initial and ongoing internal departmental assessments to published work by Teagasc and Bord Bia.

In the lead-up to last year's referendum my Department conducted a number of internal assessments across a range of sectors in order to establish the nature and scale of the trade with the UK and the likely implications of an exit vote. This will be an ongoing process and since the UK decision to leave the EU, includes  extensive consultation with stakeholders via the Department's Stakeholder Consultative Committee and the All-Island Civic Dialogue process, in respect of which I have hosted four agri-food and fisheries sectoral dialogues.

In terms of published works, Teagasc published a study on 14 April 2016 under the title "Brexit - Potential Implications for the Irish Agri-Food Sector". The study examined four scenarios under which Irish agri-food exports to the UK declined by differing amounts, with exports diverted to other markets at varying discounts, and found that the value of exports could fall by between 1.4% and 8%.  

In January of this year, Bord Bia launched its “Export Performance and Prospects 2016-2017” report, which analysed the performance of the food and drink sector during 2016 and its prospects for 2017. According to its estimates, the underlying weakness and volatility of sterling negatively affected the competitiveness of Irish exports, reducing the value of trade with the UK by a potential €570 million in 2016.  However, this was offset by increased exports to other international and emerging markets such as North America, China and the rest of Asia, and overall, the value of agri food exports increased in 2016.

Photo of Charlie McConalogueCharlie McConalogue (Donegal, Fianna Fail)
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224. To ask the Minister for Agriculture, Food and the Marine his views on the way UK imports of cheddar cheese in March 2017 totalled some 4,162 tonnes, which was 633 tonnes or 13% less in comparison with the same month in 2016; the discussions he has had with Irish companies and co-ops in this regard; his plans to safeguard producers in this sector from a ripple effect following Brexit; and if he will make a statement on the matter. [22571/17]

Photo of Michael CreedMichael Creed (Cork North West, Fine Gael)
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The trade in the cheddar cheese sector, just like with most agri-food products, is subject to numerous variables. These include production costs, tastes and preferences in export and import markets as well as any issues which effect demand and supply, including geo-political stability or exchange rate volatility.

The 4,162mt referred to in the Deputy's question appears to relate to a figure ascribed to UK imports of cheddar for March, published in the media earlier in the year.  It is my understanding that the UK import statistics published were in respect of the month of January and that UK March Trade statistics are not yet published. The UK statistics for January did show that the UK imported 4,162mt of cheddar of which 3,620mt was imported from Ireland.

While any reduction in trade values is a matter of concern, it is not possible to draw clear conclusions from statistics available for a particular month. Nonetheless Irish cheddar cheese exports are dependent to a significant extent on UK markets, and my department is in touch with industry on a regular basis on these and other trade matters.

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