Bernard Durkan (Kildare North, Fine Gael)
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72. To ask the Minister for Agriculture, Food and the Marine the extent to which his Department has been in contact with the various producers throughout the country that have been affected by Brexit; the extent to which he will be in a position to offer tangible support with particular reference to particular sectors in the food chain more likely to be severely affected in the short term; if the attention of his EU colleagues has been drawn to the seriousness of the implications for the agri food sector; if the attention of the UK authorities has been drawn to the situation; and if he will make a statement on the matter. [47092/17]

Michael Creed (Cork North West, Fine Gael)
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Ever since the UK Referendum on Brexit, I and my Department have been actively engaged in assessing the impact of the vote on the Irish agrifood sector, consulting with appropriate stakeholders and engaging with the relevant politicians and institutions.  This work is being done in conjunction with the overall Government response led by the Department of Foreign Affairs and Trade.

One of the steps I undertook in the immediate aftermath of the vote was to establish a Consultative Committee of Stakeholders in order to ensure a full exchange of information on the potential implications of a UK exit from the EU for the agrifood sector in Ireland. I convened the first formal meeting of the Committee on 7 July 2016 and I have held three subsequent meetings.

This process was complemented by the All-Island Civic Dialogue process organised by the then Taoiseach. Under that process I hosted six sector-specific gatherings covering fourteen different sectors, including fisheries. These engagements afforded me and my Department the opportunity to hear, at first hand, the difficulties and concerns of the sectors; and given that the process was an all island one, I had an opportunity to engage with stakeholders from Northern Ireland also.

I have also engaged with my counterparts in many other Member States in an effort to raise their awareness of the potential impact of an unfavourable Brexit agreement - or no agreement - not only on Ireland but on the EU agrifood sector generally. In this regard there is regular engagement with the Commission, the UK, including Northern Ireland, and other member states both at political and official level.  I have had specific bilateral meetings with my counterparts in Germany, the Netherlands, Denmark, Estonia, Poland, France, Luxembourg, Austria, Belgium and Spain to seek to establish common ground on the Brexit issue.  

I have had political engagement with the former NI Minister for Agriculture Michelle McIlveen, the former UK Secretary of State for DEFRA Andrea Leadsom and the UK Minister of State for Agriculture George Eustice. I have spoken by telephone with DEFRA’s current Secretary of State, Michael Gove, and am meeting him in Dublin shortly. In all of these engagements I have emphasised, and will continue to emphasise, the potential impact a hard Brexit will have on the historical trading relationships between the two jurisdictions.

While the main impact to date of the Brexit vote has been the effect of sterling volatility on those businesses that have a significant trading relationship with the UK, the medium to long term threats include the possible introduction of tariffs on trade between the EU and UK, potential divergences in regulations and standards between the EU and UK, and the implications of border controls and certification requirements.

I and my Department, in cooperation with Government and other Departments and Agencies, are attempting to mitigate the consequences through a range of activities under two distinctive pillars – Competitiveness and Product/Market Diversification.

Under Competitiveness my Department introduced a number of measures in Budget 2017 to help minimise farm gate and business costs, including the introduction of €150m low cost loan scheme for primary producers, new agri-taxation measures and increased funding under the Rural Development and Seafood Development Programmes.  Under Budget 2018 I have provided exchequer funding to support a €300m Brexit loan scheme, at least 40% of which will be available to food businesses, and my Department is working with SBCI to develop a similar scheme for primary producers and small businesses.

Under Product/Market Diversification I continue to support Bord Bia in its investment in market prioritisation initiatives, which are aimed at identifying potential diversification opportunities.  Since the final quarter of 2016 I have provided Bord Bia with more than €14 million in additional funding for a programme of marketing and promotional activity in international and EU markets, and also in the UK. 

I have also allocated an additional €2m to Teagasc to allow them to commence work on an €8.8m investment in a new National Food Innovation Hub which will help Irish food businesses to innovate and expand.

I wish to assure the House that I and the Government remain very focused on supporting the agrifood industry through the challenges ahead. I will continue to consult with the industry as the negotiations develop, and press Ireland's case for continued free access to the UK market, without tariffs or burdensome customs and administrative procedures.