Brendan Howlin (Wexford, Labour)
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239. To ask the Minister for Agriculture, Food and the Marine if his Department has commissioned economic or regulatory impact assessments of the risks to sectors under the purview of his Department following the decision of the UK to exit the EU and the various types of future relationships that might result; if he will provide a copy of such studies conducted; the persons or body commissioned to conduct this research; the cost of same; and if he will make a statement on the matter. [6297/18]

Michael Creed (Cork North West, Fine Gael)
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Contingency planning at both a domestic and an EU level is focused on three areas: preparing for a no-deal scenario or so-called “disorderly Brexit”; preparing for a transition period based on the “status quo”; and preparing for the future EU-UK relationship.

While the outcome of the December European Council and the move on to Phase 2 has lessened the likelihood of a disorderly Brexit, very detailed work on a no-deal or worst-case-scenario is advancing intensively through the cross-Departmental coordination structures chaired by the Department for Foreign Affairs and Trade. This work is also informed by ongoing stakeholder engagement. Separately, a new preparedness unit in the Commission is considering EU-level responses.

All this work provides a baseline scenario for the policies and sectors impacted, which can then be adapted as appropriate in light of developments in the EU-UK negotiations. In this regard, it is welcome that the direction of travel is now firmly towards achieving a “status quo” transition period.  Agreement on a “status quo” transition will provide certainty to individuals and businesses while also aiming to avoid any cliff edge effects between the UK leaving the EU and a future relationship agreement coming into force. The period will provide time for businesses and citizenship to prepare for the UK’s withdrawal from the EU based on the outcome of the negotiations on the framework for the EU’s future relationship with the UK. In this respect, the expectation is that the European Council will adopt additional Guidelines at its meeting on 22-23 March 2018 on the framework for the future EU-UK relationship. These guidelines – as well as further clarity on the UK position, which has been sought by the European Council – will provide a clearer picture of the direction of travel in the negotiations.

The Government’s contingency planning continues to be firmly grounded in the extensive work and outreach that has already been undertaken by individual Departments and agencies, as well as by stakeholder organisations, academics and others.  Much of this is in the public domain.

My Department has conducted a range of analysis and research activities in relation to Brexit. This work is ongoing, and is primarily concerned with the implications of Brexit for agrifood trade with the UK across different sectors.

For example, both internally and in consultation with the relevant stakeholders through the Brexit Stakeholder Consultative Committee and the All-Island Civic Dialogue process, my Department has established the extent of sectoral exposure to the UK market, the potential implications of Brexit for each sector and the possible responses to the challenges presented. It has also been analysing the potential practical impact on the day-to-day functioning of trade flows, as well as potential tariffs that might be applied to Ireland's agrifood exports to the UK in the event of a 'hard' Brexit.

The agencies reporting to my Department have also undertaken important research in relation to Brexit, with Teagasc publishing reports on, for example, the potential implications for the Irish agrifood sector in overall terms and on the implications for family farm incomes, and Bord Bia conducting important work through its Brexit Barometer.

In addition, my Department is in ongoing contact with the relevant agencies and with other Departments in the context of reviewing research on the implications of Brexit for the agrifood industry, and with a view to identifying further potential areas of research.

Brendan Howlin (Wexford, Labour)
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240. To ask the Minister for Agriculture, Food and the Marine the additional budget for 2018 or other years, provided to his Department and all agencies and bodies within his remit to plan or prepare for Brexit; the number of additional staff that have been recruited to work on this policy area in each body, agency and his Department; the number of dedicated staff planning and working on Brexit matters in each; and if he will make a statement on the matter. [6314/18]

Michael Creed (Cork North West, Fine Gael)
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Since the UK referendum in June 2016, I, in co-operation with Government, have introduced a range of budgetary measures under the two most recent budgets.

In Budget 2017, I introduced measures to help reduce farm gate business costs, including a €150 million low-cost loan scheme, new agri-taxation measures and increased funding under the Rural Development and Seafood Development Programmes. 

I also announced a €50m Brexit support package in the 2018 Budget, which will be comprised of a number of initiatives. Firstly, in cooperation with my colleague, the Minister for Business, Enterprise and Innovation, I established a new “Brexit Loan Scheme” aimed at providing affordable, flexible financing to Irish businesses that are either currently impacted by Brexit or who will be in the future. The Scheme aims to make up to €300 million of working capital finance available to SMEs and mid-cap businesses (up to 499 employees), at least 40% of which will be available to food businesses. 

Due to State Aid rules, this new Scheme will not be available to farmers and fishermen, so I am also introducing a separate loan scheme in 2018 similar to the 2017 low-cost scheme, based on €25m funding from my Department to the Scheme. These measures are aimed at enhancing competitiveness within the sector.

I have also introduced supports for Bord Bia for investment in their market insight and market prioritisation initiatives which are aimed at identifying and developing potential diversification opportunities. I have already increased funding to Bord Bia by €10 million since the Brexit vote, and a further €4.5 million is allocated in Budget 2018.

To enhance product diversification, I have also allocated funding to support the development of the new National Food Innovation Hub, which will be located in Teagasc Fermoy, Co. Cork.

On the issue of staffing, shortly after the Referendum I established a dedicated Brexit Co-ordination Unit within my Department’s EU & International Trade Division. This Unit now forms part of a new Brexit and International Trade Division. It comprises eight staff working full-time on the co-ordination of Brexit issues, plus a full-time Head of Division, who in turn reports to an Assistant Secretary General deeply engaged in Brexit issues, in addition to discharging other responsibilities. 

The Unit co-ordinates the ongoing analysis, consultation and engagement activities being undertaken by a large number of administrative, technical and veterinary staff, through an internal Brexit Response Committee comprised of 16 people drawn from the wide range of Divisions affected by Brexit (including, for example, Meat and Milk Policy, Animal Health and Welfare, Food Industry Development, Economics and Planning, and Seafood Policy and Development).  It also feeds into the whole-of-Government co-ordination being undertaken by the Department of Foreign Affairs and Trade.

While The Brexit Unit has its full complement of staff at present, I will continue to monitor the future workforce needs of both my Department, our Agencies and the Brexit Unit, and will be keeping resource requirements under close review as the negotiations proceed.

The funding allocated to Bord Bia allows them to employ additional staff, some of whom will be based abroad, in line with the Taoiseach’s Global Footprint initiative to double the Team Ireland footprint on the international stage by 2025. The number and deployment of these staff is an operational matter for Bord Bia and the Deputy may wish to contact Bord Bia directly at the agreed Oireachtas contact address : info@bordbia.ie