Written answers

Thursday, 9 May 2019

Department of Agriculture, Food and the Marine

Beef Industry

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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140. To ask the Minister for Agriculture, Food and the Marine the extent to which he envisages beef producers to be able to rely on a steady income from their enterprise; and if he will make a statement on the matter. [20297/19]

Photo of Michael CreedMichael Creed (Cork North West, Fine Gael)
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The agrifood sector is of critical importance to the Irish economy, and its regional spread means it underpins the socio-economic development of rural areas in particular.

The Beef Data and Genomics Programme (BDGP) is currently the main support specifically targeted for the suckler sector, which provides Irish beef farmers with some €300 million in funding over the current Rural Development Programme (RDP) period. I also announced an additional €20 million in funding in Budget 2019, through the Beef Environmental Efficiency Pilot (BEEP).

My Department has rolled out a range of schemes as part of the €4 billion Rural Development Programme (RDP), 2014 - 2020. In addition to the BDGP, other supports which are available for suckler and sheep farmers under Pillar II of the CAP include GLAS, ANCs and Knowledge Transfer Groups. Suckler farmers also benefit from the Basic Payment Scheme (BPS) and Greening payments under CAP Pillar I. According to National Farm Survey, already suckler farmers receive support equivalent to approximately €500 per suckler cow on average.

However, it is also important to acknowledge that the past few months have been very difficult for beef farmers in particular, following a difficult year in 2018 due to weather conditions. There has been a prolonged and exceptional period of depressed prices since last autumn, with the ongoing uncertainty surrounding the outcome of Brexit, among other factors, contributing to this market disturbance.

Brexit has the potential to have a very significant impact on the sector, given its unique exposure to the UK market, which accounted for 38% (€5.2 billion) of agrifood exports last year. Avoiding a no-deal Brexit, which would have catastrophic implications for the agriculture food and fisheries sectors in terms of tariff barriers, continues to be the Government’s overriding policy priority.

There are on-going discussions with the Commission regarding the difficulties which would face Ireland in the event of a no-deal Brexit, and the assistance that might be required for its agriculture food and fishery sectors. Avoiding a no-deal Brexit continues to be the Government’s overriding policy priority.

In light of the on-going depressed market prices, I have, in discussions with Commissioner Hogan and my EU counterparts, said that I believe that the deployment of exceptional measures under the CMO Regulation, to provide targeted aid to farm families who have suffered a sustained reduction in returns from the market, is now required.

One of the unique strengths of the agrifood sector has been the shared vision for the sustainable development of the sector in Food Wise 2025. It is crucial that we all continue to work together. I have highlighted the need for stakeholders to recognise their inter-dependency, and to increase the strength of all links in the supply chain, including the development of Beef Producer Organisations.

I am deeply committed to fully supporting and developing Ireland’s beef sector. I am strongly of the view that the existing range of supports available to beef farmers under the RDP, together with ensuring access to as many markets as possible, both for live animals and beef exports, are appropriate for the continued development of the sector.


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