Bernard Durkan (Kildare North, Fine Gael)
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430. To ask the Minister for Agriculture, Food and the Marine the extent to which his Department continues to monitor and safeguard the interest of the agri-food sector given the sharp increase in price of inputs; and if he will make a statement on the matter. [27145/22]

Charlie McConalogue (Donegal, Fianna Fail)
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In the context of the Ukrainian crisis, significant implications are being seen across all sectors, including the agri-food sector. 

At farm level, the crisis is already impacting very significantly on the price of fertiliser, animal feed and fuel. Following a record year for Family Farm Income in 2021, Teagasc has forecast that a decline in 2022 is now highly likely, as output price increases will fail to offset the rise in production costs. Significantly higher production costs will be a feature across all sectors in 2022, with higher fertiliser, feed and fuel prices leading to an increase in agriculture input costs.

The current market outlook for output prices is uncertain, with significant upward pressure apparent, but this is unlikely to cover the additional input costs for many farmers. 

Within my Department, I have established a Rapid Response Team to actively monitor the impacts on agri-food supply chains and to contribute to the whole of Government response to this crisis.

I also established the National Fodder and Food Security Committee headed by Teagasc and tasked it to prepare an industry response to the emerging crisis in feed, fodder, fertiliser and other inputs, and to develop contingency plans and advice to assist farmers in managing their farm enterprises.

There are sufficient supplies of fertiliser and animal feed at present although price remains a concern. The Government have introduced a temporary reduction in excise duty on fuels, assistance on the price of electricity & gas, and a targeted and temporary grant scheme for hauliers, all of which will be of some assistance to farmers and the agri-food sector.

I have announced a number of measures worth €35 million over the past three months to assist the agriculture sector including:

- €20 million in two packages for the pig sector, 

- €12 million for the tillage sector 

- €3 million for the horticulture sector

These targeted measures will help Irish farmers at a time of escalating costs and build resilience against the expected impact of the situation in Ukraine. 

Earlier this month, I brought a Memo for Information to Government on measures aimed to assist cattle and sheep farmers to produce fodder (silage and/or hay) during 2022 to prevent a Fodder crisis during the coming winter. My Department is continuing to engage with the Department of Public Expenditure and Reform on the detail of the scheme.

Following discussions at EU level, the European Commission announced in March, via the communication “Safeguarding food security and reinforcing the resilience of food systems”, a range of actions to enhance global food security and to support farmers and consumers in the EU in light of rising food prices and input costs.

I continue to engage with all our stakeholders and continue to work across Government, and with our European partners, to respond to this crisis, using all of the tools at our disposal. I am taking a very proactive approach to the crisis in Ukraine. We must protect our farm families and their businesses through this period of significant upheaval.