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Dáil Éireann debate -
Wednesday, 14 Nov 1990

Vol. 402 No. 6

Ceisteanna — Questions. Oral Answers. - Milk Price Reduction.

Eric J. Byrne

Question:

7 Mr. Byrne asked the Minister for Agriculture and Food the reason the recent reduction of 8p per gallon in the price of milk paid to farmers was not passed on to consumers; and if he will make a statement on the matter.

I have no statutory function with regard to the retail price of milk.

That is probably one of the briefest answers that have been given in this House here. Would the Minister not agree that with the reduction in the price of milk, by agreement with the National Dairies Association and the IFA, the missing link is the consumer? The price per gallon for the farming community was reduced by 8p in September this year, which is equal to a reduction of 1p per pint but that reduction has not been passed on to the consumer. Is the Minister denying that he has any role, function or interest in this area?

I do not want the Deputy to misinterpret what I said. I said I have no statutory function in this regard and, therefore, I have no responsibility or authority. The Deputy should not misrepresent that as saying that I have no interest. If this House were to give me the statutory power, maybe I could have authority and responsibility. I have been in contact informally with the liquid milk producers concerned with a view to ensuring that the price reductions on the world market would be handed on to the consumer. I hope the Deputy will understand that all I can use in this case is persuasion and goodwill. I have neither authority not responsibility but that does not suggest that I have no interest.

I would remind the Minister that the present price of a pint of milk to the consumer at 31p is quite expensive. Given the nutritional value of milk surely the Minister wants to see an increase in its consumption, particularly by the poor and those on low income in urban areas. To ensure that there is an increase in the consumption of milk the price should be kept as low as possible. Will the Minister do all in his power to ensure that when the farmer gets a reduction in the price of a gallon of milk, ultimately it will be passed on to the consumer?

I have to intervene to indicate that the Minister has stated categorically that he has not function in the matter.

I appreciate that he has no statutory function but will he——

Deputy Durkan, a very brief question.

Will the Minister inform the House whether he anticipates any further reduction in the price paid to milk producers? Will he consult with his Government colleague with a view to ensuring that those reductions, if any, are passed on?

That is a separate matter but it will obviously depend on the world market trend in the dairy sector. As I said initially, I do not have any statutory function but I have been using my good offices, influence and persuasion in this matter. Maybe the fact that the question has been raised in the House will also help to expedite the matter. I again ask the Deputy to accept that the implication I might not have an interest in the matter is not a fair representation.

Deputy Byrne rose.

I am sorry, we must move on to Question No. 8.

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