Deputy O Briain, from his coign of vantage, salutes the work that the Minister did, but I doubt if any dairy farmer feels that he is now more prosperous than he was in 1931. We have managed to spend a terrible lot of money in the meantime planning for the dairying industry. I heard the Taoiseach say in this House, after ten years of Fianna Fáil planning, that he had come to the conclusion that the creamery industry had better wind up as an exporting industry. He did not believe that it had any future, and Deputy O Briain says that is true.
Well, there is another planning job. We used to have a very large butter export in this country and we started to plan. The Government, after ten years' planning, have announced, in the immortal words of Deputy O Briain, who is their expert in dairying affairs—he is one of the representatives of a dairying constituency— that as an exporting industry dairying is done for. Well, they finished the pigs and they finished butter. Does Deputy Hughes propose to let them loose on anything else, because, if he does, the only prospect before us is to live by taking in one another's washing. I take an entirely different view. I believe, as I believe most rational economists in this country believe, that unless the agricultural industry in all its branches can export, and export profitably, not only must the agricultural community perish, but every other industry here must come crashing down. It is true, as I heard the Minister for Industry and Commerce say recently, that for a few years after the war we could afford to import raw materials and essential commodities such as oil, coal and some others if we had no exports at all. That is because we have a certain amount of money saved in the form of external assets. But when that money is spent alternative methods of payment will have to be discovered, and I know of no alternative method of payment except agricultural exports. I challenge any Deputy to suggest any alternative form of payment for the things that we must import as the raw materials of industry and as essential requirements not available in this country other than agricultural exports.
If agricultural exports are to be the only form in which we can finance these purchases, how are we to secure agricultural exports? The only way that I know of is to make it profitable for the man who lives upon the land to produce agricultural goods for export. Profit for the farmer is the difference between his costs of production and the price he gets for his goods. If he is exporting his goods the price he gets for them is the price in the foreign market. We cannot control the price in the foreign market and, therefore, we have to take the best price that we can get. The farmer's profit is the difference between that price that we get in the foreign market and his costs of production here at home. Our object is to widen the gap between these two. That will increase the farmer's profit. If we cannot raise the price in the foreign market then that is a method of increasing his profit that is not open to us, but is there not another method open to us of increasing his profit? If we cannot raise his prices, can we not bring down his costs of production, and if we do, do we not widen the gap between his costs of production and the price that he gets for his produce, thereby ensuring to him a higher margin of profit than he has hitherto enjoyed?
If that be the only method of securing the greatest margin of profit to our farmers, how are we going to put it into operation? I know of only one way, and that is to reduce the cost of the farmer's raw materials and implements. If a manufacturer in this country wants to set up an industry in a back room in Dublin he can get from the Department of Supplies and from the Department of Industry and Commerce licences to import duty-free every bit of machinery and almost all the raw materials that he requires for the production of his industrial products.
Remember, the industrialist will sell his product inside the tariff protection which hedges this country round, but the farmer who wants to produce stuff in his factory—and every farm is a factory—in the knowledge that he will not have the opportunity of selling his product inside the tariff restrictions which hedge this country round—that he must go out into the markets of the world and take the best price he can get—if he asks for the raw materials of his industry or the implements or the machinery for his industry free of tax and free of restriction, is told he will not get them; that if he wants to buy a bag of Indian meal, he must pay a levy to the Irish Indian meal millers; that if he wants to buy a bucket, he will have to pay a levy to the Irish manufacturers of buckets; that if he wants to buy an agricultural implement, a spade, or shovel or rake, he must pay a levy to the Irish manufacturer of those implements, and if he wants to buy an article of machinery such as a plough or a mowing machine, he will not be allowed to buy it unless he pays a levy to the Irish manufacturers of those articles.
I say here deliberately that, in respect of every single commodity used by the Irish farmer in the production of the finished produce of the agricultural industry, every commodity on which a tariff is levied, the cost of production has been increased to the farmer by at least 75 per cent. of the total tariff imposed. Bear in mind that in every case it is not always an increase that can be measured in price. Half the increase may be in price and half the increase in reduction of quality, but the nett result is that the farmer who has to buy these things has to pay the levy and that means that his costs of production are that much increased. Conceive a country like this where a farmer is prohibited from purchasing a bag of artificial manure except from the Irish manure ring.
Is it or is it not true that from the date upon which the tariff was put upon superphosphate of lime coming into this country the price of the super went up steadily, that it never looked back? Is it or is it not true that from the day a tariff was put upon spades, shovels, buckets and rakes, the price of all these articles—bearing in mind not only the price marked upon them, but the quality in them—went steadily up? Is it not true, then, that since tariffs and taxes and restrictions were imposed upon the raw materials of the agricultural industry, the costs of that industry have steadily risen, and all during that time the Government have been quite unable to do anything effectively to increase the price of any of the commodities the farmers have had to sell in the export markets of the world?
The planning by the Government of the agricultural industry has wrought nothing but havoc upon it. There is here an opportunity to do our own business on rational lines. All that is necessary to enable the agricultural industry to prosper is (1) to secure free entry into the British market, and (2) to take the taxes off the raw materials of the industry. Given these two things, the agricultural industry can earn a profit and, given a chance to earn a profit, it will provide a fund out of which all the other essentials which this community wishes to buy abroad can be financed. Without that opportunity none of your planning, none of your schemes, none of your subsidies or loans will prevent the farmers from sinking lower and lower into destitution.
I know that at the present moment, as a result of war conditions, farmers here are making more money than before the war. Beet is at 80/- a ton. Do Deputies remember the basis upon which the beet industry was launched by Fianna Fáil? Every one was to sell his beet at 30/- a ton. We have wheat at 50/- a barrel. Do Deputies remember the halcyon days when everyone was expected to produce wheat at a much lower figure than that and when I warned them that once the thing was established the price of wheat would steadily rise? I have no doubt that the wheat vested interests now confidently hope that at the end of the war the people can be held up to ransom. Are people such fools as to imagine that that kind of fraud will secure enduring prosperity for the agricultural industry?
I think it is beginning to dawn on more minds than mine that the growing of wheat in this country in times of peace, when the markets of the world are open to us, is suicidal insanity, and that the folly of having grown it for eight or nine years before the war has created a situation most injurious from the point of view of soil fertility. Just as it is vitally necessary to grow wheat on the land at the present time, it was mad and insane to dissipate the fertility of our soil by growing it for a subsidised price in the years before the war. I hope and pray the people have learned that lesson and have come to realise the madness it was, so that in the post-war period we will not have the same folly re-enacted to the great peril of the industry as a whole.
There is one solution and one solution only for the post-war agricultural problem, and that is to secure for the farmers a profit in the prosecution of their trade. If there is any Deputy who can tell me any other way of getting for this country an agricultural exportable surplus and a profit for the farmer who produces it than the way I have outlined, I shall be glad to hear it.
I am frequently amused in this House to hear the eloquent speeches delivered by Deputies on various sides, crying out for the cultivation of wheat. They make many speeches pointing out the advantages of growing wheat at home, but the following week they are on their feet asking Parliamentary questions of the Minister for Agriculture to know whether he will make a regulation exempting their constituencies from the obligations to grow the wheat. In peace time, when the seven oceans of the world are open to us, to grow wheat on any land in Ireland is extravagant folly. In war time, when alternative sources of supply are not available to us, every farmer with arable land should be constrained to grow wheat as a contribution to the common pool. I advocated that two or three years ago. It was only this year the Minister saw the force of my representations and put my suggestion into operation.
That brings me to the next topic. It is, of course, true that so long as any alternative crop was available to farmers, no sensible farmer would grow wheat. Therefore, I think it necessary to make it compulsory to grow it. It is the farmer's duty to grow it and his duty to the commonwealth places a greater obligation on him than his duty to himself. Mark it well, despite all the ballyhoo we have heard about the desirability of wheat as a crop, the consensus of opinion among the farmers of Ireland was that they would not grow it until they were made to grow it at 50/- a barrel, and we were told it was a gold mine for any prudent farmer at 30/- a barrel three or four years ago. I knew, when that rubbish was being talked from Fianna Fáil Benches, that it was rubbish, and I told them that they would not get the wheat until they made them grow it. They are, very sensibly, making them grow it now.
I told them, at the same time, that they would not get the necessary output of oats and oatmeal which we ought to be getting if they did not take their fantastic restrictions off the price of oats. They have taken the restrictions off the price of oats as from last year, with the result that we have now plenty of oats and a surplus of oatmeal. Is that not true? Is it not true that we have at the moment a surplus of oatmeal, and is it not true that last year, the year before, and the year before that there was no oatmeal? Is it not true that I told you last year and the year before, that if you took the control off the price of oats you would get oats and oatmeal? Is it not true that you took my advice last year and that you have now oats and oatmeal? Is it not true that I warned that you dare not do that if you did not make the growing of wheat compulsory, because, if you did not make wheat growing compulsory, everyone would grow oats and no wheat would be grown? Is it not true that last year, for the first year, you made the growing of wheat compulsory?
I want to remind you of something else I warned you about last year. The Government has refused to take the control off the price of barley. Heretofore, the alibi was that if the control was taken off, no one would grow wheat—they would all grow barley. Now the farmers are compelled to grow wheat and that objection no longer exists. Why are the farmers constrained to make a present of £1,000,000 per annum to the brewers of this country? Why are the brewers permitted to purchase malting barley at 35/- per barrel from the Irish farmer when they are paying twice that amount in Great Britain for the same, or worse, barley? It is not the brewers who are withholding the money; it is not the brewers who are fixing the price; and it is not the brewers who are refusing to pay more. The position is that the brewers are willing and anxious to pay more for the barley, that they can afford to pay more for the barley, and that they have no reluctance to pay more for it; but the Irish Government will not let them pay the extra price for the barley.
We have Clann na Talmhan in Dáil Eireann and did I hear a single word from them about the price of barley? Was there one amongst them to ask why the farmers of this country should subsidise the brewing industry to the tune of £1,000,000 sterling per annum? I have directed your attention to this for three years in succession. Arthur Guinness shares stood at 84/- when the Minister fixed the price of barley. In a month those shares went to 120/-. Why should they not? Any man who could read the Stock Exchange foresaw that if Messrs. Guinness were to get a present of £1,000,000 from the farmers of this country, their shares were worth buying—and they are. Do not interpret my remarks as an attack on Messrs. Guinness. On the contrary, I regard that great industry as one of the most valuable in the country and one which has dealt fairly, so far as I know, with workers and producers alike when permitted to do so.
It is not they who fixed the price of barley. The Government fixed the price, and I want to ask this question again—perhaps Deputy O Briain, the expert on dairying, can answer this question, too—why does the Government require the barley producers of Ireland to subsidise the brewing industry to the tune of £1,000,000 per annum? I have never yet succeeded in getting a satisfactory answer to that query. I want to warn the House that so long as that scandal continues, I shall raise it in Dáil Éireann on every available occasion, but I have yet to hear from any part of the House an adequate explanation of it. I demand for the farmers who are producing barley the fair market price which that barley is worth.
There is one detail in regard to the compulsory growing of wheat which I think ought to be examined. I think the Minister might have been better advised, when making the Order requiring everybody to put a certain percentage of his arable land under wheat, to have exempted from the compulsory Order farms of less than 15 acres. If a farmer of so small a holding as that wishes to grow wheat, a small patch of wheat, for consumption in his own home, well and good—there is nothing to prevent him doing so; he is quite free—but is it wise to impose on him an obligation to grow a rood or half a rood of wheat? If he is not the kind of person to use that wheat in his own home, if he has not near his home a mill where it can be readily converted into good wholemeal flour, my belief is that the wheat grown on his holding will be lost, and, what is even more important, the seed used on the holding will be lost.
I myself have seen a great deal of wheat seed sown in this year of exceptional scarcity which I am quite satisfied will make no satisfactory contribution to the total pool. In many places, I think it will fail, and, in those places in which it does not fail, I do not believe the wheat will be used for human food at all, but will be fed to animals in one form or another, not through any ill will on the part of those who grow it, but because they have no facilities for getting it turned into edible wholemeal for consumption by themselves. I suggest to the Minister that next year the Order should be qualified to exclude from its compulsory clauses very small holdings, leaving to each smallholder, of course, perfect freedom to grow some wheat for his own consumption, or for sale, if that course commends itself to him.
I notice recently that reference has been made in the advertisements calling for more wheat to the necessity for dressing wheat with suitable organo-mercurial dressing. I think it was a pity that the advertisements for the "Grow more wheat" campaign did not incorporate that at an earlier stage, but I am bound to say that the moment I directed the attention of the Department to that deficiency, it was promptly put to rights, and an adequate reference to the necessity for such dressing now appears in all its advertisements. Might I now make a further suggestion to the Department? In areas where wheat and corn crops of the kind have been grown for a protracted time, organo-mercurial dressings clearly connote to any farmer who reads of them what they mean, but in areas where that practice has not been long lived, many people do not really understand what an organo-mercurial dressing is.
Most of these dressings are now sold under proprietary names. Would it not be worth while requiring the manufacturers of these organo-mercurial dressings to submit them to the Department for test? If approved, they could be named, such as Ceresan, Abavit and Golden Grain and other respectable products of that character, in the wheat advertisements as suitable dressings for seed wheat. I do not think there will be any difference amongst us as to the urgent necessity for this precaution, because many of us have seen the disaster that has supervened on certain men who have tilled their soil, raised their crop, saved it and then, at threshing time, discovered they had lost the whole thing as a result of an attack of smut, which has reduced the contents of the ears to an evil-smelling brown powder instead of healthy grain.
I hear a lot of talk about the dairying industry. There were few men in the public life of this country for whose opinion I had a profounder respect than the late Mr. Patrick Hogan, our first Minister for Agriculture. I confess that I am beginning to wonder whether the dairying industry as an industry can ever be successfully established on the basis of the dual-purpose cow. I think that in the areas of this country where mixed farming is the rule the Shorthorn cow is the ideal cow. But there is no use pretending that we can hope to compete in the markets of the world with butter in the future on the basis of mixed farming. If we are to compete in the markets of the world with butter in the future, we will have to go in for dairy farming in the areas suitable for that business, and to go in for it with all that we have got, using the most efficient methods and the most efficient stock for the production of butter. My experience all over the world is that what we call the Friesian cow appears to be the best type of beast for an exclusively dairy district. It is true that in the early stages of the evolution of that breed you did get a tendency to a very low butter fat content in its milk. But I am informed now by those who know that that difficulty has been largely overcome, that you now get on an average from any well-bred beast something between 3 and 4 per cent. butter fat content.
I suggest that, if we are to maintain the dairying industry in this country, we have got deliberately to review the convictions on which we have been operating during the last 20 years, and the review I suggest to this House that ought at least to be considered—because I do not want to profess myself as yet convinced—is that the country should be zoned—I am not advocating compulsion—and that in the dairy zone the Department of Agriculture's assistance and propaganda and development schemes should be founded on the Friesian cow. Let another area of the country be zoned for beef production and in that area let the white-faced Hereford beast be the foundation of our planning. Then in another very large area of the country—the congested areas—let us realise that the mixed farming of our fathers is probably the most efficient method of farming small holdings. In those areas let us concentrate upon raising the Shorthorn breed to the highest possible standard that skill, research and breeding can achieve.
I am slowly being driven to that conclusion by discussions of this topic with many men who have been struggling valiantly against adversity in the dairying industry and by the repeated applications made to this House for the subsidisation of the price of milk. If the dairying industry is to reach any reasonable size, it is not within the reach of our Exchequer effectively to subsidise it. I believe that the reason the dairying industry stands so often in need of assistance is because we have got on our farms far too high a percentage of cattle which are not economic—the 300 and the 350-gallon cow. A lot of people fall into the error of imagining that, if you have a 1,000-gallon cow, 6d. per gallon for milk will mean the same to you as 1/- per gallon for the 500-gallon cow. That is a very serious illusion. I do not think it is an exaggeration to say, however, that 9d. per gallon is as good a price for a man whose cows are yielding 600 gallons as a 1/- would be to a man whose cows are only yielding 300 gallons; 9d. would be a better price. We have to remember that, if you have a deep-milking cow, she requires more feeding than the cow which is giving 300 or 350 gallons. But milk is more valuable than the fodder we feed to cows. If we could get and maintain a 600- to 800-gallon cow out of the Shorthorn breed, all my natural inclination is towards that breed. It is the breed that I have always bred myself. But, talking the thing over with men who I believe have made the best possible effort, through the medium of milk testing and careful selection, to eliminate from their herds low milk-yielding cows and bring into their herds cows with a reasonable milk output, I am beginning to think that we cannot overcome the recidivist tendency of the Shorthorn breed to beef.
I remember an old friend of mine who was a Deputy here, when I rebuked him for so eagerly championing the interests of the dairy farmer without placing on the dairy farmer the obligation of increasing the milk output of their average cow, saying to me: "What are you talking about? I have been trying for 30 years to have on my farm nothing but cows that will give over 500 gallons and I cannot do it. I rear the heifers and, if they do not come up to my expectations as milk yielders, I get rid of them and I try to buy heifers from herds where I am assured the average is over 600 gallons and, when they come to my farm, half of them turn out to be 200- or 300-gallon cows. I have lost money trying to get that high average which I know I ought to have before I can claim any consideration from the State. It is not for want of trying. But I have never succeeded in achieving the average standard of milk output per cow that I know I ought to have with the Shorthorn breed." Therefore I make a new suggestion which I think ought to be considered: the Fresian for the dairy area; the Hereford white-face for the beef area; and the Shorthorn for the mixed farming area of small holdings. If the Department, after due reflection—and it would require protracted reflection to change our whole policy in regard to that matter—put their shoulders into a scheme along the lines I outline, then we might have reasonable hope—pace Deputy O'Brien and the Taoiseach— that the dairying industry was not going to perish after 12 years of Fianna Fáil planning and might yet become a valuable branch of our exporting agricultural industry.