I think so. The total sum estimated to be needed for the year 1953-54 amounts to £5,525,310. Of this sum £1,841,000 has been granted by way of Vote on Account, leaving £3,684,310 to be granted now to complete the Vote.
Deputies will observe from the printed Estimates that the total sum required for 1953-54 represents a net decrease of £1,738,920 as compared with the revised Estimate for 1952-53. The decrease includes £1,315,000 for subsidies on dairy produce, which were discontinued last year, and £955,000 in respect of repayable advances to Comhlucht Siúicre Éireann, Teoranta, for importation of superphosphate which was a special provision for 1952-53 and is not recurrent. The only other substantial decrease is one of £100,000 in the provision for the fertiliser credits (wheat) scheme, under sub-head O (5)—Agricultural Produce (Cereals) Acts, etc.—which is now in its final stages.
The sub-heads which show substantial increases as compared with 1952-53 are the land reclamation scheme, for which an additional sum of approximately £397,000 is provided, the ground limestone subsidy provision which is increased by £150,000, and the Grain Storage (Loans) Act, 1951, for which an additional £150,000 is required.
Since the Estimates for 1953-54 were printed, I have instituted some new schemes, and the necessary provision for them is being made in a Supplementary Estimate which has been circulated to Deputies. The estimated expenditure involved in these schemes is being met from savings on the main Estimate arising from the decision to meet cold storage allowances on creamery butter from the Dairy Produce (Price Stabilisation) Fund. Apart, therefore, from a token sum of £10, theSupplementary Estimate does not involve any increase in the total sum required for the year.
I have already circulated to Deputies a White Paper giving details of the work of my Department during the past year. In introducing this Estimate, I would like to touch on a few matters of particular importance. In doing so let me say at the outset that the agricultural picture generally is gratifying and the best thanks of the Government and the community are due to the farmers for the efforts they have made.
The January 1953 Census of Live Stock shows as compared with the 1952 figures an increase in every category except poultry. The highlight of the returns is the rapid increase in pig numbers from 551,400 in January 1952 to 764,700 in January, 1953. Sheep numbers also show a very satisfactory increase and there too we are within sight of the pre-war level. Cattle numbers have risen also though naturally not to such a striking degree.
The fear of a serious decline in cattle numbers which was frequently voiced during the past year has proved unfounded. In fact the cattle industry has contributed increasingly both in volume and value to the increase in exports.
Deputies will be aware that our balance of payments has shown a remarkable improvement in the past year. This has been due on the one hand to a decrease in the value and volume of imports and on the other to an increase in the value and volume of exports. The agricultural industry has contributed largely to this improved position. Agricultural exports make up practically 75 per cent. of total exports. In the year ended March, 1953, the total value of agricultural exports was £73,000,000. The corresponding figure for the year ended 31st March, 1952 was £65,000,000 and for the year ended 31st March, 1951, was £57,000,000.
On the other hand imports of wheat, maize and sugar declined from £19,500,000 in the year ended 31st March, 1952, to £16,000,000 approximately in the year ended 31st March,1953. The value of these imports amounted to £16,706,000 in the year ended 31st March, 1951. Most notable in the development in our export trade has been the substantial increase in exports of carcase meat and tinned meat. Exports of these two items amounted to £11,996,000 in the year ended 31st March, 1953, as against £8,514,000 in the year ended 31st March, 1952, and £2,747,000 in the year ended 31st March, 1951. The past year has also seen the revival of our important trade in pigmeat. Exports of pork carcases to Britain commenced in July, 1952, and of bacon and hams in November, 1952. By the end of March, 1953, some 134,000 cwt. of pork and 62,000 cwt. of bacon and hams had been exported; the total value of these exports was £3,317,000. The increase in pork exports is noteworthy, particularly as up to 1952 we had no exports of pork. A most encouraging feature of this increase in pigmeat production is that it has been based mainly on home-grown feeding stuffs—indeed during the past 12 months imports of maize declined by as much as 30 per cent.
The relatively recent and important trade in chocolate crumb has now reached a new high level; exports for the year ended March, 1953, were £5,308,000 as compared with £4,136,000 for the year ended March, 1952, and £2,718,000 for the year ended 31st March, 1951.
There was also a notable increase in exports of sheep and lambs alive and dead. The total value of exports of fat sheep, store sheep and lambs to Britain and the Six Counties for the year ended March, 1953, was £1,319,000 compared with £462,000 for the year ended March, 1952, and £369,000 for the year ended 31st March, 1951. Exports of mutton and carcase lamb amounted to £729,000 in the year ended 31st March, 1953, as against £297,000 in the year ended 31st March, 1952, and £400,000 in the year ended 31st March, 1951.
The export of wool, which declined somewhat in the beginning of 1952 because of the fall from the very steep level which prices had reached following the outbreak of the Korean war in 1950, showed an upward trend in thepast six months or so. In poultry and eggs we continued to maintain the export figures of the past few years. The marketing of eggs and poultry has encountered new problems since the British Ministry of Food decided to decontrol the price of eggs in Britain from the end of March last. This is one of the changes in our export markets for which we must prepare. In the long run, however, these changes should not operate to our disadvantage if the quality of our eggs is maintained, if we produce more eggs in the second half of the year when prices are high, and if the costs of production are kept low by the better and more widespread use of home-grown feeding stuffs.
The question of feeding stuffs brings me to what has been one of the main features of Government policy during the past year. I refer to the drive for an increase in the area under tillage. Starting in the early part of the winter of last year and continuing until the end of spring, my Department maintained a steady publicity drive for increased tillage. I have no doubt whatever that the substantial expansion of tillage provides the surest basis for a growing and profitable live-stock economy in this country. The principal factor limiting the very necessary increase in our agricultural production is the large area of land under permanent pasture. We have here some 12,000,000 acres of potentially arable land of which only about 1,750,000 acres are under tillage, leaving 10,000,000 acres of grassland of very varying quality. Up to 3,000,000 acres should eventually be tilled annually in order to ensure the optimum use of all our arable land. The drive which we instituted has, as far as we can see, produced good results. I expect a substantial increase in the area under wheat and the overall area under tillage is likely to be greater than it was last year. I should like to think that our farmers now realise the value of feeding barley as a stock food.
It is my policy to maintain and extend the use of education and educational propaganda so as to bring the farmers of this country to realise that a prosperous future for them lies in greater tillage.
The Government, in advocating a substantial increase in tillage, has two main purposes in view. In the first place, we are convinced of the need to maintain a large area under wheat, which is a security crop. To ensure that an adequate area of wheat is sown we have guaranteed what every reasonable person must regard as an attractive price. We must avoid finding ourselves in the position, should international conditions alter, of having to depend to an unnecessary extent on the goodwill of other countries to maintain a supply of bread for our people here. The fact of being put in such a position of dependence could have very serious repercussions should conditions arise in which normal supplies would be seriously threatened. Secondly, and this is also most important, we are quite satisfied that there can be no permanent and profitable expansion of live-stock production in this country and particularly the production of pigs and poultry so long as we continue to depend largely on imports of maize. Neither the supply nor price of maize is within our control or even affected by our purchases, while we have now, through the growing of feeding barley, high-yielding potatoes, fodder beet and silage, the means at our disposal to achieve such an expansion profitably and independently. Imported maize is now too dear as the principal food for pigs and poultry. While its price has over the past year come down somewhat, it has in recent months hardened again and there is no guarantee that we shall ever have abundant and cheap maize in this country again. Only by producing our pigs and poultry on feeding barley and on oats grown on the farm can we hope to compete in the export market.
The maintenance of an area under tillage commensurate with the total amount of arable land offers a magnificent opportunity for good rotational farming and a substantial increase in the ploughing up and reseeding of old permanent pastures. Grass in our conditions is still the cheapest feed and we can get good grass most quickly and profitably by more tillage.
Over the past year there have been frequent references to the allegedstagnation of our agriculture. Our farmers have been accused of producing now little more than their great-grandfathers did 100 years ago. I should like now to put very briefly before you a few points which I think will place this matter in better perspective.
It would be very hazardous to draw any definite conclusions from comparisons of output now and output 100 years ago, if only because of the great uncertainty attaching to the earlier figures. Moreover, any comparison between agricultural output now and output then must have regard to the special circumstances of production in the different periods. A point too often forgotten is that the total population of the Twenty-Six Counties declined by 42 per cent. between 1851 and 1951 and that, in recent times, there has been a continuing decline in the number of male workers engaged in farm work. The number of these workers fell from 579,409 in 1934 to 499,542 in 1948, to 452,704 in 1951, and to 441,000 in 1952. That is to say, there was a decline of almost 24 per cent. in the number of male agricultural workers between 1934 and 1952. The volume of net agricultural output excluding turf was approximately 2 per cent. higher in 1952 than in 1934; this means that output per male worker increased by around 27 per cent. between 1934 and 1952. I hope that the figure for 1953 of agricultural output will indicate a still greater level of output.
In comparing agricultural output here with that of other European countries full regard should be had to the fact that, while the population of this country fell drastically over the last 100 years, that of other European countries increased considerably. This increase in population has in itself created a growing and secure internal market for agricultural producers in these countries. The internal market in many European countries has been further widened by the expansion of industrialisation. Producers in these countries could expand their output in the knowledge of an expanding homemarket for their production. The existence of a large industrial sector in the economy naturally gives greater resources and flexibility to the State for support, where necessary, of the agricultural producer than in the case of countries with a relatively less substantial industrial sector.
In some discussions of agricultural output, I have noticed a tendency to decry the system of small holdings which prevails in this country as an obstacle to expansion of output. This point of view leans heavily on the possibilities of increased output through large-scale mechanisation. It should be remembered that very high levels of agricultural output have in fact been achieved in farming communities where the average holding is much the same as in this country and particularly where agricultural effort is directed largely to the production of live stock and live-stock products. Furthermore, in a predominantly agricultural economy such as ours, the system of small holdings is of very great national and social significance.
The scope for guaranteeing prices to agricultural producers here is, in practice, limited to a few commodities which can be wholly absorbed on the home market. Over 30 per cent. of our total agricultural output is disposed of in outside markets. If the amount of agricultural output consumed by farmers themselves is deducted from the total, the proportion of the remainder disposed of on outside markets is approximately 46 per cent. Because of the limitations of the home market, any increase in agricultural output over present levels, apart from increased production of wheat, sugar beet and feeding stuffs, must be sold abroad. The level of output is therefore directly influenced by the scope and nature of the export outlets available. Where these outlets have been reasonably satisfactory, the agricultural community has taken advantage of them, and it may be remarked that in recent years exports of beef and cattle, in terms of live animals, have risen as follows:—1948, 405,000; 1949, 523,000; 1950, 591,000; 1951, 642,000; 1952, 739,000. On the other hand, therelatively unfavourable export prices for eggs in 1951 caused a marked recession in our poultry and egg production.
Our principal need still is for greater economic activity and a higher level of international trade on the basis of balancing our international accounts. Realisation of this objective will require a further and rapid expansion in agricultural production and exports. The farming community of this country has not failed us in the past and I am confident that our farmers will respond to the requirements of the present circumstances with the same goodwill that they displayed in the emergency years.
Hopeful signs in this direction are indeed increasing. During the past spring I was very glad to see a considerable increase in the usage of fertilisers. Fertiliser prices went up considerably in 1952 mainly because of the effects of the Korean war, and purchases fell away. Indeed we know that many other European countries had the same experience. Supplies this year were good, prices were lower and possibly, too, because of a fuller realisation by farmers of the benefits to be derived from fertilisers much greater quantities have been used than in the spring of 1952. By comparison with other countries in Western Europe, however, we are still relatively very low in the scale of fertiliser utilisation, and there is accordingly great scope for further improvement. One of the surest and most direct ways of securing increased agricultural production is to use fertilisérs adequately.
The increase in the use of ground limestone continues. In the year ended March, 1953, almost 500,000 tons were delivered as compared with 280,000 tons in the previous year. There are now 27 grinding plants working, and one further plant is about to commence work. Six more are planned. The limestone transport subsidy scheme has up to now been eminently successful but, as the grinding plants are now fairly evenly spread throughout the country, I am at present giving consideration to whether more efficientmeans of utilising the subsidy provision can be devised. There is no doubt that deliveries of ground limestone could be considerably improved if farmers would order their lime and accept delivery of it in the summer months. There seems to be a fairly general opinion that ground limestone should be applied in the spring; it can equally well be spread during the summer and autumn months. At the moment the bulk of the demand for ground limestone arises in the late winter and spring. This results in a back-log of orders and consequent delays. There is no reason why delivery could not be efficiently spread out over the year to the greater satisfaction of everybody. Much the same tardiness in ordering takes place with fertilisers and here, too, there is an unnecessary and avoidable strain on the delivery system during the spring months. These extreme seasonal variations in demand for ground limestone and fertilisers only result in greater cost or poorer service to the farmer.
The increase in the use of lime and fertilisers is clear evidence of the good results of the educational and advisory work of my Department and of the county committees of agriculture. The number of soil samples sent for analysis to Johnstown Castle Agricultural College during the spring of this year showed a very big increase. I am considering proposals to relieve the pressure on the laboratory at Johnstown Castle and to speed up the work of testing by the provision of additional centres. Considerable interest was evoked during the spring in the results of trials carried out at Johnstown Castle by my Department with ground limestone. These results were given wide publicity in the Press. They showed how over a period of six years the total increase per acre in the production of crops at present-day prices was £100 greater as a result of the application of ground limestone at a cost of about £2 or £3 per acre.
In the past six months I have introduced a demonstration scheme to help county committees of agriculture to provide 20 tillage demonstration plots and 20 grassland plots in each countyinstructor's area. This scheme is designed to indicate to farmers locally and practically the advantages of adequate liming and manuring.
Land reclamation under the farm improvements scheme started about 1940 and continued during the war. In 1949, the then existing scheme was extended and divided into two sections, A and B.
Under Section A, a farmer who is prepared to carry out reclamation work himself is assisted by way of free grant. The grant amounts to two-thirds of the approved estimated cost of the work, including labour and materials, subject to a maximum grant. The maximum grant has now been raised from £20 to £30 per statute acre, which includes a sum not exceeding £5 per acre to cover the cost of lime and fertilisers where necessary. The benefits of the increased maximum grant will apply not alone to future applications but also to cases in progress.
In future, arrangements for the purchase and application of lime and fertilisers to the land reclaimed under Section A will be made by the applicants concerned. When they satisfy the Department's local officer that the requisite lime and fertilisers have been applied, a payment to them of the amount withheld from the grant to cover the provision of lime and fertilisers will be made.
The number of applications received is approximately 102,000 representing 878,000 acres. Under Section A the number of grants approved is 72,000 representing 336,000 acres, with a grant expenditure of £2,450,000 including the cost of lime and phosphates.
Under Section B a farmer who is unable or does not wish to carry out the reclamation work himself, can request the Department to carry out the work on his behalf. In such cases the farmer is required to contribute two fifths of the estimated cost of the work, subject to a maximum contribution of £12 per statute acre. If he does not desire to pay his contribution in cash, he can arrange to have his holding charged with the appropriate amount which will be repayable by wayof annuity calculated on the basis of 3½ per cent. interest and ½ per cent. sinking fund. The yearly annuity for each £100 worth of work done is £4. The provision of the facility whereby farmers could arrange to have their holdings charged with an annuity necessitated the passing of the Land Reclamation Act, 1949, which empowered the Land Commission to be the collecting agency with the same powers of collection as that body has in respect of its own land purchase annuities.
The number of farmers who have asked the Department to carry out the work for them is 15,280. Plans prepared for 4,120 cases represent an acreage of 70,350. Approximately 38,000 acres have been reclaimed on 2,060 holdings.
Work is carried out on the holdings of farmers by the Department using its own machinery or employing contractors. The Department has acquired machinery to the value of approximately £360,000. There are 21 full units and 4 subsidiary units of drainage and reclamation machinery operating throughout the country. In addition, there are also operating throughout the country miscellaneous items of equipment, such as excavators, crawler tractors, etc. Arrangements for the disposal of the machinery operated by the Department, the decision in regard to which I announced at the end of 1952, are now in train. It will be a gradual process so as to ensure the minimum dislocation of the work. Seventy-one contractors have been assisted by way of grant or grant and loan under the land reclamation machinery scheme in acquiring machinery for land reclamation work. A few independent contractors are also carrying out land reclamation work.
Under Part IV of the land reclamation scheme, i.e., the fertilisers scheme, facilities are provided whereby farmers may have a soil analysis report on their lands on payment of a soil testing fee of 1/- per acre and may obtain credit for the purchase of fertilisers repayable as an additional charge added to their land purchase annuities. Applicants are required to pay 10 per cent. of the cost of thefertilisers in cash and may pay the balance by way of annuity. This scheme also is operated under the Land Reclamation Act, 1949. Applications totalling 2,792, representing 143,600 acres, had been received to the end of April 1953, under this scheme. Soil tests had been made on 2,240 holdings, representing 113,500 acres, and delivery and spreading of fertilisers has been effected or arranged for approximately 900 holdings, representing 44,000 acres. A large number of farmers, having had the soil tests taken, do not avail themselves further of the facilities provided under the scheme.
Drainage pipes, both home manufactured and imported, are used in considerable quantities, and there is a ready market for all good quality home manufactured pipes. The home production of pipes is, however, still grossly inadequate to meet the requirements of the land reclamation scheme and imports of clay pipes from Holland and the six north-eastern counties had to be continued during the year. To the end of March, 1953, approximately 20,000,000 pipes had been imported. Following the publication in March, 1951, of the Standard Specification (Concrete Land Drainage Pipes) Order, 1951, a number of concerns are now producing concrete pipes, which are being used in suitable ground conditions.
As regards the special Connemara scheme up to the end of April, 1953, 818 applicants had been approved for grants amounting to approximately £22,000 for the execution of work on 1,097 acres. The maximum grant has now been raised to £30 an acre with the existing maximum allowance in addition, of £8 per acre for lime, phosphates and potash. Six hundred and two applicants had requested the Department to undertake the reclamation work for them, and work had been completed or was in course of completion on the holdings of 108 of these applicants, the area involved being 620 acres approximately.
As a result of experiments carried out over a few years by Comhlucht Siúicre Éireann, the company was satisfied that high bogland properlydrained, manured and cultivated, is capable of producing good crops of grass, potatoes and sugar beet. It was accordingly decided to afford Comhlucht Siúicre Éireann financial support for a scheme of reclamation by way of grant in respect of such acreage as might be successfully reclaimed.
In addition, it was decided to provide a grant under the land reclamation machinery scheme towards the purchase by Comhlucht Siúicre Éireann of machinery to the value of £20,000, for use in bog reclamation work. A grant of £6,666 13s. 4d. was paid to the company in respect of the purchase of such machinery.
Under these arrangements, Comhlucht Siúicre Éireann has been engaged in reclamation work at Reen Bog, Kenmare, and at Gowla Bog, near Ballyforan, County Galway. To date, an area of approximately 17 acres reclaimed at Reen Bog and 165 acres reclaimed at Gowla Bog have qualified for payment of grants from land reclamation scheme funds.
The new land reclamation scheme came into operation in June, 1949. Under Section A, up to the end of June, 1951, there were, roughly, 36,000 grants approved in respect of 159,000 acres. The amount involved in grants was approximately £1,144,000. The amount which was paid for work completed was approximately £177,000.
Now the position is that grants have been approved in approximately 72,000 cases for 336,000 acres. The amount approved for grants is £2,450,000. A total of £895,000 has been paid in grants. Therefore, a sum of £718,000 has been paid in grants since June, 1951, as against a sum of £177,000 paid before that date.
Under Section B — up to the end of June, 1951, there were 2,030 plans ready, comprising 28,500 acres. The cases completed or in course of completion were 474, involving an area of 9,200 acres. At present, 4,120 plans, involving 70,300 acres, are ready. The number of cases now completed or in course of completion is 2,560, involving approximately 49,000 acres. Therefore, since June, 1951, 40,000 acres have been dealt with, as against 9,200 acres before that date.
In 1949-50 expenditure totalled £228,147; in 1950-51, £568,666; in 1951-52, £1,619,460; in 1952-53, £2,517,602.
These figures serve in themselves to demonstrate the progress made in land reclamation since the new scheme started.
It is not alone in soil testing that a growing interest in the application of scientific methods to agriculture is evident. In recent years there have been considerable increases in the number of instructors in agriculture employed by the county committees of agriculture. In March last for instance there were 115 instructors by comparison with 105 in March, 1952, and 88 in March, 1951. This and other signs of greater demand for scientific instruction by farmers are very welcome.
I should like to refer here, too, to the use farmers have been making in recent years of veterinary aids for the combating of diseases in cattle and sheep. A few years ago a scheme for the vaccination of calves against fluke and against worms was introduced.