asked the Minister for Agriculture if, with reference to his statement on the 5th instant at a public meeting in Muinebheag, he will confirm that the Government proposes to make available to farmers superphosphate at world prices, and if he will state the nature of these proposals, and when it is proposed to give effect to them; further, if he will make a statement on the matter of fertiliser supplies with reference to current price trends and conditions of supply.
Ceisteanna—Questions. Oral Answers. - Prices of Fertilisers.
Major de Valera
Pursuant to the announcement by the Taoiseach in his speech on October 5th that the Government had decided to arrange for the supply of superphosphate to farmers in Ireland at world prices, the customs duty on imported superphosphate was recently suspended, and, accordingly, the trade in this commodity is now on an entirely open market basis at world prices. As also announced by the Taoiseach, the Government is ensuring that the entire output of the Irish fertiliser industry will be taken up at prices which will enable them to continue operating at their full capacity. Plentiful supplies of fertilisers generally are at present available to meet all requirements. Nitrogenous and potassic fertilisers, to which world price conditions also apply, are now slightly cheaper than last year. It appears, however, that world conditions may restrict supplies of phosphates and that the prices for superphosphate may show some increase, as a result mainly of higher shipping rates in obtaining rock phosphate from North Africa.
In view of the possibility of diminishing supplies, I urge the farmers to buy and use all the phosphates they can get now on their land, in accordance with the expert technical guidance readily available to them, and so increase agricultural production profitably for themselves and the nation.
Major de Valera
I take it that the Minister means by "world prices" simply the price that will be determined here for fertilisers, determined by the price ruling at the point where they are bought initially, plus all the incidental factors that go towards increasing the price when the commodity reaches the point of delivery to the farmer? Is it correct that the price payable will be the world price for the commodity at the point of origin, together with all the additions representing freight, delivery and other costs, including retailing costs? Is that the position?
The price ruling for "super" will be presumably the price c.i.f. an Irish port, consequent on purchase by the most discerning agent, whether it be a co-operative society, a merchant or the farmer himself, but, presumably, a co-operative society or a merchant.
Major de Valera
Then I may take it that the only intervention of the Government in this matter is the revocation of the duty? Is that the net point? Is that the whole of it?
Is that the Deputy's question? The answer is "not strictly speaking". The result of the Government's intervention is a dual result. One result is to render the imports of superphosphate free of all taxes and restrictions and the other is to guarantee the consumption of the entire productive capacity of the domestic superphosphate industry.
I heard the Tánaiste say he had not the information as to what the price c.i.f. at an Irish port was for 40 per cent. superphosphate and that as he did not know the price he could not tell me what the price would be owing to the suspension of the customs duty on superphosphate. Can the Minister give some information on this point?
It cost a right lot of money when you were in office.
At this stage I can reassure the Deputy at least it will not make it dearer.
(Interruptions.)
There are about 300,000 farmers interested in the price of superphosphate, who want to purchase it and put it on their land——
It is slightly irregular to ask one Minister to answer a question addressed to another Minister.
The question I am putting is one that arose out of the Minister's reply.
But that is not the question on the Order Paper.
It is exactly arising out of the answer the Minister gave to this parliamentary question.
He thinks Deputy Major de Valera has not made enough mischief and he would like to make a little more.
Will the Minister tell the farmers how much they may expect superphosphate to be reduced by the operation of this suspension of duty so that they may know whether to buy now or put it off until later?
I can assure the Deputy if he had listened carefully to my answer to Deputy Vivion de Valera he would have heard me say that I availed of this opportunity strongly to advise farmers to buy now as the state of the world is such that neither I nor anybody else can guarantee that supplies will be definitely maintained. They are now available, and with world conditions as they are, freight rates may react upon the prices. Availability may react on supplies and I would therefore urge upon the Deputy and his colleagues to join with me in urging on farmers everywhere to buy in now as much superphosphate as they can get their hands on, in the certain knowledge that whatever is put out now will be prudently and wisely put out, and that in future they have the guarantee that as supplies become available they will be available to Irish farmers free of tax or restriction of any kind no matter from whence they come.
Question No. 28.
May I ask the Minister——
Deputies
Chair!
What will they have to pay for the superphosphate?
Does Fianna Fáil want to tax the farmers?
You have them taxed now.
Order! Question No. 28, Deputy Bartley.