I observe from the Minister's statement that he made a particular effort at the outset to carry on the battle going on between himself and the various farmers' organisations. He tried to point out to them that they had no right to demonstrate and protest, organise or complain when they found that various aspects of Government policy were affecting their economy and their standard of living. It is a wrong attitude for a Minister for Agriculture to adopt towards the section of the community for which he is responsible as Minister.
These people have grievances, and instead of abusing them and taking them to task for complaining about various aspects of policy which are affecting them one way or another, the Minister should meet them in a proper atmosphere and discuss on a fair basis the matters about which they are complaining. The huge gatherings of farmers which have taken place at various centres in the form of peaceful protests are a clear indication that there is considerable dissatisfaction amongst the farming community and that they feel they are not getting a fair share of the national wealth, that the policy operated by the Minister is neither favourable to them nor in their interests. For that reason, I would ask the Minister to heed what these organisations have to say in regard to matters affecting their interests.
These are well-organised bodies. In fact, it is a welcome development to see amongst the farming community a great measure of co-operation and co-ordination. In years gone by, it was not possible to get a nationwide organisation representing the various sections of the farming community. The result was that there was not the same awareness of the value of scientific knowledge and organised marketing methods amongst this community as there is at present. These are organisations which the farmers have voluntarily formed and joined. They are non-political organisations, although they have been accused of being political just because they complained about one aspect or another of the agricultural policy of the Government. These organisations are a wonderful assistance to any Government because they represent the various interests of their members who are able to make known at first hand the problems affecting their particular aspect of the economy.
For that reason, I would advocate greater contact and a much greater measure of goodwill between the Minister for Agriculture and these organisations. They have something to offer and if the Minister is prepared to meet them on a proper basis and discuss their various problems with them, they are reasonable people and if the Minister is able to convince them that they are making an unreasonable demand, I do not believe they would persist in it. However, the signs are there and when these people make statements about various aspects of policy, they are able to put up facts and figures to the Minister and his Department, and on that basis I feel discussions should take place. All other sections of the community have organised representation of one kind or another and nobody disputes the rights of the representative body of these sections to speak for them, to negotiate, to protest, and even to strike, if necessary. We have that situation now in the farming community and we must face it. The farmers are behind these organisations. They are ready to co-operate with their leaders in those groups.
What I wanted to deal with was the situation existing among the dairy farmers. The creamery milk suppliers have one problem and the suppliers of liquid milk have another and they are quite different. It seems to me that the suppliers of loose milk are getting the worst end of the stick. The creamery milk suppliers have an organised body and although they have been confronted with difficulties, such as the milk levy, in relation to the small increase for milk, they have a different type of economy to operate. It is significant, particularly in Dublin city and county, that almost 500 dairy cows have been sold from herds in recent weeks because the herd owners found it uneconomic to continue with the production of loose milk.
This situation has been developing and it is a strange fact that in spite of this, we see other people going into the dairying business for a couple of years and then leaving it. At the outset they seem to think that there is a living to be made from milk production and the keeping of dairy herds, but our experience in County Dublin has been that many of them are getting out as quickly as possible because the price of something around threepence a pint to the farmer will not pay. The consumers pay more than double that amount for their milk. It is clear from the figures that the milk producers are not getting a fair share of the money paid by the consumers of loose milk.
The Minister for Agriculture seems to be doing nothing about an increase in the price to those engaged in the production of milk for consumption mainly in Dublin city and county, apart from other towns and cities. It is important that the dairy industry should be protected as far as possible and be in a position to prosper, because it is from the dairy herds that we get our foundation stock which enables us to derive a good income from the export of store cattle and fat cattle, and, of course, our dairy herd replacements. But I feel it is unfair for the Minister to watch the dairy farmers of Leinster and particularly County Dublin going out of business. There are various reasons why they have to go out of business but basically it is for economic reasons.
I feel the Minister will have to take steps to meet the Leinster Milk Producers' Association with a view to coming to an arrangement which will ensure a higher price for milk to the producers. The argument may be put up that the consumer cannot pay any more for milk but I think it will be agreed that 3d per pint to the basic producers of milk is too low in relation to existing costs.
Everybody knows that at the moment it costs the best part of £100 to get a good milch cow and even then one is taking a chance. That cow may cease for one reason or another to continue to give an average supply of milk and the producer then finds it necessary to sell that cow for beef and to replace it with another expensive cow. Then there is the question of mortality. Added on to all that are the wages of those in charge of the cows and the cost of the ordinary machinery and gear associated with the industry. When all these costs are added up, particularly the losses in relation to unsatisfactory cows, mortality and so on, the producers are finding that it is not a paying proposition. That is one good reason why herds, amounting almost to 500 cows, have been sold over the past few weeks.
I can tell the Minister that it is true that other extensive owners of dairy herds in County Dublin contemplate selling out at an early date. That means a considerable loss of income to the areas in which these dairy cows are located because there is an income there, even if it is not giving a profit to the dairy farmer himself. The wages are being spent in the parish and the locality. When the herd is sold out, all that type of income coming in from the milk is lost to the area.
Another matter affecting the farming community is the continuous increase in rates. These farmers are paying increased rates one year after another. They are the one section of the community who benefit least from these rates. Their contribution in the form of rates is used for providing street lights, footpaths, water and sewerage and all kinds of amenities which are available to the community in general but which they cannot enjoy if they live down boreens and lanes away from all these amenities. Still, the community in general receive further contributions in the form of increased rates from the farming community.
Farmers' rates have gone up nearly £5 million in the past few years. On the other side of the scale, the farmers' income did not rise in the same proportion. Similarly with this turnover tax which is now coming in. About one-third of that turnover tax, or more, will be contributed by people engaged mainly in agriculture. If we take it that the turnover tax will bring in £12 million, the people engaged in agriculture will contribute between £4 million and £5 million in the form of turnover tax annually——