(Cavan) asked the Minister for Agriculture and Fisheries (a) if he is aware that recent increases in pig feeding rations without compensatory increase in the price of pork have created a crisis in the pig industry; (b) if he will initiate an immediate inquiry into the recent increases in pig feed prices; (c) if he will examine the other increases in cost of pig production, and (d) if he will take steps to ensure a reasonable profit in pig production so that the income of farmers engaged in pig production will keep in line with the income of other sections of the community.
Ceisteanna—Questions. Oral Answers. - Pig Feed Prices.
29.
(a) The guaranteed minimum prices for pigs have, in fact, been increased on two occasions since last autumn. (b) and (c) I do not consider that an inquiry as suggested is warranted. (d) The continuing high level of deliveries of pigs to bacon factories shows that pig prices generally are satisfactory and yield a reasonable profit to efficient producers.
(Cavan): Surely the Minister is aware that the price of pig meal has increased by 80s per cwt since last September and that that involves an increase of 30s in the production of a pig and that the farmers have not been compensated to any extent for that? Does the Minister not realise that this stock-in-trade reply about deliveries to factories, if it is true, is accounted for by the fact that producers are committed to a programme and have committed themselves to a heavy expenditure of capital in producing pigs and have no alternative but to stay in the business even at a loss temporarily in the hope that prices will increase? Surely the Minister will do something about this?
I am aware that, because of the increased price for barley paid to barley producers and because the workers in the provender industry have also got some increases, the cost of pig feeding has increased as the Deputy said but, as I said already in my reply, since 20th October, 1969 the price of grade A special has gone up from 282s per cwt, first to 288s per cwt deadweight and then to 298s and also most bacon factories pay a delivery bonus of about 15s per pig and that the increase in the price of pig meal is more than compensated for by the increases in the price of pigs that I have just mentioned.
(Cavan): Will the Minister concede that since September, 1969 the cost of producing a pig for bacon has gone up by 30s and that the increase in the price which the farmer is paid for that pig has gone up by only 10s? Surely that is unfair and calculated to drive people out of pig production? Surely it is something about which the Minister should undertake to do something immediately.
Is the Minister aware that in regard to the 10s increase to which he referred as the minimum price for grade A pigs recently, such pigs were making 12s above that price when that increase was introduced?
I agree with Deputy Creed that the price being paid for pigs to producers at present is very satisfactory——
I did not say that.
I would refer Deputy Creed to a recent article in the Irish Farmers' Journal of, I think, 10th June which comments very favourably on the current situation of pig production and pig marketing generally.
The Minister has great faith in this journal now when it suits.
Will the Minister agree that the position of the farmer in the west of Ireland who has to pay transportation costs is seriously aggravated by the increase in the price of feed for pigs and that he is at a much greater disadvantage than his neighbours in the eastern counties? Would the Minister take the necessary steps to see that transportation costs are subsidised in order to help these people and so keep our people in pig production and also keep our factories in the west of Ireland in production?
I do not think there is even a remote possibility of our pig meat factories going out of production——
They would be gone long ago only for smuggling.
(Interruptions.)
The throughput of bacon factories has gone up since 1967. The figures went from 1,452,000 in 1967 to 1,926,000 last year. This year is showing a similar rate of increase. Deputy O'Hara's point about a drop-off in production is obviously not valid.
(Cavan): In view of the completely unsatisfactory nature of the Minister's reply and the importance of this matter to the country in general and particularly to my constituency, I propose to raise this matter on the Adjournment.
The Chair will communicate with the Deputy.
May I inquire in what way the Deputy found my reply unsatisfactory? The basis of my reply is that because of an increase paid to barley producers for their product there has been an increase in the price of pig meal. This is more than counterbalanced by two increases recently in the price of pig meat augmented also by an unofficial delivery bonus usually paid by the bacon factories to the producers. What is unsatisfactory about that?
(Cavan): I shall tell the Minister on the Adjournment. I——
The Deputy has given notice that he wishes to raise this matter on the Adjournment.
(Cavan): Yes, but the Chair allowed the Minister to intervene subsequently.
The Minister asked a question.
(Cavan): And I am going to answer it. The Minister has referred to an increase——
The Deputy is not replying to anything. The Deputy may ask a question.
(Cavan): Of whom did the Minister ask a question? However, I shall deal with him on the Adjournment.