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Dáil Éireann debate -
Thursday, 16 Dec 1971

Vol. 257 No. 12

Ceisteanna—Questions. Oral Answers. - Meat Processing Plants.

81.

asked the Minister for Agriculture and Fisheries if he is aware that Irish Meat Packers last week laid off 43 workers in their Leixlip plant and about 50 workers in their Dublin plant, at a time of the year when labour needs in meat plants are usually high; that other Irish meat processing plants are in similar difficulties; and if this can be attributed to the fact that the competitive position of Irish factories is adversely affected by Irish cattle slaughtered in Britain being able to draw payments under the UK fatstock guarantee scheme while no payments are being made under the equivalent Irish scheme.

Because of the high British market prices for cattle this year, there have been little or no weekly deficiency payments for some months past under the UK fatstock guarantee scheme and, accordingly, no payments have become due on carcase meat exports from here under our support scheme for such exports.

As I indicated in reply to a similar question by Deputy L'Estrange on 2nd December, such difficulties as the meat factories may currently be experiencing arise from the continuing strong de- mand and high prices for live cattle exports.

Would the Minister not agree that the demand for live exports of Irish cattle to Britain is to a great extent determined by the fact that extra subsidy is available for cattle slaughtered in the British factories because we do not pay as big a grant as the British Government pay to their factories?

The real reason for the situation that obtains in the fresh meat industry is, as I said, the fact that deficiency payments had reached vanishing point for a great part of last year and therefore support price payments by our Government to our factories have not fallen to be paid. It is from this payment of the deficiency that the meat factories made a large part of the profit. This situation I have presently under review.

Would the Minister not agree that it is a matter of considerable urgency that our meat processing facilities are not run down and closed down as a result of squeezing out now, in view of the great prospects for expansion in the EEC? Would he agree therefore to remove the differential that at present exists in order to leave our factories in a position to take advantage of the great opportunities which will be available to them?

Our objective should be to maintain, for the moment at any rate, a healthy balance between our live exports and our fresh meat exports. What Deputy Bruton said is quite right, that there is need to maintain our fresh meat industry in a vigorous condition, and it will be part of our responsibility to do that.

You are not doing much about it.

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