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Dáil Éireann debate -
Wednesday, 30 Jul 1975

Vol. 284 No. 5

Ceisteanna—Questions. Oral Answers. - Prices.

20.

andMr. L'Estrange asked the Minister for Agriculture and Fisheries the prices paid to the Irish factories for carcase beef going into intervention on 1st April, 1st May, 1st June and 1st July, 1975.

As the reply is in the form of a tabular statement, I propose, with the permission of the Ceann Comhairle, to circulate it in the Official Report.

Following is the table:

Description and Class

1st April

1st May

1st June

1st July

p per lb

p per lb

p per lb

p per lb

Maximum

Minimum

Maximum

Minimum

Maximum

Minimum

Maximum

Minimum

Carcases, Half-Carcases and Compensated Quarters:

Steers I

40.62

39.91

Same as

39.84

39.09

Same as

Steers II

39.87

38.87

1st April

39.08

38.08

1st June

Heifers II

39.02

38.02

38.22

37.22

Cows I

35.48

34.48

33.81

32.81

10 Rib Forequarter:

Steers I

30.47

29.94

Same as

27.89

27.37

Same as

Steers II

29.90

29.15

1st April

27.36

26.61

1st June

Heifers II

29.27

28.52

26.75

26.00

Cows I

26.61

25.86

23.67

22.92

3 Rib Hindquarter:

Steers I

48.74

47.89

Same as

—*

—*

Steers II

47.84

46.64

1st April

Heifers II

46.82

45.62

Cows I

42.58

41.38

*As from 26th May the purchase of hindquarters, offered separately, was terminated.

21.

asked the Minister for Agriculture and Fisheries if he is aware that the virtual elimination of beef-suckler herds has caused a disastrous drop in the price of calves; and the steps he proposes to take to restore the position which obtained before 1973.

I do not accept the connection which the Deputy makes between the present prices for calves and what he asserts to be the virtual elimination of beef-suckler herds. The latter assertion is in any event not borne out by figures for applications under the beef cattle incentive scheme.

I am fully aware of the price problems relating to calves and young cattle. It is my aim to secure equitable distribution of the benefits of the intervention and slaughter premium systems amongst all producers of cattle and I have set up a review body to advise me on how this might be done. Already that body has submitted an interim report to me which I am having examined.

Is the Minister aware that the problems I referred to in my question will not go away by the incantation of pious platitudes? I base my assertion on the fact that cow slaughterings last year were more than three times the normal annual slaughterings and the undeniable fact that calf prices have dropped to nothing. Does the Minister not agree that it is a reasonable assumption that the purchasers of calves who maintained the price of calves up to now were the beef-suckler herd owners?

The Deputy is imparting information rather than seeking it.

I am told that it is not so and that it is not borne out by the applications for the cattle incentive scheme.

Can the Minister tell the House when the producers of calves will know that the benefits which may be gained from these schemes, intervention or otherwise, will be passed on to them? It is that farmer who has no confidence in the future.

That type of farmer has been reasonably well looked after by recent schemes.

He has not; he has been neglected.

22.

asked the Minister for Agriculture and Fisheries the arrangements, if any, he has with the meat factories to ensure adequate outlets for beef cattle this autumn; and if he will make a statement on the matter.

I am confident that the capacity of meat factories will be adequate to handle all beef cattle offered to them this autumn, having regard to the likely scale of marketings, the record level of throughput reached by the factories during the past year and the fact that most factories have now expanded capacity. Export outlets for live cattle should also be better than last autumn.

Does the Minister believe what he has said considering the number of cattle that come on the market in September, October, November and December? For the year we know we have adequate capacity but what arrangements has the Minister made to ensure that farmers will have access to the meat factories to get the advantages of intervention, whatever they might be?

I have told the Deputy that judging by the level of exports this year, by comparison with last year——

Live or dead?

I was talking about dead.

It has to be live and dead if it is to affect the situation. I can give the Deputy figures for live and dead. Last year at this time 451,600 cattle were slaughtered in meat factories and this year 630,679 were slaughtered. That is a remarkable difference.

It was not possible to get them in last year and they are only being got in during the summer. The Minister will have to be more specific and help the thousands of farmers who were robbed of £50 per head of beef cattle because they did not have access to the market that was there for them under the EEC through intervention.

I am trying to help the Deputy by saying that there has been a more even flow of cattle into the factories this year and that should ease the overload in the back end of the year. In addition, we have increased capacities in the processing area.

The Chair is anxious to have as many questions as possible answered this afternoon. Members will realise the reason why.

Is it quality rather than quantity?

Can the Minister assure the farmers that they will not have to wait up to ten weeks to have their cattle slaughtered at meat factories during the winter months?

I can only express the hope that that will be so because of the exports, because of the prospects for the live trade in the export market and because of the better prospects for slaughtered cattle.

Is the Minister taking any steps to ensure that?

I have taken many.

23.

asked the Minister for Agriculture and Fisheries if he is aware of the severe drop in cattle prices which took place in early July; and if he will make a statement on the matter.

Some decrease took place in cattle prices in early July, influencing factors being the effects of drought, larger numbers of animals coming forward for slaughter and seasonal dullness in the UK trade. The market has since improved and substantial price supports are available in the form of intervention purchases of up to 50 per cent of eligible factory throughput, the EEC slaughter premium on all other eligible clean cattle and the additional variable premium paid on our live clean cattle and beef imports into the UK.

The market is also being strengthened by the reduction in MCA export charges arising from the improvement in sterling and the change in the representative rate of the Irish £.

I do not believe all the Minister has said and I take exception to his mention of seasonal dullness. Is the Minister happy with that term in his reply? Is the Minister aware that this can happen at a time when cattle prices should be good? Has the Minister, or the Department, any plans to prevent this? It is like a yo-yo business at the marts and elsewhere; they can take what they like unless competition comes from England. It is that which has put up the price. It is the duty of the Minister to see to it that there is a fair and equitable price for cattle and not have the price going up and down.

The Deputy knows that 75 per cent of our total production has to be exported. An immense amount depends on what is happening in the export market.

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