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Dáil Éireann debate -
Tuesday, 11 Mar 1980

Vol. 318 No. 9

Ceisteanna—Questions. Oral Answers. - Butter Sales.

39.

asked the Minister for Agriculture if he will make a comprehensive statement on the current proposals to sell butter to Russia including the quantity involved and the price.

40.

asked the Minister for Agriculture the steps, if any, taken to sell butter to countries who need it urgently, other than Russia.

41.

asked the Minister for Agriculture if it is a Government decision to sell butter to Russia when other countries who need it are prepared to pay a similar price.

With the permission of the Ceann Comhairle, I propose to take Questions Nos. 39, 40 and 41 together.

Following requests early in January for pre-fixation of export refunds on sizeable quantities of butter, particularly to the USSR, the EEC Commission decided to suspend, as from 2 February, refunds in respect of exports of bulk butter to the USSR and most other East European countries and to limit exports to these destinations to butter bought by tender from older intervention stock. It is possible that the tendering arrangements will shortly be extended to butter in Community-aided private storage. The first tendering procedure will not be completed until later this month and it is therefore, not possible to indicate the price or quantity involved.

As only open market butter is available in any quantity for export from Ireland, these Commission decisions effectively rule out Irish butter exports to East Europe in the immediate future. I have, accordingly, objected to the Commission decision and I am pressing for extension of the export arrangements to open market butter.

The Community supplies substantial quantities of butter and butter oil to Third World countries in its annual food aid programmes. Commercial third country markets for butter are very limited and there are more than adequate supplies available in the Community to meet all possible export orders. All butter for export to destinations other than the USSR and certain East European countries is eligible for the Community export refund of £1,193 per tonne. Previously the same refund applied to all destinations but there is now no refund on exports of bulk butter to the USSR and most other East European countries.

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