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Dáil Éireann debate -
Wednesday, 4 Jun 1980

Vol. 321 No. 10

Ceisteanna—Questions. Oral Answers. - EEC Agricultural Price Increase.

23.

asked the Minister for Agriculture the reason the effective agreed agricultural price increase in France, taking into account the devaluation of the green franc, will be 10 per cent as against only a 5 per cent increase in Ireland; and if he will outline the extent to which monetary conditions in Ireland differ from those in France, so as to justify the differential treatment of its farmers as against French farmers.

An average increase of 5 per cent in agricultural prices for 1980-81 to apply throughout the whole Community has been agreed by the Council of Agriculture Ministers. France has already received devaluations of its green rate this year bringing that rate into line with the central rate of the French franc and increasing support prices in France by about 5 per cent. Similar scope for devaluation of the Irish green £ does not exist since the last such devaluation which took effect on 1 October 1979 brought the Irish green rate close to the central rate of the Irish £.

Is the Minister aware that the net effect of the recent negotiations has been to give French farmers a 10 per cent increase while Irish farmers will receive only, at most, 5 per cent and, in some cases, far less?

In the case of France the recent adjustment to their green rate not only eliminated the remaining French MCAs but also eliminated the gap represented by the franchise. The last devaluation of the Irish green £ in October 1979, on the other hand, only eliminated Irish MCAs and one green rate now is still about 1.3 per cent above the central rate of the Irish pound.

Would the Minister not admit that farmers' incomes fell last year by at least 23 per cent, bearing in mind that their overhead expenses and inputs are increasing this year by over 20 per cent; therefore that even with a 5 per cent increase in prices from the EEC our farmers will suffer at least 15 per cent reduction in their incomes?

I do not agree.

Why does the Minister not agree?

If the Deputy will put down a separate question I will give him the answer.

Wait now, that seems to be the stark reply——

He has not got the information. He does not know.

The Deputy is so thick he had better go back to Donegal.

(Interruptions.)

It is a separate question.

Does the Minister think that a 5 per cent increase from the EEC is sufficient? Does he not believe that our farmers' incomes will drop by at least 15 per cent taking that figure into consideration?

That is a separate question, Deputy.

What is separate about it?

Because he does not know.

Is that all Deputy Harte has to say?

Why does the Minister not do the work for which he is being paid?

Question No. 24.

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