(Limerick West) asked the Minister for Agriculture if he is aware that the total EC milk production in the year just finished was 250,000 tonnes below the overall super-levy ceiling; if he will ensure that Ireland will be allocated a fair proportion of that reserve; and the measures he will take to ensure that Ireland is given a realistic quota which will not result in super-levy payments.
Ceisteanna—Questions. Oral Answers. - Milk Quotas.
1.
A final figure for Community milk deliveries in 1984-85 is not yet available. There is no provision in the relevant regulations which would enable a shortfall of overall deliveries below the super levy ceiling for 1984-85 to be added to the reserve.
(Limerick West): Would the Minister indicate if there is a possibility of a further allocation from Europe, in addition to the allocation we have already received, in view of the fact that the total EC milk production is less than the ceiling anticipated?
There is no provision in the super-levy regulations whereby any shortfall in milk take below the overall reference quantity for the Community may be put into a reserve.
(Limerick West): Would the Minister initiate such an approach to the Commission?
I do not mind asking them, but the regulations do not make any provision for that.
(Limerick West): Surely it is possible for the Minister, as a member of the Council of Ministers, to make changes in the regulations to ensure that this could happen? Will he do that?
As I said, I have no objection to asking that.
(Limerick West): Would the Minister let the House know the outcome in due course?
Yes.
Has there been an examination of the drop in milk production in different countries? What kind of monitoring is there in the EC?
The figure mentioned by Deputy Noonan is an estimate, no final figures are yet available and they will not be for some months. The figure mentioned by Deputy Noonan could be reasonably accurate. We think it could be as high as 300,000 tonnes. This could be due to the fact that one or several countries did not produce their quota levels because of the slaughtering of cows and the natural cutbacks due to the imposition of the levy.
Is this not important for Ireland when our farmers are planning in advance to hold on to replacements? In a few years time the milk situation might be reversed——
We all hope that will be the case.
2.
(Limerick West) asked the Minister for Agriculture if the Irish case in Brussels in the annual price review is based on retrieving the error of last year or if a genuine case is being made for improvement of our milk production quota over and above the redemption of that error.
In the recent price negotiations in the Council of Ministers I sought the best possible result for Irish farmers on all the issues arising in regard to both milk and the various other products. I consider that the overall result achieved was a very satisfactory one.
(Limerick West): Is the Minister aware that the overall achievement is a redress of the statistical errors of last year, that there is no opportunity for increased production for 1985-86 and no guarantees for subsequent years?
The statistical correction which we sought is normal procedure in the Community. On this occasion, which to my knowledge was unprecedented, the Commission did not agree to adjust the provisional statistics. That was most unfortunate. This year the other milk producing countries in the Community had to take a further reduction of one million tonnes or approximately 1 per cent in their output in the current year. It was extremely difficult to have agreement on any additional quotas being made available when the other milk producing countries had to take a major additional cut.
(Limerick West): The Minister must be aware that milk production is far more important to Ireland than to any other member state. In view of the importance of increased production to small farmers along the western seaboard who are debarred from any further increases because of the embargo of the super-levy, would he not consider that his exercise in Brussels as far as they are concerned is not very positive?
I would not agree. The Deputy knows there is an extremely difficult climate when other countries are still taking cutbacks. When I was distributing the quotas last year I gave preferential treatment to people on the western seaboard and smaller farmers got a concession.
Would the Minister agree that when we joined the EC the state of our agricultural development was at a much lower level than any other member state and that that position has not been taken into consideration when preparing development programmes for countries such as Ireland? The Treaty of Rome made provision for developing countries to reach the status of the developed countries. Ireland has not reached that level of development and, in my view, the present attitude of the Community to Ireland is not allowing us to reach that level of development.
That was a statement rather than a question, but it was broadly incorrect. Last year there was clear recognition of our special case, and that is why we got a 20 per cent advantage over the other milk producing countries in northern Europe.
Would the Minister agree that we had a special case and hoped to do better this year than last year? Would he also agree that that error had a serious effect on his bargaining position and that this must have been a cause of embarrassment to him when discussing this at the table?
I would not describe it as an error. We sought a statistical correction of provisional figures, which is normal practice.
(Limerick West): Is the Minister optimistic that this increase will continue over and above the quota of 6.5 per cent in the next three years of the super-levy?
Yes, I am.
(Limerick West): Can the Minister give any indication——
I do not negotiate in public. That would be a most stupid thing to do.
(Limerick West): Could the Minister indicate to the House the source of his optimism? Is it based on his negotiating powers?
I am not going to negotiate in public. It is not a very wise tactic. I keep my strategy to myself in cases like this. That is the effective way to do it.
(Limerick West): But the Minister is optimistic?
I am extremely optimistic. I am quite sure of that.