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Dáil Éireann debate -
Thursday, 23 May 1985

Vol. 358 No. 10

Ceisteanna—Questions. Oral Answers. - New Zealand Butter Imports.

6.

asked the Minister for Agriculture the steps he has taken and will take to eliminate New Zealand imports to the EC all of which go directly into the butter mountain, penalising Irish dairy producers.

The import of New Zealand butter into the United Kingdom is covered by Protocol 18 to the Treaty of Accession and the quantities provided for have been steadily reduced from some 166,000 tonnes in 1973 to 81,000 tonnes this year and that will be down to 79,000 tonnes for 1986. In regard to the period after 1986, I shall be urging the Community to take due account of the market situation and the interests of Community milk producers.

(Limerick West): Could the Minister indicate to the House the effects which butter imports from New Zealand have on the Irish dairy industry?

That is a very difficult question to answer and a very difficult point to evaluate. The imports of New Zealand butter into the Community are into the United Kingdom alone. They do not go into any other country. We have persistently argued that, if such imports are to be allowed, they should go into the EC generally, not just into the United Kingdom, thereby allowing us to get back into a traditional market in a stronger manner.

As the Minister is a person who has now taken part in three major negotiations annually in Brussels, could he give us any indication as to whether he is optimistic that the EC would be in a position totally to control the situation and protect the interests of farmers, suppliers and manufacturers within Europe?

A lot depends on the action of the other members of the EC. Their attitudes have changed considerably on a number of matters, particularly referring to the dairying industry since the advent of the super-levy. It has made them look at imports and other movements in the market a lot more closely. I signified that in my original reply. We have always been concerned at the level of New Zealand butter imports into the Community. While they have been more than halved since our accession to the Community, we are still not satisfied that they are at a low enough level.

Can the Minister see the door being closed?

It is not for me to make that prediction. We will have to see the on-going development in the Community and the attitudes of the member states. I might also point out that we have a traditional role to play — and when I say we, I mean the members of the Community — in conjunction with New Zealand in seeing that the world market is properly ordered. If we do not have an understanding with New Zealand in particular and the United States, there could be an entirely unsatisfactory trading position where we would be undercutting one another in the world markets. That would not do anyone any good.

(Limerick West): The Minister indicated in an earlier reply that after 1986 the position would be renegotiated. Does he envisage that the United Kingdom Government will continue with their opposition to the total termination of imports from New Zealand?

I would not like to prejudge what decision will be taken by the EC on that matter, but it is an interesting question.

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