asked the Minister for Agriculture if he is aware of the serious fall in income of small farmers because of the depressed state of markets for store cattle; and if he has any plans to assist in stabilising markets.
11.
Ceisteanna—Questions. Oral Answers. - Beef Trade.
10.
asked the Minister for Agriculture if he will make a statement regarding the general air of uncertainty in the sale of cattle for the beef trade; and if he has any plans to assure farmers that he will take steps to provide some degree of security for this type of farming.
I propose to take Questions Nos. 10 and 11 together.
I do not accept that any sector of the cattle trade is in a depressed state. Prices for all qualities of cattle at present compare favourably with recent years, except perhaps some periods in 1984 when certain exceptional factors were affecting the market. It is not realistic to regard every peak in the market price as a new floor from which further advances are to be achieved. What we need is a situation where everyone in the beef chain can get a reasonable return for efficient performance, and in view of our grass-based production system this implies some seasonal variation in prices.
Would the Minister not agree that there has been a great deal of publicity in regard to this matter and that it is a well known fact that the trade is in a bad state at the moment? Would he not accept that it is reported, if he wants to listen each evening to the figures given from the various marts, that the present situation is serious? Furthermore, would he accept that because of the milk levy situation farmers were advised to go into the beef trade, which again shows that there is no management in present agricultural structures and that farming is completely on the decline?
That is totally incorrect. I shall quote some figures for the Deputy if he wants to get the actual statistics correct. The price per 100 kilogram for store cattle for 1980 was £86.81p.
The Minister could go back to 1960 if he likes; but it does not serve any purpose.
(Limerick West): It is historic.
Order, please. The Minister must be allowed to answer the questions put to him.
I am talking about the present figures. I want to give the Deputies an accurate assessment; I do not want any loose talk on this matter. I would like to put the following figures on record. They are per 100 kilograms. In 1980, £86.1p; in 1981, £101.16p; in 1982, £113.31p; in 1983, £123.54p; in 1984, £134.52p; in 1985, £131.10p. There has been a slight drop. These figures refer to——
So the Minister is admitting it now.
These figures refer to the second quarter of each of the past five years and to the price of store cattle.
What about the loss made?
It is entirely predictable in that this time last year we still had the variable premium as operated by the UK in all its forms and all its severity. That meant a very strong demand for cattle north of the Border. I am sure that Deputies Leonard and Kirk could tell the Deputy about that. Higher prices had to be paid because of the support from that system. Farmers down here had to compete for very scarce cattle. We got rid of that particularly inequitable part of the premium and there has been a resultant slight drop in price. It has had more beneficial than adverse effects. It has benefited meat plants in this part of the country tremendously and is giving huge additional employment in the meat processing industry.