asked the Minister for Agriculture if he will give a progress report on the national potato co-operative to date.
Ceisteanna — Questions. Oral Answers. - National Potato Co-operative.
4.
The organisation of this co-operative is being handled by the ICOS. The co-operative has set up a marketing/management company which recently commenced the marketing of members' produce. It is understood that it is planned to set up regional centres for grading and packaging potatoes, for which FEOGA and national grants are available, but that the support and commitment of potato producers has been disappointing.
To date State assistance for the launching of the co-operative has amounted to some £106,000.
Is the Minister happy with the progress of the potato co-op to date?
Nobody is ever happy with the progress of anything, but in the case of the potato co-op I am not. Probably the main reason is that recently potatoes have been in short supply; growers do not have a problem and they are all going their own merry way and getting pretty good prices everywhere. The disappointment is that a year will come, maybe next year, when a totally different situation will apply and growers will be screaming for the co-operatives. I hope they realise that.
Having had the opportunity to review the shortcomings of the operation, what methods does the Minister propose to rectify the shortcomings and get the co-operative on a workmanlike and firm footing?
I know the Deputy is aware that the co-op is being taken over by the farmers and the ICOS, they are setting up a marketing arm under the auspices of CSET and Kinsealy Farms and they have produced the nucleus of a good marketing set-up. If they get sufficient encouragement — they have ICOS and IFA people interested — they will probably set up a packaging station in Carlow.
Proinsias De Rossa
Do the co-ops enter into contracts with suppliers of potatoes and if so have such contracts been fulfilled? If they have not entered into such contracts why not?
The contracts are on a very loose basis. It is very difficult to enter into contracts for this type of quality produce. For instance, if the produce did not measure up, none of the product would be taken. The co-op have a sort of loose arrangement under which growers will give a percentage of their tonnage if it is up to scratch.
If prices are better on the open market they will go to the open market.
The option is there. In fairness to those who have permitted themselves to supply a certain tonnage in the south east they have honoured that.