I move:
That a supplementary sum not exceeding £1,000 be granted to defray the charge which will come in course of payment during the year ending on the 31st day of December, 1987, for the salaries and expenses of the Office of the Minister for Agriculture and Food including certain services administered by that Office, and of the Irish Land Commission, and for payment of certain subsidies and sundry grants-in-aid.
This token Estimate is required in order to make technical adjustments in the allocations for certain subheads in my Department's Vote.
The main item being provided is £16.6 million extra under subhead M.4 to meet expenditure in the current financial year on the incidental expenses for market intervention. Beef stocks this year are much higher than anticipated. This has meant extra expenditure on handling, freezing, storing etc. and also on servicing the capital which has to be borrowed to finance the stocks. I would point out, however, that there is no net overall increase in the amount being spent on market intervention operations this year. As Deputies will note, some £17.4 million extra is shown under subhead N.22 as additional receipts from the EC in respect of market intervention operations.
Another significant item being provided for in the Supplementary Estimate is £5.2 million extra under subhead M.7 in respect of the special premium on exports of beef to the United Kingdom. This variable premium is financed 60 per cent by the British Exchequer and 40 per cent by the EC, and beef exported from Ireland to the UK for consumption there qualifies for the premium. Payment of the premium to Irish beef exporters is made by my Department on receipt of the necessary funds from the UK. Because of a higher level of beef exports we expect to receive some £5.2 million more from the UK than had been anticipated. This is reflected under subhead N.25 as an additional appropriation-in-aid, offsetting in full the extra expenditure provided for under subhead M.7.
The saving on M.3 — disadvantaged areas schemes — arises mainly because of a slight but unavoidable slowing down in the processing of payments in recent months. This is due to the introduction of the new EC special beef premium scheme which necessitated extra inspections at marts, at meat factories and on applicants' farms, and considerable extra clerical work in my Department's local offices. All of this work has had to be done without increasing staff numbers.
The Supplementary Estimate also provides for some other adjustments to appropriations-in-aid. Extra receipts of £0.5 million for certain land annuities under N.15 are offset by a corresponding shortfall in receipts under N.12 from the sale of land purchased under the farmers' retirement scheme. Almost £1 million extra is shown under subhead N.23 in respect of receipts for intervention stock losses, etc. These additional receipts arise because of adjustments and corrections in the clearance by the EC Commission of the 1983 and 1984 FEOGA guarantee accounts and from settlement of an insurance claim involving intervention beef.
Finally, allowance is made for a shortfall of some £3.7 million under subhead N.18 in respect of receipts from the EC under the farm improvement programme and other farm investment schemes. These receipts have not come up to expectations this year; some of the amount expected will not arrive until after the end of the year.
I have referred to all the items covered by the Supplementary Estimate, which I now commend to the House.