asked the Minister for Agriculture and Food if he will outline his Department's policy on the practice by certain farmers of leasing cows where milk quotas are in danger of being exceeded; if he intends to take any action to stop this practice; and if he will make a statement on the matter.
Ceisteanna — Questions. Oral Answers. - Leasing of Cows.
8.
Under the quota arrangements the leasing of cows is permitted where a legal leasing agreement has been drawn up which provides that (i) the leased cows are transferred to the lessee's holding, (ii) the milk from the leased cows is produced on the lessee's holding and (iii) the milk produced is delivered to the lessee's purchaser.
If a cow leasing arrangement is entered into which breaches any of the aforementioned conditions then the milk delivered on foot of such an arrangement will be regarded as having been made by the lessor and will be subject to the normal super-levy penalties if it brings the total of his deliveries above his quota and a super-levy liability applies in the purchasing area concerned.
Will the Minister state what the procedures are for ensuring that the rules are complied with? Have there been any breaches of the regulations and what were the penalties?
There have been breaches. Those conditions are notified to every purchaser, that is, every co-op. Where any information is conveyed directly to the Department or through the purchaser immediate action is taken. The penalty where it arises is a standard levy penalty of £1.10 per gallon. I assure the Deputy that where breaches have occurred penalties have been imposed.
Would the Minister agree that where there is a surplus quota it should be redistributed to people who depend solely on the quota for their livelihood who feel that within a short time they will be out of business as a result of the restrictions? Would the Minister agree that it was deplorable that the President of the IFA should have been——
Please, Deputy Sherlock, bringing it down to individuals is hardly right in this House. This is a privileged Assembly and we ought not to make allegations against people outside who may not be able to defend themselves against such accusations.
On the general issue I assure the Deputy that every action I have taken in relation to quota allocation since I came to Government has been targeted specifically on the small producer, the young entrant to agriculture either through the flexi-milk scheme, the leasing scheme, the restructuring scheme, or, pretty shortly, the new 1 per cent allocation. I agree with the Deputy that this must be a priority in terms of social justice and the socio-economic policy.
None of them got much.
They were left out in 1984 but they will not be left out under this Government.
(Interruptions.)