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Dáil Éireann debate -
Wednesday, 4 Mar 1992

Vol. 416 No. 7

Ceisteanna — Questions. Oral Answers. - Cattle Grading.

Joseph Doyle

Question:

7 Mr. Doyle asked the Minister for Agriculture and Food if his attention has been drawn to the difficulties being experienced by farmers in getting cattle grading for intervention, into factories at present; and the action he proposes to take to overcome the problem.

I should draw the Deputy's attention to the fact that during the period January to late February of 1992 some 90 per cent of steers slaughtered at meat export plants fell into grades eligible for intervention.

I am, however, aware that the intervention intake requirement at present, is dampening demand by factories for steers for slaughter. The modest intervention intake arises since the European Commission is, in response to very high volumes being offered by the trade, applying very high rejection rates to quantities offered under the tendering system. However, following complaints by Ireland, and a number of other member states, the Commission has undertaken to review the operation of the intervention tendering arrangements with a view to more realistic acceptance rates being applied to quantities offered. This would afford greater certainty to beef producers and have a positive effect on the overall market situation.

The Minister's reply will not be of much help to many farmers with cattle for slaughter who find themselves on a waiting list in many factories around this country. May I ask the Minister what he is doing about this? Has he had any meetings with factory owners? Does he intend to have conversations with people abroad or, indeed, with the factories here to see if they are seeking out new markets and is he aware that many hundreds of farmers, who have animals for slaughter, are at present on waiting lists in factories for a month?

During the period January-February 1992, approximately 90 per cent of steers slaughtered fell into the eligible grades while the figure for the same period in 1991 was also 90 per cent. I accept what the Deputy has said, that there is a log-jam at present. I took the matter up with Commissioner MacSharry when I met him on Monday morning.

I impressed on him the importance of getting an increased tender, particularly at this time of year, because the winter fatteners cause the greatest difficulty. There is a problem in relation to seasonality which would be more acute if we did not get an improved tender under intervention for the next two to three tenders.

It has been said that the subject matter of this question has been one of the contributory causes of the low prices pertaining to cattle which, obviously, have horrendous consequences for farmers. When the Minister held the position of Minister of State he was involved in a well publicised, aborted trip to Libya to open up the live cattle trade. In view of the fact that the president of the IFA has been to Libya recently in relation to that trade, will the Minister say whether the live cattle trade will open up?

That is really a separate question. However, following discussions between the veterinary authorities in Ireland and Libya, a consignment of beef left for Libya. We have received assurances that if there is no problem with that consignment of beef the live cattle trade will commence. I agree that a resumption of the live trade to Libya would give a tremendous fillip to the cattle trade at present. The Deputy did not ask a question in relation to Iran but my colleague, the Minister for Foreign Affairs, Deputy Andrews, is out there at present trying to open up that market.

The Minister did not answer the questions which I asked.

Is the Minister aware of the widespread concern of the agricultural community, particularly in relation to winter fatteners, regarding the stranglehold of the financial institutions on our meat processing industry? They control 70 per cent of the Goodman empire because of the collapse of United Meat Packers. There is a deliberate holding down of prices in the factories which has given rise to a serious problem in regard to winter fatteners. Many farmers will not be in business next year unless something is done about it immediately. Will the Minister investigate the monopoly which the financial institutions have in the meat processing industry?

We are straying a little from Deputy Doyle's question. However, far be it from me to tell the Chair his job.

The Chair tends to be a little liberal at times and has often been criticised in that regard.

On the question of live exports, will the Minister take a positive initiative in helping Cork Marts to restart live trade to Libya? I am informed that all sorts of obstacles are being put in their way——

That is clearly a separate matter.

They are attempting to avoid the collapse of the Horgan Brothers enterprise. Will the Minister take the initiative?

No, I am calling Question No. 8.

The Minister did not answer two questions which I put to him.

Deputy Farrelly must not defy the Chair in this fashion.

May I ask——

Resume your seat, Deputy.

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