I am obliged to you, a Cheann Comhairle, for your assistance in allowing me to raise this urgent matter to point out the total inability of the Minister for Agriculture, Food and Forestry to deliver on the commitments he made in the continuing, serious demise of the sheep sector under his stewardship. His failure to take any effective steps to avoid a disastrous year for ewe sheep farmers, particularly those in his own lowland areas of the south east and throughout the remainder of the country, is the most graphic indictment of his management of our agricultural industry since he assumed office.
The Bord Bia study produced this week, forming part of a comprehensive examination of the problems in our sheep sector, confirms the substantial deterioration since the Minister took office. That study confirms that in the years 1992, 1993 and 1994 the average difference in price between Irish and French lamb on the French market was two to five French francs per kilo whereas the difference in price this year has risen to seven to eight French francs per kilo or almost IR£1 per kilo.
In addition to that stark reality in price differential, since his tenure in office began, this Minister has overseen the largest reduction in our ewe breeding flock in modern times, there are 115,000 fewer this year compared with last year, a rate of decline four times that of any previous one. In addition, there is the prospect of a fall in volume and output in the coming year because of the decline in the number of breeding ewes for next season. Falling prices, falling output, a falling market share in our one fresh sheep market of substance have been accompanied by a Minister who has promised everything but delivered nothing to our sheep farmers.
The Bord Bia study shows that failure to gain access to the higher price available to French producers means that the ewe premium, calculated at present on a Community-wide basis, simply does not compensate our farmers. Therefore, it is quite clear from that study that our sheep farmers are at a further serious disadvantage because of the uniform ewe premium system. Indeed the scale of the problem can be gauged by the fact that 73 per cent of our lamb exports are to that same French market.
In the face of this disaster what is the future of Irish sheep farmers and, more importantly, what is the Minister doing about it?
This year with early lamb prices some 15 to 25 pence per lb down on 1994 prices, in June the Minister made a big play of the fact that the Commission would produce a report on the sheep sector by end September, when he indicated that all would be well when that report had been published. September has passed, we have seen no results and there is every sign that the issue will drag on, the Minister now promising us that something will happen before Christmas. We are told that the bargaining will take place with the Spaniards — who have their drought problems — at the end of the present Presidency. The message from the Minister's public relations machine is that all will be well.
The Commission report has been concluded. What does it contain? Has the Minister seen it? As I said, the Bord Bia figures issued this week confirm there has been no price convergence whereas we were told that if prices were increased the ewe premium would be reduced. Why does the counter argument not apply? Since prices for Irish farmers are depressed, why is such a problem encountered in obtaining an increase in the ewe premium to meet that demand for fair play and equity?
In the past week or two the Minister has been talking down expectations on this matter. For instance, in a recent interview his comments related totally to lowland producers who, quite clearly, have been experiencing a particularly hard time. Unlike farmers in disadvantaged areas, they have no access to headage payments or the rural world premium.
It must be remembered that lowland sheep farmers account for one million sheep and that the total number nationally is 3.67 million sheep for the market-place. If the Minister does not deliver an extension of the rural world premium to non-disadvantaged areas in addition to an £8 per ewe top-up premium, it is clear he will condemn the remnants of our sheep industry to production in disadvantaged and mountainous areas only, when the lowland sheep farmer will be wiped out altogether. The lack of confidence in the sheep sector is confirmed by the reduction this year in the number of breeding ewes by 115,000. Therefore, it is clear that many farmers are increasing their number of dry hoggets rather than holding ewes for breeding purposes.
There has been so much procrastination and camouflage by the Minister on this issue our farmers are now asking if the Minister accepts the need for any top-up payment in the face of a disastrous year. Talking to farmers at the recent national ploughing championships I became aware, like the Minister, that our sheep farmers have borne the brunt of falling prices this year.
Earlier in the summer the Minister claimed that the APS schemes would help to improve prices whereas they proved a total diversion from the real problem. While those schemes helped to order the market they did nothing for the producer in terms of price. It took the over-hang of hoggets and some lamb off the market into private storage but made no difference to the price being paid to our sheep producers.
The Minister has been running away from this issue all year. His promises, commitments and the visit of Mr. Fischler confirmed that he acknowledged there was a problem. However, acknowledging and solving the problem are two different matters. We were promised the APS scheme would solve the problem but it did not. We were promised the report to be produced in September would provide the basis of a solution. We have not seen that report or heard any ministerial comment on it. We were promised Mr. Fischler had come to Ireland to see the problem for himself and would deliver. We await with interest any commitment to solve the problem with a top-up premium payment. Most important of all, the Minister told us — mind you, from Brussels — that all would be well by Christmas.
The Minister can run but he cannot hide. Farmers have taken to the streets on two occasions this summer to highlight the plight of Irish sheep producers, yet they have got nothing but sweet talk and momentary diversions. Having come into office on the crest of a wave, the Minister should realise the tide is coming in and he is heading for the rocks. No public relations stunt can cloud this issue any longer. Unfortunately, our sheep producers are at the precipice awaiting positive action. None is in sight and the time has come to deliver.