Vol. 482 No. 6
259 Mr. Connaughton asked the Minister for Agriculture and Food the proposals, if any, he has to reduce the significant price differential that has developed between producer beef prices in Ireland and producer prices in other EU member states. [19153/97]
The traditional price differential between cattle prices in Ireland and other member states has widened in the last 18 months because of a number of factors such as the renationalisation of the European beef market following the BSE scare of March 1996 and the disproportionate impact of cuts in export refunds on cattle prices, particularly steer prices, in Ireland. As far as the renationalisation of the EU market is concerned, An Bord Bia is continuing to promote Irish beef as a quality product on the European market and I am hopeful that this promotion, combined with a reduction in beef production within the EU in 1998 as a result of the calf slaughtering measures, should result in increased penetration of the EU market by Irish beef exporters next year. This should help to narrow the gap between prices in Ireland and those in other member states.
With regard to export refunds, the EU Commission is proposing to introduce measures to enable them more selectively to target any necessary cuts in export refunds arising from GATT limitations on beef from female cattle and thereby protect, in so far as possible, export refunds on beef from male cattle. In view of the fact that the vast bulk of Irish beef exports to third countries consists of beef from male animals, this approach should help to minimise the effects of cuts in export refunds on Irish cattle prices and assist in the process of convergence between Irish cattle prices and those in other European member states.
