Vol. 501 No. 1
32 Mr. Connaughton asked the Minister for Agriculture and Food the position he will take to protect the incomes of sheep farmers during the Agenda 2000 talks; if he is pressing to have sheep included for extensification purposes; the contacts, if any, he has made with other EU Ministers for Agriculture who are likely to have a similar problem; and if he will make a statement on the matter. [5374/99]
While the Agenda 2000 proposals do not include specific proposals for the sheepmeat sector, the proposals to change the method for calculating stocking density for the extensification premium in the beef sector area have implications for sheep producers. The Minister, Deputy Walsh, has already raised this issue in the course of the negotiations on Agenda 2000, with a view to ensuring that whatever arrangements are adopted for the extensification premium do not impact adversely on the sheep sector. He has sought for some time the introduction of an extensification premium for the sheep sector but the EU Commission has not acceded to his request on the grounds that the cost of such a premium, in the Union as a whole, would not be justified as sheep production is already an extensive operation. The Commission also sees the existence of the rural world premium, which is paid to producers in disadvantaged areas, as taking the place of an extensification payment.
Securing the best deal possible for the sheepmeat sector will remain my concern during these talks. In the course of the preparation for the Agenda 2000 negotiations the Minister availed of every opportunity to put Ireland's case in a series of bilateral meetings with Commissioner Fischler and his colleagues in the Council.
Do I take it that both the Minister of State and his senior colleague understand the problems of the 46,000 Irish sheep farmers? If the extensification system goes ahead as currently proposed, farm animals will be counted as units but in the case of sheep they will not be paid for and even the best sheep farms will not be able to keep lowland sheep. Will the Minister of State put on record that the Minister, Deputy Walsh, will put the sheep regime at the heart of this week's negotiations in Brussels, so that nothing will be accepted until that question is dealt with?
I thank the Deputy for his support on television recently for the Minister and the Irish position. We are aware that if support for meat dropped by 30 per cent it would put tremendous pressure on the sheepmeat sector in particular. We have argued that extensification for sheep would be an easier way to get the proper level of production and support for the farmers concerned and would bring about a more measured response in that area. The Commission does not look at it that way; it argues that the rural world premium is extensification by another name. While there is no mention of sheep reform in Agenda 2000, the Deputy can be assured that the Minister will raise it as a priority in this week's discussions.
As the Minister of State is aware, we lag far behind our European partners in special ewe premium payments – French and Belgian farmers get far more for their lamb, despite the same special ewe premium being paid to all farmers across Europe. We are at a huge disadvantage. I accept that sheep are not involved in the CAP discussions but the knock-on effect of the proposals would be to wipe out the sector. On behalf of every sheep farmer in the country, I ask that the Minister not agree to anything unless this matter is resolved to Ireland's satisfaction. This must be one of our main negotiating planks because it is vitally important that the sheep industry is not side-stepped in Brussels on this occasion.
The Minister has made clear that he is determined to take a strong line in his talks and he specifically raised the sheepmeat issue because it is not on the agenda. We are aware that mixing sheep and beef farmers would drastically affect the position of sheep farmers. The Deputy will be aware that the rural world premium price is decided on as a European average, as previously negotiated. It does not particularly suit us but it may balance out over time. The Deputy can be assured that the Minister and his officials regard this as of prime importance, because we are aware that it is mostly small farmers who will be hit.
