Dáil Éireann debate -
Tuesday, 25 May 1999

Vol. 505 No. 3

Written Answers. - Pigmeat Sector.

Michael Ring

Question:

26 Mr. Ring asked the Minister for Agriculture and Food if he has met with the pig sector; if so, the individuals he met; the dates of these meetings; if his attention has been drawn to a major income crisis in the industry; and the plans, if any, he has to resolve this crisis. [13793/99]

Minister for Agriculture and Food (Mr. Walsh)

I am acutely aware of the difficult market situation in the pigmeat sector and the consequences of this for producers. The situation is not unique to Ireland and the problems deriving from an oversupplied market are worldwide. Within the EU, I along with a number of my colleagues in the agriculture council have requested the Commission to take action both in terms of market support measures and other measures in order to alleviate the situation. There was a full discussion on the situation at the most recent Council of Ministers. I intend to maintain pressure at EU level for appropriate action.

Since the market difficulties first began to have effect, I have taken action on a number of fronts. With regard to export refunds, I, along with my colleagues from other member states, secured substantial increases from the EU Commission on four occasions last year. In February of this year I followed this up by securing a further increase, when refunds for certain processed products for Russia were enhanced by 47 per cent to 80 per cent.

I secured agreement from the EU Commission for the introduction of a scheme of aids to private storage, under which EU funding is provided for the storage of pigmeat for a maximum period of six months. The scheme is still running and to date over 300,000 tonnes of pigmeat have been temporarily taken off the Community market.

At the end of last year the Council of Agriculture Ministers decided on a food aid package for Russia, which includes 100,000 tonnes of pigmeat. This package, when concluded, will have a positive effect on the market. An Bord Bia launched an extensive promotional campaign for bacon earlier this year. This campaign was aimed at the consumer who was encouraged to buy qual ity assured bacon. The campaign helped sales thus improving the market.

A number of different meetings have been held at ministerial level with representative organisations. Since the start of the problems in the pigmeat sector my Department has been in regular contact with the organisations representing both the production and processing side of the industry and have had numerous meetings. Towards the end of last year I called in representatives of the banking organisations and the pigfeed providers who gave an assurance that every possible support would be given to their clients operating in the pig sector.

It is worth noting that pigmeat prices have risen by nearly 4 per cent since the beginning of the year and I am hopeful that this trend can be continued.