Vol. 508 No. 4
148 Mr. B. Smith asked the Minister for Agriculture, Food and Rural Development if he will give details of the aid scheme implemented in Northern Ireland in favour of pig producers; if similar support will be introduced for producers in the Border counties who also suffered a severe drop in prices; and if he will make a statement on the matter. [19106/99]
The situation which prevailed in Northern Ireland was quite different to the problems experienced here. The aid scheme in Northern Ireland was introduced on animal welfare grounds. Following a fire at a pigmeat plant there, a backlog of overweight and potentially unsaleable pigs built up arising from a loss of approximately 40 per cent of the slaughtering capacity in the region and in turn to severe overcrowding on holdings as pig producers were unable to find alternative slaughtering outlets.
In the Republic, pig producers in the Border counties, while initially experiencing some difficulties in getting pigs slaughtered, were facilitated by the reopening of a pigmeat plant in Cavan which provided an increase in slaughtering capacity for the region. In addition two more plants, in County Westmeath and County Meath, were given EU export status further increasing slaughtering capacity for the region. Also overtime and weekend slaughtering at certain other EU approved export plants was arranged, and led to the backlog being quickly eliminated.
While pigmeat prices paid to producers at the time were low throughout the EU, the generous increases in export refunds, the introduction of an aids to private storage scheme and the agreement of a food aid package for Russia, which included 100,000 tonnes of pigmeat, all combined to strengthen and improve the pigmeat market.
Pig prices have increased substantially since the beginning of the year and indications are that the market will improve further. In the circumstances of the current state of the pigmeat market, the introduction of an aid scheme for pig producers would not meet with EU Commission approval.
Commission Decision 1999/591/EC of 9 June 1999, which contains details of the aid scheme introduced in Northern Ireland clearly shows that it was the exceptional circumstances of the case which allowed aid to be paid for pigs to be removed from the food chain and sent for rendering. It also indicates that the prices paid to Northern producers for their overweight animals – 110 kg. liveweight and above – was set at a maximum of £30 sterling per pig which is equivalent to about IR£36. Average prices paid to producers in our Border counties during this time were considerably higher. I will arrange for a copy of the Commission decision to be sent to the Deputy.
