Dáil Éireann debate -
Tuesday, 9 Nov 1999

Vol. 510 No. 3

Written Answers. - Sheepmeat Sector.

Johnny Brady

Question:

32 Mr. J. Brady asked the Minister for Agriculture, Food and Rural Development the safeguards, if any, which exist to prevent New Zealand and other international suppliers from flooding the EU market with sheepmeat; and if he will make a statement on the matter. [22337/99]

Billy Kelleher

Question:

52 Mr. Kelleher asked the Minister for Agriculture, Food and Rural Development the principal recommendations of the sheep forum; the timetable set for their implementation; the mechanisms, if any, in place to ensure implementation; and if he will make a statement on the matter. [22327/99]

John Moloney

Question:

57 Mr. Moloney asked the Minister for Agriculture, Food and Rural Development the level of lamb imports; the type of products being imported; the efforts, if any, being made to promote Ireland's developed markets for home produced lamb; and if he will make a statement on the matter. [22403/99]

Minister for Agriculture, Food and Rural Development (Mr. Walsh)

I propose to take Questions Nos. 32, 52 and 57 together.

Under the current WTO agreement and other international agreements, concessions have been given to 14 third countries which permit the import of specific quotas of sheepmeat into the European Union, at zero or reduced rates of tariff. In practice, it is rare for exporting countries to fully utilise their quotas.

The bulk of imports into the EU under the WTO agreement come from New Zealand which has a quota access of 226,700 tonnes. I accept that these imports can create difficulties on the EC market and both I and my French colleague have maintained pressure at EU level to limit the effects. Immediately following the 1995 WTO agreement, the European Union sought and secured a unilateral agreement with New Zealand, in the form of a gentleman's agreement, that imports from New Zealand would not disturb the EU markets. This arrangement has proved an effective instrument, but has not of course eliminated the overall effect of imports on the EU market. Following complaints from EU countries, the New Zealand meat authorities have agreed to moderate their trade initiatives in the face of particular difficulties on a number of occasions, most notably in the early months of this year when the UK market was undergoing particularly difficult conditions.

With regard to the sheep forum, the specific objectives which I set for the sheepmeat forum were to evaluate the future direction of the sheepmeat sector and to assess how the industry can address existing constraints and future challenges.

The recommendations made cover four broad areas including marketing, the production of quality lamb, improved efficiency at farm level and the policy changes needed at EU level in order to remove certain inequities in the operation of the ewe premium scheme.

As far as marketing is concerned, the forum recommended that promotion activities should focus both on the home and export market and should seek to identify Ireland as a source of quality lamb reared in a clean and natural environment. The forum also recommended that payment for lamb should be more clearly linked to quality and that the EUROP classification grid should be used to grade carcases at all processing plants. The introduction of a sheep traceability programme was also recommended as the basis for a future lamb quality assurance scheme. The forum also identified several areas for improvements in the more efficient production of sheep, in particular, in breeding and cost reduction. On EU policy, the forum identified a number of deficiencies in the current support regime and recommended changes to be made in order to provide better income support for Irish sheep producers, including the introduction of an extensification premium for sheep. The forum looked also at the impact of the import of New Zealand lamb on the EU market and recommended a number of ways to limit the effects of this on Irish export markets.

Implementation of the recommendations is part of an ongoing process that has already commenced and my Department will be working in partnership with all interests including the producers, processors and State agencies to secure their successful implementations.

With regard to imports of lamb into Ireland, published CSO statistics show that 1,699 tonnes of sheepmeat were imported into Ireland in 1998. This comprises trade with EU member states and third countries. The single non-EU supplier is New Zealand, which exported approx 720 tonnes into Ireland under the WTO Agreement. This consisted of frozen product, mainly boneless mutton and boneless lamb cuts. Lamb imported from other member states is fresh product, mainly in carcass form.

Although domestic demand accounts for only 25 per cent of Ireland's lamb trade, I attach considerable importance to effective promotion on the home market. An Bord Bia operates market development and promotional programmes, tailored to the various seasons of the domestic market, in which the quality and attractiveness of home produced lamb is highlighted. An Bord Bia has recently competed a round of advertising for lamb in the national press in order to increase domestic consumption of lamb generally. There was also a further campaign for the promotion of mountain lamb focusing on the catering sector, particularly in premium restaurants where mountain lamb is produced.

An Bord Bia will continue to keep the promotion of lamb under review.