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Dáil Éireann debate -
Tuesday, 7 Dec 1999

Vol. 512 No. 3

Written Answers - Pigmeat Sector.

Cecilia Keaveney

Question:

160 Cecilia Keaveney asked the Minister for Agriculture, Food and Rural Development the position in relation to the resolution of the difficulties experienced by pig farmers in the Border counties; and if he will make a statement on the matter. [25983/99]

Brian O'Shea

Question:

166 Mr. O'Shea asked the Minister for Agriculture, Food and Rural Development the measures, if any, he has to assist pig producers in the present crisis; and if he will make a statement on the matter. [26046/99]

I propose to take Questions Nos. 160 and 166 together.

The international pigmeat market has been experiencing serious difficulties over the past year or so due to the combination of over-supply of pigs and substantially reduced demand in the traditional import markets of Russia and the Far East. Ireland's pigmeat sector has not been immune from these developments.

In response to the serious effects of this situation on the incomes of Irish producers, I negotiated increased support arrangements at EU level including substantial export refund increases, a generous subsidy for private storage of pigmeat and a major food aid package to Russia, which included 100,000 tonnes of pigmeat. Despite the positive effects of these measures, the situation is still not satisfactory and there is much more ground to be covered in relation to improving the income levels of producers. In this regard, I have raised the weak market situation at the most recent EU Agriculture Council meeting and, along with a number of other member states requested further market support to be put in place. I am continuing to press the matter at EU level.

At national level, I had meetings recently with the feed suppliers and the banks to ensure they did all in their power to support producers at this time. I met also with the pigmeat processors to ensure that everything possible was being done in terms of slaughtering schedules and marketing initiatives to lessen the adverse effects of the market weakness on the primary production sector. In terms of processing capacity, I have asked Enterprise Ireland to examine the situation as a matter of urgency and to consider the current structure of the industry.

I am particularly aware of the difficulties being experienced by certain producers in the Border regions, who suffered losses as a result of the fire at a processing plant in Northern Ireland. I have been in contact with the Commission in relation to these producers and have put certain ideas to Commissioner Fischler. While there are serious constraints arising from the EU state aids provisions, contact with the Commission is nevertheless ongoing.
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