The calculation of the annual ewe premium is based on a single income loss which is the difference between the basic price and the average EU price. This system was introduced in 1992. Prior to that the ewe premium was based on regionalised prices rather than prices in individual member states. A system based on Irish prices alone would be beneficial for Irish producers.
I have made strong representations to the EU Commission and to the Council of Agriculture Ministers over the years and most recently I raised it again at the recent sheepmeat conference in Brussels. I pointed out in particular that the question of the income gap between Irish and other EU producers needs to be addressed in any reform of the regime.
I will continue to press our case for a reform of the sheepmeat regime which addresses this issue.