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Dáil Éireann debate -
Tuesday, 30 Jan 2001

Vol. 529 No. 1

Written Answers. - Bovine Disease Controls.

Michael Creed

Question:

393 Mr. Creed asked the Minister for Agriculture, Food and Rural Development the level of compensation available from his Department for various categories of animals arising from a BSE outbreak in a cattle herd; the time frame for the negotiations on the compensation package in an individual case; and the time frame for the removal of animals from an infected herd. [1552/01]

The conditions governing compensation payable to herdowners is established in legislation. The valuation methodology seeks to ensure that the value determined is in conformity with the statutory provision and that there is consistency in the determination of valuations. In addition, a herdowner has access to an appeals procedure in the event that he does not agree with the initial valuation in respect of depopulated animals.

The compensation applied to depopulated herds as a result of BSE is set out in the Diseases of Animals (Bovine Spongiform Encephalopathy) (Amendment) (No. 2) Order, 1990 (S.I. No. 195 of 1990), Article 4 of which provides that the compensation payable shall be an amount equal to the market value of the animal. This is further clarified in Article 4(3) where "market value" is defined as the price which might reasonably have been obtained for the animal at the time of its slaughter from a purchaser in the open market.

The compensation applied to the suspect animal is laid down in Article 2(1) of the Diseases Animals (Bovine Spongiform Encephalopathy ) (Amendment) Order, 1990 (S.I. No. 98 of 1990). This provides for compensation as follows: (a) where the animal was an affected animal, either (i) the market value of the animal, or (ii)the average price in respect of the month which occurred two months prior to the month in which the animals was slaughtered, whichever is the less, and (b) where examination of samples taken from the animal slaughtered does not confirm that it was an affected animal, the market value of the animal.

Valuation of the suspect animal takes place when it is decided to treat that animal as a BSE suspect by a Department veterinary inspector. A Department valuer normally makes contact with the herdowner shortly after positive confirmation of BSE with a view to valuation of the herd being carried out within two weeks of the date of positive confirmation of BSE. Following that initial meeting there is no fixed time frame laid down in legislation for the valuation to be agreed. The herdowner may need time to consider the initial valuation or, alternatively, may wish to avail of the appeals procedure laid down in the Diseases of Animals (Bovine Spongiform Encephalopathy) Amendment) (No 2) Order, 1990 (S.I. No. 195 of 1990). The latter provides for recourse to an independent valuer and ultimately to an arbitrator, should the herdowner wish to pursue this course of action. There is currently a backlog of BSE herds awaiting valuation, but my Department is endeavouring to clear this within the next few weeks.

The herd will normally be slaughtered within one week of the conclusion of the valuation process although this can vary having regard to the size of the herd and the capacity in the sole approved slaughtering plant for BSE in the country.

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