Dáil Éireann debate -
Thursday, 15 Feb 2001

Vol. 530 No. 5

Written Answers. - German Beef Prices.

Alan M. Dukes

Question:

39 Mr. Dukes asked the Minister for Agriculture, Food and Rural Development if he has carried out any investigations to determine if the price of German bull beef currently available on the Irish market has been influenced by trade practices which are contrary to EU rules; and if he will make a statement on the matter. [4095/01]

Breeda Moynihan-Cronin

Question:

55 Mrs. B. Moynihan-Cronin asked the Minister for Agriculture, Food and Rural Development his views on whether the continuation of a supply of German meat on the Irish market is contributing to the low market price for Irish beef; if he has discussed this matter with his German counterpart; and if he will make a statement on the matter. [4232/01]

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

I propose to take Questions Nos. 39 and 55 together.

I am not aware that the price at which German young bull beef is available in Ireland is in anyway influenced by trade practices which are contrary to EU rules. The import of German beef into Ireland is due to the substantial surplus of beef in Germany because of the sharp decline in consumption in that country as a result of the BSE situation there. The fall in consumption has resulted in a considerable fall in cattle prices in Germany and the price for young bulls in Germany is now substantially lower than the price for steers in Ireland. The most recent figures available show that prices for young bulls in Germany are on average 51% of the intervention prices whereas prices for Irish steers are 79% of the intervention price.

There is no evidence that the import of German beef into Ireland is responsible for low cattle prices in Ireland. I am concerned, however, that competition from low priced German beef on the EU market is exerting considerable downward pressure on Irish cattle prices. German prices have fallen below the safety net level for intervention purchasing and it is likely that a substantial quantity of German beef will be accepted into intervention at tomorrow's meeting of the beef management committee. In addition, I understand German exporters have recently concluded contracts for the export of bull beef to Russia. These developments should lead to an increase in German prices in the coming weeks.