I thank the Ceann Comhairle for allowing me to raise this important issue and the Minister of State, Deputy Ó Cuív, for coming here at such a late hour. The crisis that the livestock industry has come through since BSE closed most of our export markets was further compounded by the disaster of foot and mouth disease. The crisis is being exacerbated by the Government's failure to allow sufficient numbers of steers into the destruction scheme.
In the last two weeks, records made available to me have shown that in the week ending 12 May only 3,320 steers were taken by meat factories and only 3,220 steers were taken the following week. A letter from the Taoiseach on 9 May to the Joint Committee on Agriculture, Food and the Marine stated that the intake into the purchase for destruction scheme has decreased from 20,000 cattle per week to 10,000. This is due to commercial opportunities in Britain and the Netherlands as a consequence of foot and mouth disease. Up to 19 May, 97,000 fewer cattle had been slaughtered than during the same period in last year. Up to the same date, 185,000 fewer cattle had been exported live, so that by the end of this week there will have been a drop of 300,000 in cattle exports, whether live or dead.
All cattle going to the United Kingdom have to be under 30 months old and only top quality heavy cattle are going to Holland. There is no market for most Friesian cattle over 30 months old. I understand that Lebanon is demanding cattle 24 months old or under and I would not be surprised if Egypt were to demand similar terms when it resumes imports from Ireland. Farmers all over the country are begging factories to take steers into the destruction scheme, but there is and has been a massive backlog. One local agent has about 120 steers belonging to about 20 farmers, but he can only get about ten cattle away per week for each of the next four weeks. Another agent has over 300 steers on his waiting list but is unable to offload more than 30 to 35 per week. If he can only dispose of 130 cattle during the next few weeks, where will the extra cattle find a market in a small area?
Many farmers wanted to sell their cattle a long time ago but could not do so. The Minister for Agriculture, Food and Rural Development promised 20,000 cattle per week would be included in this scheme up to the end of June. I do not like the scheme and many farmers hate the fact that having looked after and fed animals for up to three years, the cattle are now being destroyed. The scheme was introduced as an income supplement support. I believe that if 30,000 extra steers were taken into the scheme a serious problem would be removed and the present price of about 90p per pound would be maintained. If the price drops by 10p per pound after 1 July and stays low for the rest of the year, the nation will lose between £100 million and £150 million.
I know of a small farmer with 13 steers who has being trying since April to have the animals killed. Only this evening he was told by a major factory that it would not know until Friday whether it had a quota for the destruction scheme next week. This was the third factory he phoned today. He also contacted agents. I welcome the Minister's announcement that Spain, Italy, Russia and the Lebanon are now open for business. Can he tell us when cattle can be moved and if and when the Egypt market will re-open? I and my Fine Gael colleagues encouraged and supported the Minister during the foot and mouth disease crisis. I beg him now to use the last four weeks of the destruction scheme to the best advantage and thus avoid a further crisis. The intervention price would be a disaster, and only cows are being allowed into the scheme after the end of June. Department officials have asked why farmers did not sell their cattle earlier. The records show that they tried but many had no choice but to hold them in order to utilise their grass because they were not allowed to buy other cattle. I urge the Minister to use the last four weeks to the benefit of all.