I would like to thank the committee for inviting me here, again, today to speak about the commitment in the programme for Government which seeks to negotiate the establishment of an all-Ireland GM free zone. As Minister of State, the key objectives I am pursuing relate to wider issues that this is part of and these are to enhance the premier position held by Irish agriculture in the European market; to ensure that Ireland becomes less dependent on imported feed and to ensure secure, sustainable and affordable supplies of feed for Irish farmers; and to secure affordable supplies of organic and non-GM feed for those Irish farmers who are pursuing emerging organic and non-GM markets. I believe the fulfilment of these objectives is essential to the future success of Irish agriculture.
The issue of modern biotechnology has become very topical over the past decade or so. We all see, and many of us have experienced, the benefits biotechnological advancements in the area of medicine and pharmaceuticals have brought and I wholeheartedly applaud advancements such as developments in the production of insulin for the treatment of diabetes. However, it is the use of this technology in the area of modern agriculture and food production that is causing concern.
Last year over 95% of all GM cultivation took place in six countries as follows: The US — 50%, Argentina — 17%, Brazil — 13%, Canada — 6%, India — 5% and China — 3%. Four GM crops make up almost 100% of the cultivation: GM soya — 57%, GM maize — 25%, GM cotton — 13% and GM oilseed rape — 5%. The latter is referred to in the US and Canada as canola.
Various EU consumer and market surveys have shown that people have concerns about the use of this technology in the open environment. I am sure it will come as no surprise that I share many of those concerns. The Council of Ministers and the European Parliament has introduced GM legislation which governs the approval, cultivation, use and labelling of GM products. This legislation is binding on all member states.
There is now a high degree of resistance within the EU to the introduction of GM crops and products. This has been reflected in votes at the EU Council of Ministers. Surveys have shown that in excess of 70% of EU consumers have indicated a preference for food products derived from animals not fed on GM feedstuffs. I believe it is in the interest of all involved in marketing Irish food to take cognisance of this.
Notwithstanding the fact that all of the GM applications considered by Council since July 2003, with one exception, were for the importation of food or feed consisting of or containing a GM event, rather than for cultivation, none achieved qualified majority support from the member states. Ireland's abstention on the recent votes on approving GM feed was the most appropriate position to take given that a process has been established involving relevant Departments — the Department of Agriculture, Fisheries and Food, the Department of Enterprise, Trade and Employment, the Department of Health and Children and the Department of the Environment, Heritage and Local Government — to elaborate this commitment and tease out its implications for policy. The French, Italians and others are involved in similar processes, and some have gone considerably further than Ireland, indeed, as we may be able to discuss later.
As EU Governments, in line with consumer surveys, have been reluctant to approve these products, it has fallen to the Commission, under comitology rules, to approve applications. In Ireland, we do not have, and we never have had, any commercial cultivation of GM crops. This situation is likely to continue, and that is the feedback I get from talking to farm organisations as well. I acknowledge that in the past 12 months there have been difficulties for farmers depending on feed concentrates, with the price of imported feed materials increasing by as much as 80%. The following are the main factors involved: increased demand worldwide for which there are many reasons, not least population growth; diversion of feed for the production of biofuels, which has made an enormous impact in the US; reduced supplies arising from the unfavourable weather conditions and climate change effects in several cereal producing regions such as Australia which has been severely affected; increased freight charges, a growing problem with peak oil on the horizon and oil prices now breaking the $100 a barrel mark; increased fertiliser prices, given that fertiliser is so energy dependent; Ireland's dependence on international feed markets; and trading difficulties due the lack of synchronised GM feed authorisation processes between the USA and the EU.
Some of these issues were covered by officials from my Department who appeared before the committee on 23 January 2008. I can assure the committee that the Department is doing all it can to address the current feed price situation. Last Friday, I visited a number of feed mills and spoke with farmers who are facing major difficulties in covering the rising cost of feed. I have consistently said that the commitment in the programme for Government is not about banning imported feed but rather about seeking to negotiate the establishment of an all Ireland GM-free zone so that we can avoid the release of live GMOs into the Irish environment. We are thinking of all farmers in this regard, not just organic farmers. Conventional farmers would also be affected if crossover were to occur with GMOs. The process of elaborating and teasing out the implications of the commitment is ongoing. A senior officials group chaired by the Department of the Taoiseach has considered matters and has identified issues which arise. These issues have been referred back for further evaluation and consideration to individual Departments.
Several Departments have responsibility for aspects of GM policy. The Department of the Environment, Heritage and Local Government has responsibility for the deliberate release of GMs into the environment, including for crop cultivation. The Department of Health and Children has responsibility for GM food safety and consumer protection. The Department of Agriculture, Fisheries and Food has responsibility for the regulation of GM feed and seeds, including the co-existence of GM crops to ensure compliance with GM labelling regulations, if such crops were ever to be grown in Ireland. The Department of Enterprise, Trade and Employment has responsibility for developments in the biotechnology industry and in research and development.
Issues relating to the initial authorisation or otherwise of crops for cultivation in Ireland are primarily a matter for the Minister for the Environment, Heritage and Local Government. However, my Department will work closely with that Department to ensure that all relevant factors are fully considered in decisions to be taken.
In conclusion, I would like to refer again to my own objectives as Minister of State, which are to enhance the premier position of Irish food in the European market, to secure sustainable and affordable supplies of feed for Irish farmers, and to encourage and facilitate those Irish farmers who are pursuing emerging organic and non-GM markets. A significant number of conventional and organic farmers are finding that non-GM feed is difficult to source, and that organic feed is being bought by non-organic farmers who want to avoid a GM component. If they are selling to any one of the large multiples that have specified a non-GM feed, such as Coop Italia, they are left with few options. These objectives build on the excellent work carried out by Bord Bia to promote Ireland as a clean, green quality food-producing island. We need to ensure that such a reputation is upheld, and the attainment of the objectives is essential for Ireland's economic well being. I hope that we can work together to ensure that we build that reputation as a clean, green food island.
