I move:—
That with a view to securing an economic price for fat cattle the Seanad is of opinion that export licences for beef carcases should be granted without delay in all cases where suitable abattoir and other facilities are available.
When I first put this motion down I was not quite sure if I had stumbled on a mare's nest or not, but, in view of the information which has reached me since yesterday, I am rather inclined to think that, perhaps, the kind of nest on which I have stumbled is a hornet's nest. I am not quite sure whether a mare is a kind of bird that dirties its own nest but, if so, this situation created by the absence of adequate facilities for the export of beef carcases has something in it of the quality both of a mare's nest and of a hornet's nest—it is not without sting and it is not without stink, if I may be pardoned the use of the word. I would like that the House should assist the Minister in every possible way in drawing the sting from this economic situation and removing the stench which has arisen in connection with it. We wish to help the Minister in this useful decontaminating process.
Although I use a rather strong metaphor, I am not suggesting that there is any moral stench, but only a kind of economic stench arising from the fact that, owing to a peculiar situation, certain persons occupy a monopoly position and have been able to exploit that monopoly position in such a way as to pay the farmers—the producers of the fat cattle—a good deal less than a fair price for those cattle, while, at the same time, they have charged the full price, if not more, to the Dublin butchers who ultimately use those fat cattle. The stench, then, is not a question of any kind of dishonesty but a question of an economic situation which we would like the Minister to clear up. The best way to clear up that economic situation, which results primarily from the glut of fat cattle in the home market, is to increase in every possible way the facilities for the export of beef carcases to the British market. In that way, most conveniently to all concerned, the surplus cattle available for slaughter can be disposed of, and people—no matter who they are—buying cattle for the Dublin market will have to compete with the export price in the payment they make for those cattle, and that price will be such that the farmer will look forward to receiving it and it will give him no just cause for complaint.
Consequently the emphasis is on the desirability of extending abatoir facilities wherever possible, so as to take care of the surplus of fat cattle now ready for slaughter and which the home market is unable to absorb. Let me remind the House briefly of the facts which constitute the background of this economic situation. As we all know, owing to the foot-and-mouth disease, we can no longer export live stock on the hoof. Owing to a very satisfactory arrangement made by the Minister with our neighbours, about three months ago—an arrangement contemplating a higher price for our finished fat cattle, when sold fat in the British market, than any we had yet received in recent years—it was possible for the Minister to recommend that our farmers should stall-feed a considerable number of our fat cattle this winter. I join with the Minister in welcoming the fact that, for the first time in our recent economic history, stall-feeding appeared to be an economic and profitable proposition.
Our farmers, especially in the Minister's own county, Wexford, and in Louth, and, doubtless, in other counties, took the Minister's advice and stall-fed considerably more cattle this winter than was enough to supply the needs of the home market. Then the outbreaks of foot-and-mouth disease came, and our neighbours made it impossible for us, for obvious reasons, to sell any of those fat cattle, or, indeed, any fat cattle on the hoof in their country and, consequently, the only way in which we could dispose of our surplus fat cattle was by selling them in the form of beef carcases. We heard, much to our satisfaction, that the Minister made an arrangement with our neighbours by which they would take any reasonable quantity of beef carcases at prices corresponding to the live-weight prices which had formerly been arranged. We thought that in that way the situation with regard to the surplus beef cattle would be taken care of, but for some reason, unknown to me, there seems to have been some delay in some parts of the country in arranging for the establishment of, or allowing the local people to establish abattoirs in which they might kill cattle for export as beef carcases to our neighbours. Apparently, it is necessary to receive the permission of the State in order that one should export beef carcases. I do not know why, unless, perhaps, there is some sanitary reason which makes it desirable in the public interest that beef carcases should not be produced except on premises which reach a certain standard of fitness.
Anyhow, licences are required and my complaint is that in at least one instance known to me, there has been considerable delay in the provision of that licence, and, in consequence, the farmers all round that district found themselves at the mercy of the "big five", the members of the Emergency Purchasing Commission, who came down to buy beef in a glutted market for the Dublin consumers' market. According to my information, these buyers played off one farmer against another and they offered prices on a take-it-or-leave-it basis, with a distinct understanding that if the farmer did not choose to accept those quite inadequate prices, he would be put in the black books of that organisation and might be sorry for himself afterwards. The result of that has been that while farmers are fuming about what they consider a serious grievance they are quite reluctant to give the facts of the case to people like me who might ventilate those cases with greater confidence if I had been able to appeal to definite concrete cases. Owing to the absence of these facilities for exporting beef carcases, the big five were buying cattle, at the rate of about 1,000 a week, for about £5 a head cheaper than the price that the farmer had reasonably looked forward to getting, and which he would have got if he had been free to export the cattle in the form of beef carcases. Yet, the same "big five" were selling those cattle at completely normal, if not super-normal, prices, to the Dublin butchers, so that there appears to have been in recent weeks a matter of about £5.000 a week of abnormal profits which have disappeared into thin air, so far as the farmers producing fat stock are concerned, or so far as the butchers buying the cattle from the "big five" are concerned.
One of the things that I, and the public, would like to know about is, what has been happening to this £5,000 a week abnormal profits which have been passing through the hands of the "big five". The general impression throughout the country is not, perhaps, a very charitable one with regard to the interpretation of what became of that money. At all events, people do not believe that it was subscribed to the Red Cross Fund or contributed to the Comforts Fund for the National Army or the Local Security Force, so I would like to know where that money went, and whether sufficient steps have been taken to prevent that form of undesirable profiteering at the expense of the farmer and the consumers from taking place again. Of course the most efficient check would be to take care of the supply of surplus beef by way of the export of dead beef carcases which is recommended in this motion.
The farmers who stall-fed fat cattle for the last three months had reason to look forward to a price analogous to the price arranged for our export fat cattle during the coming six months, and here they find themselves disappointed of that price by as much as £5 a head. That is only one of other examples of the way in which farmers have been penalised for their virtues, and while I do not say that it is the fault of the Government, I do say it is a pity when that situation arises in which any business man, farmer or otherwise, should suffer more for practising sound business enterprise and civic virtue than if he played for safety and followed a different course. In the events which have happened, farmers would be better off if they did not take the Minister's advice, had not stall-fed large numbers of cattle, but fed only enough fat cattle to satisfy the requirements of the home market and sold all the rest as forward stores three months ago. In that case, this problem of a glut would not have arisen, and the loss of £5 a beast would not have been incurred but, of course, neither the Minister nor farmers anticipated the outbreak of foot-and-mouth disease which has caused all the trouble, and now the problem that faces us is partly related to that unfortunate situation.
The solution of it, as I have attempted to point out, is that, wherever possible, adequate facilities should be provided for the export of surplus beef carcases. If that is done, then I think we will have no further reason to complain of the prices paid to farmers when competition has been restored between the "big five" and the British importer. The farmers tell me that, owing to their difficulty in getting rid of all their cattle now ready for slaughter, the cattle are eating up food which would really be needed for other purposes, and perhaps for human consumption, in the course of the next few months. But they have to keep their cattle, in cases where they cannot sell them, longer than is profitable for them and they have to keep them alive in some shape or form. Consequently, it is in the interests of the country at any rate that these cattle should be disposed of by way of export in so far as they are not needed for consumption by our own people.
There is also the point that if suitable abattoir facilities were set up in Drogheda and elsewhere there seems no reason why the Dublin butchers should not buy their beef wholesale from these local abattoirs in competition with the British importer, and, in that case, it would no longer be necessary for the Emergency Purchasing Committee or any similar body to go around on foot visiting the farms of the sellers of fat cattle. I may say that these people in Louth and Meath do not at all appreciate visits of Dublin buyers coming from infected areas and infected yards in Dublin, bringing the possibility of foot-and-mouth disease to their own farmsteads which hitherto have been fairly free from that disease. If you adopt the method of buying the carcases wholesale from suitable abattoirs in Drogheda and elsewhere, there seems no reason why Dublin buyers, with the possibility of infected footwear, should pay any visit whatever to any farmstead in Louth and Meath.
The simplest solution of the whole problem is that the Minister will, everywhere where suitable facilities exist, allow abattoirs to function as producers of beef carcases for export or for consumption in the home market. Certainly a competitive price will then have to be paid which will be based on the price already fixed for export purposes. If the Minister can assure me that something on these lines is being done or is the policy of the Government, I personally will be only too happy to withdraw the motion. I think, in the meanwhile, it is an excellent thing that we should ventilate all the grievances that have been expressed, even though some of them may be without foundation, because it is better that things should be brought into open debate in a House of this kind rather than remain underground and germinate serious discontent.