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Seanad Éireann debate -
Thursday, 19 Jul 1979

Vol. 92 No. 15

Córas Beostoic agus Feola Bill, 1979: Second and Subsequent Stages.

Question proposed: "That the Bill be now read a Second Time."

The fundamental importance to the economy of our trade in meat and livestock is well recognised and so is its potential for further development. The aim of the Bill now before this House is to provide the means by which this potential may be translated into fact.

Irish beef production, both at farm and at factory level, is in a healthy state but the marketing end of the industry is less satisfactory. The base on which we are now building dates from the establishment of Córas Beostoic agus Feola Teoranta as a limited company in 1969. Its main functions were to promote exports of cattle and sheep and meat—but it had no selling role at all. Despite its narrow brief CBF has made a big contribution in developing exports of Irish livestock and meat. I am convinced that more can be done, provided we give CBF a more involved role in the industry and back it up with enough funds to make its presence felt. This is why I am proposing the winding up of CBF Teoranta, its replacement by the new, statutory, CBF, and the granting to the new body of wider powers than its predecessor enjoyed.

The main features of the Bill, therefore, are to provide CBF with a wide promotional role, to give it limited trading powers and to enable it to finance part of its operations by means of a small levy on the industry. For this purpose the board will be restructured and outside assistance can be enlisted in an advisory capacity through a system of committees. Essentially, therefore, what I am setting out to do is to secure further development of the meat and livestock trade particularly in the export area, but I am asking the industry which benefits from the board's work to make a contribution towards the cost of that work. It is a big and prosperous industry and well able to afford it.

I am happy to be able to say that, apart from some points of detail, the Bill received a large measure of support in the Dáil. All parties have recognised the need for more vigorous action in this field. I am confident that this House will also show its support for a measure designed to help everyone who is involved in the livestock and meat industry. Many of the provisions in the Bill could be regarded as standard for statutory bodies so perhaps I need only mention the distinctive features of the Bill.

First of all a part of CBF's income will now come from the industry through a levy of 50p on cattle and 5p on sheep. These are smail sums compared with the present price of cattle and sheep. This levy will on the one hand ease the burden on the Exchequer—though Exchequer support will continue—and on the other hand will ensure the active commitment of the industry to the board.

CBF will also have a selling role, which its predecessor did not have. There is no question at all, however, that CBF will go into competition against existing export interests. Their role will be confined to seeking out new markets and, at least in the begining, efforts will be limited to third country markets. CBF will also have a new role in encouraging meat consumption on the home market, a natural consequence of collecting a levy on slaughterings for the domestic trade.

There will be a board of ten. I have deliberately kept it small so that it will be able to function most effectively. For a board of this size, it is difficult to get agreement from all the interests concerned that their representation reflects their contribution to the trade. I have, of course, taken into account the views expressed by interests most affected by this legislation, namely, the Irish Fresh Meat Exporters Society Ltd., the Irish Farmers Association, the Irish Creamery Milk Suppliers Association, the Irish Agricultural Organisation Society Ltd., the Irish Livestock Exporters and Traders Association Ltd., the Irish Master Butchers Federation and CBF Teoranta. Lengthy discussions with all of these interests took place. All things considered I think they will agree that the proper balance has been struck between "small" and "representative".

Whilst the board itself will number only ten, CBF will have freedom to draw from outside its own membership for advice in relation to its statutory functions. All the expert knowledge of the industry will, therefore, be at its disposal through a system of committees, though all decision making will, naturally, remain in the hands of the board itself.

We had a constructive debate in the Dáil and I hope I can look forward to equally constructive contributions from Members of this House.

I commend this Bill to the House.

We do not have any objection to this Bill, even though we have argued against a levy system. The levy proposed here is small and we realise that a new CBF will have to be financially sound. The levy is a small percentage of what farmers will receive through the involvement of this new CBF. We are also happy with the setting up of the new CBF because we realise it will be the Bord Bainne of the beef industry. If it functions as well as Bord Bainne does we will have nothing to fear. I am sure the new CBF will from time to time examine the development of Bord Bainne and will benefit from the knowledge it will get from that examination. We accept that the beef industry is vital and that it can be further developed. I am sure this board will examine the method of production within the industry itself. We have peak and valley periods in that industry and if we could get out of that situation and have a level system of production, not alone would the farmers benefit but the country as a whole would benefit from the extra financial benefits.

Will this new board be involved in the development of processing of meat in the country? In my opinion too much beef is exported on the hoof. It is necessary that some percentage be exported on the hoof but the percentage at present is much too high. Perhaps that is occasioned by the peak and valley situation obtaining or because more finance can be obtained from exporting beef on the hoof. We should do what is best for all our people which means processing the meat at home. The packaging of the meat is all important. Over the years Board Bainne have developed a packaging system in the dairy section. I am sure that information can be made readily available to CBF.

There is also the peak and valley situation to be examined. It is important that the meat be exported when the price is at its highest level to reap the maximum value. At home we endeavour to keep meat prices as reasonable as possible for the housewife. When we export it should be the function of CBF to get a maximum price for our meat. In this country there are only 6,000 to 8,000 employed in the meat industry at factory level. In my opinion that is a very low figure and should be increased substantially in order to have more of our meat processed at home. If we were to process as much meat as possible at home we could double or perhaps treble the number of people employed in that industry especially in rural areas. Such employment creates development within an area, thereby creating more jobs. We should like to see such development taking place in rural Ireland. I am sure the new CBF board will be interested in that development also.

There is very little more I can say on this Bill except to wish the new CBF all the help it should and can get from our farmers who will be represented on the board. As the Minister said, the board will consist of the Irish Meat Exporters' Society Limited, the Irish Farmers' Association, the Irish Creamery Milk Suppliers' Association, the Irish Agricultural Organisation Society, the Irish Livestock Exporters' and Traders' Association and the Irish Master Butchers' Federation.

I would also like to recommend to the Minister that perhaps the consumer should be represented on the board. The consumer, especially the housewife, will hardly be represented on the board because the women of Ireland take little active interest in those associations. I know that, in principle they are interested but their active interest is vital in the CBF Board. They are the people who cook and serve the meat. They would know better than would the menfolk how meat should be presented to the housewives, not alone of Ireland but of Europe, and would be able to render valuable advice to this new board. I would recommend also that the Irish Countrywomen's Association be represented on the board.

I join Senator Butler in welcoming the establishment of this board, to express the hope that it will be successful and do for our trade in meat and livestock what Bord Bainne have done for the dairying industry and that this new board when set up will display the same expertise and initiative as have Bord Bainne. I regard Bord Bainne as one of the great successes amongst State boards. I sincerely express the hope that this new CBF will attain the same high standard.

I should like to thank both Senators for their contributions to the debate and their acceptance of the Bill as proposed. There is an acceptance by everybody that some such board is necessary in order to promote the sale of cattle and beef, so vital to the national economy. I have high hopes that the board now being setup will do just that and will try to resolve any of the problems affecting the sale of Irish cattle and beef in foreign markets. The board have a very useful role to play and I am happy the House has accepted that.

Senator Butler mentioned the board's possible role in the processing business. They can and will be able to encourage the development of processing. Indeed, also in the selling of such meat the CBF will play a useful role in trial shipments on behalf of any processor developing new products or seeking new markets, but their role would be confined to that operation.

Representation of the Irish Country-women's Association is something the Minister will have to consider when setting up the board. I am sure he will be inclined to afford as wide a representation as possible to the interests involved in the meat and processing business but the main role of the CBF will be on the export side. Senator Butler also mentioned the peaks and valleys in beef production. Admittedly these constitute a big problem. Our factories can get as many as 40,000 cattle a week and as few as 10,000. This is the unfortunate situation obtaining in this country. Our problem is our dependence on grass which is cheap but, of course is also highly seasonal and naturally it dictates our supply of cattle to the factories. These are the two points that Senator Butler has made. Again I thank Senators for their acceptance of the Bill.

Question put and agreed to.
Agreed to take remaining Stages today.
Bill put through Committee, reported without amendment, received for final consideration and passed.
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