In the aftermath of the EU ban in November 2000 on the feeding of MBM to cattle, the Exchequer supported the livestock and meat sector by subsidizing the rendering and destruction of the product (costing €146m between 2001 and 2003), as did most other EU countries. The costs of dealing with MBM have since largely been passed back to industry.
The storage of MBM cost the State €25.3m in respect of material placed in store during 2001 and 2002. Storage costs were subsequently passed back to industry and are now a matter for commercial negotiation.
Compilation of statistics by my Department on the production and disposal of meat and bone meal (MBM) commenced in 1999. The amount produced, the costs of disposal incurred in respect specifically of MBM stored on behalf of State and the payments made to the rendering industry under the Fallen Animals Scheme up to 2007 are as follows:
|
MBM Produced
|
Disposal costs incurred by the State
|
Payments to rendering plants under the Fallen Animals Scheme
|
|
’000s tonnes
|
€m
|
€
|
|
1999
|
149
|
—
|
—
|
|
2000
|
137
|
—
|
—
|
|
2001
|
166
|
—
|
1,192,533
|
|
2002
|
145
|
8.8
|
17,038,246
|
|
2003
|
138
|
17.7
|
15,706,183
|
|
2004
|
139
|
12.3
|
12,178,708
|
|
2005
|
143
|
11.7
|
13,398,418
|
|
2006
|
152
|
5.2
|
12,709,344
|
|
2007
|
150
|
0.2
|
13,643,824
|
In the aftermath of the EU ban all MBM had to be stored or exported for disposal by incineration or co-incineration. There are now a number of additional outlets for this material. MBM is being used to make fertiliser, it is being used as an ingredient in petfood and also as a co-fuel in the cement industry. My Department is also aware of a number of proposals to use MBM as a fuel for generating electricity.
The State has provided substantial funding towards the disposal of MBM over the past decade. This was justified as part of our response to the BSE crisis and as a means of protecting our valuable beef industry. In view of our current budgetary constraints, the greatly reduced incidence of BSE, the imminent increase in the BSE testing age to 48 months and the increasing number of outlets for MBM it is now appropriate to reduce the level of State funding in this area. My officials are conducting ongoing discussions with representatives of the rendering industry, fallen animal collectors and farmers on this matter.
