Bernard Durkan
Question:138. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine his expectations for further development of the beef industry; and if he will make a statement on the matter. [26529/14]
View answerThursday, 19 June 2014
Questions (138)
Written answers
One of my priorities since taking office has been the continued development of the beef sector. I have sought to ensure that beef farmers have the necessary supports to enhance the profitability and sustainability of their livestock enterprises. The broad outline for developing the beef industry in Ireland was set out in my Department’s Food Harvest 2020 (FH2020) strategy. The Beef Activation Group was established in February 2011 to consider the steps necessary to achieve the targets for the beef sector contained in the FH 2020 strategy. FH 2020 initiatives have had a positive impact on the beef sector since 2010 include: the launch by Bord Bia of the Origin Green Programme; the retention in 2012 of the Suckler Cow Welfare Programme; an increase in the number of advisors dedicated to beef in Teagasc; a trebling of the number of farmers in the ICBF Herdplus Programme; the launch of the Beef Technology Adoption Programme in 2012, worth €5m per year; the extension of the Teagasc / IFJ BETTER Farm Beef Programme to cover every county in Ireland.
This year, I announced details of an investment package worth up to €40m to beef farmers in 2014, aimed at sustaining a critical mass in the suckler cow herd, the seedbed for our beef industry. This package includes: €23m for the Beef Genomics Scheme; €10m for the Beef Data Programme; €5m for the Beef Technology Adoption Programme; & €2m in residual payments under the Suckler Cow Welfare Scheme. I also announced details in relation to the financial allocations for the new Rural Development Programme 2014-2020 (RDP) as well as outlines of the proposed measures for inclusion. The development of a new RDP will be a key support in enhancing the competitiveness of the agri-food sector, achieving more sustainable management of natural resources and ensuring a more balanced development of rural areas.
Under the new RDP, beef suckler farmers will be eligible for participation under a range of measures, including: a substantial new agri-environment/climate scheme (GLAS), which will build on the progress made under REPS and AEOS. This will provide for a maximum payment of €5,000 for up to 50,000 farmers and a further payment of up to €2,000 for a limited number of farmers who take on particularly challenging actions; continued strong support for disadvantaged areas (now known as Areas of Natural Constraint) to the tune of about €195 million per year; incentives for on-farm capital investment, including support for the expansion of the dairy sector following the abolition of milk quotas in 2015; knowledge transfer and innovation measures, aimed at underpinning farm viability, sustainability and growth through the adoption of best practice and innovative solutions; a new beef data and genomics measure worth up to €52 million per year aimed at improving the genetic quality of the beef herd; a separate strand of the support for on-farm capital investment will be ring-fenced for young farmers at a higher rate of aid intensity of 60%; & other supports aimed at collaborative farming, artisan producers, organic farming etc.
The Government is confident that this range of measures will, when taken together with other Pillar I direct payments, assist suckler farmers to improve their on farm viability.
Another aspect of my strategy for the continued development of the beef sector is to constantly develop relationships with existing and in new and expanding international markets, raising the profile of Ireland and increasing international confidence in Irish production and control systems. Since taking office I have led trade missions to China, the US, Algeria and the Gulf Cooperation Council (GCC) countries in the Middle East. The US has lifted its ban on the importation of beef from the European Union and my Department is currently working with the meat industry to advance the various technical requirements to ensure commencement of trade at the earliest possible date.
There is a strong demand for meat globally and my focus is aimed at enabling Irish exporters to take advantage of the opportunities that arise. My Department engages on a daily basis with many countries, in collaboration with Bord Bia and Irish embassies’ personnel, on market access issues. These initiatives have led to a number of notable recent successes in securing market access from authorities in Japan, Singapore, Egypt and Iran. This year to date we have agreed access terms with the Lebanon and Namibia. In 2013 the value of beef exports is estimated to have increased by 10%, driven by a 5% rise in output and a similar jump in average prices. As a result, exports were valued at €2.1 billion. I expect that our export performance will continue to improve.
The Government’s investment this year in the beef sector is a strong vote of confidence in the sector. It exemplifies the smart, green growth initiatives envisioned in the FH2020 strategy and, coupled with additional support measures under the new Rural Development Programme, will underpin the development of a sustainable beef sector with long-term growth potential.
I recently launched a beef roundtable to bring together the various stakeholders to discuss current issues. There have already been a number of initiatives in the wake of this forum. These include: The Beef Roundtable discussions will reconvene quarterly to exchange intelligence on market developments and forecasts particularly in relation to supply, demand, prices, product specifications, retail changes etc; I have committed to launching a ‘Beef Pricewatch’ online tool to make price information more accessible and free of charge to farmers. Work has commenced and already as an initial step the department has improved its website in order to make price information more user friendly for farmers.
My Department is examining the possibility of legislating for the recognition of producer organisations in the beef sector, and will shortly be launching a consultation with key stakeholder groups in this regard. This initiative could provide a vehicle for collective action by farmers in a way that can give them the advantages of scale and market presence, as well as a useful vehicle for transferring technology and expertise to improve profitability at farm level. My Department will prioritise its targeted on-farm capital investments for suckler farmers through the new Rural Development Programme; Bord Bia has allocated €0.5m to expand and target promotion of Irish beef through its campaigns in the UK and in certain continental markets.
During the first beef forum, I had requested Mr. Michael Dowling, Chairman of the Beef Activation Group, to review the implementation of the Group’s report, after intensive consultation with all stakeholders. That report has been delivered, and I have asked roundtable participants to reflect on its recommendations.