Dáil Éireann Debate, Wednesday - 15 April 2015
266. Deputy Éamon Ó Cuív asked the Minister for Agriculture, Food and the Marine if he will account for recent reports that Irish beef exports to the United States of America are unlikely to hit targets set by him, until a licence is extended to include Irish manufactured mince beef; if he will apply for such a licence; and if he will make a statement on the matter. [14356/15]
View answerIreland is the first and only country in the EU with access to the US market for its beef. The current approval for the export of Irish beef to the US allows “intact beef” to be shipped. Irish beef is exported to the US is in the form of primal and subprimal cuts and there are significant commercial opportunities for these, including in the high end food service sector.
As I have indicated on a number of occasions previously, on the basis of the current price dynamic, there are also opportunities in cheaper manufacturing meat for further processing. As part of an ongoing process, m y department is working closely with its counterparts in the Food Safety Inspection Service (FSIS) of the United States Department of Agriculture (USDA) to agree protocols with the USA. Significant progress is being made and we are working through the technical aspects with FSIS and the Irish industry.
The US beef market is potentially extremely lucrative, with consumption at 11 million metric tonnes annually, which makes this new market such an exciting one for Irish producers. While grass fed is a small volume category compared to conventional or grain fed beef, currently accounting for approximately 10% of total volume, it is estimated to be growing at approximately 20%+ per annum. Consumers in this segment of the market will be a key target in the marketing efforts to promote Irish beef.
I was delighted to be able to visit the US in February to launch the arrival of Irish beef for the first time there in 16 years and I can report very strong interest from US buyers and distributors in Irish beef. The return of Irish beef to the US market was the result of significant political, technical and diplomatic efforts by my Department, Bord Bia and Irish Embassy in Washington DC. It was a collaborative effort which has borne fruit, with Ireland being the first European country to regain access to the biggest beef market in the world. All of the major Irish beef exporters that accompanied me reported strong interest from US buyers and distributors, which are already leading to commercial deals being signed.
I am also delighted to see that the first commercial shipments of Irish beef have landed in the US. Indeed the very first shipment was served at the annual Ireland-America Fund attended by the Taoiseach during his Saint Patrick’s D ay visit. This was a huge marketing opportunity to serve our beef to a hugely influential Irish-American network and one which we exploited to the full.
Currently just 2% of Irish beef exports go outside the EU each year and further diversifying the available markets has been a key element of my strategy for the beef sector for some time. This is a key element in ensuring more sustainable returns to beef farmers and ensuring that an over-reliance on particular markets does not harm the long term prospects of the sector. The key objective for my Department is to provide market access so that industry operators can avail of market opportunities. I am very confident that the opening of the US market is a major step forward in this regard.
