Written Answers Nos. 122-131
122. Deputy Éamon Ó Cuív asked the Minister for Agriculture, Food and the Marine the number of commonage planners who have been appointed in commonages to draw up commonage plans; the number of commonages covered; the mechanism in place to ensure that the planners have the consent of the shareholders in the commonage to draw up these plans before appointment; and if he will make a statement on the matter. [26571/15]
View answerA total of 3,934 farmers applying for GLAS have commonage land and have already committed to joining a commonage management plan as a precondition of approval into the new Scheme. Just under 2,700 commonages will be covered by these new plans. The drawing up of these plans marks a significant development in terms of Ireland’s uplands, with trained commonage advisers walking and assessing these habitats in order to put in place a sustainable management regime for these hills.
My Department has in place an authorisation process for appointing these commonage advisers and as part of this process the adviser must secure the consent of shareholders to act on their behalf by means of a signed authorisation form. The closing date for receipt of these forms was Friday 19 June, 2015 and the various applications received are being collated and assessed.
On the basis of processing of applications to date, which involves substantive verification checks, 52 commonage advisors have been appointed for 342 commonages. It is expected that these figures will increase substantially once all applications on hand have been processed and this work is currently being prioritised and well under way.
123. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which he expects the agrifood sector to grow in the context of Food Harvest 2020; the number of new markets likely to become available for Irish produce globally; and if he will make a statement on the matter. [26648/15]
View answer130. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which he expects agricultural production to increase throughout each sector in the next five years; and if he will make a statement on the matter. [26655/15]
View answerI propose to take Questions Nos. 123 and 130 together.
Targets for agri-food growth were set out in Food Harvest 2020 and I am confident that they are fully achievable over the next five years. As the Deputy is aware, the main targets in the Food Harvest report are, by 2020, to increase the value of:
- Primary output in the agriculture, fisheries and forestry sector by 33% from €4.5 billion to €6.1 billion,
- Agriculture, food (including seafood) and drink exports by 42%, an increase from the baseline figure of €8.2 billion to of €12 billion
- Value added production by 40% from a 2008 baseline.
In addition to these value increases, the dairy industry targeted a 50% increase in milk production by 2020 to be progressed once the cap on milk production was lifted in April 2015.
Progress on these targets is monitored and reviewed on an ongoing basis. By end 2014, the value of all primary output increased significantly to €5,977m, virtually reaching its target of a 33% increase. Export performance has also been strong at €10.45 billion, more than halfway towards achieving the 2020 target of €12 billion and giving a 45% increase since 2009. Value Added has increased to over €7.5 billion which means it is more than two thirds of the way to its target increase of €2.5bn by 2020.
Given that the final comprehensive review of Food Harvest 2020, Milestones 2014, was published last September, I decided that it was opportune time to look to the future and consider what the agri-food industry can achieve over the next decade to 2025. I appointed Mr John Moloney to chair a 2025 Agri-Food Strategy Committee. They have just concluded their work and I am looking forward to launching tomorrow their report with their expert recommendations on how best to maximise the opportunities open to this sector us over the next decade.
Irish agri-food producers already export to over 175 countries and the pointers for continuing expansion are favourable. Targeted ministerial trade and investment missions together with the work of the Department’s cross-divisional trade team opened up 8 new trade areas in 2013 and 9 in 2014. I expect this success to continue particularly as our competitiveness levels improve.
124. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which he remains satisfied regarding the adequacy of disease control traceability and isolation, in the context of the prevention of bovine diseases; if he remains satisfied that existing measures remain adequate; and if he will make a statement on the matter. [26649/15]
View answerAs demonstrated by the recent single case of BSE, my Department has robust notification and traceability systems to ensure the early detection of diseases. It is a legal requirement to notify my Department of any suspicion of all relevant diseases, including those affecting bovines. Vigilance against the introduction of 'Class A' disease, including foot and mouth disease, avian influenza, bluetongue and African swine fever, remains a priority for my Department and previous experience has demonstrated the absolute necessity of properly regulating trade, high levels of biosecurity, continued vigilance, contingency arrangements and robust legislation to deal speedily and effectively with disease threats and outbreaks.
My Department has contingency plans in place to deal with disease threats and outbreaks. These plans are based on existing EU legislation and criteria identified during outbreaks in Europe and aim to mitigate the risk of disease introduction into Ireland and to control and eradicate them quickly if outbreaks occur. The continued focus of the Department is on constantly reviewing, refining and updating our various contingency plans and arrangements and ensuring that we have all of the necessary measures in place and tools available to us to deal with any suspect or outbreak of these diseases.
In the event of an outbreak or the threat of an outbreak, the key focus will be on bio-security measures at the optimal level on farms as well as ongoing co-operation contact with other state agencies (including NI), industry and farm representatives to ensure that a high degree of vigilance is being maintained with a view to preventing the incursion of the disease, in so far as this is possible, and to detect an outbreak at an early stage in order to prevent its spread.
125. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which he remains satisfied regarding the development of, and future prospects for, the beef, lamb, dairy, pigmeat and poultry industries; if he is satisfied regarding the adequacy of margins to ensure a reasonable return for producers; and if he will make a statement on the matter. [26650/15]
View answerBeef - I am pleased to note that net prices at the end of last week have increased 15% since last September and are now 12.5% higher than in the same point in 2014. Current beef prices in Ireland stand at 107% of the EU15 average. As of the end of last week, the average prices paid (excluding VAT) for an R3 steer stood at €4.15/kg and an R3 Heifer at €4.26.
The Deputy will also be aware that I have provided a package worth over €70 million for the beef sector in 2015. This includes €52 million for the Beef Data and Genomics Programme (BDGP) which forms part of Ireland’s draft Rural Development Programme, and will involve a budget of some €300m over a six year period. The BDGP is intended to improve margins and deliver an accelerated improvement in the environmental sustainability of the beef herd through the application of genomics technology. The Programme received close to 30,000 applications and the ongoing analysis of those applications indicates that the BDGP is fully subscribed. I am also providing funding to improve management practices on farms, through the provision of grants and aid to Teagasc for their research, advisory and education services and through the provision of funding for technology adoption, breed improvement through ICBF, and improvements in animal health through AHI.
Of course, new market opportunities for both beef and live cattle exports also impact on the eventual returns to farmers. The recent openings of the US market, to Irish beef and the lifting of the beef ban in China are major achievements in this regard. I am always conscious of the need to find new markets for Irish beef and in that regard my Department, together with Bord Bia, will continue to target new export opportunities in third country markets.
Sheepmeat - The industry wide strategy for developing the sheep industry in Ireland was set out in the Food Harvest 2020 document which envisages a 20% increase in the value of output by 2020. My approach to building on the significant achievements of the strategy up until now is to drive the development of the industry at home and increase Ireland's market share of the world market. This will ensure that producers and processors can plan for the future, increasing the value of the industry for the benefit of all. The sheep sector has proved to be a resilient component of Irish stock farming over many years. Indeed, the continuing interest in the sector on the part of sheep farmers is evidenced by the large numbers that attended the Sheep 2015 open day in Athenry on June 22nd, which was organised by Teagasc.
In terms of the performance of the sector in 2014, Irish sheep throughput at DAFM-approved plants was up slightly on 2013, with a marginal increase of 1%. To date in 2015 throughput at DAFM approved plants is up by approximately 1% on the same period in 2014, and the average factory price is up by approximately 4% for the year to date as compared with the same period in 2014, though there has been a significant dip in price in recent weeks. At producer level I continue to put in place incentives to ensure that producers see a viable future in the sector.
Under the new Rural Development Programme (RDP) I have made provision for improving efficiency and profitability in sheep production under the Knowledge Transfer measure which has a budget of €100m. The experience in the Sheep Technology and Adoption Programme (STAP) has informed the development of this measure. In addition to profitability, the emphasis will be on the key issues of business skills, environmental sustainability and herd health, with increased interaction between individual farmers and advisors in order to customise information exchange. The Knowledge Transfer Programme for the sheep sector will be launched in 2016 when the current STAP concludes. The proposed new agri-environment scheme, GLAS (Green Low-carbon Agri-environment Scheme) will also support, amongst others, extensive hill farmers, who have shown themselves to be careful custodians of the countryside in previous agri-environment schemes. It includes a menu of environmental actions, many of which will be suitable for sheep farmers.
On the export front I intend to drive further the search for new markets. My Department, in consultation with the meat industry and in cooperation with Bord Bia and the Irish Embassies abroad, is constantly pushing for new markets and opportunities. During 2014, we have agreed veterinary health certificates with Lebanon, Namibia, Hong Kong and the Philippines thus allowing for the export of Irish sheepmeat to those countries. Also, during my Trade Mission to China in November 2014, I was able to hand over the completed version of a sheep questionnaire which is a key step in gaining access to the Chinese market for sheepmeat. This represents the first milestone on the road which will lead, I hope, to Ireland gaining access to the Chinese market for sheepmeat in the future.
PIGMEAT - The development of the pig sector is a priority for me given that the industry accounted for almost 7% of the output value of the agri-food sector in 2014 and is the third most important sector after beef and dairy. There are approximately 440 commercial pig producers producing about 3.5 million pigs annually. The pig industry supports approximately 7,000 jobs including production, slaughter, processing, feed manufacture and services.
The Irish pig sector competes in an international environment. Producers and processors face ongoing challenges from both other EU and international competitors and they must continually innovate and improve to maintain their presence in the international marketplace. They are also reliant on existing markets remaining open. The closure of the Russia market in 2014 is an example of the volatility which market closures can bring. However market access opportunities secured by DAFM in Vietnam and the Philippines are helping to off-set the effects of closures elsewhere.
I am conscious of the fact that prices have come under pressure in recent months and the difficulties that this causes for producers. Having said that, it must be noted that Irish prices remain above the EU average and at week ending 21/6/15 the average Grade E price increased to €154.04/100kg. However I would also add that like any other EU Minister I do not have a role in the setting of prices. This is a function of the market.
Earlier this year I called on the European Commission to monitor the developments on markets and where necessary, to quickly activate safety net provisions such as public interventions and/or private storage aid. This resulted in the introduction of the Aids to Private Storage scheme for the pigmeat sector which opened in early March of this year. However due to the fact that EU pigmeat market prices stabilised somewhat over recent weeks and the uptake of the scheme by operators dropped to minimal volumes, the Commission closed the scheme.
The threat of disease outbreak in the sector underscore the ongoing focus on animal health and disease prevention and control strategies. In this regard I am pleased that the Rural Development Plan (TAMS II) includes funding targeted at improved farm animal health and welfare, in addition to funding for housing, investments in energy, water meters and medicine dispensers which will benefit the sector
The research and targeted promotional work being carried out by a wide range of stakeholders, together with the acknowledgement of the quality, sustainability and competitiveness of Irish pig meat will help to position the sector in the future.
My Department has recently initiated a Pig Industry Stakeholder Group chaired by Dr Sean Brady. This group will examine the various aspects of the industry. Elements such as quality, food safety, animal welfare and environmental sustainability, which are at the core of policy initiatives such as Food Harvest, Bord Bia Quality Assurance Programme and Origin Green.
Poultry - The poultry sector is an important sector in the Irish economy accounting for almost 2% of agricultural output and about 6,000 jobs primarily in rural areas. Poultry is considered a versatile source of protein and consumption has improved over the last few years. The predominant outlet for Irish chicken is the Irish retail market, where there is strong demand for fresh raw Irish product.
A growing understanding and utilisation of so-called 5th Quarter products, such as feet, together with international demand for cuts which are not in demand domestically, will ensure the continuation of export opportunities. The sector has benefited in the past from a number of support initiatives, including the provision of capital investment grants, ongoing Bord Bia promotional campaigns and the development and operation of the Bord Bia Poultry Quality Assurance Programme (PQAS).
Support will also be provided through funding under the Rural Development Programme to upgrade existing buildings and funding to support the construction of new housing, animal welfare and safety, as well as participation in Poultry Discussion Groups.
Dairy - The farm gate milk price currently stands in the region of 30-31 cents per litre including VAT and bonuses. However sentiment had improved somewhat earlier in 2015 primarily based on broadly positive auction results at the Global Dairy Trade Auction (GDT). The positive momentum in dairy markets early in the year was welcome and had contributed to a return of more positive market sentiment. More recent results, however, have seen some decreases and have brought the index back to late 2014/January 2015 levels.
There is no doubt that softening of global dairy markets has had an impact on dairy farmers in Ireland and throughout the EU. The price situation in Ireland is not much different from other EU MS reflecting the global nature of this problem. Using cross country comparable data from the EU Milk Market Observatory the most recently available complete data shows that the milk price in Ireland is approximately 22% below the same month in 2014, slightly above the 18% decrease on average across the EU. The announcement by Russia that it has extended its trade ban for another year will not help an already difficult situation.
Overall however I remain confident about the medium to longer term prospects for the sector which I believe continues to be very bright, with growing global demand expected to support prices in the years ahead, but it is clear that there will be continuing volatility around this positive trend. My focus now is ensuring that the correct balance of policies and supports are in place so that the Irish dairy sector can overcome the effects of volatility over the next while.
126. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which he continues to have ongoing dialogue with the farming community in regard to its concerns regarding the beef data and genomic scheme, with particular reference to the detailed submission he received from the farming organisations, including the Irish Farmers Association; and if he will make a statement on the matter. [26651/15]
View answerAs the Deputy is aware the BDGP forms part of Ireland’s Rural Development Programme and allocates funding of some €300 million over the next six years to suckler farmers in Ireland. The BDGP builds on the large strategic investment in data recording and genomics which has been made in Ireland in recent years. It will ultimately bring about fundamental improvements to the entire sector by substantially improving the overall genetic quality of the national beef herd, which is an objective I believe we all should share.
The BDGP was launched on 5 May and my Department received just under 30,000 applications by the extended closing date of 5 June. While analysis of the applications is still ongoing, I am delighted to record that the initial figures suggest that the programme is fully subscribed. This level of interest is, I believe, a vindication of our efforts to further improve suckler farming. It is also testimony to the commitment of suckler farms in Ireland to continuous improvement and their openness to innovation where it can deliver real measurable benefits.
The BDGP is the next logical step in the development of our suckler herd. It builds on the schemes operated by my Department in recent years and most of the actions will already be familiar to the majority of farmers entering the scheme, including the data recording elements and the genotyping requirements.
Both my Department and the ICBF have published Questions and Answers documents to address queries being raised by farmers. Programme participants can contact my Department directly with any specific queries they may have regarding scheme conditions. They will also receive additional information specific to their herds in the coming weeks from ICBF which will provide a useful overview of the current euro star ratings of the animals on their herds. This will then be followed by dedicated training courses which scheme participants will be paid to attend.
I know that concerns have been raised by different farming organisations, including the Irish Farmers' Association, and where possible I have moved to address the concerns raised. Additional flexibility has been included to permit the use of 2015, as opposed to 2014, as the base year for payments, in certain circumstances. The concerns regarding scheme exit have also been considered and my Department has confirmed that where an applicant sells or leases his/her land, or transfers it by inheritance or gift, there will be no clawback of funds. Of course, where an applicant retains sufficient land to fulfil the requirements of the Programme, he or she is required to continue to meet the terms of the Programme.
Finally, I have committed to a mid-term review of the operation of the programme, which will include input from all of the stakeholders, including farm organisations. For now, I would like to welcome the 30,000 or so applicants to the scheme and assure them of continued support over the lifetime of the scheme from my Department, Teagasc and ICBF so that they may derive maximum benefit from the scheme for their farm.
127. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which the numbers employed in the agrifood industry continue to remain constant or have increased in recent years; if he is satisfied with the future prospects of the sector in this regard; and if he will make a statement on the matter. [26652/15]
View answerThe CSO's recently published Quarterly National Household Survey (Quarter 1 2015) showed that employment in the agri-food sector overall, and in its component parts, has reached 163,000 up from 145,500 at end 2009. Based on the latest data, this sector represents circa 8.4% of national employment.
The CSO figures are based on sample surveys and some stability in their figures has been evident in recent quarters following the introduction of new samples post-Census 2011. The positive CSO employment results above are borne out by annual surveys which Enterprise Ireland and BIM carry out on all their food industry clients. These provide an accurate assessment of company employment trends since 2009 and show that employment levels for EI food and beverage client companies rose from 38,784 at end 2009 to 42,212 in 2013, while employment for BIM seafood processing clients also rose by 450 in the same period.
I appointed a 2025 Agri-Food Strategy Committee late last year to devise a strategy for the continued development of the sector to 2025. The Committee submitted its report to me at the end of last month with key recommendations and actions it considers necessary to allow us set ever more challenging goals for the longer term. I am planning to launch the report tomorrow.
128. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine if he is satisfied regarding the development of the fishing industry in the wake of revised European Union agreements, quotas and fishing practices; if he expects families dependent on the fishing industry to continue to achieve a reasonable return for their efforts and investment; and if he will make a statement on the matter. [26653/15]
View answerThe new Common Fisheries Policy (CFP) provides the framework for the long-term sustainability of fish stocks around our shores and the continued economic viability of our fishing fleet and fish processing industry while supporting our families and communities that depend on the sea for their livelihood.
A key element of the new CFP is the setting of fishing levels on the basis of MSY (Maximum Sustainable Yield). This should lead over time to healthy fish stocks, higher quotas for both Irish and EU fishermen and result in more sustainable fishing patterns. The new Common Fisheries Policy specifically calls for the progressive restoration and maintenance of populations of fish stocks above biomass levels capable of producing MSY. I am committed to the ambitious objective of achieving MSY by 2015 where possible and by 2020 at the latest. As president of the Council during the CFP negotiations, it fell to me to broker an agreement on this important issue between the co-legislators. In line with the CFP, I consider that for some stocks we will need to phase in delivering MSY if its immediate application seriously jeopardises the social and economic sustainability of the fishing fleet. The TACs and quotas for 2015, as agreed at the December Agriculture & Fisheries Council of Ministers meeting, take account of delivering MSY for 2015 where possible and on a progressive, incremental basis at the latest by 2020 for all stocks.
Another key element of the new CFP is the introduction of a regionalised decision-making process. This gives Member States greater power to make decisions on the management of their own fish stocks and moves away from the former "one size fits all" approach. Ireland is a member of the North Western Waters Group along with Belgium, France, the Netherlands, Spain and the UK.
The phased introduction of a landing obligation/discarding ban, as set out in the CFP, represents a fundamental shift in fisheries policy and fishing practices. A discards plan for pelagic stocks in North Western Waters, developed by Ireland and the other Member States of the North Western Waters Group in consultation with the Advisory Council, has been in place since 1 January 2015.
An agreement among the North Western Waters Group on a discard plan for certain demersal stocks (whitefish and prawns) was recently brokered by Ireland. The ban on discarding will be extended to prawns (nephrops) in all waters around Ireland, whiting in the Celtic Sea and haddock in the Irish Sea and in the North West area from 1 January 2016. The landing obligation will be rolled out to other fisheries over the period to 2019 when it will apply to all stocks.
The work on the discard plan was carried out in close consultation with the North Western Waters Advisory Council. It is expected that over time the landing obligation will lead to an improvement in the state of the stocks of importance to Ireland and will result in increased fishing opportunities for the Irish fishing industry.
From the outset of the Common Fisheries Policy revision process, Ireland's overarching goal was to ensure a sustainable, profitable and self reliant industry that protects and enhances the social and economic fabric of rural coastal communities dependent on the seafood sector, while balancing these objectives with the need to safeguard fish stocks for future generations. This will ensure that families dependent on fishing can look forward to being part of a vibrant, productive and resilient Irish fishing industry and can expect to continue to achieve a reasonable return for their efforts and investment.
129. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the degree to which he remains satisfied regarding the adequacy of regulations to ensure the highest possible standards in regard to traceability; the extent of new regulations in this regard, with particular reference to country of origin in respect of meat and meat products imported into this jurisdiction; and if he will make a statement on the matter. [26654/15]
View answer134. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which traceability and labelling continue to be effective in respect of all food imports; and if he will make a statement on the matter. [26659/15]
View answerI propose to take Questions Nos. 129 and 134 together.
Regulation (EC) No. 178 of 2002, which sets out the general principles and requirements of EU food law, stipulates, among other things, that food business operators at all stages of production, processing and distribution within the businesses under their control must ensure that foods satisfy the requirements of food law. Specifically in regard to traceability, the regulations require that food business operators must have systems in place to be able to identify any person from whom they have been supplied with a food. They must also have a system in place to identify the other businesses to which their product has been supplied. In other words, a food business operator at each and every stage in the food chain must be able to identify the source of its inputs as well as having details of the first recipient of its output. This is commonly referred to as the "one step forward one step backward" traceability system. There are additional traceability requirements for certain fishery and aquaculture products under the Control Regulation (Regulation 1224/2009 and its Implementing Regulation 404/2011) from first sale to subsequent stages of production, processing and distribution up to retail.
Rules on the labelling of meat and meat products are laid down in EU legislation. For beef, compulsory labelling rules have been in place for many years, and require food business operators to label fresh, frozen or minced beef with specific information to enable the product to be traced back to the animals from which it was derived. This must include details of the slaughterhouse and de-boning hall in which the animal was processed, as well as the country in which it was born, reared and slaughtered.
In 2011 the European Union passed the Food Information for the Consumers (FIC), Regulation 1169/2011, which is applicable to all foods intended for the final consumer and including foods delivered to mass caterers. This Regulation has updated the requirements for consumer information and labelling in a number of areas. In particular, the FIC Regulation extends mandatory origin labelling to meats other than beef for the first time. The implementing provision is Commission Regulation No. 1337/2013, which introduced mandatory origin labelling for meat from pigs, poultry, sheep and goats with effect from 1 April 2015. Under this regulation, labelling is required to identify the Member State or third country of rearing and the Member State or third country of slaughter for these meats. The term ‘Origin’ can also be used where the country/member state of birth is the same as the country of rearing and slaughter.
Ireland has been a strong proponent of such rules and I have signed into law a new Statutory Instrument No. 113 to ensure that the necessary provisions are in place to implement this mandatory labelling requirement and a period of compliance building has now begun. In addition, my Department is liaising with the Department of Health with a view to extending the legislation to include "loose meats" e.g. meat cuts that sold through butcher counters.
As the Deputy will also be aware, the Minister for Health has overall responsibility for general food labelling legislation. However, my Department and, in the case of fish or fishery products, the Sea-Fisheries Protection Authority, play an important role in the labelling of food together with the Food Safety Authority of Ireland (FSAI). Under EU law primary responsibility for the safety and traceability of food placed in the market place lies with food business operators. The role of my Department is to verify compliance by the food business operators with this requirement. My Department has a permanent veterinary presence at all its approved slaughter plants. Controls at stand-alone secondary processing plants are carried out at a frequency which is based on an annual risk assessment for each plant. An annual audit of imported products is carried out in each Department approved meat plant. The audit includes physical identity, labelling and documentary checks for product originating both in EU Member States and third countries. In addition, labelling and documentary checks form part of the routine checks conducted by Department officials.
As regards the import of products of animal origin from third countries, this is governed by a comprehensive and robust legislative framework laid down at EU level, controlled by EU Member States in the first instance, and audited by the European Commission’s Food and Veterinary Office (FVO), to ensure compliance with all of the relevant food safety standards. The legislation imposes a series of health and supervisory requirements, designed to ensure that imported products meet standards at least equivalent to those required for production in, and trade between Member States.
Import controls on products of animal origin, including fish and fishery products, arriving from third countries must be performed at an EU Border Inspection Post approved for that category of product being presented. Consignments for import requiring veterinary checks must be notified in advance to the Border Inspection Post of import and presented on arrival for checks with all the appropriate documentation. Third countries exporting to the EU must be approved to export fishery products to the EU and these countries are subject to audit by the Commission's FVO.
131. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the steps he has taken or has agreed to take in conjunction with his European Union colleagues to protect the viability of the family farm enterprise; and if he will make a statement on the matter. [26656/15]
View answerThe 2013 reform of the Common Agricultural Policy was a useful and progressive reform making the CAP fit for purpose to 2020. It provided Irish farmers and the agri-food sector with policy certainty for the years to come and with strategic financial support to increase sustainability and enhance competitiveness. I will continue to work with my EU colleagues to ensure that we engage in policies that promote the interests of the EU agricultural sector.
Teagasc’s National Farm Survey 2013, which represents just over 79,000 farms, estimated that:
- 35% of farms were economically viable. An economically viable farm is defined as one that has the capacity to pay family labour at the average agricultural wage, and also to provide a 5% return on non-land assets.
- 32% of farms were sustainable. A sustainable farm is not economically viable but it is sustainable due to the presence of off-farm income.
- the remaining 33% of farms were classified as 'vulnerable'.
Around 60,000 farms are excluded from the National Farm Survey because their standard output is less than €8,000. Most of these farms are small, but many may be sustainable due to off-farm sources of income.
It is clear that there remain profitability issues at farm level that need to be addressed. This is one of the reasons why I appointed a 2025 Agri-Food Strategy Committee late last year to devise a strategy for the continued development of the sector to 2025. The Committee submitted its report to me at the end of last month with key recommendations and actions it considers necessary to allow us set ever more challenging goals for the longer term. I am currently examining the report.
