Dáil Éireann Debate, Tuesday - 22 September 2015
562. Deputy Brendan Smith asked the Minister for Agriculture, Food and the Marine the proposals, he put forward at the recent EU Agriculture Council in relation to the need to provide support for the pigmeat sector; and if he will make a statement on the matter. [32320/15]
View answerThe development of the pigmeat sector is a priority for me given the crucial role which the industry plays in supporting approximately 7,000 jobs including production, slaughter, processing, feed manufacture and services. In 2014 export volumes increased by approximately 7%, with growth to the UK, Continental Europe and International markets. Export values increased by some 3% and are in the range of €570 million, continuing the growth seen in recent years. Pigmeat prices tend to be cyclical in nature with periods of lower prices and production followed by recovery. My Department carefully monitors developments in the pig sector, both domestically and internationally. I am conscious of the fact that prices have come under pressure over the last year and the difficulties that this is causing for producers. Having said that, Irish prices have been on par with the EU average for 2015. 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 as of the end of April.
In the run-up to the recent Council of Ministers’ meeting, I put forward specific measures for the pigmeat sector as part of my six-point plan. Key amongst these was the re-introduction of the APS scheme for pigmeat. I am pleased to say that the Commission agreed to introduce such a scheme and will be coming forward with such a proposal in the coming weeks, which will include support for storage of fresh lard for the first time. I am confident that these improved aid rates and conditions can help to bring the markets back into balance. I also called for additional measures to promote the consumption of pigmeat on international markets and the EU Commission package includes enhanced promotion measures for pigmeat.
In relation to the Russian ban on EU pigmeat exports, I am fully aware of the concerns Irish pig farmers have as a result of the closure of this market. My Department has met with the Russian authorities on a number of occasions to impress upon them the importance we attach to the normalisation of trade with Russia. I have also called on the EU Commission to re-engage with Russia with a view to re-opening that market to pigmeat products that are not subject to the Presidential Decree. Last week the EU Commission agreed to resume these discussions with Russia.
Support continues to be provided by my Department for the pig sector in a number of ways. Firstly I have included provision in the Rural Development Programme for an on-farm capital investment scheme, TAMS II, with an overall budget of €395 million across all sectors. Some €37 million has been allocated for 2015. Amongst the areas identified for initial funding are investments on pig farms for energy, water meters and medicine dispensers. Other elements of the RDP, such as a targeted on farm animal health and welfare scheme will also be of benefit to the pig sector.
Other supports for the sector come through Teagasc which, through its Moorepark pig research facility and courses in pig production, plays an important role in improving production at farm level.
I am also conscious of the need to promote the consumption of Irish pigmeat in domestic and overseas markets. Bord Bia provides assistance to the pigmeat sector through its marketing and promotional activities, and the pigmeat quality assurance scheme helps to consolidate the position of Irish pigmeat on the domestic market and to expand its presence on EU and third country markets.
For my part I have undertaken to ensure that as many alternative markets as possible are open to Irish Pigmeat processors since the closure of the Russian market last year. In this regard I was pleased to announce the opening of the markets in Vietnam and the Philippines for Irish pigmeat which will serve as valuable alternative markets to Russia for Irish pigmeat exports. My Department will continue in its efforts to develop access to international markets.
