Dáil Éireann Debate, Wednesday - 7 October 2015
90. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which he expects the pigmeat sector to develop and remain viable for producers for the foreseeable future; and if he will make a statement on the matter. [34844/15]
View answerThe development of a viable 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, it must be noted that Irish prices remain broadly in line with the EU average at present. 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.
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. However the restrictions on other products under the EU-wide ban is not something which Ireland alone will resolve and will only be progressed through a common EU approach. The Commission has referred this matter to the WTO for resolution.
At last month’s Special Meeting of the Council of Agriculture Ministers in Brussels, I joined with other like-minded Ministers from other EU MS in calling on the EU Commission to monitor market developments and deliver a comprehensive package of support to address the current difficulties in the Irish and EU pigmeat sector. The resulting package reflects the majority of the demands presented by Ireland to the Commission who awarded almost €14 million in direct aid to Ireland and the maximum flexibility announced by the Commission in the use of these funds. I am currently consulting with stakeholders on how to disburse this aid. The reintroduction of private storage aid for pigmeat and the improved aid rates and conditions will also help to bring the market back into balance.
Support is 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. Through its Joint Research Advisory Programme, Teagasc supports Irish pig producers by providing advice, research and education across a range of issues of importance to the sector. The programme which is funded by a voluntary industry levy has enabled Teagasc to employ four additional advisors and researchers to support producers and the sector through advice, research and education across a range of issues of importance to the sector. The high level objective of the programme is to enhance the sustainability of Irish pig meat production, including improvements in economic, social and environmental standards. This will result in improvements in the production and marketability of Irish pigmeat.
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.
