Dáil Éireann Debate, Thursday - 14 February 2019
199. Deputy Brendan Smith asked the Minister for Agriculture, Food and the Marine the proposals he has put to the European Commission to introduce measures to support the pig sector in view of continuing inadequate price returns to producers; and if he will make a statement on the matter. [7595/19]
View answer200. Deputy Brendan Smith asked the Minister for Agriculture, Food and the Marine his plans to introduce measures to support primary producers in the pigmeat sector in view of the closure of some pig units; if his attention has been drawn to the ongoing pressures on individual farms to survive due to inadequate returns; and if he will make a statement on the matter. [7596/19]
View answerI propose to take Questions Nos. 199 and 200 together.
Price volatility has been a significant issue for the pig sector in the last 18 months, highlighting the cyclical nature of prices in the sector. Current prices stand at €137.19/100kg, which is 0.8% below prices at the same time in 2018.
The continuing uncertainty regarding Brexit lends an even greater urgency to the expansion of international market access, so, my Department and I have made a major push to encourage market diversification. In 2017 I visited Mexico, the fourth largest importer of chilled and frozen pork in the world and made access to that market a top priority. Following visits from Mexican authorities, six export plants were recently audited as part of the first stage of gaining access to the Mexican market for Irish pig meat exporters and we expect the outcome of those audits shortly.
There has also been a significant expansion in Ireland’s pig meat exports to East Asia in general, with exports to China, Japan and South Korea totalling €100m last year. In May of 2018 I lead a trade mission to China, visiting Beijing and Shanghai. This visit included events, in association with Bord Bia, to promote Irish pork to further develop export opportunities .I also travelled to Japan and South Korea in 2017 to promote further opportunities for Irish producers in these markets. Exports to Japan increased by 36% to €30m last year and exports to South Korea increased by 29% to reach €11m. Additionally, I led the first ever Irish agri-food trade mission to Malaysia last November, where I agreed a veterinary health certificate for pigmeat, an important milestone in the process of opening this market for Irish exporters. I will continue to work closely with the sector and, by focusing on insight-led growth strategies, capitalise upon opportunities for Irish pig meat exporters on international markets.
As regards support for primary producers, TAMS II measures (under the 2014-2020 RDP plan) provide grants for capital investment in physical assets to assist the pig sector to develop their businesses. A massive variety of items are available under the suite of TAMS measures and the Pig Sector is catered for under the current Pig and Poultry Investment Scheme (PPIS) of TAMS II. Additionally, in 2016 I established a Pig Implementation Strategy Group which oversees implementation of the measures recommended in the report of the Pig Industry Stakeholder Group. This group plays a vital facilitating role in achieving the objectives for the industry as laid out in Food Wise 2025.
I recently met with Commissioner Hogan to discuss the unique exposure the agri-food and fisheries sectors to the threat of a disorderly Brexit, and the challenges that it could present. I stressed the need to be ready to deploy a range of measures to mitigate the potential impacts on farmers and processors, including via traditional market supports and exceptional aid under the CAP's Single Common Market Organisation regulation, and increased flexibility under State Aid regulations. Commissioner Hogan reiterated the EU’s willingness to respond and support Ireland, and we will remain in contact on these issues as a clearer picture emerges.
