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Cabinet Committees

Dáil Éireann Debate, Wednesday - 30 June 2021

Wednesday, 30 June 2021

Questions (15, 16, 17, 18)

Mary Lou McDonald

Question:

15. Deputy Mary Lou McDonald asked the Taoiseach when the Cabinet committee that deals with agriculture will next meet. [33088/21]

View answer

Alan Kelly

Question:

16. Deputy Alan Kelly asked the Taoiseach when the Cabinet committee that deals with agriculture will next meet. [34646/21]

View answer

Jackie Cahill

Question:

17. Deputy Jackie Cahill asked the Taoiseach when the Cabinet committee that deals with agriculture is next due to meet. [34654/21]

View answer

Brendan Smith

Question:

18. Deputy Brendan Smith asked the Taoiseach if there is a Cabinet committee or sub-committee that deals with agriculture. [34655/21]

View answer

Oral answers (4 contributions)

I propose to take Questions Nos. 15 to 18, inclusive, together.

Issues relevant to agriculture are discussed, as required, at a number of Cabinet committees, including the Cabinet committee on economic recovery and investment, which last met on 27 May, and the Cabinet committee on the environment and climate change, which last met on 31 May 2021 and is scheduled to meet again on 1 July 2021.

The agriculture sector is the largest indigenous industry in the country and it has a key role to play in the economic and social vibrancy of our towns, villages and rural communities, as well as in achieving our decarbonisation targets for 2030 and 2050. It plays a critical role in Irish society and the economy and Government works with all stakeholders on key agricultural issues. These include: development of the agrifood strategy - this is a commitment in the programme for Government and it will set out a vision for the Irish agrifood sector up to 2030; Ireland's priorities in the renegotiation of the Common Agricultural Policy, CAP; and supporting the fisheries and agricultural sectors to deal with the effects of Brexit. As with all policy areas, agricultural issues are regularly discussed at full Government meetings and that is where all formal decisions are made.

In addition to meetings of the Cabinet and its committees, I regularly meet Ministers, including the Minister for Agriculture, Food and the Marine, to discuss particular issues. In the context of the extension and expansion of social dialogue, I recently had a useful meeting, along with the Tánaiste, the Minister for the Environment, Climate and Communications, Deputy Eamon Ryan, the Minister for Agriculture, Food and the Marine and various officials, with a range of farming bodies representing the agricultural pillar. We discussed the full range of issues pertaining to Irish agriculture and the range of challenges it faces, from the CAP right across to the climate agenda, energy efficiency measures and a range of other issues that the farming organisations raised with us. The larger Irish Farmers Association, IFA, and the Irish Creamery Milk Suppliers Association, ICMSA, were represented, as were other smaller organisations that represent rural farmers and farmers in specialised areas. Macra na Feirme, which has particular perspectives on young farmers and the need for progressive policies to facilitate young farmers to thrive in the sector, was also involved.

I wonder if the Taoiseach would give his opinion on whether he believes there is an inherent unfairness in the way that CAP funds are distributed in Ireland.

Some beef barons, sheikhs and others can draw down hundreds of thousands of euro in CAP funds while most family farmers are expected to meet the same criteria on fractions of that funding. I ask that because it would be helpful for us to get the Fianna Fáil position on the matter. In the previous CAP negotiations, the then Fianna Fáil agriculture spokesperson organised meetings the length and breadth of the country, particularly on the western coast, in opposition to the approach taken by the then Fine Gael Minister for Agriculture, Food and the Marine at EU level to fight against any measures of redistribution, instead arguing for so-called flexibilities at a national level. During this CAP negotiation process, the current Fianna Fáil Minister for Agriculture, Food and the Marine has adopted exactly the same position. The word "flexibility" is used as a guise for defending the status quo. Flexibility has been referred to by the Minister, Deputy McConalogue, on several occasions to defend what he would describe as national sovereignty. Does the Taoiseach agree that in the interests of national sovereignty of the democratic decision-making process, the Minister should bring his CAP strategic plan, the plan in which he will use the flexibility for which he has fought so hard, before the Dáil for debate, amendment, discussion and, ultimately, approval?

I welcome the Taoiseach's confirmation that the farming and agrifood sector is at the heart of all Government deliberations at Cabinet and subcommitee levels. That is important because 175,000 people are employed in the sector and it is responsible for 10% of Irish exports. It has faced particular challenges over the past number of years, including CAP reform. In 2014, the European Parliament, European Council and European Commission effectively and unfortunately reduced the budget for CAP. That was a bad decision. At the same time, one third of the EU budget until 2027 will go to CAP, a total of €387 billion.

The farming community wants a clear message that the national co-financing commitments that were made will be honoured over the next number of years and that the €1.5 billion from the carbon tax fund will be allocated to the farming sector. There is often a lazy and ill-informed narrative with regard to farming and climate change. Farmers have adapted and modernised their systems. Our food production systems are sustainable and in the climate debate, while we all know there must be improvements from every sector in that regard, we must ensure that sustainable food production systems in Europe are not displaced by food being imported from areas in South America and elsewhere where forests are being felled to make land arable.

The Common Agricultural Policy was established to ensure a secure supply of safe food for the citizens of Europe. It provides income support to farmers but it also ensures that there is continuity of sustainable production of food, which is very important, and plays a key role in the environment and in ensuring we have people living in rural Ireland. Our commitment must be absolute to ensuring that additional financial support is provided through national co-financing, alongside CAP-supported schemes. We all know that if we are to have a vibrant rural Ireland, our farming and agrifood sectors must be the lead economic drivers in that regard.

In response to Deputy Carthy's points, Fianna Fáil's role in the Common Agricultural Policy and its evolution, going back to the days of Commissioner Ray MacSharry, has been exemplary in terms of fairness, farm families and ensuring the sustainability of the Common Agricultural Policy within the European Union framework throughout this decade. Deputy Brendan Smith, when he was Minister for Agriculture, Fisheries and Food, did an enormous amount of work, particularly in terms of sustainable food production. It has been an honourable tradition which the current Minister, Deputy McConalogue, is continuing in respect of the current negotiations on the Common Agricultural Policy. There has always been a need for flexibilities on the operation of CAP but they have been reducing over the years. On another day, Deputy Carthy would come in here and look for greater subsidiarity in respect of European Union measures, and greater flexibilities.

The current situation is that the discussions have moved fairly well and are coming to a conclusion. The results will not be universally accepted all round because people will prefer different elements of the agreement. We are getting closer. Member states will have the option to cap the basic payment at €100,000. The proposals also introduce a mechanism for member states to reduce direct payments above €60,000 to a maximum of 85%. Internal convergence will continue. All farmers must reach a level of 85% of the national average entitlement by 2026. Member states are expected to allocated 10% of direct payment funding to redistribute funding to small- and medium-sized farmers. Member states will also have the choice to derogate from this option, provided they can demonstrate that the redistribution needs, nationally identified, are met by other instruments.

With 27 member states, trying to put all of this together has been challenging. An amount equal to 3% of the direct payments envelope would be spent on attracting and sustaining young farmers. Direct payment top-ups, insulation aid and 50% of farm investment supports could count towards this 3% and the CAP will also include a social dimension. Farmers and other beneficiaries will receive direct payments in that area to ensure strong employment conditions and so on. Payments would be conditional on that.

Deputy Brendan Smith's point about national co-financing will obtain and the commitments made will be followed through on. Many parties in this House objected to and opposed the €1.5 billion carbon fund but it gives us the resources to help and support farmers in respect of a range of environmental schemes, separate to the environmental schemes that are being provided under the aegis of the Common Agricultural Policy. I accept the Deputy's point that Irish farming has been one of the more progressive food production systems in reducing emissions, when compared to many other food production systems across Europe and the world. Our dairy and beef industries are among the top performers in terms of their capacity to reduce emissions. That said, the challenges of climate change mean we have to do more. We want to work with and support the industry to enable that to happen. The carbon fund gives us room to allocate additional funding in that regard, as do the national co-financing mechanisms. We will continue to engage with the farming pillar through the social dialogue mechanism which we have re-established, and that is welcome. I intend that to be a consistent part of our engagement with the industry and sector to ensure we can progress employment and maintain this vital industry across Ireland and rural Ireland, in particular. It is vital to many towns and communities because of the employment it provides. We want to sustain that employment and support farming in making the advances it continues to make in terms of carbon and production efficiency and in providing employment.

Written Answers are published on the Oireachtas website.
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