Dáil Éireann Debate, Thursday - 20 January 2022
322. Deputy Matt Carthy asked the Minister for Agriculture, Food and the Marine his proposals to support the pig sector in response to the decreased prices received by farmers, increased feed costs and issues relating to processing capacity at meat factories; and if he will make a statement on the matter. [2773/22]
View answer324. Deputy Brendan Smith asked the Minister for Agriculture, Food and the Marine the measures including financial support that will be introduced to support the pigmeat sector through the present serious difficulties; and if he will make a statement on the matter. [2817/22]
View answer325. Deputy Brendan Smith asked the Minister for Agriculture, Food and the Marine if his Department can support an increase in processing capacity at pigmeat plants due to present difficulties; and if he will make a statement on the matter. [2818/22]
View answerI propose to take Questions Nos. 322, 324 and 325 together.
Price volatility is a significant issue for the pig sector, highlighting the cyclical nature of prices in the sector. The current difficulties are made more acute by the recent sharp rise in input costs for the sector.
The pig sector has shown exceptional growth over the last decade. It is the third largest agri-food sector, accounting for 6.3% of the output value of the agri-food sector and generated exports of €893 million in 2020; with 2021 figures to end of October at €765 million.
The average price paid for pigs in Ireland has fallen in recent months, in line with trends across the EU. The 2021 average price was 8.71% lower than that of 2020.
The first week of 2022 (w/e 9th January) saw the average grade E pig price come in at 142.72 €/100kg, 8.14% lower than the same week last year. However, this is still well above the EU average price of 132.15€/100kg.
My Department continues to support the Irish pigmeat sector and facilitate its development by prioritising market access, both through maintaining existing markets and pursuing access to new ones.
My colleague, Minister of State Martin Heydon chairs the Pig Roundtable, which was established in early 2021, and the next meeting of which will take place next week. The Pig Roundtable focuses on key strategic developments for the sector in line with priority actions set out in the Programme for Government and Food Vision 2030.
In relation to any processing constraints in the sector, my officials have liaised closely with the Department of Enterprise, Trade and Employment in relation to labour shortages in the meat processing sector. As a result, additional employment permits for workers from outside the EU and EEA were approved by that Department in October last year, including a new allocation of permits for 1,500 meat processing operatives and 500 meat de-boners.
My officials continue to monitor the market situation closely and I have met with stakeholders to discuss concerns. Our pig farmers have always been remarkably resilient but I am acutely aware of the challenges they are facing at present.
At this week's Agriculture Council, I clearly expressed my concerns in relation to the difficulties facing the Irish pigmeat sector, both in relation to the ongoing impact of increases in fuel, fertiliser, feed and energy prices over recent times which are putting farmer margins under significant pressure; and the sustained nature of the difficulties being experienced on the pigmeat market. I sought the rapid deployment of appropriate solutions on both issues.
