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Agriculture Industry

Dáil Éireann Debate, Thursday - 31 March 2022

Thursday, 31 March 2022

Questions (451, 457, 460, 463)

Bernard Durkan

Question:

451. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which extra markets for Irish dairy, beef, lamb or pig meat need to be generated to compensate for losses arising from the war in Ukraine; and if he will make a statement on the matter. [17174/22]

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Bernard Durkan

Question:

457. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which he expects to be in a position to ensure the ongoing development of the dairy sector having particular regard to world food shortages; and if he will make a statement on the matter. [17288/22]

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Bernard Durkan

Question:

460. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which efforts have been made to identify the level of imports of various food and food products with a view to making provision nationally in the face of worldwide demands; and if he will make a statement on the matter. [17291/22]

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Bernard Durkan

Question:

463. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which the various export markets for Irish food and food products have been examined with a view to ensuring their continuity, stability and the need to ensure the availability of sufficient food and food products in the face of worldwide shortages; and if he will make a statement on the matter. [17294/22]

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Written answers

I propose to take Questions Nos. 451, 457, 460 and 463 together.

The Irish Government has been clear in its outright condemnation of the Russian invasion of Ukraine, and we are mindful of the terrible toll being inflicted on Ukrainian citizens. We will work with EU partners to consider, and implement, appropriate responses. This includes ensuring that food security is maintained for EU citizens, for the Ukrainian people and in the wider global context.

In addition to the immediate humanitarian crisis, which must take priority, there will be implications across all sectors. Considerable volumes of both global feed and fertiliser originate and are traded through Ukraine and Russia. In addition, the food industry largely relies on natural gas for its energy supply, so costs will escalate and increases in consumer prices are likely. However, specifically on food exports, it is not currently expected that the war in Ukraine will have a major impact, as exports to Russia and Ukraine constituted less than .5% of total agri-food exports in 2021.

At farm level, across the dairy, beef, pig, sheep, poultry and tillage sectors, the crisis is likely to have serious impacts on the price and availability of animal feed and fertiliser, which are vital farm inputs.

Fertiliser stocks nationally are estimated to be reduced year-to-date versus last year, however there is adequate supplies to meet farmers’ spring requirements although prices have risen considerably. There are sufficient supplies of animal feed at present and importers are actively competing on the global market to ensure that supply continues uninterrupted. Energy price inflation is obviously an issue across the whole economy and the Government has already taken action and will continue to consider additional measures in this regard.

On 22nd March, the Government approved my proposal for a targeted intervention package for the tillage sector and a multi-species sward initiative, worth over €12 million to support Irish farmers. This package is aimed at producing more native crops while reducing dependency on imports and on crops with a low demand for chemical fertiliser, which is limited in supply as a result of the invasion.

The new National Fodder and Food Security Committee, which I have established, will play an important role in discussing contingency plans and providing advice to farmers on how to manage with constrained fertiliser supplies if that proves necessary.

Within my Department, I have established a Rapid Response Team, chaired by the Secretary General, to actively monitor the impacts on agri-food supply chains and to contribute to the whole of Government response to this crisis.

Following recent discussions at EU level, the European Commission announced on Wednesday 23 March, via the communication “Safeguarding food security and reinforcing the resilience of food systems”, a range of actions to enhance global food security and to support farmers and consumers in the EU in light of rising food prices and input costs. The communication sets out actions in three areas:

- First, it presents immediate actions to safeguard food security in Ukraine and around the world.

- Second, it addresses the challenge of food stability in the EU's food system, with a range of measures to support our farmers and maintain affordability for our citizens.

- Finally, it confirms the EU agenda to make our food system sustainable and resilient in the years to come.

It includes €500 million to support farmers most affected and agreement to deploy measures to support specific markets and allow for increased levels of advances of direct payments later this year. Other actions approved included a new self-standing Temporary Crisis Framework (TCF) for state aid and allowing Member States to derogate from certain greening obligations in 2022 to bring additional agricultural land into production. It includes an allocation of €15.8 million for Ireland, which can be topped up by national funding.

I will be examining ways to best mobilise this support as soon as possible, taking account of the detailed requirements and conditionality attached to this exceptional aid provision. The EU package also includes plans to deploy market safety net measures to support specific markets including private storage aid for pigmeat.

I will continue to engage with all our stakeholders and will continue to work across Government, and with our European partners, to respond to this crisis, using all of the tools at our disposal.

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