asked the Minister for Agriculture and Fisheries the average yearly number of cattle purchased by (a) Britain and (b) others over the past five years, giving in each case an estimated number in respect of purchases of dead meat; the average yearly exports by number of cattle on the same basis from Britain; what effect, if any he expects the virtual cessation of exports of cattle both from this country and from Britain to the Continent will have on the Irish cattle trade; and if he will state on the basis of present restricted outlets the probable purchasing power of Britain for Irish cattle in the next year.
Ceisteanna—Questions. Oral Answers. - Cattle Sales.
72.
During the five years 1961 to 1965 exports of cattle to the UK averaged 621,000 head per annum and exports to other destinations averaged 49,000 per annum. During the same years exports of carcase beef averaged the equivalent of approximately 99,000 head per annum to the United Kingdom and 217,000 head per annum to other destinations. During the years 1961 to 1965 exports of live cattle from the UK averaged 222,000 head per annum approximately and exports of carcase beef averaged the equivalent of 26,000 head per annum.
The coming into force of the higher guide prices for beef in the EEC countries in April of this year and the imposition later in the year of high import levies which were prohibitive in most cases, dealt a very severe blow to our trade in cattle and beef with the Continent and also led to the virtual cessation of exports from the UK, thereby greatly contributing to the very serious weakening of market conditions in that country—and probably more than any other factor being instrumental in contributing to the severe fall of cattle prices here during recent months.
As I have already stated, the outlook for cattle and beef in the longer term is, in my opinion, fundamentally sound. I have every confidence that the recent weak demand in Britain will not persist and that we can look forward to more normal conditions during the coming year.
The Minister does not tell us what will be the probable purchasing power of Britain for Irish cattle in the next year, as asked for in the last section of my question.
I thought I had dealt with it in a general way but one factor I would mention in connection with it is that the Minister of Agriculture, Fisheries and Food in the United Kingdom has recently made an important speech, with the full backing of the Chancellor of the Exchequer, in which he assured the agricultural community that credit would be available to them for agricultural purposes.
Would the Minister say if this is the only factor which will be changed next year?
I am dealing specifically with a question put to me by Deputy Donegan, namely, what I think the probable purchasing power of Britain for Irish cattle will be within the next year.
Would the Minister say what makes him more optimistic about next year than this year? Is there any factor, other than that they may have more credit in England?
I am going on the opinion of various organisations, and experts of one sort or another, who are continually surveying the meat trade and its future prospects here, in the United Kingdom and, indeed, in the world generally.
Is it anticipated that exports to the EEC countries will be resumed next year or what will give rise to this demand, because the number of cattle, as the Minister knows, is higher than it has been for a long time.
Whether or not we can resume exports of our cattle to the EEC countries depends on a variety of factors. The first factor, I think, entering into the situation will be the guide prices fixed by the EEC countries. There will be new guide prices fixed on the first of April next. This will be one of the most important factors but, allied to that, will be the situation in regard to cattle prices outside the EEC in the third countries—Denmark, the United Kingdom and ourselves, because whether or not a levy is imposed— and the level of the levy is, of course, determined by the relationship between the guide prices and the world prices, as determined—the state of the market in the third countries, as they are defined, will be very important in determining whether or not the level will be such that we will be able to send in cattle.
There is another aspect of the situation, that is, some EEC countries from time to time get derogations from Brussels, that is, they get their right to import cattle without levies or at reduced levies. Whether or not, of course, they will exercise their right to use these derogations will be determined by the EEC countries themselves.
Would the Minister consider making a proposition to his counterpart in Britain that we should get back to the position in 1932 when we had a ten per cent preference on the British market?
Does the Minister not agree that the position is very difficult inasmuch as the exports from Britain are 248,000 head, which must mean 248,000 head less to come from here, minus the extremely poor figure of 2,000 head he got out of Germany?
The situation in Germany is very difficult at the moment. The main suppliers from the western part of the world to Germany are, of course, the Danes and they are in very serious difficulties in regard to their exports to Germany.