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Dáil Éireann díospóireacht -
Tuesday, 14 Mar 1972

Vol. 259 No. 10

Ceisteanna—Questions. Oral Answers. - Dairy Industry.

43.

asked the Minister for Agriculture and Fisheries if he will state in respect of the financial year 1971-72 (a) the estimated extra demand on the Exchequer likely to arise from increased prices provided during the year for dairy products; (b) the gains to the Exchequer likely to arise from lower subsidisation costs as a result of the fall in dairy productions; and (c) the estimated net saving to the Exchequer.

As supplies of milk for manufacturing purposes are seasonally small in the winter period and as there is no great volume of exports of products manufactured during that period, no significant Exchequer expenditure is expected to arise in the current financial year as a result of the increased prices provided for dairy products manufactured as from 1st December last. The bringing forward from next September to the present month of the date of payment of the deferred portion of the former milk price allowance will, however, cost approximately £1.8 million.

Exchequer support to meet export losses on dairy products has been reduced during 1971-72 as a result of the improvement in the prices of such products on export markets. The reduction is estimated at about £4¼ million in the current year but this is offset by the cost of the increases granted during the year in the support payments through creameries, the cost of supporting an increase in the creamery intake of milk and the £1.8 million referred to above. Allowing for these factors it is expected that there will be no net saving to the Exchequer on the original provision.

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