asked the Minister for Agriculture if he is aware of the plight of the wool industry in the country at this time; and if he will make a statement on the matter.
16.
Ceisteanna — Questions. Oral Answers. - Wool Industry.
15.
asked the Minister for Agriculture the plans he has for increased wool production, marketing and processing.
I propose to take Questions Nos. 15 and 16 together.
There is considerable scope for increased production in the sheep and wool sector. The various schemes operated by my Department and by the advisory, training and research services take account of the economic importance of wool production.
About 80 per cent of the Irish wool clip is exported and prices paid to producers are generally in line with, or above, guideline prices which are based on information from the main world wool markets.
What percentage of the home market needs is being supplied from Irish produced wool and approximately what quantity is imported?
I would have to give off the cuff figures in that respect. Broadly, about 80 per cent of our wool is exported in unscoured form. It is bought by overseas wool people and because of its high quality is mixed with New Zealand wool in a scouring process. The product then finds its way into various markets. While it might appear that we are importing fairly substantial quantities of wool, the reality is that our wool, especially wool produced from Galway Cheviot and Suffolk fleeces, is at the top of the market and we are getting top prices for it.
Is the time not opportune to consider the possibility of processing our wool at home instead of sending it abroad to be processed?
I agree that that is a matter we should consider, but I am just outlining the facts.
Have the Department plans to encourage the processing of wool at home?
Deputy Kirk has asked a number of supplementaries but I am calling on Deputy Mac Giolla who tabled one of the two questions being dealt with.
Perhaps you would allow the Minister to answer the last question.
There are problems in the wool industry here.
That is really Deputy Mac Giolla's question.
Our wool is an elitist type product which is fetching about 68p per pound on the market. We would have to consider a type of processing here that would carry that sort of cost.
Will the Minister consider the possibility?
I have called Deputy Mac Giolla.
My question relates to processing. As a city Deputy I tabled the question merely to ascertain the thinking of the Minister and the Department in relation to wool production. Am I to take it from the reply that at this stage in our development the Department continue to consider wool only as a by-product of the sheepmeat industry? In other words, we produce mutton and we happen to produce wool also as a byproduct. Is there any policy in the Department in regard to producing wool for the sake of wool production as is the case in Australia and other countries?
The wool industry is controlled by private enterprise. The people concerned are commanding the best possible price for their product and in return are paying the farmer the highest price possible for his product. Regarding making suggestions to people in the industry, our consumption of wool is small in terms of the world market. Our biggest usage of wool is in the manufacture of carpets but the people involved in that industry do not seek the higher quality wools and consequently they import wool of a lesser quality than that produced here. As I have pointed out, our wool is processed to a special blend which fetches a high price on the market.
Perhaps I may pursue this with the Minister.
Only to the extent of one question.
Obviously the Department have no policy in this area. Why can we not produce the type of wool that the carpet manufacturers require instead of merely producing another type of wool which is exported? Is there any co-ordinated plan for the production of the type of wool required at home? What is the position now that the Wool Board have been abolished?
That is another question.
The functions of the Board were taken over by ACOT, and these, basically, were to help people produce a better fleece as well as educating people about how sheep should be shorn, how the wool should be wrapped and so on. Regarding the first part of the question, fortunately for the Irish farmer perhaps, the type of wool we are producing is too good to use in the manufacture of carpets. Consequently, we export a high quality product and import a lesser quality one.
Would the Minister explore the possibility of importing the type of wool that would be needed to mix with our own wool to produce the required product instead of importing wool in large quantities? If we imported New Zealand wool and blended it with our own, we would be creating jobs at home.
That may be a possibility but I do not know what the reality of the proposition is.