Vol. 398 No. 9
55 Mr. Quinn asked the Minister for Agriculture and Food the steps he has taken, in the context of the current review of the Common Agricultural Policy within the European Community, to ensure the reduction in the cost of basic foodstuffs to citizens of EC countries; and if he will make a statement on the matter.
As the Deputy will be aware, the Common Agricultural Policy aims to ensure both a fair standard of living for the agricultural community and that food supplies should reach consumers at reasonable prices. I am extremely conscious of the need to reconcile these aims to the maximum extent and have thus been prepared to accept changes in the CAP designed to ensure better market orientation, provided these changes are balanced by measures to safeguard rural incomes. Primary responsibility for the tabling of proposals relating to guaranteed prices under the CAP, is, however, a matter for the EC Commission.
EC institutional support prices for agricultural products have, generally speaking, not increased since 1984. In Ireland's case, of course, some element of farm price increase has resulted from "green" currency adjustments. Over recent years, however, these adjustments have tended to be modest and have had a far less than proportionate impact on consumer prices. Accordingly, increases in food prices are not out of line with the general rate of increase in the consumer price index.
