Dáil Éireann díospóireacht -
Thursday, 16 Nov 1995

Vol. 458 No. 4

Written Answers. - EU Beef Scheme.

Mary Harney

Ceist:

16 Miss Harney asked the Minister for Agriculture, Food and Forestry the measures, if any, he proposes to adopt to ensure that producers of premium heifer beef are provided with EU assistance on a par with steer producers; and if he will make a statement on the matter. [17052/95]

Helen Keogh

Ceist:

30 Ms Keogh asked the Minister for Agriculture, Food and Forestry the measures, if any, he proposes to adopt to ensure that producers of premium heifer beef are provided with EU assistance on a par with steer producers; and if he will make a statement on the matter. [17051/95]

Minister for Agriculture, Food and Forestry (Mr. Yates)

I propose to take Questions Nos. 16 and 30 together.

The EU beef regime has traditionally focused its support, through the intervention system, on male cattle. Accordingly, when the regime was reformed in 1992 to switch the emphasis away from market support through intervention purchasing towards income support through the premium arrangements, beef producers were compensated for the restrictions introduced on intervention by way of a significant improvement in the existing premium payments and the introduction of new premia, such as the extensification and deseasonalisation slaughter premiums.

The new arrangements have in general worked extremely well for the Irish beef sector. A proposal to extend the existing premia to heifers would have considerable implications for FEOGA expenditure and it is highly unlikely that they could be accommodated other than by a significant reduction in the rates of payment under existing schemes and further major and permanent reductions in market support, especially export refunds, leading to consequential serious price reductions affecting all beef producers, including those specialising in heifer production. However, a number of aspects of the current regime will come up for review in 1996 and I will keep the proposal in mind at that stage.