This debate is of paramount importance to the 150,000 farming families. Farmers are bemused when they hear of the Celtic tiger. Our economic performance is the showpiece of Europe and we are very proud of that fact. However, farmers know that the tiger's footprints are not to be found in the fields of Ireland. All is not well with agriculture. People are leaving the land at an alarming rate. In 1981 there were 220,000 farmers. In 1995 this had reduced to 150,000 — a reduction of 70,000 or 5,000 farmers for every year. Against the 5,000 people leaving agriculture, only 670 young farmers entered farming each year via the installation aid scheme.
The signals are not good and 1997-8 saw the first reduction in students entering agricultural colleges. I am constantly reminded of the reluctance of young people to enter farming. Many parents are turning prematurely grey trying to convince a son or daughter to stay. The more successful the economy and the more jobs that become available the more difficult it is for young farmers to earn an income comparable to that which family members earn in other sectors. This phenomenon is not confined to small farmers. Even on well run, profitable farms young people do not want to continue farming.
The Agenda 2000 proposals will take £250 million out of our economy annually. Worse than that is the fact that the proposals will strike unevenly. Many sectors of the community, such as the beef sector, will not withstand the proposals. The BSE outbreak is out of the news and the fact that only small numbers have been recorded in the past few months should mean that the prospects for exports will improve. However, there is a huge decline in farm-related construction spending this year estimated at £70 million to £80 million.
Before the last election the current Minister for Agriculture and Food stated that if returned to power he would introduce a new control of farmyard pollution scheme, continue the dairy hygiene scheme and introduce a new installation aid scheme for young farmers. He convinced many farmers that he would deliver on these promises if he became Minister. He has been Minister for one year but his performance has been disappointing to thousands of farmers. They believed him before the election and voted accordingly.
How can it be that in the run-up to the crisis in the year 2000 the Minister is allowing an agricultural economy to be without schemes of this type? We need someone to instil confidence in the industry. There are too many black clouds — real or imaginary. The Minister has decided to put his head in the sand and this does not augur well for our negotiating stance in the year 2000 when we will need a strong hand in Brussels.
Government Ministers run with the class acts such as the computer industry. We are glad to see this as it is good for employment. Everyone wants to be associated with a winner. However, where are the traditional values that Fianna Fáil, in particular, always espoused? It always said it would back small and medium sized farmers. I have never heard less about agriculture from any Taoiseach than from Deputy Ahern. The Minister seems isolated in Cabinet where he has few friends because it does not seem popular to speak of agriculture although it still has huge export earning potential. There are huge opportunities for job creation, directly and indirectly. That is in addition to the 150,000 farmers and their families who have to earn a living. It is not a small industry and should be treated differently.
No one ever expected the Progressive Democrats to be good for agriculture. However, I am very disappointed with the three Independents who keep the Government in power — Deputies Fox, Blaney and Healy-Rae. They represent rural constituencies. Are there no young farmers looking for or entitled to installation aid in their constituencies? Do farmers not want a grant to control pollution? Are there no dairy farmers with a problem with dairy hygiene? These Deputies will get their chance at 8.30 p.m. tomorrow. By changing sides they will not bring down the Government but they will send a signal that they do not like what they see when it comes to agriculture. If these Deputies mean what they say to farmers now is the time to show it.
About 25,000 farmers would apply for the control of pollution grant or the dairy hygiene grant, if available. These figures come from senior departmental officials. Control of pollution is not only a matter for farmers or the local community, it is a national environmental problem. It is vital that we control pollution from whatever source, particularly farmyards, if we are to prevent fish kills such as that last week.
Any money spent by a farmer on a slatted house, an underground tank which collects slurry, is dead money. There is no return on such an expensive undertaking. The smallest slatted house will hold about 50 cattle and cost between £25,000 and £30,000. There is a need for a substantial grant which would meet about one-third of the cost. Against this background I put it to the Minister recently at Question Time that it was vitally important that he immediately announce, for the benefit of all concerned, whether it was his intention to introduce a control of farmyard pollution scheme this year. He knows as well as I do that any developments are planned to coincide with the good summer weather. Any such scheme should not be announced next November when it would be of no use to anyone. What will the Minister do for farmers this year so far as control of farmyard pollution grants are concerned?
On the dairy hygiene scheme, the Government is correctly emphasising the need for quality assurance to ensure the product that leaves the farm is not matched for quality anywhere in the world. There are approximately 10,000 dairy farmers whose product would not pass this test. If the Minister is not in a position to provide financial help to ensure their yards are up to standard, there will be 10,000 fewer farmers in milk production this time next year.
Under the installation aid scheme a grant of £5,600 was payable to young farmers under certain conditions. If the amount payable, which was never increased, had been indexed linked, it would have stood at £10,000 or £11,000 when the scheme was axed. The sum of £5,600 may not make the difference in a young person deciding to remain in farming but it was the wrong signal to send to an industry that is haemorrhaging badly. Up to 5,000 farmers are leaving the land annually. Against this background I cannot understand why the Cabinet will not back the Minister in ensuring every eligible farmer receives a grant. I understand it is his intention to introduce a more focused scheme. I do not know what he has in mind but if it is anything like the last one, it will not solve the problem.
At several meetings that I attended before the last general election it was said that the then Minister, Deputy Yates, was not doing enough to have live export markets reopened but no man did more to have them reopened. Unfortunately for Fine Gael, the Egyptian Minister for Agriculture agreed in principle on election day to reopen that market. I do not want to be too critical as I know the Minister's heart is in the right place but it is results that count. The Minister told farmers that on his return to Agriculture House he would have markets reopened but that is not the way it has turned out. It appears that we are as far away as ever from having them reopened.
To ensure competition with the meat factories there is a need to put ships on the high seas. The live export trade is invaluable to farmers. We export nine out of every ten cattle that we produce. The Minister is to be congratulated for providing £1 million to fund the service to the Continent. To whom was this money allocated and why is a service currently not being provided?
Farmers are hoping that this year will be better than last year. It is when the industry is in a depressed state that a good Minister proves his or her worth. I have great faith in the resilience of farmers. If given half a chance, they will respond. In recent weeks there was a skirmish over the £114 million allocated for the Luas project. It appears the Minister did not secure any of this for the control of farmyard pollution scheme or any of the other schemes mentioned. I hope he will respond to our promptings and instil an air of confidence in farmers so that the industry can move forward with hope and vitality.