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Dáil Éireann díospóireacht -
Wednesday, 24 Feb 1999

Vol. 501 No. 1

Written Answers. - Market Renationalisation.

Paul Connaughton

Ceist:

89 Mr. Connaughton asked the Minister for Agriculture and Food the steps, if any, he has taken to prevent EU states from renationalising their own beef and sheep markets using the country of origin labelling system; if this matter will be raised during the Agenda 2000 talks; and if he will make a statement on the matter. [5376/99]

I am concerned about the degree of market renationalisation for beef products in some key EU markets at the current time. As with most products there is always some tendency to favour those of domestic origin as opposed to the imported product and the situation is no different with beef or sheepmeat. However, since the initial BSE problems which commenced in the early 90s and which reached a crisis point in 1996 there has been a major increase in market renationalisation on some EU markets for beef and this has impacted severely on Irish exports. This renationalisation has been reinforced by the EU labelling regulation which came into force for fresh and frozen beef in all member states last year. The introduction of the beef labelling regulation was in response to the fall in beef consumption following the BSE crisis and the requirement on the part of consumers for reliable and accurate information about the beef on sale. The beef labelling scheme is optional until 1 January 2000 but any claims made on labels or point of sale notices before that date must be approved by the authorities in each member state. From the 1 January 2000 all beef must be labelled and there will be a requirement also from that date to indicate the origin of the animal from which the beef was derived.

There has been no EU labelling regulation introduced for sheepmeat.

I have made very clear to the EU Commission the negative effects of the move towards renationalisation on the level of Irish exports to other member states and on producers prices in this country. The fact that we must rely to a greater extent than we should on intervention and export refunds, despite a substantial difference in cattle prices in this country and in other member states, is a result of renationalisation. I have emphasised that the effects of the proposals for reform of the beef sector, as presented under Agenda 2000, must be assessed for Ireland in the context of an EU market where renationalisation has become a reality.

I would also add that An Bord Bia has formulated a strategy for achieving greater penetration of EU markets in the light of the more difficult market environment.

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