Beef, sheepmeat and pigmeat are our main food exports and as such it is vital that they are competitively placed on EU and international markets.
With regard to beef exports, there has been a shift in the export profile since the BSE crisis with increased exports to third country markets. The fall in beef consumption in the EU and a preference for domestically produced beef is the main reason for this change. The aim of the beef industry, as outlined in the beef task report, is to regain and increase market share on EU markets while at the same time retaining a strong presence on third countries markets. I believe that these objectives can be achieved because of our very competitive production base and the fact that we produce beef to the very highest standards of safety and quality. The export performance of the Irish beef industry in 1998, when it increased sales to EU markets by 45 per cent over 1997 level, is evidence of its competitiveness on export markets.
With regard to sheep exports, France offers the main market opportunity and accounts for three quarters of lamb export sales. However, Ireland has a market presence in almost all other EU member states. Over the past five years, a considerable effort has been made to promote lamb sales to the developing German and Nordic markets, with some success. These markets offer an alternative outlet to replace diminishing opportunities for sale to UK and Mediterranean markets.
In terms of price, Ireland can compete with any EU competitor but in the lamb market, the main challenge comes from new Zealand suppliers, which operate on a cost base which is very much lower than EU supplier. In terms of quality, Irish lamb can compete with the highest standards during the spring and summer seasons but some autumn hill lamb and winter hoggets tend to fall short of top grades. However, many Irish export meat plants now operate a full grading system based on the EUROP classification system, which – by paying producers for top quality – together with a greater focus on all quality aspect, can deliver a substantial improvement in this area. In this regard, my Department is working with the sheepmeat export approved plants to secure the grading for all lambs for export.