Dáil Éireann díospóireacht -
Thursday, 23 Mar 2000

Vol. 516 No. 5

Adjournment Debate. - Horticulture Industry.

Mr. Stanton

I welcome the opportunity to raise this important issue. As the Minister is aware, growers in the Cork area have suffered a number of blows in recent years, the first being the downgrading and closure of the Universal Food Plant in Midleton which resulted in the loss of 18 full-time jobs and a number of seasonal jobs. Those losses impacted hugely on the livelihood of growers and contractors in the area. The most recent blow was the cessation of trading of the Cork Vegetable Producers Group, a company established to market and organise growers in the area. I pay tribute to Tesco which moved into the area and which is a very good customer of the growers.

I am disappointed that neither Minister of State, Deputy Davern, nor Minister of State, Deputy O'Keeffe, could not be present this evening, particularly given that this matter relates to Deputy O'Keeffe's constituency. However, I welcome the Minister of State at the Department of Health and Children, Deputy Moffatt, to the House. Will the Minister of State inform the House what Bord Glas is doing to ensure the future of the horticulture industry in the Cork area? Will he communicate with Bord Glas and ask it to set up some form of co-operative or growers' group in the area in order that products can be marketed and that standards and markets for high quality products can be maintained? We must maintain standards and continuity of supply. At present, a great uncertainty exists in the region in that regard. Everyone is aware of the difficulties being endured by members of the farming community and this is a major blow to farmers in the region to which I refer. I accept that the market is being sustained through the efforts of the Dublin Meath Growers Society, but the market may not be sustainable in the long-term.

I ask the Minister to intervene and to use the good offices of the Department of Agriculture, Food and Rural Development and Bord Glas to assist in organising growers and ensuring that warehousing and whatever else is required, in order that the horticulture industry in Cork, which has a long and good history, is maintained, developed and advanced.

The potential for the industry is great. I will not refer to it as an alternative industry, but it is alternative to what we normally associate with agriculture. I make this plea on behalf of the growers, contractors and workers in the area. Now is the time to act. I will be interested to hear the Minister's comments and I hope he will promise positive action on behalf of Bord Glas and the Department. There is a need to provide hope for the people of Cork, particularly those who live in the eastern part of the county.

Minister of State at the Department of Health and Children (Dr. Moffatt)

I thank Deputy Stanton for raising this issue on the Adjournment. The Minister for Agriculture, Food and Rural Development, Deputy Walsh, regrets that he cannot be present to take it.

I am aware of the bitter disappointment in Cork following the cessation of trading of the Cork Potato and Vegetable Producer Group. The group which represented 22 growers played a significant role in the economy of the local area since it was set up in the early 1990s. The cessation of trading will effect not only the growers whose produce the group marketed but also the wider rural community. Following the closure of Universal Foods last year, this cessation is particularly disappointing.

Community financial assistance is available through the Department to recognised producer organisations setting up an operational fund and implementing an operational program. This aid can assist growers in meeting the challenges facing them in satisfying the demands of the multiples in terms of supply and distribution. I would encourage the establishment of producer groups in the light of the ongoing developments in the market.

Funding of £14 million for horticulture and £4 million for potatoes is being made available under the national development plan. In my opinion the provisions in the plan provide the proper framework for the future of the industry. This is in addition to the funds available for the producer groups. There will also be a major investment of £282 million in the food sector for capital investment, marketing, research and development and training. Projects for processing of horticultural produce will be included in the measures.

Horticulture operates in a very competitive international environment and does so without the EU market supports available for the main agricultural commodities. The growth and influence of the main supermarket chains and the advent of central purchasing have put horticultural producers under pressure to update their facilities and equipment. The proposed measures will help producers to increase their on-farm capital investments to meet this challenge in the immediate future.

Given the level of funding available for primary production and processing of horticultural products as well as producer groups there is ample opportunity for growers both nationally and in the Cork area to upgrade facilities and produce better quality crops in an environmentally friendly manner, thereby meeting the increasing standards being set by consumers and the supermarket multiples.