Vol. 542 No. 5
188 Mr. Penrose asked the Minister for Agriculture, Food and Rural Development the steps he is taking at the European Union farm council level to protect extensive grass based beef production systems here as opposed to the policy changes being introduced which favour intensive grain fed bull beef on the Continent; and if he will make a statement on the matter. [25310/01]
I am satisfied that the premium system in the cattle sector continues to favour extensive grass based beef production over intensive production. While the special beef premium for bulls was increased by a slightly greater percentage than that for steers in the context of the Agenda 2000 agreement, the total premium on steers, taking the two instalments together, is significantly higher than the single premium for young bulls. In addition, the majority of steers in Ireland are also eligible for the extensification premium at £52 per head where the stocking density it below 1.6 livestock units per hectare. Furthermore, under Agenda 2000, land under maize silage was excluded from the calculation of stocking density for the purposes of the extensification premium in order to ensure that intensive producers did not qualify for this premium. Grass based production is also encouraged through the REPS.
Apart from the rates of payment, the stocking density limit on premium payments also favours extensive over intensive production. The recent decision by the European Union to reduce this limit from two livestock units per hectare at present to 1.8 livestock units per hectare in 2003 will impact much more severely on intensive producers of young bull beef than on grass based production. I will maintain the approach that EU policy continues to favour grass based beef production.
