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Joint Committee on the Secondary Legislation of the European Communities díospóireacht -
Wednesday, 19 Apr 1978

Proposed Regulation Relating to the Fixing of Representative Conversion Rates in Agriculture and the Use of the European Unit of Account in the Common Agricultural Policy.

The next draft report deals with the fixing of representative conversion rates in agriculture and the use of the European unit of account in the Common Agricultural Policy.

We had discussions with the various farming organisations and also with the Commission in Brussels on this draft report.

Paragraphs 1 to 9, inclusive, agreed to.

PARAGRAPH 10.

Paragraph 10 states that Ireland has pursued a general policy of adjusting her representative rate in line with developments in the market exchange rate and the Joint Committee would welcome the elimination of MCAs in accordance with some plan such as the Commission has proposed. It is three years since we tried to persuade Commissioner Lardinois to have a built-in adjustment procedure to ensure that when MCAs reached a certain level a mechanism would be triggered off that would reduce them automatically, so that we would not have the usual rows we have had in the past over reducing the representative rate and bringing it back to a reasonable level. It is now, I think, much easier to get an adjustment if a member state looks for it than it was heretofore. The general feeling is that they should take advantage of every opportunity to have representative rates brought back reasonably close to the market rate.

Paragraph 10 agreed to.

Paragraphs 11 to 15, inclusive, agreed to.

Appendix I, II, III and IV, agreed to.

Does the chairman agree that it is a very technical report and one which is extremely difficult to understand? I read it when I received it and I have to confess I do not understand it. It is not too clear to me. Perhaps it is so technical that it cannot be clearly understood by all.

It is a complicated system. When you spend a few years battling on this front it is easy enough to understand what it is all about. I think the report represents a view that would be accepted here generally.

There is one thing. Ending the problems we have with the British market inevitably will create a problem in the French and German markets.

We cannot have everything to our advantage.

Does the chairman agree that, seriously, we should try to see if we can have it every way and explore ways and means by which we can get all we possibly can out of it?

I think what the Deputy was saying was that at present, because of the difference in the MCA levels, we get a substantial benefit by way of subsidy and that, if that was to be removed by the British, it would take the market quite some time to rise to the same level to give producers here the same advantage.

Draft Report, agreed to.

Ordered: To report accordingly.

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