I propose to take Questions Nos. 1108 to 1110, inclusive, together.
Poultry egg production is a small but important component of the Irish agri-food sector. Output is valued at approximately €30 million. Unlike most sectors, the egg sector is largely domestically focused with competition from imports an ongoing issue. Approximately 85% of eggs consumed in Ireland are produced domestically. Food Harvest 2020 targets a 10% increase in the value of overall poultry output including meat, by 2020. The Report makes a number of recommendations, including taking all necessary measures to underpin consumer confidence in Irish product, particularly with regard to disease prevention, continued investment in innovation and value-added output and the adaption of new technologies aimed at improving efficiency and increasing the return on investment.
The value of egg exports is small with the vast majority of exported product going to Northern Ireland and the UK. In 2009, exports were worth almost €8.65 million, with values declining to €5.6 million in 2010 and recovering to almost €7.8 million in 2011.
There are four distinct egg production methods, namely Organic, Free-Range, Barn and Caged. In terms of the number of production sites in Ireland, Free-Range is the largest, followed by Caged and Organic with Barn being the smallest. Caged production, by virtue of the scale of the bigger operators, accounts for over 57% of the bird numbers with Free-Range accounting for almost 40%.
You will be aware of the introduction of the enriched cage production system in January of this year. This animal welfare measure prohibited the sale of eggs produced in older unenriched cages and led to a number of smaller scale and older producers exiting the industry. Some €16 million was allocated under the Targeted Agricultural Modernisation Scheme (TAMS), under the aegis of Ireland's Rural Development Programme, to assist existing producers convert their production systems. While the number of producers declined the size of the national flock remained stable. This was due to those producers remaining in operation expanding the size of their flocks and new large scale entrants.
Ireland was compliant with the new enriched cage system by the January deadline and an audit visit by the Food and Veterinary Office in early March confirmed this. A number of EU Member States have not yet complied with the provisions of the Directive and this has led to a decline in production and an increase in the price of eggs in the EU market. The European Commission have expressed the view that, as more producers become compliant in other Member States, the market will stabilise over the next few months.
In addition, Bord Bia continues to promote the Egg Quality Assurance Scheme which is a critically important tool for Irish producers who must compete with imported product.