The TSE (Fallen Animal) Subsidy Scheme ensures primarily that fallen bovine animals over 48 months, which must be BSE-tested in accordance with EU legislation, are disposed of in compliance with all animal and public health and environmental regulations. The Scheme is an integral part of the infrastructure underpinning Ireland’s successful livestock and meat processing industries, which had an estimated combined export value of the order of €3.3 billion in 2013.
The operation of the Subsidy Scheme has been examined in my Department and a number of changes have been introduced. These include enhanced compliance provisions and putting some limits on the distance material can be carried while maintaining choice. This examination took into account a number of factors, including budgetary considerations, TSE testing requirements, Animal By-Product (ABP) regulations, the need to maintain competition and the need for an adequate collection and disposal infrastructure. The importance of having adequate rendering capacity especially in the event of a serious Class A disease outbreak was given high priority in the examination of the Scheme.
The revised terms include enhanced compliance provisions and putting some limits on the distance material can be carried while maintaining choice. Safeguards have been put in place in the Scheme rules to support competition. Under the new arrangements each animal collector is able to choose from at least two rendering companies. There is also provision to allow for exceptional circumstances in the Terms and Conditions but this has not been invoked to date.
The rates payable under the Scheme have not changed. The rendering and disposal costs of over 48 month fallen cattle in Category 1 plants are fully covered by the Scheme; and the collection charge to the farmer is still capped at €54.03, including VAT. Bovines under 48 months are outside the remit of the Subsidy Scheme, and their collection and rendering is a matter for commercial arrangement.
Participants in the Scheme have been consulted and advised that my Department is monitoring the operation of the revised terms and conditions very closely; and that an initial review would be carried out after three months, rather than the six months originally proposed. This review is now coming to a close and my officials will be in contact with the various stakeholders in the near future.
If following the review it is clear that there are ongoing issues with any aspect of the Scheme then my Department will consider what further steps may need to be taken. Before doing so the Department will have to be satisfied that all of the participants’ negotiating options have been examined in full. My Department cannot become directly involved in the issue of prices and a workable solution in that regard needs to be reached between the stakeholders if we are to continue to have an effective Subsidy Scheme.
