Léim ar aghaidh chuig an bpríomhábhar
Gnáthamharc

Tuesday, 31 Mar 2015

Written Answers Nos. 344-362

Forestry Premium Payments

Ceisteanna (344)

Tom Fleming

Ceist:

344. Deputy Tom Fleming asked the Minister for Agriculture, Food and the Marine if he will grant a forestry premium in respect of a person (details supplied) in County Kerry; and if he will make a statement on the matter. [13234/15]

Amharc ar fhreagra

Freagraí scríofa

Premium payment claim forms (Form 4s) were posted to the above named applicant to claim payments for 2014 and 2015 on each of his five plantations. The Department has no record of these forms being returned. On 23rd March 2015 replacement forms were sent to the applicant for signing. Payment will issue on receipt of fully completed and signed forms. Applicants in receipt of payment greater than €10,000 in any one year are required to have a valid Tax Clearance Certificate.

Dairy Sector

Ceisteanna (345)

Michael Creed

Ceist:

345. Deputy Michael Creed asked the Minister for Agriculture, Food and the Marine the detailed independent figures available to his Department regarding investment in the dairy industry, both at farm gate and processor level, in recent years to take account of the ending of the milk quota regime; and if he will make a statement on the matter. [13239/15]

Amharc ar fhreagra

Freagraí scríofa

In the run up to quota abolition a number of estimates in respect of capital investment have been made by various stakeholders. Using data from Enterprise Ireland we can see that over the past 2 years some €729M has been invested in 36 dairy and Infant Milk Formula plants. This represents significant investment and whilst much of the information about specific plants is commercially sensitive, details regarding many of the larger investments are in the public domain. These would include the Glanbia project in Belview, involving an investment of €235M. Other companies have also shown their confidence in the sector. Danone announced a €50m doubling of capacity in its infant-formula manufacturing plant in Macroom in Co. Cork in 2010. Kerry Foods has built a global innovation centre - involving the creation of 900 jobs - in Naas, Co. Kildare; Dairygold is investing €120m in a phased project to incrementally expand its production capacity; and Lakeland Dairies has recently began a €36m investment in an expansion of its milk-powder processing operations at Bailieborough, Co Cavan. Companies of this calibre do not commit to programmes of investment on such a large scale unless they have confidence in the sector and in its stakeholders.

The deputy will also be aware of study that was undertaken via the Cork Institute of Technology which sought to examine the economic benefits and infrastructure requirements for future expansion of the dairy industry in Cork. The results from the survey of dairies in Cork indicated that the level of investment in dairy processing is higher than previous estimates for the country in total. Based on the survey of Cork dairies in this study, processing investment in Cork alone is estimated to be about €77 5 million between 2010 and 2020.

There has been significant investment at farm level too. A joint study by Teagasc and Bank of Ireland presented in early 2015 showed that Dairy farmers invested almost €2 billion in the 2007 to 2013 period, with just under half of this investment in buildings, and almost €70 million in milk quota over the period. Teagasc estimates a requirement for further investment of €1.4 billion at farm level to meet the Food Harvest 2020 targets. A €4 billion Rural Development programme will help to bridge the infrastructural gap at farm level through targeted investments in equipment and facilities.

Agricultural Production Costs

Ceisteanna (346, 347)

Bernard Durkan

Ceist:

346. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine if he is satisfied that adequate steps will be taken to ensure the development of the agrifood sector, notwithstanding impositions in respect of carbon emissions; and if he will make a statement on the matter. [13353/15]

Amharc ar fhreagra

Bernard Durkan

Ceist:

347. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which he expects various aspects of the beef and dairy industries to be affected by carbon reduction requirements; if this is likely to impede the achievement of targets in respect of production and output; and if he will make a statement on the matter. [13354/15]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 346 and 347 together.

Irish agricultural production is already independently and internationally recognised as one of the most climate and resource efficient systems in the EU and the world. The European Commission’s Joint Research Centre has found that Irish dairy production has the lowest Carbon-intensity, with Austria, in the EU.

The potential impact of the increased production envisaged in Food Harvest 2020 on the environment was considered to be slightly negative overall in the Food Harvest 2020 Environmental Report (published in January 2014). A number of recommendations were made in the report that would mitigate any such impacts, and these are informing policy development. In order to ensure sustainability in production, significant investment is being targeted to address potential negative impacts. Measures include:

- research aimed at developing and refining best practices

- investment through the Rural Development Programme and

- the identification and confirmation of sustainability credentials for Irish agricultural production.

Early analysis suggests that further efficiency improvements are possible such as the more efficient use of fertiliser and manure, grassland management, improved breeding and better fertility. Essential ongoing research into new technologies is being undertaken to maintain our economic and environmental competitive advantages. The level of emissions from agriculture has been steadily decreasing in recent years and my Department will continue to work with state and industry stakeholders so as seek even greater future efficiencies in a sustainable Irish agriculture sector.

Ireland has engaged in intensive discussions with the European Commission in recent years to highlight the importance of ensuring a coherent approach to the twin challenges of food security and the greatly increasing global demand for food in the coming decades with EU climate ambition.

The extent of the challenge to reduce greenhouse gas emissions, in line with our EU commitments, is well understood by Government, as reflected in the Climate Action and Low Carbon Development Bill 2015. While there will be a significant compliance challenge in the years 2017-2020, the development of an Agricultural Sectoral Roadmap under the Climate Bill 2015 will examine in particular what the sector can contribute to the overall national emissions target for 2020, through cost-effective mitigation measures while maintaining economic sustainability and efficiency in the sector. The Teagasc Marginal Abatement Cost Curve (2012) and the Rural Development Programme 2014-2020 will be very important to informing this process. The Government Bill outlines “approach to carbon neutrality in the agriculture and land-use sector, including forestry, which does not compromise capacity for sustainable food production”; the challenge will be how to maximise our productive agricultural capacity while maintaining our commitment to sustainability, the Food Harvest 2020 theme of “smart, green, growth” at its core.

The approach in the current Effort Sharing Decision, in terms of GHG reduction targets for 2020, treats the biogenic emissions from agriculture in essentially the same way as anthropogenic emissions from sectors such as transport and does not take into account the limited cost-effective mitigation options available in the sector. While the 2020 targets remain binding, Ireland has consistently pointed out that if emissions reduction targets continue to be set in this rather blunt manner into the future, the only way that the EU agriculture sector could move to compliance would be through reduced production. This would lead to carbon leakage to other less efficient production systems, and would be a perverse consequence of a short-sighted climate policy in the EU which would in fact lead to increased levels of emissions globally. Ireland has stressed that there is currently a disconnect between EU food security policy and climate ambition to 2020.

As a direct result of Ireland’s leading role over the past two years in discussion with the Commission on the EU 2030 Climate & Energy Framework, the EU Heads of State and Governments agreed (inter alia) the following critical text at the October 2014 European Council meeting:

“The multiple objectives of the agriculture and land use sector, with their lower mitigation potential, should be acknowledged, as well as the need to ensure coherence between the EU's food security and climate change objectives”.

The recent report published by the Joint Research Centre of the European Commission entitled ‘Economic assessment of greenhouse gas mitigation policy options for EU agriculture' confirms what Ireland has been saying in recent years to the Commission and reinforces the text of the October 2014 European Council Conclusions. If there are blunt emissions reduction targets for agriculture that do not take account of the limited cost-effective mitigation options, then reduced production and land abandonment is the major risk associated with compliance.

Officials from my Department are continuing to work with colleagues in other Departments to ensure a whole of Government approach to building upon the October text, and working with the Commission to ensure that EU climate and food policies to 2030 and beyond are coherent and consistent in recognising the reality of the global challenges that we are facing.

Reduced production is not an option for the Irish agriculture sector - we are committed to ensuring that the sector continues to grow sustainably so that Ireland can play its part in meeting the increasing global food demand while having regard to Ireland’s climate obligations.

I have established a high-level committee that includes leading stakeholders in the Irish agri-food and environment sectors to develop a new ten year agri-food strategy to 2025. Independent consultants are working in tandem with the committee to carry out an environmental analysis of the strategy that includes an appropriate assessment and strategic environmental assessment.

While I cannot pre-empt the outcome of this important work the emphasis must be placed on encouraging sustainable intensification of food production in light of the growing global demand so as to reduce the carbon intensity of product, as well as contribute to both food security and greenhouse gas mitigation objectives.

Food Labelling

Ceisteanna (348, 350, 352)

Bernard Durkan

Ceist:

348. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the degree to which he remains satisfied regarding the adequacy of regulations to ensure the highest possible standards in regard to traceability; the extent, if any, of new regulations in this regard, with particular reference to country of origin in respect of meat and meat products originating in third countries imported into the jurisdiction from the European Union; and if he will make a statement on the matter. [13355/15]

Amharc ar fhreagra

Bernard Durkan

Ceist:

350. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine if all meat and meat products available in Ireland and throughout the European Union continue to reflect their ingredients, country of origin and relevant quality standards accurately; and if he will make a statement on the matter. [13357/15]

Amharc ar fhreagra

Bernard Durkan

Ceist:

352. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which checking, cross-checking and inspection continues in order to ensure the integrity of the labelling of all food and food products imported into this jurisdiction or into the European Union and subsequently to this jurisdiction; and if he will make a statement on the matter. [13359/15]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 348, 350 and 352 together.

Rules on the labelling of meat and meat products are laid down in EU legislation.

For beef, compulsory labelling rules have been in place for many years, and require food business operators to label fresh, frozen or minced beef with specific information to enable the product to be traced back to the animals from which it was derived. This must include details of the slaughterhouse and de-boning hall in which the animal was processed, as well as the country in which it was born and reared.

In 2011 the European Union passed the Food Information for the Consumers (FIC), Regulation 1169/2011, which has updated the requirements for consumer information and labelling in a number of areas. In particular, the FIC Regulation extends mandatory origin labelling to meats other than beef for the first time. The implementing provision is Commission Regulation No. 1337/2013, which introduces mandatory origin labelling for meat from pigs, poultry, sheep and goats with effect from tomorrow, 1st April 2015.  Under this regulation, labelling is required to identify the Member State or third country of rearing and the Member State or third country of slaughter for these meats. The term ‘Origin’ can also be used where the country/member state of birth is the same as the country of rearing and slaughter.

Ireland has been a strong proponent of such rules and I am today signing into law a new Statutory Instrument to ensure that the necessary provisions are in place to implement this mandatory labelling requirement from tomorrow.

As the deputy will also be aware, the Minister for Health has overall responsibility for general food labelling legislation. However, my Department plays an important role in the labelling of food together with the Food Safety Authority of Ireland (FSAI). Under EU law primary responsibility for the safety and traceability of food placed in the market place lies with food business operators. The role of my Department is to verify compliance by the food business operators with this requirement.

Regulation (EC) No. 178 of 2002, which sets out the general principles and requirements of EU food law, stipulates, among other things, that food business operators at all stages of production, processing and distribution within the businesses under their control must ensure that foods satisfy the requirements of food law. Specifically in regard to traceability, the regulations require that food business operators must have systems in place to be able to identify any person from whom they have been supplied with a food. They must also have a system in place to identify the other businesses to which their product has been supplied. In other words a food business operator at each and every stage in the food chain must be able to identify the source of its inputs as well as having details of the first recipient of its output. This is commonly referred to as the “one step forward one step backward” traceability system.

My Department has a permanent veterinary presence at all its approved slaughter plants. Controls at stand-alone secondary processing plants are carried out at a frequency which is based on an annual risk assessment for each plant. An annual audit of imported products is carried out in each Department approved meat plant. The audit includes physical identity, labelling and documentary checks for product originating both in EU Member States and third countries. In addition, labelling and documentary checks form part of the routine checks conducted by Department officials.

The import of products of animal origin from third countries is governed by a comprehensive and robust legislative framework laid down at EU level, controlled by EU Member States in the first instance, and audited by the European Commission’s Food and Veterinary Office, to ensure compliance with all of the relevant food safety standards. The legislation imposes a series of health and supervisory requirements, designed to ensure that imported products meet standards at least equivalent to those required for production in, and trade between Member States.

Import controls on products of animal origin arriving from third countries must be performed at an EU Border Inspection Post approved for that category of product being presented. Consignments for import requiring veterinary checks must be notified in advance to the Border Inspection Post of import and presented on arrival for checks with all the appropriate documentation. Border Inspection Posts in Ireland are operated by my Department. The import controls procedures on products of animal origin are highly prescriptive and strictly audited by the FVO to ensure compliance. Reports of the findings of inspections are published on the FVO’s website.

Agricultural Production Costs

Ceisteanna (349)

Bernard Durkan

Ceist:

349. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which he expects agricultural production to increase throughout each sector in the next five years; and if he will make a statement on the matter. [13356/15]

Amharc ar fhreagra

Freagraí scríofa

Targets for agri-food growth were set out in Food Harvest 2020 and I am confident that they are fully achievable over the next five years. As the deputy is aware, the main targets in the Food Harvest report are, by 2020, to increase the value of:

- Primary output in the agriculture, fisheries and forestry sector by 33%

- Agriculture, food (including seafood) and drink exports by 42%

- Value added production by 40%;

Progress on these targets is monitored and reviewed on an ongoing basis and the most recent data indicates that the value of primary production had almost reached its target by 2014, up 31% compared to the 33% target; exports had grown by 27%, also by 2014, compared to their 2020 growth target of 42%; and GVA had grown by 29%, by 2012 (the most recent year’s data), compared with the target of 40%. In addition, Food Harvest 2020 also had set a target of increasing the volume of dairy production by 50% by 2020, the removal of the milk quota limits from tomorrow will allow milk levels to increase by that amount over the next five years.

Based on these statistics, all targets are currently well on track to be achieved over the next five years.

Nonetheless, I regard it as prudent to continually review the internal and external environment so that we will continue to maximise the opportunities available to this indigenous sector. To that end, I have appointed a 2025 Agri-Food Strategy Committee to report back to me by end June with any key recommendations and actions they consider necessary to allow us set ever more challenging goals for the longer term.

Question No. 350 answered with Question No. 348.

Agricultural Production Costs

Ceisteanna (351)

Bernard Durkan

Ceist:

351. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the steps he proposes to take, in conjunction with his European Union colleagues, to protect the concept of the viability of the family farm enterprise throughout Europe; and if he will make a statement on the matter. [13358/15]

Amharc ar fhreagra

Freagraí scríofa

The drive to intensify agricultural production and improve competitiveness implies some degree of structural change in farming. However this need not imply a move away from family farming, which has always been the backbone of the European model of agriculture. On the contrary, in my view, structural change is vital to ensure that our family based farming systems continue into the future – with fewer farms, but farms that are stronger in terms of economic viability, production efficiency and long-term sustainability.

Our vision must be to undertake food production and distribution in a manner that is sustainable in all its dimensions – economically, socially and environmentally. This is directly linked with the production of important public goods such as an attractive landscape, clean air and water and a vibrant rural economy. And family farms are the bedrock for achieving these added benefits.

The challenge therefore is to ensure that our family farms are supported so that they are competitive and productive on the one hand and so that they can deliver these added environmental and social objectives on the other.

The reform of the Common Agricultural Policy, agreed in 2013, provides this support and stability into the future. The Direct Payments system allows farmers to respond to the needs of the market while retaining some income stability. CAP Pillar 2 allows Member States to underpin the socio-economic development of our farms – improving competitiveness and sustainability and encouraging positive structural change. And the overarching flexibility incorporated into the reform allows these measures to be tailored to local needs, which is crucial in supporting the diversity of farming across the Union.

Question No. 352 answered with Question No. 348.

Fishing Industry

Ceisteanna (353)

Bernard Durkan

Ceist:

353. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which provision continues to be made to ensure the survival of families dependent on the fishing industry in the context of the European Union's review of fishing policy; and if he will make a statement on the matter. [13360/15]

Amharc ar fhreagra

Freagraí scríofa

The new Common Fisheries Policy (CFP) provides the framework for the long term sustainability of fish stocks around our shores, the continued economic viability of our fishing fleet and fish processing industry while supporting our families and communities that depend on the sea for their livelihood. A key element of the new CFP is the setting of fishing levels on the basis of MSY (Maximum Sustainable Yield). This should ultimately lead to healthy fish stocks, higher quotas for both Irish and EU fishermen and lead to more sustainable fishing patterns. The new Common Fisheries Policy specifically calls for the progressive restoration and maintenance of populations of fish stocks above biomass levels capable of producing MSY. I am committed to the ambitious objective of achieving MSY by 2015 where possible and by 2020 at the latest. As president of the Council during the CFP negotiations it fell to me to broker an agreement on this important issue between the co-legislators. In line with the CFP, I consider that for some stocks we will need to phase in delivering MSY if its immediate application seriously jeopardises the social and economic sustainability of the fishing fleet. The TACs and quotas for 2015, as agreed at the December Agriculture & Fisheries Council of Ministers meeting, take account of delivering MSY for 2015 where possible and on a progressive, incremental basis at the latest by 2020 for all stocks.

The introduction of a landing obligation/discarding ban on a phased basis, as set out in the CFP, represents a fundamental shift in fisheries policy and fishing practices. A discards plan for pelagic stocks in North Western Waters, developed by Ireland, the UK, the Netherlands, France and Belgium in consultation with the Advisory Council, has been in place since the 1st January 2015. Work on a discard plan for the whitefish & demersal stocks is already underway and is due to come into force on the 1st January 2016. This work is carried out in close consultation with both the Advisory Council and other Member States with fisheries interests in North Western Waters. It is expected that over time the landing obligation will lead to an improvement in the state of the stocks of importance to Ireland and will result in increased fishing opportunities for the Irish fishing industry.

From the outset of the Common Fisheries Policy revision process, Ireland’s overarching goal was to ensure a sustainable, profitable and self reliant industry that protects and enhances the social and economic fabric of rural coastal communities dependent on the seafood sector, while balancing these objectives with the need to safeguard fish stocks for future generations. This will ensure that families dependent on fishing can look forward to being part of a vibrant, productive and resilient Irish fishing industry and can expect to continue to achieve a reasonable return for their efforts and investment.

Artisan Food Sector

Ceisteanna (354)

Bernard Durkan

Ceist:

354. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which he sees further scope for development and employment in the artisan food sector; and if he will make a statement on the matter. [13361/15]

Amharc ar fhreagra

Freagraí scríofa

The artisan or speciality food sector in Ireland was valued at c €615 million in 2012, with some 350 producers employing more than 3,000 people. Evidence suggests that the sector can have a significant impact on local economies. The emergence of Ireland’s artisan food sector, supported by growing consumer demand for niche products and a strong entrepreneurial spirit, has generated many new small food companies. Most are owner managed, frequently have a farming basis, and produce diverse products, demonstrating high potential for innovation. Artisan food also has potential to attract visitors and tourists as evidenced at Bloom and many food festivals.

Within the artisan sector, the farmhouse cheese sector includes over 50 cheese-makers producing more than 150 types of cheese valued at over €12 million per annum at farm gate level. My Department is supporting a three year programme managed by Bord Bia under the EU Promotion Scheme to promote and increase awareness of farmhouse cheese. It is projected that with the overall increase in milk production following the abolition of milk quotas, farmhouse and specialty cheese output could increase to just over 4,500 tonnes per annum worth around €33 m without requiring significant additional capital expenditure.

The Food Harvest 2020 strategy identified the artisan sector as having growth potential and has stimulated innovative programmes to support the sector including Food Academy, a programme developed by Bord Bia, the Local Enterprise Offices and Musgraves/Supervalu to support small producers to build businesses. This has generated new business and employment. Food Works, an initiative of Bord Bia, Teagasc and Enterprise Ireland, has also been successful.

The development of a new 2025 strategy for the food and drink sector is underway and will encompass how best to capitalise on the positive growth prospects for the sector, which are driven by increased consumer interest in the provenance of food, environmental concerns, health and a desire to support the local economy.

Animal Identification Schemes

Ceisteanna (355)

Bernard Durkan

Ceist:

355. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which all non-sporting horses have been registered electronically, or otherwise; if the welfare of such animals continues to be monitored by his Department; and if he will make a statement on the matter. [13362/15]

Amharc ar fhreagra

Freagraí scríofa

There are currently seven equine organisations approved under EU and National Legislation by my Department to maintain studbooks for animals whose parentage is established (pedigree animals). In addition, two of these organisations are approved to maintain a register for animals whose pedigree is not established (non-pedigree). These organisations are subject to regular inspections by my officials. The introduction of Regulation EC 504/2008 on 1 July 2009 requires three elements of identification to be fulfilled in respect of each equine, viz., a single lifetime passport, a method to ensure the unequivocal link between the animal and the passport, i.e., a transponder, and recording in a central database.

Equines that do not have parentage information receive a distinct passport (“white book”) from those equines whose parentage is recorded in an approved studbook. There were 9,064 of the former registered in 2014.

Horse Sport Ireland has informed my Department that a large proportion of horses whose parentage is not established are used in activities such as riding club competitions, hunter trials and in equestrian leisure pursuits.

Regarding welfare, horse owners are obliged to ensure the welfare of their horses irrespective of breed, whether kept for commercial, domestic, sport, show or for other purposes. The Animal Health and Welfare Act 2013 places clear obligations on horse owners in regard to the requirement to look after animals and makes it an offence to abandon an animal. A person who abandons an animal is not relieved of responsibility for the welfare of that animal.

My Department devotes considerable resources to protecting horse welfare and, in conjunction with the local authorities and An Garda Siochana, my officials continue to adopt a pro-active approach in relation to horse welfare and will remove at-risk animals and, where appropriate, institute proceedings relating to any mal-treatment of these animals. Any person with concerns about horse welfare should contact my Department’s animal welfare helpline on 0761 064408.

Exports Growth

Ceisteanna (356)

Bernard Durkan

Ceist:

356. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which the various markets for Irish dairy products have expanded in each of the past five years and in 2015 to date; his expectations for the future in this regard; and if he will make a statement on the matter. [13363/15]

Amharc ar fhreagra

Freagraí scríofa

Dairy exports in 201 4 were valued at over €3bn and the dairy sector is by a number of measures the country’s largest indigenous industry. Due to its reputation and significant global footprint, the dairy sector in Ireland retains significant future growth potential. The removal of quotas will be a key driver in this respect. Ireland exported dairy products worth €2.3Bn in 2010 and by last year this had risen by over one-third to over €3bn. A number of trends are evident when comparing Ireland’s dairy export profile with that which prevailed 5 years ago. Key among these would be a broadening of the Irish dairy sector’s export base, with some 40% of Irish dairy trade destined for international markets, with this trade worth approximately €1.24bn in 2014. Last year, Irish dairy products were exported to approaching 130 countries. Another key trend is the move towards higher value added products such as infant formula. This is reflected in the fact that in 2010, Ireland exported less than €600M worth of infant formula globally and by 2014 this figure had increased by more than 50% to well over €900M.

I am acutely aware of the need to develop as many market outlets as possible for Irish dairy products. Notwithstanding our successful trade performance, I continue to work with industry to raise the profile of the Irish dairy sector, and the Irish agri-food sector generally, in emerging markets in the Far East, North Africa, the Gulf States and elsewhere. China is an obvious destination for certain dairy products and in particular for dairy based infant formula and I have led two very significant trade missions there since taking office in addition to trade missions to the Gulf States and the US to promote Irish dairy. My Department, along with Bord Bia, is working very closely with the industry to build on our presence in all of these locations. I have been very active in developing relationships in new and expanding markets in order to build the kind of confidence in Irish production and control systems that provide a platform for long-term trading relationships in the future.

Most market analysts predict that medium term prospects for global dairy markets are good, with growth in world population and wealth expected to stimulate strong levels of demand for dairy products. My aim is to help position the Irish dairy sector to be able to take advantage of this opportunity.

Cereal Sector

Ceisteanna (357)

Bernard Durkan

Ceist:

357. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which he is satisfied in respect of the future prospects for the cereal growing sector over the next eight years; and if he will make a statement on the matter. [13364/15]

Amharc ar fhreagra

Freagraí scríofa

As I indicated to the Deputy only a short time ago on this matter, the maintenance of an efficient and viable cereals sector in Ireland is clearly very important to the well being of the agri-food industry. Indigenous production of cereals is of course, an important part of primary agriculture production. In addition to generating an income for our tillage farmers, the cereals sector is a key source of seed production, grain for the milling and malting industry and feeding stuffs for the livestock sector. The long-term average cereal production in Ireland is in the region of 2.2 million tonnes per annum and it is desirable to sustain this level of production in order to avoid over dependence on imported cereals. The 2014 harvest is estimated in the region of 2.5 million tonnes, well above the long-term average production of 2.2 million tonnes.

Since Ireland is a deficit market for cereals, prices here are greatly affected by world prices and supplies. Despite lower direct and overheads costs, the lower value of output led to lower incomes in 2013 and 2014. Cereal prices are highly sensitive to global supply and demand and volatility in prices is likely to become a constant feature of Irish cereal prices in future and grain producers should factor such fluctuations into their planning and marketing strategies.

My Department operates a range of services aimed at improving the level of production, quality and viability of the Irish cereal sector. These services include seed certification, seed testing, variety testing and the publication of recommended lists of varieties, research funding through the ‘Stimulus’ competitive research programme and funding for the quality assurance scheme. In addition, Teagasc provides research, training and advisory services for cereal producers. The value of all these support services is reflected in the fact that Irish cereals producers have consistently achieved some of the highest yields in the world. Teagasc estimates the area planted for 2015 winter crops at: wheat (55,000 ha); barley (75,000 ha); oats (8,000 ha), while comparable areas for 2014 were: wheat (64,000 ha); barley (60,000 ha); oats (10,000 ha).

Food Harvest 2020 outlined a number of challenges facing the cereal sector in the coming years including price volatility, climatic and disease issues, high input prices, small and fragmented holdings and the cost of rented land. However, the report also pointed to positive projections for cereal prices as markets are relatively well-balanced and world cereal prices are projected to be higher than in the last decade.

It is known that global grain production is struggling to meet the increasing demand for food, feed and industrial uses. In addition to a rising global population creating a bigger demand for cereals, an increasing demand for meat is disproportionately increasing grain demand even further. It is predicted that global demand for cereals will reach 3 billion tonnes by 2025 compared with 2.3 billion tonnes currently.

The European Union is one of the largest grain producers in the world and plays an important role in both exporting and importing cereals, oilseeds and their derived products. Europe consumes around 414 million tonnes of grains and derived products per year, catering for food, feed and industrial needs: 339 million tonnes of these agricultural goods are produced in the EU and 75 million tonnes are imported from third countries. Despite EU producers’ efforts to increase their productivity, demand outstrips supply and thus EU operators are dependent on imports from the world market.

The primary growth in requirement for Irish cereals in the years ahead is likely to be for animal feed, given the targets for increased livestock output proposed in Food Harvest 2020 and the lifting of milk quotas which is expected to give rise to a considerable expansion in the dairy herd, as well as an increased level of feeding and production per livestock unit. However, considerable potential also exists in grains for the drink industry such as malting barley and recent significant investments by the large brewing and distilling companies here in Ireland are proof of such potential. Further, it is envisaged that there will be increased demand for Irish oats milled for human food for the home and export markets and in this context, the success of the Agribusiness sector in securing, long-term contracts with US-based Foods companies to supply milled Irish oats to a premium Irish oatmeal brand in the US market, is particularly welcome.

Agri-Environment Options Scheme Payments

Ceisteanna (358)

Paul Connaughton

Ceist:

358. Deputy Paul J. Connaughton asked the Minister for Agriculture, Food and the Marine when a payment under the agri-environment options scheme will issue to a person (details supplied) in County Galway; and if he will make a statement on the matter. [13381/15]

Amharc ar fhreagra

Freagraí scríofa

The person named was approved for participation in the 2011 Agri Environment Options Scheme (AEOS 2) with effect from the 1st September 2011 and payment has issued in respect of the 2011, 2012 and 2013 Scheme years. Under the EU Regulations governing the Scheme and other area-based payment schemes, a comprehensive administrative check, including cross-checks with the Land Parcel Identification System, must be completed before any payment can issue. The application was selected for a ground inspection during which non compliances with the Terms and Conditions of the scheme were noted in relation to the Coppicing of Hedgerows, Laying of Hedgerows and Broadleaf Tree Planting actions. The person named was notified of these non compliances, which will result in penalties being incurred and a right of appeal was given.

As no appeal was received by my Department, the application is being processed on the basis of the inspection findings and payment in respect of 2014, less penalties, will issue shortly.

Agricultural Production Costs

Ceisteanna (359)

Bernard Durkan

Ceist:

359. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which he continues to monitor the future growth prospects for the beef, lamb, pigmeat and poultry industries, with particular reference to the fluctuation in import costs; and if he will make a statement on the matter. [13404/15]

Amharc ar fhreagra

Freagraí scríofa

The reply is as follows:

Beef

I am pleased to note that prices at the end of last week have increased 15% since last September and are now 6% higher than in the same point in 2014. Current beef prices in Ireland stand at 103% of the EU15 average. As of the end of last week, the average prices paid (excluding VAT) for an R3 steer stood at €4.03/kg and an R3 Heifer at €4.14, an increase on the previous week and almost 10% higher than the beginning of the year in both cases.

Margins and input costs are also impacted by a number of factors other than price and these are the areas where I have focused my efforts since becoming Minister. I established the Beef Round Table forum last year in order to bring all stakeholders together and to facilitate open discussion between industry and farming organisations. At the fifth meeting of the Round Table in January, the stakeholders agreed to a broad range of outcomes which address areas of concern for the sector relating to product specification, price transparency and a weight limit moratorium until December 2015.

The Round Table allows stakeholders to engage in a positive way on strategic goals for the sector. As an example, the most recent meeting of the RoundTable held in February resulted in the establishment of a stakeholder group, led by Teagasc, which was tasked with preparing written guidelines for beef farmers which would act as a blueprint for those currently producing bull beef or those considering developing bull beef production systems, taking into account production efficiency and market dynamics.

The Deputy will also be aware that I have provided a package worth over €70 million for the beef sector in 2015. This includes €52 million for the Beef Data and Genomics Programme (BDGP) which forms part of Ireland’s draft Rural Development Programme, and will involve a budget of some €300m over a six year period. The proposed BDGP is intended to deliver an accelerated improvement in the environmental sustainability of the beef herd through the application of genomics technology. This will help farmers to manage their enterprises in a sustainable way that is cognisant of Ireland’s climate change commitments, while supporting improved quality and traceability in the national suckler herd. It will also place Ireland at the global forefront in the application of genomics technology and cement our reputation as one of the most important and export focussed beef producing nations in the world.

Of course, new market opportunities for both beef and live cattle exports also impact on the eventual returns to farmers. The recent openings of the US and Chinese markets to Irish beef are major achievements in this regard. Given China’s strict safety standards and cautiousness around granting market access and with a market of over 6 million tonnes and growing, it is a clear endorsement of Ireland’s food safety standards and a huge economic boost to the beef sector .

Sheepmeat

2015 is proving to be a good year for sheep producers so far, with average factory prices for the first eleven weeks of the year running at 11% ahead of the corresponding period in 2014. Slaughterings during the same period are down by 2%, reflecting a lower carryover of hoggets from 2014.

While recent currency movements would have an impact on the cost of imported input materials for farmers in general, the problem is not particularly acute for sheep farmers as they are mainly fed on grass.

The vast majority of our sheepmeat is exported to high-value markets in Northern Europe. However it is important to develop alternative market opportunities and I intend to continue to drive this process. My Department in consultation with the meat industry and in cooperation with Bord Bia and the Irish Embassies abroad is constantly pushing for new markets and opportunities. In 2014 we agreed veterinary health certificates with Lebanon, Namibia, Hong Kong and The Philippines allowing for the export of Irish sheepmeat to those countries. Also, during my visit to China leading a Trade Mission in November 2014, I was able to hand over the completed version of a sheep questionnaire which we had been asked to complete in connection with our efforts to gain access to the Chinese market for sheepmeat. This represents the first milestone on the road which will lead, I hope, to Ireland gaining access to the Chinese market for sheepmeat in the future. While in the US recently, we also had the opportunity to raise access for Irish lamb but we were informed that the next step in the process, which is the lifting of their TSE ban, is still sometime away.

Pigmeat

The development of the pigmeat sector is a priority for me given the crucial role which the industry plays in supporting approximately 7,000 jobs including production, slaughter, processing, feed manufacture and services. The sector accounts for 5% of the total agri-food sector and is the third largest individual component. In 2014 export volumes were up 10% continuing the growth seen in previous years, against export values of 3%, somewhat constrained due to price pressures. Pigmeat prices tend to be cyclical in nature with periods of lower prices and production followed by recovery and this has remained the case for many years. Price declines in the latter part of last year resulted in the end of year price falling below levels unseen in the previous three years. However due to recent price gains the average Grade E pig price currently stands at €142.93, 6% lower than the same week last year. I am hopeful that with the recent opening of Aid to Private Storage for the pigmeat sector and seasonal demand, recent price rises will continue and that this will result in improved margins for pig producers.

Support is provided by my Department for the development of the pig sector in a number of ways. Firstly I have included provision in 2015 and throughout the whole RDP for an on-farm capital investments scheme, TAMS II, with an overall budget of €395 million across all sectors, with €37 million allocated for 2015. Among the areas identified for initial funding are investments on pig farms for energy, water meters and medicine dispensers.

Other supports for development of the sector come through Teagasc which, through its Moorepark pig research facility and courses in pig production, plays an important role in improving production at farm level. Through its Joint Research Advisory Programme, Teagasc supports Irish pig producers by providing advice, research and education across a range of issues of importance to the sector. The high level objective of the programme is to enhance the sustainability of Irish pig meat production, including improvements in economic, social and environmental standards. This will result in improvements in the production and marketability of Irish pigmeat.

I am also conscious of the need to promote the consumption of Irish pigmeat in domestic and overseas markets. Bord Bia provides assistance to the pigmeat sector through its marketing and promotional activities, and the pigmeat quality assurance scheme helps to consolidate the position of Irish pigmeat on the domestic market and helps expand its presence on EU and third country markets.

International trade is expected to improve in 2015, reflecting the ongoing increase in demand in response to growing per capita wealth in China, and the redirection of pigmeat usually directed towards the Russian market to different locations such as South Korea and the Philippines. For my part I have undertaken to ensure that as many alternative markets as possible are open to Irish Pigmeat processors. In this regard I was pleased to announce last year the opening of the markets in Vietnam and the Philippines for Irish pigmeat which are already serving as valuable alternative markets to Russia for Irish pigmeat exports. I am also continuing in my efforts to secure new third country markets, which has been a priority of mine since assuming office and my Department will continue to engage with the Russian authorities and with a view to lifting the pigmeat restriction as a priority.

It is important to remember that pigmeat remains the most consumed meat worldwide and this will continue to present opportunities for Irish producers, given our self-sufficiency. In addition, the progress made in the last few years in establishing and consolidating a presence in important international markets will better position Irish producers to take advantage of growing demand.

Poultry

Poultry meat has long been seen as a value for money food and this has underscored an increase in demand, particularly in recent years. The sector has faced considerable challenges in recent years with rising input and energy costs combined with significant pressure from lower cost imports. While input prices reduced somewhat, producer and wholesale prices in the sector eased slightly throughout 2014.

Support is provided by my Department for the development of the poultry sector in a number of ways. Provision is made through the RDP, TAMS II, for poultry investments. In addition knowledge transfer groups will be established to optimise producer productivity and profitability in the poultry sector.

In terms of marketing supports, on a national level Quality Assurance plays a fundamental role in promoting food and horticulture and provides the platform for consumer promotion of product quality. The primary outlet for Irish-produced poultry is the fresh retail trade where Irish product is still dominant. A very important instrument in that market is the Bord Bia Poultry Quality Assurance Scheme (PQAS). The Quality Assurance mark is recognised by consumers as a guarantee of traceability and reliability and is sought after by Irish retailers.

In terms of exports, Ireland exports poultry meat to almost 40 international markets and export values grew by an estimated 20% in 2014 to €310 million, underpinned by strong growth in the export of processed products. Irish production is forecast to remain stable during 2015 as EU and international production is estimated to increase marginally.

Fishing Industry

Ceisteanna (360)

Bernard Durkan

Ceist:

360. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which employment prospects for families dependent on the fishing industry remain positive; and if he will make a statement on the matter. [13405/15]

Amharc ar fhreagra

Freagraí scríofa

On Friday last, 27 March 2015, I announced plans for a new €241 million development programme for the seafood sector for the period up to 2020, co-funded by the EU through the European Maritime and Fisheries Fund. Our Seafood sector is worth in the region of €850 million annually to our economy, with exports growing by 70% since 2009 to €540 million. Seafood is widely recognised as a high growth area of our economy. Through Food Harvest 2020 and this new Seafood Development Programme, I am targeting growth of the seafood industry to €1 billion by 2020, with growth in employment of 3,000 to 14,000 people employed in our coastal communities. The new Seafood Development Programme will be a key element in achievement of that growth target. It will provide the capital to assist seafood enterprises to sustainably grow their production, add value to our seafood exports and create much needed employment in our coastal communities.

Fish Quotas

Ceisteanna (361)

Bernard Durkan

Ceist:

361. Deputy Bernard J. Durkan asked the Minister for Agriculture, Food and the Marine the extent to which the European Union measures to conserve fish stocks continue to show positive results, to date; and if he will make a statement on the matter. [13406/15]

Amharc ar fhreagra

Freagraí scríofa

The new Common Fisheries Policy (CFP) provides the framework for the long term conservation and sustainability of fish stocks around our shores and is designed to ensure the long term sustainability of fishing in Ireland and throughout EU waters. A key element of the new CFP is the setting of fishing levels on the basis of MSY (Maximum Sustainable Yield). This should ultimately lead to healthy fish stocks, higher quotas for both Irish and EU fishermen and lead to more sustainable fishing patterns. The new Common Fisheries Policy specifically calls for the progressive restoration and maintenance of populations of fish stocks above biomass levels capable of producing MSY. I am committed to the ambitious objective of achieving MSY by 2015 where possible and by 2020 at the latest.

Scientific information on the state of the fisheries resources exploited by the Irish fleet is compiled by the Marine Institute and is published in the Stock Book each year.

The 2014 Stock Book informs us that in relation to stocks of a healthy biological state, there was an improvement in 2014 compared with 2013 on the state of the resource base in relation to pressure indicators.  In all 73 stocks are subject to the scientific advice of the Marine Institute.  This is an increase from 59 stocks last year, mainly due to the addition of a number of skates and rays stocks.    There is a higher number, 25 stocks, assessed to be sustainably fished in 2014, up from 20 last year.  The proportion remains the same due to the higher number of stocks being assessed overall this year.  The number of stocks overfished has also increased from 14 in 2013 to 22 in 2014.  This is due to the inclusion of 4 new stocks (rays and sea bass) and 4 stocks have gone from unknown status or underfished to overfished.  The number of stocks with unknown status is 26, which is similar to last year.

In respect of the biomass of stocks, that is the quantity of mature fish in the sea, approximately one quarter, or 17 stocks are in a positive state with above biomass trigger points.  The number of depleted stocks has increased from 7 to 12 and now 16% of stocks are assessed to be depleted.  The number of stocks with unknown Spawning Stock Biomass (SSB), no assessments or undefined maximum rate of fishing mortality (Fmsy) remains relatively high involving 44 stocks.  Many of these stocks have good information on biomass trends and this informs scientific advice for the stocks. 

A Key element of the new CFP is the setting of fishing levels on the basis of Maximum Sustainable Yield (MSY). This will be phased in gradually, applying by 2015 where possible and by 2020 at the latest for all stocks. This will result in more fish being left in the sea to mature and reproduce leading to increased abundance of fish, and over time to higher quotas for Irish fishermen.

The EU Commission has noted that the state of fish stocks in European Atlantic and nearby waters continues to improve which I believe indicates that we are finally starting to see the benefits of prudent and responsible fisheries management practices.

Defence Forces Pensions

Ceisteanna (362)

Bernard Durkan

Ceist:

362. Deputy Bernard J. Durkan asked the Minister for Defence further to Parliamentary Question No. 131 of 21 January 2015, if due process has been accommodated in this instance, with particular reference to re-instating a decision previously quashed by the High Court; and if he will make a statement on the matter. [12714/15]

Amharc ar fhreagra

Freagraí scríofa

As outlined in my previous replies, following the relevant High Court Order a fresh examination of the case in question was undertaken and all aspects of the case, including, in particular, the representations made by the person’s solicitors, were fully considered by the then Minister for Defence. A new bona fide decision was made by the then Minister.

Section 13(2) of the Army Pensions Act, 1923, as amended, provides that “Any compensation which may be received from or on behalf of the person alleged to be responsible for the act which caused the wounding … may be taken into consideration in fixing the amount of any pension, allowance or gratuity which might be awarded under this Act to or in respect of such person and if such compensation is received after the award of any such pension or allowance the Minister may review the award and, having regard to the amount of such compensation, either terminate or reduce the amount thereof.”

I am satisfied that the decision made in this case was in accordance with the relevant statutory provisions and in accordance with the relevant High Court Order.

Barr
Roinn