Dáil Éireann Debate, Wednesday - 7 October 2015
38. Deputy Mick Wallace asked the Minister for Agriculture, Food and the Marine the tonnage of Irish beef that has been exported to China and the United States of America since January 2015; and if he will make a statement on the matter. [34211/15]
Amharc ar fhreagraIreland received a major reputational boost for its beef this year as the first EU Member State to gain access to the US. The Chinese authorities decided in February 2015 to lift the BSE ban on boneless beef from animals under 30 months of age from Ireland making us the first EU MS to achieve this goal. This move, while very significant, does not permit trade to commence and my Department is working closely with its counterparts in China to conclude the necessary technical steps, which need to be completed before trade commences. The US market was opened to Irish beef exports in January 2015. Feedback from exporters eligible to export beef to the US indicates that exports to date had reached approximately 330 tonnes by early September. This would have an approximate value of €2.1m. This is a very encouraging start, particularly given that the trade to date is confined to the market for intact cuts as we currently await approval to export beef intended for grinding. It must be remembered that only two plants were eligible to export up to mid-May and June respectively. There are now six plants approved to export and my understanding is that this momentum in exports will continue and grow right through to the end of 2015. As with any new market it takes time to build reputational brand and a customer base and the real time to assess its value is when these are bedded down.
More importantly the relatively high prices available for beef in Europe this year means that US buyers can be priced out of the market and Irish exporters are choosing to send product to more valuable markets in the UK and on the continent. Exports to the UK are up 4,000t compared with the same period in 2014 and this coincides with a reduced kill overall (back about 6% year on year) highlighting further the strength of Irish beef exports in the UK. This of course is helped by a strong sterling and weak euro.
Overall, 2015 has been a very positive year for beef prices in Ireland with the yearly average to date almost 10% up on last year; €4.04 for an R3 steer excluding vat, compared to €3.70 in 2014, a 10% increase. Prices last week are 10% up on the same week last year notwithstanding recent price decreases. Ireland is currently at 104% of the EU 15 price and 107% of the EU 28 price.
There has also been significant progress in facilitating trade in other international markets for Irish beef. For example I recently concluded an extension to our market access to the Philippines, where already this year there has been almost €10 m of beef exports from Ireland , making us the second largest exporter of beef into the Philippines. Furthermore we are currently in the process of trying to secure beef access to other third countries including Korea, Vietnam and Mexico. It is my intention to continue to focus on developing as many third country markets as possible in order to provide exporters with as many commercial opportunities as possible in a competitive global marketplace.
