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Beef Exports

Dáil Éireann Debate, Thursday - 26 April 2018

Thursday, 26 April 2018

Ceisteanna (6)

Pat Deering

Ceist:

6. Deputy Pat Deering asked the Minister for Agriculture, Food and the Marine the efforts he is making in terms of market access to third countries for Irish meat; and if he will make a statement on the matter. [18237/18]

Amharc ar fhreagra

Freagraí ó Béal (7 píosaí cainte)

In view of the fact that Brexit is coming down the line at 100 mph and the ongoing difficulties and struggle in the beef sector, what efforts is the Minister making to access third country markets from the meat sector and how soon can they become available?

I am firmly committed to increasing market access and opportunities for all Irish agrifood exports, including Irish meat, around the world. Total agrifood exports amounted to €13.6 billion in 2017, according to the Central Statistics Office trade statistics, an increase of 74% since 2009.

In 2017, meat exports totalled almost €3.8 billion, including beef exports of €2.4 billion in 2017, a 6% increase on 2016; and pigmeat exports of €790 million in 2017, an 8% increase on 2016. Poultry exports were €275 million and sheepmeat exports reached €310 million last year.

My officials continue to work towards opening and enhancing access to as many markets as possible. This is a key part of our response to the challenges and uncertainty posed by Brexit and in line with the market development theme of the Food Wise 2025 strategy. A wide range of staff members across my Department are involved in market access work, which is co-ordinated by an internal high-level market access committee chaired by an assistant secretary. In April 2017, I announced a seven-point plan towards increasing market access and I am satisfied that good progress is being made on this plan. At my Department's request, Bord Bia has undertaken a major data-based market profiling exercise for potential third-country markets for Irish exports. The initial results were launched at the Food Wise conference last December and this will help inform the Department's market access work. A website portal with information on market access and certification conditions across meat and other products is currently being finalised and expected to be launched in the coming weeks. An intensified programme of trade missions to promote Irish food and drink on European Union and third-country markets is under way. Since last year, trade missions have taken place: to USA and Mexico in June 2017, Japan and South Korea in November 2017, USA and Canada in February 2018 and Turkey in March 2018. During my St. Patrick's Day visit to London, I undertook a series of important meetings with the UK retail sector. The next mission, to China and Hong Kong, will take place in mid-2018. Meat market access has been a major feature of these trade missions, including an application for pigmeat access in Mexico. In addition, an application for sheepmeat access to Japan is under way, as well as slow but steady progress regarding beef access in South Korea.

Additional information not given on the floor of the House

The recent opening of the Chinese market for Irish beef and the Saudi Arabian market for Irish sheepmeat are just some examples of the successes that have been achieved. In both cases some technical work remains to be completed before trade can commence. Working to open major markets for Irish beef and other meats is a process that can often take a number of years, as opposed to weeks or months, with the timeframe being determined by the importing country. It involves a wide range of detailed work taking place across a range of levels including political, diplomatic, technical and official levels.

We heard a lot of good news in the past number of weeks about the Chinese market opening up. It has taken quite a period to get to that stage. There have been a number of inspections etc. and there seems to be a time lag in that regard. Can the Minister give an indication of what processes are required to move along a bit faster? Can he indicate when the first beef will be exported to China, how much will be involved and what are the targets for this year, next year and subsequently? Also, which cuts are involved? Apart from the Chinese market, in what other markets does the Minister envisage there might be opportunities in the future?

The effort that goes in to opening any market - take the Chinese market as a case in point - is quite extensive. It involves a lot of political engagement, a lot of technical engagement in my Department and a lot of diplomatic effort. I acknowledge the enormous assistance that we were given in that context by the Chinese ambassador in Dublin. My Department has officials in the embassy in Beijing who are continuously engaged with the Chinese authorities in terms of the effort.

There is an extensive level of engagement with the authorities of any individual country in terms of the requirements of that market. We have to meet the requirements of every individual market we are working to access, whether for beef in Korea, beef in China or beef in America or any other product.

We are confident as an industry that our product meets the highest international standards and we are conscious that we export our reputation with every item of food that we send abroad. Nonetheless, we still must meet their requirements and their technical specifications and that is the reason for a lot of engagement with various agencies, such as AQSIQ and CNCA, which are the two agencies in China. There has been some change in respect of those agencies in recent times but it is an extensive ongoing engagement that fortunately has borne fruit now. Hopefully, the industry will follow shortly in terms of export details. There are some minor details on our side to be resolved but I expect product to move in the second half of this year.

The Minister stated he expected product to move in the latter part of this year. How much does he expect this year? Is there any indication in that regard? That is the Chinese market.

In what other markets does the Minister see possibilities in the future? Is the Japanese market a possibility?

What type of beef cuts would be a priority in these markets?

On the latter point, one of the points which the industry made to me in the context of the significance of the Chinese market was that they could see an opportunity specifically for what the industry would refer to as the fifth quarter. If one can get a better price there, there is an opportunity to raise the overall price for the carcass, which has to be good for the primary producer.

I am reluctant to put a volume on the amount of beef that could move to this market.

China has quickly become the second biggest market for Irish dairy exports and also for pork exports. Could it become the same for beef? Who knows. It is important now that the industry, with the assistance of An Bord Bia, works collectively with all of us to try to ensure we secure an important foothold there. The industry has been very active in anticipation of that. I hope the volume will increase. In respect of other markets, we have access already in Japan and we are looking to see if we can get the 30 month restriction lifted. We have ongoing engagement with Korea, including very recently. It is a significant market we are not in currently. We would like to get access. We are engaged continuously in efforts to increase market access, and it is informed now by Bord Bia's work in respect of prioritisation.

Ceist Uimh. 7 is in the name of Deputy Martin Heydon. However, I understand agreement has been reached that Deputy Bernard Durkan will take the question. Is that agreed? Agreed.

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