To ask the Minister for Agriculture, Fisheries and Food if his Department has conducted or is involved in research into growing sugar beet for the production of ethanol; if so, the details of same; and if he will make a statement on the matter.- David Stanton.

For ORAL answer on Tuesday, 20th May, 2008.

Ref No: 19586/08 Lottery: 12 Proof: 92

REPLY

The Minister for Agriculture, Fisheries and Food: (Brendan Smith)

My Department is committed to supporting research in non-food land uses. To date, it has awarded in excess of €6 million in funding for biofuel research projects under the Department’s Research Stimulus Fund Programme arising from Calls for Proposals issued in 2005, 2006 and 2007.

The 2005 Research Stimulus Fund Programme funded a project entitled ‘Development of a strategy (E-supply) for bioethanol production to support the evolution of a non-food crops sector for Irish agriculture’. Part of this project quantified existing feedstocks and potential availability for conversion to bioethanol, including sugar beet. It also examined bioethanol production costs. My Department is closely monitoring the progress of this research project which is due for completion at the end of this year.

The 2007 Call for Proposals under the Research Stimulus Fund Programme invited proposals in the Agri-Energy area to identify and develop within the agriculture sector, renewable energy sources with feasible exploitation potential. No projects on sugar beet were submitted.

My Department is currently in discussions with other stakeholder Departments on the priority topics for 2009. Research into non-food land uses will continue to be a priority.

Parliamentary Question No.649, For WRITTEN answer on Wednesday, 2nd April, 2008.

To ask the Minister for Agriculture, Fisheries and Food the situation with reference to the various elements of the sugar beet compensation including that which has been incorporated into the single payment scheme, the EU restructuring aid for the sugar industry and diversification aid; the amount of each element that has been paid to date; the amount that remains to be paid; when she expects the remaining amounts to be paid; and if she will make a statement on the matter. – David Stanton.

REPLY

The Minister for Agriculture, Fisheries and Food: (Mary Coughlan)

The total package negotiated in the context of the reform of the EU sugar regime was worth in excess of €310m to Ireland.

The first element is the compensation for the reduction in the minimum price of beet which is worth approximately €123m to Irish beet growers over seven years. It has been already incorporated in the Single Payment with effect from 2006.

The second element is the EU restructuring aid which, at the outset, was worth €145m to Ireland. Three parties benefit from this aid: the sugar processor, former beet growers and machinery contractors. The first instalment of 40% (€58m) was paid to the beneficiaries in June 2007 and the balance of €87m was paid in February 2008. However, an amending EU regulation in October 2007 had the effect of increasing the overall amount of restructuring aid available to Ireland and this increase, the amount of which has yet to be confirmed by the EU Commission, will be paid retroactively to the growers in June 2008.

The third and final element of the package is the diversification aid worth almost €44m to the former beet growers. The first tranche of 50% (€22m) was paid in September 2007 and payment of the balance to the growers got under way last month.

To ask the Minister for Agriculture, Fisheries and Food the communications or meetings he has had with EU Trade Commissioner; his future plans for same; and if he will make a statement on the matter.- David Stanton.

For ORAL answer on Tuesday, 20th May, 2008.

Ref No: 19587/08 Lottery: 50 Proof: 129

REPLY

The Minister for Agriculture, Fisheries and Food: (Brendan Smith)

I propose taking questions 133, 120, 138, 135 together

A revised negotiating text on agriculture was issued yesterday evening and a text on non-agricultural market access earlier today. These texts are being issued with a view to facilitating a final WTO agreement by the end of 2008. It is by no means clear whether such an agreement will be reached this year. The range of issues outstanding across the broad spectrum of the negotiations and the US political situation are among the factors that make it uncertain whether an agreement can be secured in the coming period. Already there is slippage in the negotiating timetable. A Ministerial meeting, anticipated to take place on 19 May, has been deferred and the latest indications are that it will not now take place until the end of June or even early July.

Against this background, there is no doubt that these WTO negotiations represent a significant challenge for EU and Irish agriculture. I and my Government colleagues are seeking a balanced and fair outcome across all of the various pillars of the negotiations.

I am very concerned about some of the proposals being made in the agriculture negotiations and with the lack of balance in the overall process. It is not acceptable that the current negotiations are focused on agriculture while other negotiating areas are not making progress.

The Irish Government has and will continue to take every opportunity to express our concerns in the strongest terms in the various EU and WTO meetings dealing with these negotiations. I recently met my French counterpart in Dublin, and the current state of play and imbalance in these WTO negotiations were high on the agenda of this meeting. I can report that France and Ireland share the same concerns on the direction of these negotiations and will continue to insist that the Commission does not accept a deal which undermines EU agricultural production.

The Commission, including Commissioner Mandelson and his officials, are well aware of Ireland’s views on the matter. These views have been articulated clearly and consistently at all available forums over the last several years, including bilateral meetings, meetings of the Article 133 Committee, the Agriculture Council and the General Affairs Council. My colleague and predecessor, the Tanaiste, met the Commissioner on 29 April last and set out in no uncertain terms the concerns of the Irish Government in regard to the current situation. As the negotiations progress I will continue to impress on the Commission that Ireland will not accept an unbalanced agreement which does not provide real benefits to Ireland and the EU.

At yesterday’s Agriculture Council of Ministers meeting I met the Agriculture Commissioner, Mrs. Fischer Boel and I reiterated and highlighted Ireland’s concerns to the Commission and to other Member States, insisting that any WTO agreement must not place a disproportionate burden on EU and Irish agriculture.

I will also continue to ensure that Ireland plays a leading role in the Group of 14+ like-minded Member States who have come together to express concerns in relation to the direction of the WTO agriculture negotiations. I will continue to work closely with like-minded Ministers in other Member States to seek support for my position. I am travelling to Slovenia next week where I will have bilateral discussions on the WTO with my colleagues in this group.

At official level, my Department, and other Departments involved, have and will continue to work assiduously in the various technical meetings to ensure Ireland’s interests are best protected.

In summary, I will continue to pursue an outcome which does not undermine the 2003 reforms of the CAP and ensures that Irish and EU agriculture can compete on world markets.

As to the question of sensitive product status for the beef sector, the detailed negotiations regarding the treatment of sensitive products are not yet finalised. Under the proposals currently on the table, designation of beef as a sensitive product would reduce the proposed tariff cut of between 66 and 73% by two-thirds to a figure of approximately 23%. In turn, the EU would be expected to open an additional import quota for beef of some 290,000 tonnes. Although final decisions surrounding the designation of products as sensitive will not be taken until the final details of the treatment of such products is known, there is no doubt in my mind that the intention is that beef will feature among the products declared sensitive by the EU.

A major concern, even with sensitive product status, is that imports would be concentrated on the high value “steak” cuts. We have emphasised the nature of this specific problem repeatedly to the Commission over the course of the negotiations.

Overall, I continue to seek an outcome which will provide the maximum possible protection to the beef sector.

Parliamentary Question No.73, For ORAL answer on Tuesday, 8th April, 2008.

To ask the Minister for Agriculture, Fisheries and Food the details of the proposed World Trade Organisation import tariff cuts on the main farm sectors; if her Department has conducted research and calculation on the impact she expects these proposed cuts to have on farming here; and if she will make a statement on the matter. – David Stanton.

REPLY

The Minister for Agriculture, Fisheries and Food: (Mary Coughlan)

The level of tariff reduction commitments to be applied in the next WTO Round are still the subject of the ongoing negotiations. These tariff reduction commitments are only one of a significant number of outstanding issues in these negotiations. The Chair of the WTO Agriculture Committee issued his latest draft agriculture modalities paper in February 2008. This paper outlines the methodology for tariff reductions and the range of tariff reductions which are currently under consideration. The tariff reduction formula provides for four bands of tariffs grouping the products with the lowest current tariffs in the bottom band and those with the highest current tariffs in the top band. The formula also provides for higher reductions for products in the top tariff band, that is the products with the highest current tariffs.

The Chair’s text proposes tariff reductions of between 66% and 73% for tariff lines in the highest tariff band. In terms of the EU tariff structure the highest tariff band includes beef, butter and some sheep tariff lines. If this level of tariff reduction were applied in full it would represent a huge challenge on the EU market for EU production of these products which are competing with third country imports.

The tariff reduction formula is one element of the agriculture market access negotiations. The Chair’s text also provides for the designation by each WTO member country of a certain number of tariff lines as so called ‘sensitive products’. The Chair states the number of lines which could be designated as sensitive should be in the range of 4-6% of total tariff lines. This designation provides for a reduction of up to two thirds from the tariff reduction which would normally apply under the proposed tariff reduction formula. However sensitive product designation also involves the creation of new Tariff Rate Quotas (TRQs). These new TRQs will be calculated for each product designated as sensitive on the basis of a percentage of domestic consumption of those products. The detailed methodology and level of these TRQs is also still the subject of ongoing negotiation, and the outcome of these discussions will therefore have a strong influence on any decision to declare sensitive products status for a particular product.

As I have outlined, there are a significant number of outstanding issues which are the subject of the ongoing negotiations in relation to import tariffs. The manner in which sensitive products are dealt with will be crucial to the access debate.

The outcome of this facet of the negotiations represents a key priority for me. I fully recognize the importance of the EU market for Irish agricultural exports and I will therefore be seeking to ensure that the outcome to these negotiations does not undermine this crucial and key market for Irish products.

Parliamentary Question No. 103, For ORAL answer on Tuesday, 8th April, 2008.

To ask the Minister for Agriculture, Fisheries and Food her views on the Irish Farmers Association estimate that the EU Trade Commissioner’s offer as part of the World Trade Organisation trade deal will cost the economy €4 billion per annum and result in the loss of 50,000 jobs in manufacturing and services and will put a further 50,000 farmers out of business (details supplied); and if she will make a statement on the matter. – David Stanton.

REPLY

The Minister for Agriculture, Fisheries and Food: (Mary Coughlan)

I propose taking questions 90/110/103 together.

The negotiations on the next WTO Round have entered another intensive phase as efforts continue to reach a full and final agreement by the end of 2008. There is no doubt that the outcome of these negotiations will represent a significant challenge for EU and Irish agriculture.

The 2003 Reform of the CAP was undertaken with this Round of WTO negotiations clearly in mind. The move to non-trade distorting decoupled payments has allowed the EU make significant commitments in these negotiations in relation to reductions in the trade distorting supports such as market and price supports. The 2003 CAP Reforms also represent the limit of the EU Commission’s negotiating position in these negotiations. This negotiating position has been approved by the EU Council of Ministers and has been reiterated on several occasions by the Council. Any WTO agreement which would result in a further reform of the CAP would exceed this negotiating position and would be unacceptable.

I will continue to insist that the Commission respects this negotiating position in these discussions. The Common Agricultural Policy remains a cornerstone of the EU and the principles on which this policy is based are even more valid given the dynamics of the current global economy. My priorities in these negotiations are to ensure that Irish agricultural products remain competitive on EU and world markets. This can be achieved by securing appropriate levels of import protection for the EU market and ensuring that there is full parallel elimination of all forms of export subsidies used by other exporting countries such as state trading enterprises, food aid and export credits.

These negotiations are ongoing and there are a number of significant issues which remain unresolved. It would therefore be difficult at this point to analyse the overall impact on the Irish economy. The Commission have however recently provided some details of their assessment of the impact of the proposals made last February by the Chairman of the WTO Agriculture Committee. This analysis is currently the subject of discussion between Member States and the Commission. In addition some independent assessments are likely to emerge in the near future. In these circumstances I think it better, from both a technical and negotiating standpoint, to await further clarification from the Commission and input from other sources before drawing detailed conclusions on the likely impact of a possible trade deal, the details of which are not yet known.

To ask the Minister for Agriculture, Fisheries and Food his views on making changes to the Veterinary Practice Act 2005, to allow for the recognition of the qualifications of a number of veterinary nursing students who studied at St John’s Central College, Cork in 2005 to allow for their inclusion on the provisional register of veterinary nurses as per the Veterinary Practice Act 2005 thus allowing them to continue working as veterinary nurses after 1 July 2008; and if he will make a statement on the matter. – David Stanton.

For WRITTEN answer on Wednesday, 2nd July, 2008.

Ref No: 26311/08 Proof: 185

REPLY

The Minister for Agriculture, Fisheries and Food: (Brendan Smith)

While I am the sponsoring Minister for the Veterinary Practice Act 2005, which governs the regulation of veterinary practitioners and veterinary nurses, the day to day regulation of the professions is a function of the Veterinary Council of Ireland in accordance with the principles laid down in the legislation.

For the first time veterinary nurses enjoy formal recognition in the legislation. From 1 July 2008, only veterinary nurses who are registered or provisionally registered in the ‘Register of Veterinary Nurses’ established by the Veterinary Council may practise veterinary nursing.

The prescribing and recognition of educational qualifications in relation to veterinary nursing and the registration of veterinary nurses is a matter for the Veterinary Council and I have no function in the matter.

REPLY

The Minister for Agriculture, Fisheries and Food: (Mary Coughlan)

Potato production in Ireland is mainly focused on the fresh ware market serving domestic consumption. Investment in storage facilities has resulted in the availability of quality ware potatoes for almost the entire year. At retail level there have also been major changes over the last decade with the multiples exacting major influence on the market. Buying power is now concentrated in the hands of 5-6 retail multiples who control about 70% of the ware market and these multiples have largely consolidated their supply base in potato merchants who in turn are mainly serviced by large specialist growers. This has brought about a tighter supply base and provided for greater controls on traceability, quality and food safety.

My Department operates the Scheme of Investment Aid for the development of the potato sector. The current scheme is focused on the seed producers sector. It is aimed at improving the production and marketing infrastructure of seed through investments in equipment and facilities for the production, storage and marketing of seed potatoes. The overall aim is to develop a competitive seed sector with strong linkages to ware growers to ensure that the potato industry continues to grow to its full potential.

Under the NDP, my Department has provided grants totalling €2.65m to 80 applicants over the period 2000- 2007, to cover investments of some €7.57m. This aid was paid for a range of potato equipment and storage facilities. A further €1m has been now been approved in grant aid to 18 applicants under the scheme which will be paid out in 2008. There is provision of €1m per year for this scheme under the new National Development Plan 2007 – 2013.

In addition, under the Department’s Capital Investment Scheme for the Marketing and Processing of Certain Agricultural Products (funded under the National Development Plan 2000 – 2006) the potato sector was awarded total grant aid of €8.2 million in respect of 24 undertakings. Total project expenditure amounted to €20.4 million. These potato grant awards have assisted in the development of the sector and have resulted in the significant of upgrading of the storage, handling and marketing facilities in the enterprises concerned.

In recent months I have become aware that there has been an over supply of potatoes on the market because of high yields in the 2007 crop, which in turn has extended downward pressure on ware potato prices. This position has coincided with some increase in the area of potatoes grown in recent years and a 14% fall in consumption in potatoes.

For further information contact: David Stanton, TD,
Constituency Office, 29 St Mary’s Road, Midleton, Co. Cork. Tel: 021 4632867, Fax: 021 4621133