Update: Prices Paid to Beef Producers – Agriculture, Food and the Marine 12th November, 2014

Parliamentary Question No. 31  
 
 
 
 
To ask the Minister for Agriculture, Food and the Marine if he is satisfied that he has taken measures necessary to improve the prices paid to beef producers here with particular reference to bringing the prices paid to producers here into line with those in adjoining jurisdictions; and if he will make a statement on the matter.  

 
For ORAL answer on Wednesday, 12th November, 2014.  
 
Ref No: 42986/14 Lottery: 26 Proof: 26
 
 

The Minister for Agriculture, Food       and the Marine   : (Simon Coveney)  

As the Deputy will appreciate, questions of price are ultimately matters to be determined between the purchasers and the sellers of cattle. It is neither appropriate nor possible for me or any other Minister for Agriculture in the EU, to intervene directly on these issues.   Indeed, the new Competition and Consumer Protection Commission   has   emphasised this point a   gain in recent days   via correspondence directed to my Department   . Cattle p   rices are determined by supply –   demand dynamics which are in turn influenced by a range of different factors such as consumer preferences, distance to market, consumer confidence, retail promotions, competition with other meats and the overall macroeconomic situation   .  
 
Nonetheless, it is vital that farmers are sufficiently remunerated for producing quality animals. My role as Minister for Agriculture is to create a policy support environment that will allow the beef sector to flourish in line with normal market principles   .  
 
In the recent budget, I announced a   total package of approximately €74 million for the beef sector in 2015, including a provision of €52 million for a proposed Beef Data and Genomics Programme which will place Ireland at the leading edge globally in the use of genomics in beef production. The current Genomics Scheme is being further developed and enhanced as part of a 6-year RDP measure which, once approved by the European Commission, will deliver a payment per animal of €100 for the first ten animals, with the remaining animals being eligible for an €80 payment per animal in participating herds. In 2014, I have brought forward a number of initiatives to help the sector, including the creation of the Beef Genomics Scheme with a budget of €23 million in 2014. I have also ensured that the budgets of the Beef Data Programme and the Beef Technology Adoption Programme are retained at €10 million and €5 million which, when added to residual payments under the Suckler Cow Welfare Scheme, amounts to an investment of €40m in 2014.  
 
I have also been proactive in securing new market opportunities for Irish beef with Japan, Lebanon and Philippines opened in the last 12 months and significant progress in the US and Canada where I expect Irish beef to be landing on supermarket shelves sometime soon. In addition I made a major breakthrough in China last week where I secured the agreement of the Chinese authorities to send a formal inspection team to Ireland within the next month.  
 
I will continue to engage with both farmers and processors to ensure that the market operates in a fair and transparent manner. Improved transparency has been delivered through the development of a Beef Pricewatch App which was developed by Department and already has 17,000 users. The App presents a range of up to date price information in a user-friendly fashion and is available free of charge to farmers and others interested in this information. The feedback from the users to date has been extremely positive and my Department is already giving consideration to adding new features over time.