Speech by An Taoiseach Enda Kenny “Securing Rural Recovery”

It is my hope that this weekend the members of Fine Gael will get the opportunity to discuss and debate the many issues facing our country.

Our job in Government is to secure the recovery for all the people of Ireland. We still have far too many families who have yet to feel the benefits of recovery, which means our job is far from done.

This weekend will see an intense focus on the ways we can ensure that recovery touches every family, every business, and every corner of Ireland.

We cannot let it bypass families or communities on the basis of their location.

While every part of the country has seen an increase in jobs since the start of the Action Plan for Jobs in 2012, not all regions are yet fully experiencing the benefits of economic recovery equally.

Jobs & Securing Economic Recovery

How we will lead a rural recovery will be the focus of the discussion this evening.

This Government has a plan for our rural Ireland. A plan to secure recovery. A plan for growth. A plan for Jobs. And it is working.

Unemployment has been dropping steadily. 80,000 new jobs have been created since we launched our Action Plan for Jobs. We are targeting the creation of another 40,000 jobs this year on the road to full employment by 2018.

While we have made progress our recovery is still fragile and vulnerable to threats and shocks.

We will outline, discuss and debate today and tomorrow all of our key plans to ensure that we deliver for the people of Ireland.

We have put the issue of creating local jobs as a top priority since day one of this Government.

The 2011 reduction in VAT for tourism services in conjunction with abolishing the tourist tax has rejuvenated the industry and has created over 23,000 new jobs across Ireland.

We will build on this success in the coming weeks when we will launch a new national Tourism Strategy to create another 50,000 jobs in restaurants, hotels, B&Bs and other tourism related family businesses by 2025.

But this year will see a specific focus from Government to ensure that job creation and recovery is delivered at a local level.

Last week the IDA announced that it is building new advance office buildings and manufacturing facilities in Sligo, Tralee, Castlebar, Galway, Dundalk, Limerick, Athlone, Carlow and Waterford. In time these facilities will provide highly paid and high quality jobs.

However, it is Irish companies that are leading the recovery today and Enterprise Ireland has committed another €100 million to be allocated on a competitive basis with most funds awarded to local projects offering the best prospects for job creation.

This year will also see new Regional Enterprise Strategies.

These plans are being put together by those on the ground, who know their local strengths, and who know how to use them to create jobs and provide for their community.

It is the way forward for local job creation and securing local recovery.

The Midlands Action Plan for Jobs, the first of these new Regional Action Plans will be published in the next few weeks. Six further regional Action Plans will be completed and published by July.

Rural Schools

When talking about keeping rural Ireland alive, we have to mention this week’s package of measures that will provide rural communities with security about the future of their small school.

The policy review of small schools, commissioned by the Fianna Fáil-led Government, called for small schools to be closed. No small school will close under this approach unless a patron and community decide so.

Fine Gael firmly believes small schools play a key role in the social fabric of rural communities especially in isolated locations, and importantly, offer parental choice in the education of our children.

By improving teacher retention threshold, the government is helping sustain small schools in the future. We recognise the value a school and any reorganisation may have on a community and it is clear that local communities must be central to the future of their schools.

Agri-food sector

No discussion on a rural recovery can be complete without talking about the one area that has been a shining light during the darkest days of recession – the agriculture and food sector.

Employing 170,000, it is the lifeblood of rural Ireland. It supports lives, families and towns in every part of Ireland.

It is also our largest indigenous industry, representing €26 billion in turnover.

Government, in partnership with industry and with farmers on the ground, have worked hard to ensure that the impressive performance of agriculture will continue to play an integral part in Ireland’s economic recovery.

2014 was the fifth consecutive year of export growth in the food and drink industry reaching yet another record high of €10.5 billion.

I believe that 2015 is going to be an historic year for agriculture for a number of reasons.

High Quality Food & Drink

The reason we are optimistic for the future is that the next phase of expansion in the Irish agri-food industry is built on a foundation of unyielding high standards at a time when people around the world demand them.

In 2012 we launched Bord Bia’s ‘Origin Green’ initiative. The first of its kind in the world, Origin Green is a comprehensive national sustainability programme helping Ireland become the best in the world for sustainably produced food and drink.

Since its launch an amazing 45,000 Beef Farms, representing 90% of Beef Exports, have been audited and carbon footprinted under the programme.

Dairy farmers have entered the audit cycle and sustainability measures are being implemented across other sectors.

By building on these successes we can create new jobs across the regions.

The advancements in agriculture have seen its image transformed.

We are moving to a position where young people see agriculture as a first choice on their career path, where sustainable farming can sustain rural family life.

New blood and new ideas are leading to renewed innovation in Irish farming and Government has to respond to this change in demographics to safeguard the future of the industry.

This is why Minister Noonan and Minister Coveney introduced a raft of new taxation and policy changes in Budget 2015.

Encouraging innovation in agriculture will be essential if we are to find ways to increase global food production by 70% so that we can feed a world population of 10 billion people in 2050.

Rural Development Programme (RDP) 2014 to 2020
Looking ahead to this year, the roll out of the new Rural Development Programme will provide a very significant injection of investment into rural communities across the country.

There is some €4 billion in European and national funds earmarked for investment in our agri-food industry and the rural economy generally over the lifetime of the new Programme.

The allocation of this funding is a clear signal of this Government’s commitment to supporting recovery and growth in Rural Ireland.

The RDP will provide support to all farmers across every region from small family farms in disadvantaged areas to those looking to expand in 2015.

I am particularly delighted this evening to be in a position to announce that GLAS; the Green Low Carbon AgriEnvironment Scheme will be open for the preparation of GLAS plans from Monday. This is the culmination of two years work by Minister Coveney and his team and will allow 30,000 farmers to participate in its first year, building to 50,000 farmers over the lifetime of the RDP.

A total of over €1.45bn has been allocated to GLAS over the course of the Rural Development Programme, offering a standard ‘package’ of €5,000 for eligible farmers per annum and an additional package of €2,000 per annum for those in GLAS plus, in return for exceptional environmental commitment.

On Monday, the new online system for GLAS goes live and terms and conditions will be available for farmers and planners to download. This scheme will deliver enormous benefits to rural Ireland environmentally and socially.

Dairy Industry

Ireland’s dairy sector is also on the cusp of a major expansion.

Operating in the strait jacket since 1984, our dairy industry has the potential to rapidly grow when quotas come to an end in a matter of weeks.

The abolition of milk quotas removes the shackles on production and will present both challenges and opportunities. I have every confidence that working together we will meet those challenges and Irish dairy will be recognised worldwide as a symbol of high quality.

Irish dairy farmers across the country have been preparing for this day and have invested in increased cow numbers and facilities. With the assistance of Government there has also been significant investment at processing level and this will feed into job creation in rural communities across Ireland.

In addition, Government has introduced significant changes in the recent budget aimed at the freeing up access to land, which is what dairy farmers need to expand.

With increased production we’ll target new markets.

Developing countries across the world have a growing thirst for dairy products, especially infant formula. Irish companies are already making strong inroads into these markets, including China, and this is expected to grow in the coming year as we ramp up production.

Beef Industry

2015 is also going to be an historic year for Ireland’s beef industry.

Last week we delivered a major breakthrough when we got Irish beef back into America. The resumption of trade is an endorsement of the unrivalled standards on Irish farms.

Minister Coveney and his team are to be commended for re-opening the US market to Irish beef exports, making us the first European country back in America.

Being the first and only EU Member State to achieve access is huge and will be fully exploited.

Our research has found US consumers are hungry for Irish beef. Today, couples in New York will be scanning their menus for grass fed Irish beef raised on family farms, while parents in Boston will be clearing supermarket shelves of safe, traceable and sustainably produced Irish beef.

Worldwide we are witnessing an increasing awareness of the value of safe and high quality food. The growing middle classes worldwide are taking a strong interest in where their food comes from and how it is produced.

China is one such country undergoing a food revolution.

I had the opportunity to discuss with President Xi Jinping of China the outstanding quality of Irish food during his State visit to Ireland in February 2012. It was significant that he chose to visit an Irish farm in the West of Ireland during that historic trip.

During my return trade trip to China later that year I impressed on the President that Irish beef sets the benchmark for high standards.

Since then a number of successful high level Ministerial, technical and diplomatic visits have taken place.

Therefore I’m delighted to announce this evening that we have now reached agreement with China on lifting the ban on Irish beef.

I want to thank the Chinese authorities for following through on their commitments on beef access, and delivering an outcome which will pave the way for Irish beef access to China.

This is a fantastic breakthrough for the Irish farming and food industry. China, with its 1.35 billion people is the biggest individual market in the world.

While China has formally lifted its ban on Irish beef, the next step will require a Chinese veterinary inspection to approve individual processing plants for export.

Nevertheless, we should take pride in the fact that Ireland is the only European country to make this significant breakthrough in both the US and Chinese markets.

Added to the success of gaining access to the Japanese market over a year ago, it is a massive endorsement of Ireland’s agricultural sector, our farmers, and the food they produce.

A great deal of credit goes to Minister Coveney and the Irish agriculture sector for achieving so much so quickly.

We need to take advantage of our strong position and I, along with other Government Ministers, will be intensively promoting Irish food and drink in these new markets as part of the St. Patrick’s Day global celebrations.

Conclusion

After the economic devastation Fianna Fáil wreaked upon rural Ireland, there are better times ahead.
Fine Gael and Labour, in partnership with the people, will ensure that 2015 becomes the year of rural recovery.

A time when jobs and investment flow in greater numbers into all parts of Ireland.

But our job is far from over. Not until we create the conditions for our sons and daughters to return from afar.

We must continue the course, build on our successes, and secure recovery for our people.

Thank you.