Update: Levels of Beef Consumption – Agriculture 23rd September, 2014

Parliamentary Question No. 255    
   
 
To ask the Minister for Agriculture, Food and the Marine the extent to which levels of beef consumption have altered throughout the various markets for Irish beef in the course of the past twelve months; the measures taken or likely to be taken to address the consequent losses to producers; and if he will make a statement on the matter.
– Bernard J. Durkan.
 
 
For WRITTEN answer on Tuesday, 23rd September, 2014.
 
Ref No: 35766/14
 
 
REPLY
 
The Minister for Agriculture, Food     and the Marine : (Simon Coveney)

Ireland is the fifth largest net exporter of beef in the world and we export 90% of the beef produced here . Most of our exports go to high value EU markets and Irish beef is now listed with more than 75 high-end retail chains across the EU. As with our competitors, Irish beef is susceptible to changes in consumption levels across Europe , and especially in the UK as our biggest export market.
 
Beef consumption has dropped by over 5% in Europe     since 2010 , with an inevitable impact on the beef supply chain in Ireland. Much of this change is due to increasing price competition from other protein meats particularly poultry.     At the same time however, the Government’s response to this shift, together with initiatives by producer and processors, has seen beef exports grow to just under €2.1 billion last year, reflecting a 5% rise in output and a 4% increase in average prices. This growth is a result of concerted action by Government, Industry and producers to develop our product offering .
 
I have personally led trade missions to China, the US, Algeria and the Gulf Cooperation Council (GCC) countries in the Middle East to expand the range of markets for Irish beef. There have been noteworthy successes in securing market access from authorities in Japan, Singapore, Egypt and Iran. This year to date we have agreed access terms with the Lebanon, Philippines and Namibia. We are finalising technical arrangements with the US authorities which should see exports of Irish beef to the US commence shortly. I am also optimistic of making further progress with beef market access to China in the coming months.
 
Bord Bia is also continuing its investment in market development and promotion, including through an additional €0.5 million which I announced as part of the Beef Roundtable discussions. This €0.5m allocation is in addition to the €9m budget spend per year by Bord Bia on marketing of Irish beef internationally. Bord Bia’s strategy for Irish beef is built around differentiation and premiumisation, and focussing on the key attributes of Irish beef: environmentally sustainable, grass-based production systems; full traceability; quality assurance at all stages; and superior eating quality. Among Bord Bia’s key initiatives this year is the continued development, promotion and marketing of its Origin Green initiative. This is designed to establish Ireland as a world leader in sustainably produced food and drink
 
Finally, I should note that the outlook for consumption in the key markets for Irish beef is positive. Furthermore, the decline in beef consumption across the EU is expected to be reversed in the coming years, with medium term forecasts indicating increased consumption in the coming years. My focus is on positioning the industry here to avail of the opportunities which this brings.