Brendan Smith (Cavan-Monaghan, Fianna Fail) | Oireachtas source

I welcome the Minister's earlier comments. The past 12 months have seen unprecedented turbulence throughout the world due to the impact of Covid-19, while here we have also experienced Brexit and our nearest neighbour leaving the European Union. In that regard, the people involved in the agrifood sector, the primary producers, the processors and all their employees have done excellent work over the past 11 to 12 months in ensuring there has been no shortage of supply and the supply chains have operated to a high standard during this unprecedented crisis.

It is also heartening to note the latest Bord Bia report on export figures showed only a marginal decline of 2% in 2020. Those figures demonstrate there has been huge growth since 2009 and an upward trajectory of growing exports in the agrifood sector. Great credit is due to our primary producers, processors and all those involved in getting those products to so many markets. We are all well aware that great research, product diversification and innovation over the years have enabled us to capture those markets. I wish the Ministers well in their work in trying to ensure further diversification of markets. It is interesting to note that approximately 30% of our exports go to the EU, 33% to Britain and 33% to other international markets. It shows the diversity of the many markets we are sourcing for our products.

One concern the farming community now has is the rising cost of things like fertiliser and diesel. Farmers investing in their holdings to improve their farming infrastructure are concerned as well about the cost of timber and steel, which have risen and show no sign of stabilising. Therefore, inn areas where there is investment under grant schemes, it may be necessary to revise the schedules of costings which have been approved in respect of farm work for grant purposes.

There has also been a great expansion in the dairy sector since we succeeded in getting milk quotas removed. The decision made to do that in November 2008, which came into effect on 1 April 2015, has been beneficial for this country in allowing us to expand our milk production greatly. Concerns exist about beef prices, though, which unfortunately have fallen in recent times. Going by last Friday's report, those prices have now stabilised. It is still not adequate, however, and we need a much better return in that sector. Thankfully, the global dairy markets are showing positive signs. I think the last four or five auctions in New Zealand showed a continuous increase in prices. We want that development reflected in returns to farmers as well.

One of the major successes deriving from the Good Friday Agreement and the new political environment in this country since 1998 has been the development of the food industry and the agrifood sector on an all-Ireland basis. That development has been for the good, and it has happened through major enterprises here developing businesses north of the Border. Similarly, some Northern companies have also developed businesses here. Let us look at one fact in this context. Some 800 million litres of milk came south for processing last year. More than 400 million litres of that total amount came to Lakeland Dairies in my constituency.

In that regard, there is one issue I would like to see addressed and tweaked regarding the protocol and Brexit. I refer to the fact that milk which comes here for processing is obviously processed along with milk sourced south of the Border. Northern Ireland dairy farmers are obviously also working to EU standards, but if the need arises in future for the dairy sector to get price supports at EU level, there will then be a difficulty regarding products using milk sourced in the North because Northern Ireland milk will not be termed as being an EU product of origin. This is one area which must be addressed and I sincerely hope tweaks can be made in this context to ensure, if EU supports are needed in future, they will be applicable to all products which leave our country.

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