andMr. Jones asked the Minister for Agriculture whether in view of the present situation in the creamery industry he will suspend the levy on creamery milk imposed by him last year.

8.

andMr. Finucane asked the Minister for Agriculture if he will remove the levy on butter, as the present indications are that there will be no surplus for export.

I propose, a Cheann Comhairle, with your permission, to take questions numbered 7 and 8 together.

It is yet too early in the season to estimate butter production this year or to say what quantity will be available for export. It is true that the intake of milk at creameries during the past few months is below that of the corresponding period last year but, provided weather conditions are favourable, it is quite possible that this reduction in milk supplies will be compensated for during the remainder of the season.

In the circumstances it is proposed to continue the butter levy but should it transpire that the full amount of the levy, which is paid into the Dairy Produce (Price Stabilisation) Fund, will not be required to meet the dairying industry's one-third share of export losses, any balance will be used only for the benefit of the industry. The Government will, of course, continue to meet two-thirds of the export losses during the current year.

Where is Deputy Corry now?

Is the Minister for Lands not aware that there is no butter in cold storage here at present? Is he further aware that, even with a good season, there is not likely to to be any surplus? Under these circumstances, would the Minister or the Government consider stopping the levy or giving it back?

The Minister has considered the matter in full. It is premature to state that there will be no exportable surplus this year, especially in view of the rapid changes which took place in a reverse direction last year.

This time last year there were big supplies in cold storage. The very fact that some creameries connected with the manufacture of chocolate crumb have had to be turned over to butter production for the Dublin market proves that there is no surplus and that there is a good case for stopping the levy at this time.