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Dáil
‹ Ceisteanna—Questions. Oral Answers. - Staff of Soviet Trade Mission.

Butter exports to the Soviet Union

Summary

Browne asked when the hold-up in butter deliveries under the Irish-Soviet trade agreement would end. Lenihan said European Commission decisions on export refunds had interrupted bulk-butter exports and that normal trade was expected to resume as soon as possible; he described the issue as technical, not political. Members also debated keeping the agreement and the merits of exporting butter to the Soviet Union.

asked the Minister for Foreign Affairs when it is anticipated that the problems arising under the recent Irish-Soviet trade agreement which has led to a hold-up in the delivery of butter to the Soviet Union, will be resolved.

Comment on this

The Deputy is possibly referring to decisions of the European Commission in January 1980 which had the effect of temporarily suspending the fixing of export refunds for the exportation of butter and butter oils to most East European countries and of subsequently suspending the export refund for bulk butter to these countries. This has effectively prevented the export of such butter to these countries, but exports of butter in packet from is still possible.

The Commission, which is the responsible authority for the market management, has indicated that normal trade flows will be resumed as soon as possible.

Comment on this

What could one take from that reply in terms of a date? Is it not a fact that the agreement was made bona fide by both sides accepting that there was this bonus going with the butter? Surely we must stand by that agreement and accept that we must deliver the butter under the terms negotiated in the agreement?

Comment on this

I was at the meeting of the Council of Ministers at which quite clearly butter was excluded from any embargo in regard to Community trading with the Soviet Union. The only decision was not to substitute American exports in the agricultural area, items such as grain products. The United States does not export butter so that——

Comment on this

But the Minister has changed his mind about that now, in part, has he not?

Comment on this

No, the butter export situation will continue. It is only a technical matter between the Commission and Soviet Russia. It has nothing to do with any political decision taken by either Ireland or the Community.

Comment on this

What is the nature of the technical issue. January was the date mentioned in the Minister's reply; we are now practically into the month of May. If it is only a technical matter when is it likely to be resolved?

Comment on this

My information is that normal trade flows will be resumed as soon as possible.

Comment on this

What does the Minister mean by "as soon as possible"?

Comment on this

It is being worked on at present. The Deputy can be assured that I am as anxious as he that normal trade in regard to dairy products will be resumed with Soviet Russia.

Comment on this

Does the Minister think it good practice or procedure to export our butter to Russia at a third of the price it is being sold to Irish consumers, very often on credit, while the Russians use their own money to buy guns and ammunition with which perhaps to bury us all in the future?

Comment on this

One of the aspects being examined is that of finding alternative areas. We are under no compulsion to send it to Soviet Russia. It is only a matter of convenience for us when——

Comment on this

But an agreement was negotiated. Why not keep our word?

Comment on this

This is being handled not by us, by the Commission. I want to emphasise that.

Comment on this
Joseph Brennan An Ceann Comhairle Fianna Fáil

I am calling Question No. 16.

Comment on this