asked the Minister for Agriculture if his attention has been drawn to the findings of a survey by the Agricultural Institute which indicates that the proportion of farmers planning to expand into dairying has increased from 34 per cent in 1981 to 38 per cent in 1982; and, if so, the action he proposes to take to diversify dairy products so that there will be a satisfactory market for the increased output.

I have seen the findings referred to and I welcome this as further evidence of renewed development in the dairy industry.

The question of product diversification is primarily a matter for the industry itself. Investment aid towards diversification of processing facilities is available from the Industrial Development Authority and, in certain circumstances, from the Guidance Section of FEOGA as well.

Would the Minister admit that the effort at diversification of dairy products has been less than adequate? For example, our effort at marketing Irish cheese has been a dismal failure. A comparison of the ranges of cheese in Europe and their presentation shows the amount of leeway we have to make up. With those figures would the Minister accept that it is essential that we diversify rather than, as at present, increase the emphasis on butter making?

I agree fully with the Deputy. He is absolutely correct. It is the major problem facing agriculture in this country, and facing particularly the agricultural processing sector. We suffer from a gross restriction on diversification, but it is up to the industry itself to do it. It astounds me on going abroad to see the number of different varieties of dairy products which are available and then to see the restricted number in this country. Some firms in this country are attempting to diversify. It is a very costly exercise, but I would agree with everything the Deputy has stated. There is a greater need for it.

Would the Minister agree that the money input into the production should have been examined before now? Would he agree also that milk production must be the basis of any major development in farming? Over the years we have had over-capacity in milk drying, skim etc., and the Department should have been examining other areas of production.

This would be more appropriate on an Estimate debate.

I agree fully with the Deputy.

(Limerick West): Would the Minister or his Department consider giving the lead in this area?

My Department are not in business. They are not a private enterprise. They are a Department to organise the affairs of agriculture. As I stated in my original reply, it is the business of industry itself to diversify but we have given every possible assistance to them to do so.