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Dáil

Private Notice Question. - Milk Super-Levy.

(Limerick West) asked the Minister for Agriculture the exact terms of the decision taken by the Agriculture Ministers of the Community today in Brussels and if the position now is that the Irish Government have agreed to accept the full implementation of a super-levy on milk production.

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Paul Connaughton Minister of State at the Department of Agriculture (Mr. Connaughton) Fine Gael

A conditional outline arrangement on the milk super-levy was made by the Agriculture Council today. Ireland reserved its position because a derogation for this country is being sought and because this matter will be raised at the European Council of 19-20 March. Two other member states, the United Kingdom and the Netherlands, also expressed reservations.

The main features of the arrangement are that, apart from the derogation being sought for Ireland, the total quantity free of super-levy would be fixed at 98.2 million tonnes of milk in 1984-85 and 97.2 in subsequent years, with an annual reserve of 0.6 million tonnes to be allocated by the Commission. The duration of the arrangement would be five years. The super-levy would be applied at dairy level or individual farm level at the choice of member states. I must emphasise that these arrangements do not prejudice the form of the derogation to be granted to this country which remains to be decided.

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(Limerick West): Would the Minister of State agree that the Minister for Agriculture agreed to the implementation of the super-levy without winning any exemption for this country?

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Paul Connaughton Mr. Connaughton Fine Gael

The opposite is the case. We have reserved our position on the conditional outline agreement as have two other countries. We have not accepted the proposals as such and I want that to be clear.

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(Limerick West): Surely the Minister is aware that the final decision with regard to the implementation of the super-levy will be decided by the Council of Ministers and that an exemption may or may not be agreed at that summit for this country.

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Paul Connaughton Mr. Connaughton Fine Gael

The fact that seven member states have not entered reservations as such at this point would indicate that we are making certain progress. As the House is aware, this decision will be taken by the Heads of State. There is nothing new about that.

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(Limerick West): Does the Minister agree that any other country in our position would have continued to block the super-levy up to European Council level instead of staging, as was stated in the Irish Independent this morning, a dramatic Government cave-in a few days before the summit?

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Paul Connaughton Mr. Connaughton Fine Gael

Whatever about news items attributable to any newspaper, I have given the House the outline——

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They are letting you down at last.

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Paul Connaughton Mr. Connaughton Fine Gael

The Government have not accepted the super-levy as such. That is where we stand.

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A complete sell out.

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(Limerick West): Please reply to my question. Does the Minister agree that the collapse of the Irish Agriculture Council leaves the Taoiseach in a very weak position? Would he further agree that the Minister for Agriculture has failed to stand by the farmers——

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Thomas J. Fitzpatrick An Ceann Comhairle Fine Gael

That is argument.

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(Limerick West):——and is relying on the Taoiseach to pull his coals out of the fire?

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Paul Connaughton Mr. Connaughton Fine Gael

Any one who listened carefully to what I have said has taken place in the last 24 hours could not but understand that the Minister for Agriculture is dealing gallantly——

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Paul Connaughton Mr. Connaughton Fine Gael

As is well known to the Deputy, it has been said for many months that the super-levy issue will be settled at the summit of the Heads of State.

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Ned O'Keeffe Mr. E. O'Keeffe Fianna Fáil

A complete sell out.

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(Limerick West): Would the Minister of State agree that the Minister has been successfully hoodwinked by the Commission's threat of price cuts and that Irish farmers can have no further confidence in his ability to negotiate anything on their behalf?

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Would the Minister confirm or deny that grants to dairy farmers are to be suspended from 1 March?

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Thomas J. Fitzpatrick An Ceann Comhairle Fine Gael

That is a separate question.

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It is an important question. They have given in about the super-levy.

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Ned O'Keeffe Mr. E. O'Keeffe Fianna Fáil

Let the Minister of State answer the question. It was a sell out. They could not last.

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Would the Minister not agree that, as of now, the decision of the Council of Agricultural Ministers is to implement the super-levy in full and that represents the decision of this important council?

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Paul Connaughton Mr. Connaughton Fine Gael

No. Let me make it clear that what is involved, as the House is aware, is that everyone has decided that what Europe needs is a super-levy. Our fight was that, for many reasons, we should have derogation. That is what we are fighting for. There is nothing new except that seven countries have indicated in the last 24 hours that, as far as they are concerned, they do not have a reservation in so far as the principle of a derogation for Ireland is concerned. It will be fixed up at the summit of the Heads of State.

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It will be fixed up good and proper.

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As of now although a reservation has been issued — that is just a diplomatic usage of a word — the decision that goes from the Agriculture Council to the summit is one of implementation of the super-levy without any derogation for Ireland in any shape or form?

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Paul Connaughton Mr. Connaughton Fine Gael

The Deputy is misinterpreting what I am saying. What has happened so far is that it has been decided by seven countries that, as far as they are concerned, they have agreed to the super-levy, as negotiated yesterday but in so far as the derogation for Ireland is concerned, we have shown we have severe reservations about it together with two other countries.

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Of course we have severe reservations about it. Would the Minister describe what a reservation is?

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Thomas J. Fitzpatrick An Ceann Comhairle Fine Gael

The Minister should be allowed to reply to the question.

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There is no answer to it.

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Paul Connaughton Mr. Connaughton Fine Gael

The Minister for Agriculture and the Government are as resolute on this occasion——

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Of course they are.

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Paul Connaughton Mr. Connaughton Fine Gael

——as they were six months ago to ensure that we get a derogation. It will be on the agenda for the meeting of the Heads of State on 19 and 20 March.

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We do not want any chapel gate talk here.

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Sit down then, Deputy.

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We are all full of resolution about this matter. I want to know what has gone from the Council of Agricultural Ministers to the meeting of the Heads of State. I ask the Minister of State to agree with me that what has gone is a decision to the effect that a super-levy will be implemented without an exemption in any shape or form for Ireland. That is the decision that will be before the summit. Of course we have to use the diplomatic word a "reservation". Is the Minister not aware that that reservation does not matter a tráinín when the papers come before the summit. What will be before it is the decision of the Agriculture Council. Unfortunately the Minister failed at the final hurdle to hold the matter in the Agriculture Council where it should have been held. Does the Minister not agree with that assessment of the position?

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Paul Connaughton Mr. Connaughton Fine Gael

If what happened during the last four years continued to happen, the CAP would have disintegrated.

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Will the Minister of State cop on?

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Paul Connaughton Mr. Connaughton Fine Gael

It is now time for a decision to be made.

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Deputy Lenihan's record in Europe is impeccable. Answer the question.

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That is the talk of a big man.

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Thomas J. Fitzpatrick An Ceann Comhairle Fine Gael

Order, please. I am calling the Order of Business.

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Ned O'Keeffe Mr. E. O'Keeffe Fianna Fáil

I want to ask the Minister for Agriculture——

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Thomas J. Fitzpatrick An Ceann Comhairle Fine Gael

Please resume your seat, Deputy.

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Ned O'Keeffe Mr. E. O'Keeffe Fianna Fáil

What is the position regarding the 1 per cent——

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Thomas J. Fitzpatrick An Ceann Comhairle Fine Gael

I have already called the Order of Business.

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Ned O'Keeffe Mr. E. O'Keeffe Fianna Fáil

It is a sell out and will have disastrous consequences for the farming community.

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Thomas J. Fitzpatrick An Ceann Comhairle Fine Gael

The Deputy should resume his seat. He should have respect for the Chair. I have already called the Order of Business.

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