asked the Minister for Agriculture and Food the advice he can give to farmers in view of the EC and the Government's decision to ban the use of hormones to counteract the loss of profits of £80 per head in cattle in this country taking into account the difficult situation with beef numbers.

My advice to farmers is to adhere to national and EC law. As profits can only derive from lawful activity I cannot accept the assertion that compliance with European and domestic law involves "a loss of profits". The hormone ban was introduced by the European Communities on 31 December 1985 and introduced into Irish law by regulation on 3 July 1986. The high reputation of Irish beef on the domestic and European market is based on the assumption that we respect European and domestic law.

The consumers in our main export markets have a perception of Irish beef and food products generally as additive free and produced in a natural and clean environment. It is better to command premium prices from consumers who want our products than to produce what consumers will not accept.

I must also remind the Deputy that cattle prices in this country have been reaching record levels recently and for only the second time since we joined the European Communities in 1973 the average price exceeded the Community average price. In fact, the average mart price is over 12 per cent higher now than it was at this time last year.

Finally, I indicated in a reply to a similar question on 16 December 1987 that individual cattle producers can mitigate any adverse effects of the ban on the use of hormone growth promoters in cattle by adopting improved management practices, including breed selection. Any farmers who are in doubt regarding the measures appropriate in their individual circumstances should consult their local ACOT advisers.

I accept essentially what the Minister has said. Nevertheless, would he not agree that the increase in the price of cattle which he has indicated to the House relates not to returns but to scarcity? Would he not accept that beef farmers generally and those specialising in beef in particular are facing a very difficult future in relation to the cost of buying in, the increase in VAT and the increase in the disease levies? Would he not accept that all these things have led to the erosion of the margin required to be able to keep cattle all the year around and supply the many factories which are now in the course of construction?

The question from the Deputy's party colleague made no reference to any of the factors he is now touching on. It implied that compensation should be provided from the taxpayer for adhering to European and domestic law, calling loss of profits into question. I do not accept that and I hope all parties in the House, including the Progressive Democrats who have raised this matter on a number of occasions in that form, will communicate that it is worse than futile at this point to complain about what is the law both here and in the EC. Secondly, as regards the trends and the reasons for the increase in prices, there are a variety of factors. One is that all cattle and all meat are commanding premium prices on sophisticated consumer markets in Europe and will continue to do so as long as we maintain that standard and reputation. I hope we will not hear from any Deputy — or adviser — further suggestions that we should break the law, European or domestic, or any further complaints about that law.