asked the Minister for Agriculture and Food the steps he intends taking to ensure a better ratio between winter and summer milk production; and if he will make a statement on the matter.

The problem of seasonality of Irish milk production is one which can only be solved by the industry itself. In relation to manufacturing milk, processors can adopt measures to encourage their producers to supply milk on a less seasonal pattern. For example, as is already the case with a number of creameries, bonus payments can be made for deliveries during the winter months.

As regards liquid milk, the present arrangements involving the milk boards have worked satisfactorily to ensure regular supplies and that shortages do not occur in the winter months. As the boards have been deemed by the European Community Commission to be contrary to Community Law, arrangements are now being made for the establishment, in their place, of a National Milk Agency to regulate the supply of liquid milk throughout the country. The relevant legislation is currently being prepared and will be presented to the Oireachtas shortly.

Arising from the Minister's reply, would he not agree that the Department of Agriculture should take the initiative in this regard, having regard to the situation that develops when there is a glut of milk production at a particular time resulting in employees in the industry being laid off for three or four months of the year? If the initiative were taken it would help in the matter of diversification of food products by the various co-operatives.

The Deputy will note from a previous reply that I have been encouraging constantly the various concerns to engage in a diversification programme. Where they have done so it has proved to be very successful in their own interest and in the national interest. So far as seasonality generally is concerned, producers whether of liquid milk or manufacturing milk, have found that they are able to gain premium prices at all times so that producers are not in any way disadvantaged even with current seasonal patterns which are a natural consequence of the climate and soil. Obviously, we will have more grass production in June, July and August than we will have in November and December.