Mercosur beef trade deal
Several Deputies warned that a Mercosur trade deal could damage Irish and European beef producers and asked for opposition to any agreement allowing beef imports. The Taoiseach said he understood farmers’ concerns but stressed that trade deals must be judged in the round, including wider economic and social benefits.
At approximately this time yesterday the Joint Committee on Agriculture, Food and the Marine launched a report on the status of beef production in Ireland and related issues. The report makes a number of recommendations, one of which relates to a serious threat to the beef industry in Ireland - the Mercosur trade deal. This deal will have damaging implications for the beef sector if it goes through. I ask the Taoiseach for a clear commitment that he and his Government will oppose that trade deal if it includes the importing of any beef from Latin America into Europe, because such imports would have a detrimental effect on the beef sector. Coupled with that, while we are discussing the major issues of climate change, we are talking about bringing beef to Europe from the other side of the world. It makes no sense whatsoever. It flies in the face of everything we are supposed to stand for in respect of climate change and other such issues. Will the Taoiseach confirm that the Government will oppose any trade deal that includes importing beef from Latin America into Europe?
Comment on this
Beef production in Europe is under serious economic pressure. As Deputy Martin Kenny has said, climate change will pose its own challenges but producers in Europe are able to provide food sustainably. Farmers cannot understand how the Commission can allow a Mercosur deal that will allow 80,000 to 90,000 tonnes of beef into Europe to go through, displacing food sustainably produced in Europe. We hear reports of rainforests being cut down continuously in South America to produce this beef. European producers cannot understand how the Commission can have one policy to deal with climate change while another allows these imports from South America.
Comment on this
In a similar vein, I will ask the Taoiseach a specific question regarding the ratification of any Mercosur deal agreed. Would such a deal have to come before the Dáil? Will the Taoiseach clarify the position in respect of trade deals, particularly those that contain an offering of beef?
Previous speakers have made a point that is more urgent and more pertinent. The EU's own cumulative assessment of the impact of trade deals indicated that a deal with Mercosur could lead to a €5 billion hit to the beef trade in Europe, which could mean a hit of up to €500 million to the domestic beef industry and a 16% cut in the prices received by farmers whose income from production already leaves them on the bread line. Will the Taoiseach ensure that this deal is stopped in its tracks and that this message is conveyed clearly to the European Commission? The agriculture sector and beef farmers simply cannot take this mooted deal.
Comment on this
Like everyone in this House, I am very aware of the pressures beef farmers and the wider beef industry are under at the moment as a result of low prices, competition from other countries, and climate change. At the same time, the industry is heavily protected through trade restrictions and tariffs. It is one of the most subsidised industries in the country.
When it came to the trade deals with Japan and Canada, we had to consider what is best for the country in the round, not just economically, but also in terms of social policy, because other sectors may benefit considerably from such a deal. We have particular concerns over a very sensitive sector, which is the beef sector. As a consequence of that I wrote a letter to President Juncker, the President of France and leaders in a number of other countries, expressing our strong objections to aspects of the deal, particularly as it affects the beef industry. That is on the public record, having been published last week.
On the particular issue of trade deals being ratified, my understanding is that any trade agreement is an exclusive EU competence and therefore would not require ratification of the Dáil unless it is a mixed deal. However, I will get clarity on that and reply to the Deputy later.