Our draft report relates to the Commission's proposals on export refunds, aid for use of butter in the preparation of fish and the effects of thermal processing and distribution on the quality and nutritive value of food. The export refunds on certain agricultural products come about because of the necessity to give financial assistance in the form of export refunds to compensate for the difference between the higher Community prices and those obtained in lower world market prices.

The view of the Joint Committee is that:

The Commission proposal to consolidate and clarify existing rules should, if adopted, have administrative advantages and the Joint Committee has no objection to it. It is advised that such changes as are proposed should have no adverse effects as far as Ireland is concerned. As far as the proposal to make cheese, as an element of processed products, eligible for export refund is concerned, the Committee is informed that there is no significant Irish trade at present in such products but no doubt, if the proposal is accepted, the possibility of the development of such a trade will be enhanced.

I thought that Bord Bainne might have been involved in that.

Bord Bainne have expanded their efforts in cheese marketing but that is tied to the seasonality of the production of milk. We would need to have a more even flow throughout the whole year to be able to develop in cheese. We have a better summer production.

That is changed, is it not?

The change is slow enough because of the cost of meal feeding in the winter and the relative price of milk. It is generally accepted in agriculture that the profitability is inadequate in winter. Spring calving and summer milk periods are more profitable. In relation to the aid for the use of butter in fish preparations we say:

The proposal provides for an aid for butter used in industrial fish preparations, the objective being to provide an additional outlet for butter disposal.

The views of the Joint Committee are that :

Having regard to the present butter market situation the Joint Committee believes that any proposal aimed at facilitating the disposal of butter surpluses on the internal market merits sympathetic consideration.

Would these processed fish be exported or sold on the domestic market?

They will be sold here or abroad.

The butter will be at the lower end of the prices from the point of view of the fish in the processing and buying of it?

Yes. The final proposal that we considered was the Council decision to authorise the Commission to implement a concerted action project. This relates to the effects of thermal processing and distribution on the quality and nutritive value of food.

Has that anything to do with the Health Acts?

We had a submission from the Department of Health and there is nothing in the proposal that would merit any undue worry. There is wide support for the proposal that there should be more harmonising and synchronisation between various countries in relation to research. It has an added interest for us as an agricultural country. Any research or co-ordination of research in relation to food processing is helpful to us.

Paragraph 1 agreed to.

PARAGRAPH 2.

I move.

To add after the first sentence in Paragraph 2 the following:

" The Joint Committee is indebted to Deputy Smith and his Sub-Committee for their work."