Dáil Éireann - Volume 471 - 14 November, 1996

Written Answers. - Green Pound Revaluation.

142. Mr. J. Walsh asked the Minister for Agriculture, Food and Forestry the estimated loss [1240] to Irish agriculture resulting from the recent green pound revaluation for each of the relevant areas. [21433/96]

Minister for Agriculture, Food and Forestry (Mr. Yates): The effect of the recent 2 per cent revaluation of Ireland's agricultural conversion rate depends on the extent to which the various support mechanisms affected by the revaluation will be used over any given period of time. Other market factors also influence returns to producers and it is difficult to isolate the effects of any single factor.

It is possible, therefore, to give only qualified estimates of the possible losses to the various sectors in the coming year, by reference to recent levels of EU transfers in respect of the support mechanisms in the sector concerned. These are beef, £10.0 million; Milk, £6.0 million; Arable crops, £0.25 million; sugar, £1.0 million.

Estimates of losses in other sectors are not of significance. Losses may be reduced by compensatory aid which is provided for in EU regulations.

I should stress that there will be no impact on premium payments or disadvantaged areas headage payments to farmers, amounting to in excess of £700 million, as a result of the revaluation.