Minutes of Proceedings

(Closed Session)

Item 1 - Apologies

None.

Item 2 - Minutes of Proceedings - 9 December 1999

The minutes were agreed and adopted.

Item 3 - Minutes of Proceedings - 10 December 1999

The minutes were agreed and adopted.

Item 4 - Matters Arising

(a) Registration of Interests

The following interests have been registered in addition to those contained in the paper given to members at the first meeting:

Dr Paisley:

Hon Director of Voice Newspaper
Hon Director of the Protestant Telegraph

2. Remunerated Employment, Office, Profession, Etc

Member of Parliament
Member of European Parliament
Minister of Martyrs Memorial Free Presbyterian Church
Occasional T.V. appearances and journalism (fees donated to Church) royalties received from publications
Hon President of Whitfield College of the Bible
Hon President of the European Institute of Protestant Studies

10. Miscellaneous

Minister of Religion

Mr Armstrong:

2. Remunerated Employment, Office, Profession Etc.
Farmer - W.S. and G.M. Armstrong Family Farm

8. Land and Property

Partnership in family farm (W.S. and G.M. Armstrong) situated between Stewartstown and Cookstown.

11. Unremunerated Interests

Director of Cookstown Leader Board
Director of Cookstown and Western Shores Area Network
Director of Stewartstown Development Association
Member of the Loyal Orders

Mr Kane:

Member of Moyle District Council. (Past Chairman 1990-91 and 1995-96).
Member of Local Government Staff Commission
Member of the Fire Authority (Chairman of the Resource Committee)
Member of the Northern Ireland Housing Committee. (Chairman of the Client Services Committee.)
Member of the Association of Local Authorities for Northern Ireland. (Past President 1994-96)
member of the National Councillors Association for Northern Ireland Region

8. Land and Property

Farm of Thirty Six (36) acres. At Laganat, Ballintoy

(b) Digest of press articles. A digest of the last week's relevant press articles/releases etc. was provided for members - to continue on a weekly basis. Members to contact Committee staff if they require copies.

(c) Use of Senate Chamber. The Clerk reported that he had contacted the Keeper of the House asking for this to be expedited.

(d) Nick Brown Statement. A copy of the Committee's press release was included in members' papers. It was agreed that the subject should be raised during the proposed discussion between Chairman and Minister on Monday 20 December.

(e) Operational Programmes as submitted to Brussels. Copies of 3 documents ("Transitional Objective 1 Operational Programme" "Peace II Operational Programme" and "Northern Ireland Structural Funds Plan 2000 - 2006") had been obtained from DFP for members and were available at the meeting.

(from 10 December)

(f) Terms of Reference for the Inquiry into Debt Within the Agriculture and Fisheries Sectors

The Committee agreed and adopted the Terms of Reference included on the press release (PN 21/99).

(g) French Government stance on Beef ban. A press release had been issued as agreed (PN 18/99) and a copy was included in members' papers.

(h) Proposed Closure of Market Yard in Limavady. A letter had issued to the Council's Chief Executive as agreed - copy in members' papers.

(i) Debt to Leasing and HP Companies. The Clerk reported that a draft letter to the leasing and finance companies had been prepared and would be issued when the list of Companies was received from the UFU.

(j) Meeting with Department ahead of Fisheries Council meeting. The Chairman reported that he and Mr Savage had met with one of the Department's officials on Tuesday 14 December. Following this meeting the Chairman had written to the Minister and Commissioner Fischler and copies of this correspondence was tabled for members.

Agreed: that the Minister should be invited to discuss the outcome of the Fisheries Council at the Committee's next meeting (14 January 2000). Members were asked to indicate any questions to the Clerk well in advance of this meeting.

(k) Court Costs being sought from NIFPO. The Committee agreed that this matter should be raised during the 20 December meeting with the Minister.

(l) Letter to Retailers regarding their procurement policy.

Agreed: that this should be done as part of the current Inquiry into debt.

Item 5 - Consideration of Proposed Statutory Rules

The Clerk reported that none of the proposed Statutory Rules had yet been laid with the Assembly and formally referred to the Committee. They were therefore provided for prior consultation at this stage.

The Countryside Access (Amendment) Regulations (Northern Ireland) 1999

The Clerk outlined the purpose of this legislation as bringing the current scheme to an end. Members indicated that they were content but that they would wish to see and consider any replacement scheme before it was brought into operation.

The Marketing of Ornamental Plant Propagating Material Regulations (Northern Ireland) 1999

The Clerk described the purpose of this legislation. Members indicated they were content.

The Hill Livestock (Compensatory Allowances) Regulations (Northern Ireland) 1999

The Clerk outlined the Statutory Rule and advised that it allowed for retention of headage payments for one year (2000) after which these would be replaced by acreage payments. Although some members were concerned about the change to acreage payments they were content that the Department should proceed to sign the Rule.

The Clerk drew members' attention to information that the Department had forwarded regarding a UK wide Statutory Instrument being made by MAFF on the HLCAs for the year 2000. This was intended to overcome a technical difficulty in Scotland and ensures that the scheme can go ahead. It required no action by members.

The Beef Bones (Amendment) Regulations (Northern Ireland) 1999

The Clerk reported that members' comments from the previous meeting had been relayed to the Department.

Item 6 - Motion from PJ Bradley re Cattle Tagging

Mr Bradley's motion was tabled. He explained that the motion was not in any way politically motivated but that farmers appeared to be losing up to £100 per calf through their inability to access export markets available to those in the ROI with tags other than the UK's. He felt that a separate tag for Northern Ireland would make stock marketable. The Chairman reported that the Department's response to the motion was that such a move would require an amendment to EU Regulation 8/20/97 which did not extend to regions of member states. Such an amendment would require an Agricultural Council Decision.

Agreed: that Mr. Bradley's point was very valid but rather than proceed with the motion, the Committee would raise the issue with the Minister and ask for a declaration of her Department's policy on ear tagging. The Committee also agreed that it should ask what the Department was doing to prevent cross-border smuggling of calves.

Item 7 - Potato Growing Industry Issues

Through the paper he had provided for members Mr Savage raised several issues on the Potato industry that had recently been brought to his attention. Of particular concern was the prospect of Brown Rot Disease being brought into Northern Ireland through imports. Potato growers felt aggrieved by the large scale importation of potatoes, particularly when the packing companies had benefited from grant aid, and were concerned that potatoes were not being tested in their country of origin. There was also debate about the disparity between the price paid to growers and that charged to the consumers.

Agreed: that the matters should be raised with the Minister when the Chair and Deputy Chair met her on Monday 20 December.

Agreed: that the Committee should write to the main retailers asking for their views on the growers' 'allegations' and asking them to meet with the Committee.

Item 8 - Members' Nominations for Letters Seeking Written Submissions re Debt Inquiry

The Chairman advised members that he felt it would be more productive to target organisations for written submissions to the Inquiry than to advertise in the press. He asked members to provide the Clerk with the names of any individuals or organisations which they felt should be included.

Item 9 - Any Other Business

(a) DARD Appointments to the Agricultural Wages Board

The Department's paper was distributed to members.

Agreed: that it was not for the Committee to question the appointments made by the Department but that in its scrutiny role the Committee should seek assurances from the Department that all proper procedures were being followed. This would require earlier notification of appointments and the Committee would write to the Department making this point clear.

(b) Future Meetings

Agreed: that the Committee should travel to see the Fishing organisations in Portavogie and Kilkeel and that the Clerk should arrange this for late on in week commencing 17 January 2000 i.e. after the proposed meeting with the Minister.

(c) Legislation Training for Members

The Chairman reminded members that there had been some discussion about training for members.

Agreed: The Clerk to consult with the Clerk of Committees with a view to setting up training as soon as possible in the new year.

(d) Motion on "Low Incidence" BSE status

Mr Armstrong proposed the following motion:

That this Committee firmly believes that in view of the excellent traceability of animals, the application of the highest health and hygiene standards, livestock being fed with natural products and the extremely low incidence of BSE in Northern Ireland, the region should be accorded "Low Incidence BSE" status and that it supports the case made to the Prime Minister by the UFU, NIAPA, LMC and NIMEA. The Committee expects the Minister to do all in her power to ensure this is achieved without delay.

The motion was seconded by Mr Kane and unanimously agreed. It was further agreed that the motion be included in a press notice and the Minister formally advised.

(e) Proposed Assistance for Pig Farmers in the Republic of Ireland

Agreed: that the Clerk should obtain any available information on this scheme.

Item 10 - Discussion with DARD officials on the Beef National Envelope

The Chairman welcomed Mrs Evelyn Cummins and Mr Tom Stainer from the Department. They referred to the paper submitted to the Committee and explained the background to the current position on which the Committee's opinion was being sought. Mrs Cummins assured the Committee that the Department was not resisting the regional discretion option to offer a payment on heifers, indeed the principle had been agreed at EU and UK levels. The option would, however, require a strong case to be made to Brussels.

The Department's officials confirmed that more farmers would benefit with the heifer option than the suckler cow one. The money available in the first year was £2.6m but this would be doubled in the second year and increase again in the third. Mrs Cummins also made it clear that the Department would intend to review the use of the National Envelope at the end of its first year. Mrs Cummins, in response to members' questions, agreed that both options would impact positively on the Department's Targeting Social Need obligations. Finally members were assured that if the heifer option was pursued but was disallowed by Brussels the suckler cow option would automatically replace it.

Item 11 - Discussion with DARD officials on the EU Structural Funds

The Chairman welcomed Mr Noel Cornick who referred to the Department's paper and outlined the current position regarding the Northern Ireland Operational Plans for the Objective 1 Transitional and Peace II Programmes. These had been submitted to Brussels early in December and full scale negotiations would begin after Christmas.

Mr Cornick went on to describe the lengthy consultation process which DARD had undertaken in developing the Agriculture, Rural Development, Fisheries and Forestry sections within the plans. However while there was a demand for a balanced package of measures to support farmers, processors, fisheries, forestry and the wider rural community (and a desire within the Department to draw up such a plan) the Department did not have sufficient public expenditure resources for this. The cover which had been available during the 1994 - 1999 programmes for schemes which directly benefited producers was no longer there and the programme had therefore been drawn up within the constraints of the money available.

Mr Cornick's advice was that there was little in either Programme which would directly benefit the farmer and, specifically, that there would be no replacement for the Capital Grants Schemes. In response to questions Mr Cornick said that there would be funding available to help those coming into farming (e.g. management, marketing, IT and e-commerce) but this would be at a relatively low level.

The plans had been drafted to allow for shifts of emphasis and Mr Cornick acknowledged that the Committee may wish to express its views on these.

Mr Cornick further advised that DARD would be submitting a 'Rural Development Regulations Plan' of 'Accompanying Measures'. This would lay out how the 'proceeds' of modulation (and Treasury's matching funds) would be used. He said that the Department was about to issue a short consultative paper on this and that the Committee would be invited to give its views, bearing in mind that the money could only be used for the following types of scheme: Agri-environment, LFA, Afforestation of Agricultural land and Early Retirement.

The Chairman said that the Agriculture Secretary, Nick Brown, had come out firmly against any early retirement scheme but he believed that Northern Ireland's circumstances demanded one.

The Chairman summed up by agreeing that the EU's emphasis had changed and that the new Programmes were to be of a very different nature than earlier ones. He felt that there was very little actual benefit for farmers meaning that those most in need of financial assistance would not be able to receive it. He acknowledged that the Department was constrained by the Common Agricultural Policy.

The Chairman thanked the three officials for their presentations, advised that the Committee would wish to exert influence on the Operational Plans and accompanying measures and undertook to advise the Department that afternoon of the Committee's decision regarding the Beef National Envelope.

Discussions on the Beef National Envelope after DARD officials had left the meeting

Mr Savage, Mr Kane and Mr Bradley each declared an interest in this matter.

The Committee discussed the Department's paper and presentation, the views of local industry, the potential for trade distortion with the ROI and the potential numbers of beneficiaries under each option. Mr Kane then moved that the Committee should support the use by DARD of regional discretion in order to offer a scheme for payment at slaughter of heifers. This was seconded by Mr Armstrong and unanimously agreed. The Clerk was asked to relay this decision formally to the Department and to include the decision in a press release.

Item 12 - Date of Next Meeting

Agreed: that this should be 14 January 2000 and that this and all future meetings should start no earlier than 10 a.m.

The Chairman wished all present his compliments of the season and brought the meeting to a close.

Dr Ian R K Paisley MP MEP MLA
Chairman