Smith warns of need to prioritise his department’s spending in Budget
He said the Government will be prioritising its expenditure plans in the light of expected tax revenues in 2009 and he will be doing likewise in his department.
Minister Smith said the focus is on ensuring that the right decisions are taken to develop a strong platform from which the country can best position itself to take advantage once the current period of uncertainty is over.
He said there are positive indicators for the Irish agri-food sector, both in the short and medium term. Despite the global economic downturn, the prospects for agricultural commodities on world markets are good.
He said this was good news for the Irish agriculture and food sector which presents opportunities into the future and that given the difficult economic climate, it was important that Ireland played to its strengths. Global demand for meat and milk is projected to more than double in the next 40 years.
“It is imperative we make every effort to develop at the premium end of such markets and realise our undoubted potential to be a major supplier of quality food for the global market,” he said.
Ireland East MEP Mairead McGuinness said a major battle for agriculture will take place next year when the EU concludes a wide-ranging review of EU spending, including funding of the Common Agriculture Policy.
“Looking at the agriculture budget to save money would be foolhardy and counter productive,” she said.
Jeff Grant, former chairman, Meat and Wool New Zealand, said increasing world population, high energy costs and growth in the major economies of Asia and South America all point to a continuation of food inflation.
