Issues in the agri-food sector are constantly evolving at both EU and national level. This year is one where a series of potential reforms and changes have been put forward which over-time will almost certainly alter the face of agriculture throughout the European Union. The significant challenge for me as Minister is to address this agenda of change in a way that will protect Irish farming and the agri-food sector and maintain the undoubted gains that this country has gleaned from the operation of the Common Agriculture Policy.
For this reason the Annual Review and Outlook for Agriculture and Food is a useful document providing regular and relevant analysis of the dynamics of Irish agriculture and of the challenges ahead. Current issues are outlined such as the mid-term review of Agenda 2000, EU enlargement and the WTO negotiations, along with some preliminary analysis of the impact the Commission proposals on decoupling, modulation and degressivity on Irish griculture.
Last year saw a slowdown in the international economy and was also a difficult year for many involved in farming. The continuing importance of agri-food sector to the national economy is, however, underlined by key statistics which show the value of the primary agriculture and the agrifood sectors in terms of their contribution to the overall economy, exports and employment. The Annual Review and Outlook contains much useful analysis of farm incomes and the performance of the major commodities sectors
and the agri-food industry as a whole.
The ongoing commitment of my Department to the agri-food sector is shown in terms of Departmental expenditure on agriculture, the level of receipts obtained from the EU and
positive balance for Ireland from the net trade effect. The Review and Outlook also focuses on other issues of increasing importance including consumer trends, food safety and the environment.