Economy can overcome foot-and-mouth
Finance minister Charlie McCreevy tonight said the full effects of the foot-and-mouth crisis on Ireland’s agriculture and tourism-dependent economy had still to be assessed.
Presenting his department’s returns for the first quarter of the year, Mr McCreevy conceded that the disease would have consequences for public finances.
He added: "The magnitude of this impact will clearly depend on the future course of the disease - and whether it has a significant impact on consumer and investor confidence."
But he insisted: "The government is satisfied that the economy has the capacity to withstand the foot-and-mouth difficulties and to continue to grow strongly over the period ahead."
Mr McCreevy reported a surplus for the opening three months of 2001 of £1,147 million - more than £140 million better than for the same period last year - but also highlighted a slowdown in previously record tax receipts during the years of Ireland’s economic boom.
The minister said the year-on-year tax take increase of 9.2% was more than 3% below the budget target, with poor excise duty returns partly responsible.
He issued his pledge on the economy’s ability to cope with foot-and-mouth after confirmation was received from experts in Pirbright, Surrey, of negative tests on samples from sheep in two counties that had been regarded as highly suspicious.
The findings meant that the Republic still has only a single case of foot-and-mouth, detected close to the border in Co Louth last month.
The outbreak happened only a few miles from a farm in Northern Ireland’s Co Armagh, where the disease was confirmed two weeks earlier.
The Pirbright results were welcomed by agriculture minister Joe Walsh, who said they added up to "a very, very important benchmark day".
He also warned: "It does not mean this is the end of the fight to prevent the disease spreading.
"We are almost at the finishing line, but we have to get over the line, and it will take two weeks to do that."
Farmer representative groups from both sides of the border met in Dublin today for talks about forming an all-Ireland animal health body and an exchange of views on foot-and-mouth.
Both the Irish Farmers’ Association and the Ulster Farmers’ Union afterwards said progress had been made towards eventual agreement.
The two organisations also cast doubts on reports that illicit cross-border animal movements had been carried out in recent weeks, during the height of the crisis.
