We use Google Analytics to see which pages are read and how the site is used, so we know what to improve. This only runs if you accept. See our privacy notice for details.

Dáil

Ceisteanna—Questions. Oral Answers. - State Aid for Industries.

andMr. McQuillan asked the Minister for Industry and Commerce the total number of companies since the institution of the State for whom a condition of receiving State grants, loans or other concession, was that ab initio at least 90 per cent. of the total output of the industry must be sold on the export market and not more than 10 per cent. on the home market.

26.

Comment on this

andMr. McQuillan asked the Minister for Industry and Commerce if he will express as a percentage of the total number of companies the number which received in the past, or are at present receiving, State aid by way of loans, grants or other protection, accorded only on condition that at least 90 per cent. of their total products were exported and not more than 10 per cent. retained for the home market.

Comment on this
John Lynch Minister for Industry and Commerce (Mr. J. Lynch) Fianna Fáil

With the permission of the Ceann Comhairle, I propose to take Questions 25 and 26 together.

Since the enactment of the Industrial Development (Encouragement of External Investment) Act, 1958, any manufacturing firm which does not comply with the ordinary shareholding requirements of the Control of Manufactures Acts may, nevertheless, sell up to, but not more than, 10 per cent. of its output on the home market. This restriction applies regardless of whether any grants, loans or other forms of assistance are given by the State. It would not, therefore, be necessary to make any such express stipulation as a condition of the giving of the assistance to firms in that category.

In some cases, however, I am advised by An Foras Tionscal that they have made it a condition of a grant that no part of the output may be disposed of in the home market.

Comment on this

Is it not a fact that the general principle adopted by the Government since 1932 is that where firms are in the initial stages of their formation they are given every protection in the home market before being encouraged to go into the export market?

Comment on this

Yes, that still applies.

Comment on this

To the Sugar Company——

Comment on this

Yes.

Comment on this

—— which it is insisted must export 90 per cent. of its products and 10 per cent must be sold at home?

Comment on this

That is an arrangement made by the Government.

Comment on this

At whose behest was that arrangement made?

Comment on this

I was hoping the Deputy would ask that.

Comment on this

Was it for the Sugar Company?

Comment on this

The companies the Deputies have in mind as being controlled by English interests, which they referred to on the last occasion, comprise a group of six companies. Of that six, four are wholly Irish-owned. Two have external interests, but only to a limited extent. The six, as a whole, are in Irish ownership as to 90 per cent. and represent an investment of £2,500,000. They employ 2,500 people and purchase Irish produce every year to the extent of £1,500,000. Some of them are over a hundred years old. There is no suggestion that any external interest has dictated to the Government in the arrangement which has been come to with the Irish Sugar Company.

Comment on this

Is it not a fact that the Irish Sugar Company is 100 per cent Irish-owned, operated and controlled and should not be asked to operate at a disadvantage to any company, Irish or foreign? Is that not a good general principle?

Comment on this

Has the Minister received complaints regarding the way the products of the chewing-gum factory have been flooding the city instead of being exported?

Comment on this

I do not know anything about that. The Deputy should put down another Question.

Comment on this

I shall be pleased to do so.

Comment on this