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Dáil
‹ Ceisteanna—Questions. Oral Answers. - County Leitrim Industry.

Dowra factory closure and replacement industry

Summary

Fitzpatrick asked about the loss of more than 30 jobs after Dowrosa closed and challenged IDA assistance for a similar factory nearby. Burke said the new factory’s suture production was only a small part of Dowrosa’s business, and the IDA was seeking a promoter for the Dowra premises; he would pass on the suggestion that the IDA buy the factory but could not commit to it. The exchange ended with Fitzpatrick criticizing the decision to support the nearby factory, which Burke denied was foolish.

Thomas J. Fitzpatrick Mr. T.J. Fitzpatrick Fine Gael

(Cavan-Monaghan): asked the Minister for Industry, Commerce and Energy if he is aware that an industry operated by Dowrosa, Dowra, Carrick-on-Shannon, County Leitrim, recently closed down with a loss of over 30 jobs; if the IDA granted aid to an industry manufacturing similar products approximately 20 miles from the Dowra factory; if he will take steps to have another industry started in the Dowra factory; and if he will make a statement on the matter.

Comment on this
Ray Burke Mr. R. Burke Fianna Fáil

I am aware that Dowrosa Ltd., Dowra, County Leitrim, ceased production on 13 June and that a receiver was appointed on 10 October 1978. In view of the effect of the closure of Dowrosa Ltd. on the local area, every effort is being made to find a suitable alternative industry for the premises and to this end the IDA have had discussions with a number of promoters. Representatives of some of these firms have visited the factory and arrangements for further discussions have been made. The IDA have recently approved grant assistance for a company to manufacture one product which represents only a small proportion of the output of the Dowrosa Ltd. factory.

Comment on this
Thomas J. Fitzpatrick Mr. T.J. Fitzpatrick Fine Gael

(Cavan-Monaghan): Am I correct in thinking that subsequent to or about the time the Dowra factory closed down and ceased manufacturing sportsgear strings from animal gut a factory was started at Knockvicar manufacturing surgical sutures from animal gut? Is it true that the person who started the Knockvicar factory was one of the principal people in the Dowra factory?

Comment on this
Ray Burke Mr. R. Burke Fianna Fáil

According to my information that is right.

Comment on this
Thomas J. Fitzpatrick Mr. T.J. Fitzpatrick Fine Gael

(Cavan-Monaghan): Does it not seem extraordinary that when the Dowra factory was in difficulties the IDA should grant-aid an opposition factory only 20 miles away to go into business against the Dowra factory? Would it not have been better to spend the money in Dowra to keep an existing factory going rather than to start another factory in opposition to it only 20 miles away?

Comment on this
Ray Burke Mr. R. Burke Fianna Fáil

I would accept that on the surface it might appear to be the case and I understand the Deputy's question. It is important to understand that the new factory is involved in the suture business, whereas the manufacture of sutures constituted only one small area of the total production of the Dowra plant and would not have justified moving into the Dowra plant. A number of industrialists are looking at the Dowra plant and we are hoping they will take it up. There is no conflict, but I would accept that on the surface it might appear to be that way.

Comment on this
Thomas J. Fitzpatrick Mr. T.J. Fitzpatrick Fine Gael

(Cavan-Monaghan): Will the IDA purchase the Dowra factory?

Comment on this
Ray Burke Mr. R. Burke Fianna Fáil

I will put the Deputy's point to them but I could not make a decision across the floor as to whether the IDA will buy it or not.

Comment on this
Thomas J. Fitzpatrick Mr. T.J. Fitzpatrick Fine Gael

(Cavan-Monaghan): Might I suggest to the Minister that the only way of keeping employment in the Dowra area is to get a tenant for this factory?

Comment on this
Joseph Brennan An Ceann Comhairle Fianna Fáil

This is not a time for suggestions. Question No. 8.

Comment on this
Ray Burke Mr. R. Burke Fianna Fáil

Every effort is being made by the IDA to find a promoter to move into the Dowra plant. A number of people are looking at the plant and the IDA are hopeful that a solution will be found in the near future.

Comment on this
Thomas J. Fitzpatrick Mr. T.J. Fitzpatrick Fine Gael

(Cavan-Monaghan): I gather from the Minister's statement that he realised it was extremely foolish not to put the money into the Dowra plant.

Comment on this
Ray Burke Mr. R. Burke Fianna Fáil

I did not say that.

Comment on this
Joseph Brennan An Ceann Comhairle Fianna Fáil

We will not have argument across the floor.

Comment on this
Thomas J. Fitzpatrick Mr. T.J. Fitzpatrick Fine Gael

(Cavan-Monaghan): It is an extraordinary situation.

Comment on this