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Dáil
‹ Ceisteanna — Questions. Oral Answers. - Liberalisation of Road Transport.

Irish Haulage Competitiveness and Distribution Centre

Summary

Mitchell raised the competitive disadvantages facing Irish hauliers and proposed a European distribution centre, urging the Minister to bring industry interests together and refer the idea to the Taoiseach’s Department. Wilson said the extent of the cost disadvantage was being assessed and would encourage industry-led cooperation, but ruled out Government funding for a centre; the Chair then moved to the next question.

Jim Mitchell Mr. J. Mitchell Fine Gael

asked the Minister for Tourism and Transport arising out of the complete liberalisation of road transport in the EC by 1992, the plans he has to eliminate the competitive disadvantages of the Irish road haulage sector; if he will consider setting up a major Irish distribution centre in a suitable location in north-western continental Europe where Irish industry could warehouse goods in advance and have telecommunications, translation, office, garaging, sleeping, changing, canteen and recreational facilities for Irish road crews adjacent to ferry and air services; and if he will make a statement on the matter.

Comment on this

While a number of recent studies have concluded that Irish hauliers operate under a cost disadvantage, particularly in relation to Northern Ireland hauliers, the actual extent of that disadvantage is in some doubt at present, since these studies did not appear to compare like with like. In order to assess accurately the level of cost disadvantage, my Department have recently asked the haulage industry to provide data on their members' costs on which a more precise comparison can be based. While my room for manoeuvre may be limited, I shall keep the matter under careful review in the light of the outcome of this latest comparison.

While the concept of a major Irish distribution centre on continental Europe is an interesting idea, I have no evidence that any demand exists among Irish operators for such a facility, not that it would give a return to the Irish economy commensurate with the costs of establishing and running such a centre. I cannot envisage a situation, in the light of present policy on public expenditure, in which the Government could directly fund the costs of such a facility. Indeed, if the industry felt that such a centre were essential to the development of their business activities, I would expect that they themselves would take the initiative in this regard.

Comment on this
Jim Mitchell Mr. J. Mitchell Fine Gael

Will the Minister agree that, as we are an island off an island off the continent of Europe, we are at a major disadvantage in terms of access to, and distance from the market, which is susceptible not only to stress but also to climate? In the light of that and acknowledging the restrictions on the public finances, will the Minister take the initiative to see if the industry could come together, under the aegis of a form of trading house, to explore the idea of an Irish distribution centre on the north west coast of the continent?

Comment on this

I would be delighted if the various people involved — exporters and hauliers — came together and my Department would give them every encouragement to do so. The fact that we are an island off an island does not necessarily mean that we cannot compete. Japan has to export its goods a very long way and it competes very successfully in Europe.

Comment on this
Jim Mitchell Mr. J. Mitchell Fine Gael

Exactly, it has trading houses all over the world. Will the Minister accept that that is the precedent we should follow and that there should be a major Irish distribution centre on continental Europe? Will he take the initiative to try to bring the different strands of the transport industry together to crystallise this idea?

Comment on this

I gather that the Deputy thinks this should be a Government funded operation in Europe. I indicated that this was not on. However, if the relevant interests are anxious for it, they will get every encouragement and help from me and my Department.

Comment on this
Jim Mitchell Mr. J. Mitchell Fine Gael

Will the Minister refer this matter to the project manager in the Taoiseach's Department and maybe something will be done?

Comment on this
Seán Treacy An Ceann Comhairle Independent

I will now deal with the Private Notice Question. There have been a number of questions concerning the leak of radioactivity from the Sellafield plant.

Comment on this