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Dáil Éireann debate -
Friday, 2 Jul 1926

Vol. 16 No. 19

IN COMMITTEE ON FINANCE. - MONEY RESOLUTION—TARIFF COMMISSION BILL, 1926.

I move:—

Go bhfuil sé oiríúnach a údarú go n-íocfar amach as airgead a sholáthróidh an tOireachtas costaisí Coimisiún na nDleacht maraon le luach saothair bhaill agus oifigigh an Choimisiúin, agus gach costas eile a bhainfidh le haon Acht do chur i bhfeidhm a rithfar sa tsiosón so chun socrú do dhéanamh chun Coimisiún do bhunú chun tuairse do thabhairt don Aire Airgid maidir le tairisgintí chun diúitéthe custum d'fhorchur ar earraí a hiomportáltar isteach i Saorstát Eireann no chun iad d'atharú no d'athnuachaint agus chun imeachta an Choimisiúin sin do regleáil agus i gcóir rudaí eile a bhaineas leis na nithe sin.

That it is expedient to authorise the payment out of moneys to be provided by the Oireachtas of the expenses of the Tariff Commission, including the remuneration of the members and officers of the Commission and all other expenses of carrying into execution any Act of the present Session to provide for the establishment of a Commission to report to the Minister for Finance on proposals for the imposition, modification, or renewal of customs duties on the importation of goods into Saorstát Eireann and to regulate the proceedings of such Commission, and for other matters connected therewith.

Deputies will notice that in the Resolution provision is made for the payment of expenses, including the remuneration of the members and officers of the Commission. An amendment will be proposed to the Bill making it clear that salaries may be paid to members of the Commission in case persons not in the Civil Service are appointed members of the Commission.

This motion is asking the Dáil to agree to providing the money whereby the work of the proposed Tariff Commission can be carried out. Therefore this motion in effect asks us to agree that the work of the Tariff Commission is worth the expenses that are proposed to be voted. In the first place I want just to raise a point that the motion speaks of a Commission appointed by the Minister for Finance.

A Commission reporting to the Minister for Finance.

Yes, to report to the Minister for Finance. At a later stage I will endeavour to persuade the House that a Commission of the kind, if it is to do the work—not the work which it proposes to do, but which many of those who support the Bill think it proposes to do—will be concerned with matters which have special reference to industry and commerce, to the development of industry, the revival of commerce, and the improvement of economic conditions with respect to industries. But the reference in the motion of the Minister for Finance suggests right at the beginning that this is a Bill primarily directed at raising revenue, that it is a revenue producing Bill, not a Bill to encourage and develop industries or having advertence to the development of industries, but aiming at revenue. I think that is the effect of the Bill. But it indicates a line of approach. I draw attention to the defect in the word "modification" here, which will also come up for discussion later. I draw attention to it because by one, and I think, the more generally accepted interpretation of the word "modification," the Commission would be confined to considering proposals for reductions, or, rather, shall I say, would be excluded from considering proposals for enlarging or increasing. Now, modification would be generally interpreted to mean an alteration by way of reduction, not an alteration by way of increase. If the purposes of the Commission are to be such as some of the Deputies pretend to believe, they would be precluded from any question of a possible increase in the duty. That again, as I say, will come forward again, and I am assuming that the passing of this resolution in the present form will not preclude the discussion of that aspect of the Bill. As I say, the resolution which is now before us is one asking us to agree to the payment of moneys for the purpose of carrying out certain work, and inferentially it asks us to say that the work which the Commission is going to carry out will be worth the prospective expenditure. I think in answering that question we are bound to consider what purpose the Commission has, and what the purpose of the expenditure is. It is to inquire into the applications made by persons interested in the promotion of industries or in the development of existing industries.

And looking for concessions.

And looking for concessions. I say now, as I said before, that that is an indication of the wrong spirit in which to approach this question. In effect it is a denunciation of the idea, that an industry might be protected or assisted by a tariff on imports for the general good, that it is only a matter which can be approached as a matter of personal interest. It is because of the approach to the whole question that is shown by this Bill that I am distinctly opposed to it. I recognise, and I have recognised for a good many years, that there are dangers to the public well-being, apart from political activities, in import duties. The chance of life is a danger, but a danger that can beguarded against. But very much depends upon the spirit in which legislation of this kind is introduced, enacted, and, particularly, administered. If we begin our examination of such questions and our proposals with regard to tariff by assuming that they are matters of private, personal, pecuniary interest only to the persons making the application, we are practically relegating the whole subject to the pull and drag of competing interests, and are asking the various sections of the community to perpetuate that evil thing in the social and economic life which assumes that everything is to be considered from the point of view of personal interests.

I was challenged yesterday by more than one Deputy to state where I stood on this question. I do not know whether that was intended seriously, whether the Deputies did not realise the possibility that there are grades between pure black and pure white, and that everything had not been done when one has attached to oneself a label, and that it is enough for a legislator or any public man to say: "Well, I stand for protection,""I stand for free trade,""I stand for subsidies,""I stand for bounties," and let that be the final word in the matter and that nothing more need be said or thought—that once you attach to yourself a label everything else will follow automatically and there need not be any more thinking. I am not amongst those who appear to imagine, when they have said freedom of trade is the ideal, perfect fluidity between country and country and population and population—perfect fluidity of capital movement—and that that country which is best fitted for economic development will inevitably, in a state of perfect fluidity, and free exchange, survive, and the world's wealth and trade thereby reach its maximum. Nor am I of opinion that at any cost imports should be debarred provided there is even a posibility of goods of a similar character being produced within the country. But I look at the problem of Ireland in 1926 and the period and life of this generation and its prospects economically. I am frankly refusing to consider this matter from the point of view of the labouring man or the artizan in a particular trade or occupation. I ask the farmers to refuse to look upon this merely as a matter affecting the farmers of Ireland in 1926. I ask the merchants and manufacturers not to think of this problem as affecting their own industries in this particular year, or the year that may be current at the time they give consideration to it. When looking at the situation in Ireland to-day and the situation economically in other countries I recognise very big problems ahead. I want to dispel the idea that you have got to think of industries as entities and living things in themselves, which you should bow down to and worship, but rather that these industries are activities and organisations whose function it it to supply the needs of humanity. It is the human effect of any political or economic change that we can bring about by any method that we have to consider.

I realise quite well that if the farmer is going to look at the interests of farming—or rather, shall I say of his particular brand of farming?—for this year and next year only, he may well say that it is impolitic, but really meaning not advantageous to himself, that there should be no risk run of the prices of any commodity that he purchases being raised. From the purely selfish standpoint that is understandable. Similarly, if I take the railwayman and the docker, I can understand such a man saying: "If by any action the State limits the weight and quantity of certain classes of manufactured articles coming into this country, it will reduce my potential earnings and consequently I am going to oppose any change." On the other hand, manufacturers may say to themselves: "It is not worth my while going into this question of tariffs. I am carrying on very well. I am living an easy, comfortable life, and I am not going to put myself to the trouble of making a claim for a tariff." Following that selfish instinct, refusing to consider the effect of any political or economic change upon the national life, he remains quiescent and he refuses to make any plea or interest himself in the question of any change in the economic or fiscal scheme. I contend that in approaching this question the Government has declared, not merely by accident but has reiterated its determination through the mouth of the Minister for Finance yesterday, that this whole question shall be considered from the point of view of an individual application, that the individual must make a case in favour of a concession, a concession by the State to himself and his fellow-industrialists. And as the matter stands, if he cannot make a case there is no national interest to be considered. I say that that is an utterly wrong approach, and so wrong is it that I think the passing of this Bill and the character that has been impressed upon it even by the Second Reading division, the character that has been impressed upon the whole question, is practically the first step to inviting all sections of the community to consider this subject in the future from the point of view of pull and drag and of seeking merely individual pecuniary benefit for themselves.

If there is one objection that outstands more than another against a scheme of tariffs on import goods, that objection, to my mind, lies in the risk of degradation of a legislature, or merchants and manufacturers, by the system of pulling and pushing, dragging, cajoling and bribing that may come into the scheme of things under a tariff if it is not safeguarded. That, I think, is probably one of the greatest risks in a tariff system. It has been guarded against in some countries. In other countries, on the other hand, we know that proposals regarding tariff changes are looked upon as a good opportunity for all kinds of graft and all kinds of corruption. I am of opinion that the way the Government has approached the question in this Bill tends distinctly to lower the level on which the matter should be discussed in this country. I think the line that should have been taken would be for a responsible Ministry to say: "A case has been made; we ourselves are satisfied that the national interest is likely to be well served by a particular tariff or group of tariffs." If any question is raised as to any exception or any question as to the possible reactions, then refer that question to an inquiry, but first of all let them say: "We have decided," not on the application of an interested party, "that the national well-being will be served" by this or that proposal, and having satisfied themselves that a prima facie case has been made, that they could submit that matter to a Commission of Inquiry for further examination and not consider it as a matter of a concession which somebody has to pay for.

I do not believe that the imposition of protective tariffs of themselves will bring about that ideal industrial condition in the country that some people would be inclined to agree with. On the other hand, I recognise that there is need for positive State assistance to encourage the development of industrial activities in the country. Examining all possible ways of so encouraging industrial activities in this country, taking into account the state of public opinion, the comparatively backward state of industrial organisation, the lack of industrial and administrative experience—taking all these things into account—and having very carefully examined this matter from the point of view of the national well-being, I have personally come to the conclusion that tariffs on imported manufactured goods are necessary and should be extended. I have examined the question with the advantage of having heard frequently the views of the Ministry and particularly the views of the Minister for Agriculture. I have examined the arguments put forward on behalf of the farmers represented here in the Farmers' Party, and I go a long way in the belief that the future of the country will largely depend on development in agricultural production. I also think that a very great deal of that improvement will depend upon the extent to which better marketing, better quality of goods, greater quantities of live stock and live stock products, can be produced and sold both inside and outside the country.

Supposing the whole advantage that is foreseen from that line of development is secured, supposing the scheme of redistribution of population succeeds within the next 25 years in improving the general life of the present congests and the poorer farmers of the country, supposing the quality of all agricultural products is greatly improved— the breed of cattle and even the output —supposing all that is accomplished and a much bigger financial return is secured by the agricultural population, that, as I say, will be the fulfilment of the hopes of the farmers and Minister for Agriculture. What has been accomplished then? We have been told on similar authority that the land is carrying as many as it can bear reasonably. Consequently any improvement in the agricultural condition is not to be expected from that quarter, from any increase in the number of people living directly upon agriculture.

In following out the farmers' policy, which is purely an agricultural policy, we have to assume that the new produce is going to be marketed outside the country and the increased earnings obtained by the agricultural population are going to be spent where the best value can be secured. That is to say that the policy outlined is to improve agriculture technically, to improve the output, to sell that improved output in Great Britain or elsewhere, to spend the income on manufactured articles wherever they can be bought at the lowest price.

What, then, is to become of our town population? What, then, is to become of your increasing human population from the land? Are you going to add to the numbers of persons engaged in the providing of circuses? What is going to be done with your increased material possessions? You are going to purchase all the things you can purchase cheaply, outside the country. Let us not forget in this review that every modern tendency is towards cheapness, is to produce articles of a standardized pattern, so that in the future the great probability is that even in the building of your new barns and improved agricultural buildings, which we will assume will come from the improved return from agriculture, you will introduce the standardized article— perhaps steel, perhaps some other compound which will come forth in the course of invention and discovery—and that these, too, will be imported, and that the only persons who can possibly look for any advantage in the way of employment and occupation will be the mere assembler and unskilled labourer. That is the tendency. There is no prospect under these conditions of developing industrially. We may have a considerable number of men engaged in repair work of one kind or another, which is the most productive occupation in the towns to-day.

Again I ask you to bear in mind this tendency, and to realise that repair work is becoming less and less because of the fact that commodities are being standardised, and the firm that makes the original article is going to provide the spare parts. When I take this tendency into account, when I take a view of the position as it is developing, I can see no prospect for this country maintaining a population in comfort, outside agriculture, except in an unhealthy direction. I can conceive well of a prosperous agricultural community spending its moderate surplus upon pleasures, and on the other hand the country being developed from the point of view of a pleasure ground, and the urban third of the population and a considerable proportion of the rural two-thirds being attuned and conforming themselves to the cap-in-the hand-touch-for-a-tip kind of population. I do not want to decry for a moment the pecuniary advantages of tourist development or the advantages of amusements and amenities, but I say it is not a good and sound development to put before the country as a prospect, to say that you are going to have developed a fairly comfortable apricultural population, not extending in numbers but extending in comfort, with no other production in the country and with such urban population as remains engaged in the transportation to and fro of imports and exports, or satisfying the demand for pleasure of either the agricultural population or the persons that come into the country seeking pleasure.

This, of course, is an old doctrine. There is nothing new about it. Many people in the Dáil have preached it many times, but it will stand restatement. I think it stands restatement, more especially at the present time, when we have to ask ourselves, if we are satisfied that it is desirable to encourage industrial life, if only for the creation of variety, how best that can be done. I believe it is only possible to do it by assisting, by fostering such movements towards improvement, such attempts to become rooted as may be showing themselves on the part of industries, and not allow to be wiped out such industries as still remain with us.

It is also a doctrine preached on the Ministerial Benches that the State ought to afford some of the cost of this line of progress. Are we doing the best in that direction by the lines suggested in this Bill? I think we are doing quite the contrary. You say you are going to set up a Commission to examine into all the details and possible reactions of any proposals that come forward from those seeking after concessions. I think this step is distinctly setting up a barrier against the possibility of State assistance, State fostering, and State protection by way of Customs duty, for these delicate industries or industries that require some help.

I do not think that the money that we are asked to assent to being spent would be worth spending. On the other hand, if it is spent in the way projected I think it will be harmful and will retard the development which I have outlined. I am going to ask the Dáil to refuse to support this motion and, at a later stage, to amend the Bill in some way; at least to remove some of the defects which I think are contained in it. I believe that there is a good deal of misunderstanding about the purpose and probable effect of this measure. Whatever misunderstanding there may be in the Dáil about it, there is a great deal more misunderstanding outside. I said what I have said because I want to make it clear that I am opposing this Bill because I believe it is calculated to prevent a fair examination of a proposal for the imposition of a tariff. I believe it will prevent the examination of any such proposal which may be put forward solely out of regard for the national well-being, and it will only secure the examination of a proposal which is put forward on behalf of men who are seeking pecuniary advantage for themselves. That is my main objection to the Bill. I have different views from some who opposed the Bill regarding the composition of the Commission. I think if the Commission were given a useful function no harm would come to it if there were men appointed from the Civil Service. But I believe that it is distinctly harmful to ask men who are to-day engaged in, let us say, an examination of a problem that arises out of a strike or a problem arising out of income tax or arising out of the nonpayment of unemployment insurance stamps and health insurance stamps and things like that, to inquire tomorrow into an application made, perhaps, by the very firm which to-day they have had to withstand or to oppose or prosecute. That I think is a distinct objection. I have no objection to the filling of the post of tariff commissioner from the Civil Service provided that that tariff commissioner is given a proper function and has of necessity a whole-time occupation.

Deputy Johnson has handed in certain amendments to the Money Resolution. Is he moving them?

Yes, Sir. I think it would be wise to move them.

Could they not be moved in Committee?

If I could be sure that the passing of the Resolution in its present form would not preclude a discussion of it in Committee then I should not move the amendments at this stage. I only feared that if I did not put forward the amendments, and if the motion was passed in its present form, it might preclude the possibility of a discussion on the Committee Stage.

The Money Resolution provides for the establishment of a commission to report to the Minister for Finance. I would be prepared to agree that an amendment to substitute for the Minister for Finance another Executive Minister would be in order. It would not, of course, be in order to substitute for the Minister for Finance a Minister who is not a member of the Executive Council —to seek to have the commission to report, for example, to the Minister for Posts and Telegraphs.

With regard to the word "modification," unless some substantial case is put to me that the word has some special restrictive meaning I would accept an amendment in committee to substitute the word "alteration."

In that case I will not move the amendments at this stage.

I would have preferred if this Tariff Commission was appointed with a view to the national situation, but I am supporting the measure because, at all events, we are setting up a Tariff Commission. I think it is unfortunate that this Tariff Commission should inquire into all those vital things from the point of view of a single industry or a single individual. That is not the conception of protection usually entertained in this country and in most countries. At all events, under this Bill we are to have a Tariff Commission that will gather the vital facts of each industry, and that is one step further on the way to the protection that some of us desire. I claim it is the first victory won for protection, but there is a long way yet to go before protection is handled in this country as it is handled in every country in the world that has adopted it. This thing of directing attention to the case made by an industry has a great many drawbacks. In the first place, as was pointed out, an industry might be flourishing in one county; it might be paying its way and the owners might be making a modest dividend, so that there might be no need for them to get a tariff from the point of view of the industry. But considering that there was no such industry in the surrounding counties; that there was any amount of unemployment in the surrounding counties, and that foreign goods were supplying the consumption in those counties, I think that an idea of tariffs that left an industry unprotected and did not provide for employment in a large area is a very inadequate measure of protection. It shows that we are only going a part of the way and that we have a long way to go still. But as it is a step on the way I think those who are in favour of protection ought to support it. We are aware in the case of an industry that got protection, there was an influx of foreign capital into this city, and employment was provided for 500 or 600 boys and girls. If the people in that industry had come before this Tariff Commission to make their case from the point of view of their own industry, they never would get a tariff.

Because they may be making a profit in a limited area.

Would you not give consideration to a future applicant on the same grounds? You are accepting the "poisoned pup"; that is what you are doing.

I am not as good a judge of pups as Deputy Byrne. It has been stated also by members of the Farmers' Party that tariffs inevitably mean an increase in prices. They do not inevitably mean that.

Stated by the Minister for Finance.

I did not interrupt Deputy Baxter. If he allows me to make my speech I will answer any questions that he desires to ask. I am going to leave Deputy Baxter's prophecies aside and deal with facts. Take the case of cigarettes in Dublin. There was a tariff put on them that gave employment to six or seven hundred boys and girls. I am sure Deputy Baxter has no objection to that. He has not to pay any more for his cigarettes. That is a case in point. Take the case of blankets. The entire import of blankets has been stopped. The Irish mills have captured the entire trade, and the price of blankets has been reduced instead of being increased. These are two outstanding facts.

Whose facts are they?

The facts belong to the whole community. I have no monopoly of facts.

What about furniture?

I could quote more cases. In Australia there were two States, one of which adopted protection and the other clung to free trade, and the prices of articles were not higher in the protected State than in the other State. Because this question of protection in this instance is approached from the point of view of industry you have men making imputations against Irish manufacturers. These manufacturers have had a terrible struggle for the last 40 or 50 years in this country, without any support whatever, against massed production from the other side—from a country with a large and wealthy population and with big plants. Now because this State proposes tariffs to protect our badly-supported manufacturers you have nothing but flouts and jeers of the most insulting kind against our manufacturers. They remind me of the flouts and jeers that were flung at the farmers long ago.

And that are still flung.

That is not so. That is only an ignorant interruption. I say even if the prices of commodities were increased there is in this country a justification for making an effort to set our factories on their feet, a justification for attempting to bring back work to our idle towns and idle villages and for attempting to stop emigration. The question of emigration has been used on many a platform. It has been used so often that people jeer at it now as an argument, but it is no jeer for the parents who have to see their children leaving the country. Anyone who has seen hundreds leaving from stations in the West of Ireland, going from a land where we have a big market that could keep our factories going, will understand that that jeer has very little heart or humanity in it. These men and women are leaving this country to work in factories in other countries where the manufacturers do not jeer at them. They are leaving the country that has a market to the extent of £16,000,000, which could keep them going. But we prefer to keep the factories going in foreign countries, and we pay £16,000,000 for articles produced in those factories. Even if we paid £18,000,000, £14,000,000 or £15,000,000 of it would be for salaries, wages and dividends. We might well pay an additional one or two millions and the farmer would not suffer by it. The farmers through the country know that well and they know that it would be well if they had places where their sons and daughters could go to work. Deputy Heffernan's and Deputy Baxter's point of view, I submit, is not the point of view of the intelligent farmer of this country. There are farmers in this country who would be greatly exasperated if they were told that they object to the setting up of factories that would keep their brothers and sisters amongst them. If they were told that that was their attitude they would not understand it. I have here an expression of opinion from the farmers' side that I submit is more an authoritative expression of opinion than the opinion of Deputy Baxter or Deputy Heffernan. It contrasts the quantities of imported goods of various categories which are consumed annually in Irish farmsteads with the complaints of native agriculturists as to the poor demand for their own products, and goes on: "Imagine they would rate our intelligence and business acumen as hardly up to the level of a dog who lived on his own tail. Many people may be living on their wits in Ireland, but in some respects Irish farmers are not very strenuously exercising theirs." I submit that is the point of view of the intelligent farmer of this country. Does Deputy Baxter deny that?

Where is that farmer?

You agree with that?

Deputy Sears should not address Deputy Baxter.

That is a quotation from a leading article in the "Irish Farmer," and those men buy and support the "Irish Farmer" and get it to preach to intelligent readers common-sense, intelligence and patriotism. Yet they come here and give the lie to every word of that.

I said that approaching this from the industrial point of view places the Irish manufacturer in an unenviable position. Deputy Gorey said yesterday that you would see them gathering like files round the pot.

Round the honey.

Round the honey. Deputy Wilson knows that if he goes into the town of Wicklow he will see the shelves in the shops crammed with English manufactured goods and that his money goes to pay British and other artisans who will be able to buy goods with the wages they receive from employers who do not care a hang if Deputy Wilson and the Farmers' Party with him were at the bottom of the sea. We should look at this from a national point of view. If it is worth fighting for this nation, if it is worth making a struggle to teach the nation the Irish language, are the people to be taught Irish in order to go to America and England? Denmark is often quoted for us. Denmark is governed by able and shrewd statesmen who do not say to the farmers, "Look after your land and let the rest of the country go to the devil." On the contrary, they say that it would be better to have factories in their own towns and they have made that their aim. The farmer in Denmark is patriotic, like the Irish farmer who is not a rancher.

Have they any unemployment in Denmark?

I am glad Deputy Heffernan reminded me of that. There is not emigration from Denmark on the scale we have here. There are no stagnant, impoverished towns and villages in Denmark. One-third of the people there are engaged in agriculture, and they have brought agriculture to the highest point in Europe, perhaps, with the poorest land. Another one-third of the workers in Denmark are engaged in handicrafts. That is all I ask for this country. I do not care what the industries are, but we are entitled to have one-third of our young men and women engaged in industrial work. We pay dearly for our work; we pay it in farmers' money, and we deprive farmers' sons and daughters of the work. Farmers come here and say, "We will vote against opening the door to the employment of farmers' sons and daughters, against giving them a day's wages, against an outlet being given them." English farmers' sons and Danish farmers' sons get work; for the Irish farmers' sons and daughters there is Queenstown or poverty or the dole or half wages at home.

That is Deputy Baxter's policy: for the Irish farmers' second sons and daughters, the dole or Queenstown or poverty at home. It is all very well for a man who has a farm of land —he is all right—but owing to a mistaken view of his own interests he is opposing tariffs. What we should aim at is to get employment for one-third of our people who are at present idle. I am not a doctrinaire protectionist. I would prefer free trade if there was a fair chance for every man. Asking Irish manufacturers to compete against powerful competitors from Bradford and elsewhere is like asking an untrained man to enter the ring against Carpentier. All we ask is that the Irish manufacturer should get time to get on his feet; that he should get the same protection that the undeveloped manufactures in other countries got. We had Deputy Wilson yesterday asking us to pity the agricultural industry standing alone. Why not have other industries along with the agricultural industry, and not leave it to stand alone?

In our towns we have five shops doing the work of one. If there were factories set up you would only have one shop in the place of five shops. You would save the four shops at the expense of the English manufacturer and the cost of them would be taken off the Irish farmer. We have set up a Commission to try and prevent profiteering. Our towns are crowded with shops swelling the cost of distribution and increasing the burden on the farmer, and you have the Farmers' Party here opposing a measure that would reduce the burden on the farmers and enable factories to be set up that would bear their share of the rates and taxes. The farmers would not then be in the unfortunate position of coming here and saying that they are the only people paying rates and taxes. I think the Farmers' Party are mistaken in their view. The Government Party have been twitted with having differences of opinion. Some time ago we were twitted because we were all voting so well.

You are still voting well.

We are still voting well. Deputy Wilson can say that his Party are voting well too. Deputy Hewat yesterday confessed that it is beginning to dawn on the big business men in Dublin that this policy of importing goods is not altogether a happy situation for any country. He confessed that it is a bit of a failure as far as the business community are concerned. Farmers admit that conditions are bad with them, but they will not allow any effort to be made to help them. I think the farmers are unwise in their attitude.

I wonder could we get away from discussing the farmers?

We do not mind.

It is very amusing.

Deputy Sears' economics are not such as to require any comment from me. With regard to the resolution, I will try to clarify the position that our Party stands in in regard to it, as it is necessary to make the position clear. This resolution, following on the Bill which got a Second Reading yesterday, asks us to accept a policy that we are not prepared to accept, but we do not want to be interpreted as being against an inquiry into the whole position in regard to tariffs and assistance to industries—what it is possible to do for them, what assistance they can get, what the cost to the State is to be, and how that assistance is to be given. If the Executive Council came to the Dáil with a proposition to set up a Tariff Commission in the real sense, to inquire into the whole position of industries and their future, and if the position was to be examined fully and completely along the lines pursued by, let us say, the Liquor Commission or the Food Prices Commission or, as has been customary with any other Commission set up, and if it meant an inquiry into all the facts and possibilities and was not committing us to what the Minister said very definitely yesterday this Bill committed us, we would not stand against the setting up of such a Commission. We candidly confess that an examination of the whole industrial position would be beneficial. No matter what the very agile Minister for Posts and Telegraphs or his lieutenants may suggest about the pro-nationalism of certain individuals, nothing that he can say will take from the farmers' national outlook, and we are not a bit alarmed by comments like that. We are as sympathetic to the State, to nationalism and to Irish industries as any Irishman could be, but when we are asked to swallow all that the advocates on the other side urge on us, we do not know exactly what they propose. Two cases were presented, one by one group in a particular party and another by another group. The Minister for Finance told us that the acceptance of a Tariff Commission was saying good-bye to the policy of free trade.

I used an adjective there, which the Deputy has left out.

What is it?

"Doctrinaire."

I put in the adjective—doctrinaire free trade, or any other name you may give it. When we have a statement like that from the Minister, following another statement by the same Minister when introducing the Budget in 1925, that this Government would not break any further fresh ground in the matter of protective tariffs before the general election, I want to express a little surprise that more stress was not laid by Deputies on these statements of the Minister. When the Minister makes a statement like that on an important occasion and makes it in order to ward off certain criticism that would be forthcoming if that policy was to be further pursued, is it not to be understood as a serious, well-meant, honest statement, made after full consideration and examination of all the facts? Is the standard of political honesty that is to be set up in this House to be such that a Minister can make a statement on one occasion and get acquiescence in his policy because of his statement, and then when it suits him to change and alter that policy, have no hesitation in doing so? The Minister in 1925, I suggest, knew just as much as he knows to-day about the position of the industries that he says, or other people say, are in dire stress. The information was before him from the officials in his Department whose duty it was to put those facts before him, and I suggest that his statement was made following an examination of those facts. In what way have the conditions altered? To say the least of it, that is not a practice that can be commended on the part of Ministers.

With regard to the work of the Commission, I say undoubtedly that an examination of the whole problem will be helpful to everyone. I recognise, on the other hand, the great difficulties there are and will be confronting any Commission in examining fully both sides of the case, because, as Deputy Heffernan said the other day, no Commission will have put before it the disadvantages of tariffs in the way that the advantages will be put before it. Can we expect from the Commission an impartial decision if all the facts are not submitted to them? That difficulty, I suggest, will always confront any Commission. But if a body were to be set up to examine the problem, such as Deputy Johnson has suggested, some good would come from it, and I suggest that some valuable information would be obtained. The Executive Council may take it that if that did not carry with it the acceptance of the policy of protection, there would be no objection whatever on the part of the Farmers' Party to setting up such a Commission and to voting the money necessary.

May I ask if the Deputy is drawing a sharp distinction between a general inquiry and a piecemeal inquiry? What I mean by a piecemeal inquiry is an inquiry into the desirability or otherwise of the application of a tariff to a specific commodity. I rather gathered from his opening statement and his going back on it now, that he is drawing a distinction and stating that, whereas on the one hand he would favour the general inquiry, he feels compelled to oppose and vote against a piecemeal inquiry such as he says is contemplated by the provisions of the Bill.

The Minister for Finance made a definite statement that no tariffs were to be imposed, that no fresh ground was to be broken pending a general election. In introducing this Bill, however, the Minister pointed out that the acceptance of it meant the acceptance of the policy of protection. I am pointing out that if he introduced a Bill that did not carry with it the acceptance of such a principle, the position from the point of view of our Party would be different. If the problem is to be examined at all, it ought to be fully and fairly examined and not examined in such a way as to prejudice the position, which is what this Bill means. There can be no proper examination of the problem if the position of our industries is not very fully and carefully gone into. I repeat now what I said before, that it is an accepted fact—and I think Ministers themselves admit it—that industries cannot be either reorganised here or new industries be brought into existence, if the present policy of the industrialists and others connected with them is to be pursued, without the cost being paid by the people of the State. The Minister for Finance stated definitely that tariffs meant an increase in the cost of the protected articles. The Minister for Justice does not contradict that, and every sensible person knows that that is the fact to-day. Is it unjust on the part of the farmers' representatives to look at this problem from the point of view of the individuals engaged in their own particular industry? Is it selfish, is it unfair to the nation? If the people of the State are to pay the cost of new industries being brought into existence, and if the people are prepared to accept the responsibility. I am prepared to accept that proposition. but as we know the conditions in agriculture to-day, we feel that the agriculturists are not able to face up to that position and carry on their industry.

Would the Deputy answer this question? His contention is that the farmers at present are the sole producers and practically bear the whole cost of the rest of the community. Does he prefer that that burden shall be borne without any assistance from other producers; that is to say, that inasmuch as all the people are being supported out of the farmers' production, would it not be better if the sixty or seventy or eighty thousand unemployed found employment and became less of a burden than they are as unemployed?

To answer Deputy Johnson's question I have to digress slightly from the case I am immediately dealing with. Of course it would be better if fifty or sixty thousand people out of employment were employed and we would welcome the possibility of their being employed, which would be a great relief. But I want to ask Deputy Johnson or anybody else to answer me this question: What industries are in being into which these fifty or sixty thousand unemployed are prepared to walk to-day and to give such service and skilled labour as will be possible for that industry to carry on unless you put up such a tariff upon the same class of articles coming into the country from abroad as will exclude them coming into the Free State from any other country?

The financial burden would not be any greater.

I confess we have not the figures before us or the evidence as to the number of unemployed in this city to-day who are sufficiently skilled in any trade or occupation to qualify them to walk into a factory, take their places there, and give such service, and only claim for their work what that work is worth on the market in competition with the products of similar industry elsewhere or here where skilled workers are engaged.

If you had your way they never would be skilled.

Mr. HENNESSY

Has Deputy Baxter ever visited Ford's works in Cork?

Has the Deputy ever considered how many could be employed in the milling industry and the chemical manure industry where no technique is necessary? Has he given that matter any consideration?

I am prepared for any amount of cross-examination.

I am not prepared for any cross-examination, and I will not have the Deputy cross-examined at all to-day.

As farmers see the proposition they are up against they have to consider that they have to try to live and carry on their industry. We see no future for our industry unless each individual is able to manage and pay his way and support his family.

What about the relief of the rates?

What about the subsidies?

Let the Deputy make his case.

Let me tell Deputy Dolan that if he goes down to his own constituency in Leitrim and asks how the people lived before they got this additional grant——

But they got it.

Yes, they got it out of their own pockets and it was long overdue. Whom have they to thank for what was due to them in equity for a long time?

From what source did they get it?

Out of their own pocket. We are in the position to-day that we find it very difficult to make our industry pay its way. What are the facts? Perhaps Deputy Dolan and the Minister for Posts and Telegraphs will take notice of these figures. To-day in the market fat cattle realise 47/3 cwt.; in 1925 53/6; in 1924 52/6; in 1920 100/-. To-day fat sheep are 54/3; in 1925 64/3; and fat lambs this year are 58/6, and in 1925 they were 78/-, and so on. In face of these conditions and these facts we are now up against a proposition which means this: are we prepared out of our limited resources to hand over further sums in order that certain industries may be brought into existence here? We submit the position for us is such that we cannot do it. Let me say to Deputy Johnson that when he makes a statement that the attitude of the farmers is that their lives are so comfortable that they refuse to make any sacrifice——

That is not what I said. I was assuming the possible success of the new policy where we would have arrived at a stage when the farmers would be very comfortable and easy.

We hope that such a stage will soon be reached, but let me say to Deputy Johnson that he misunderstands the psychology of the Irish farmer if he thinks that, when conditions improve for him, he will be prepared to rest upon his oars and take things easy for the future. No other class in this State has made a better effort against adversity to hold its own and to improve its position through all those times than the farming class.

That is not the point at all. The Deputy has quite misunderstood. I made no suggestion that the farmer was not a perfect citizen and that prosperity when it came to him would not leave him still a perfect citizen. My question is what is to happen to the other section of the population?

Deputy Johnson's suggestion is that when the maximum of production is reached and when we have got better education and better conditions than we have up to the present time, the Irish farmer will not be prepared to make any sacrifice to make the State better and to make life fuller than it is at present. Let me say that we would not be here to-day but for the few years of prosperity that the Irish farmers have had during the war which put them in a position that they had not been in for a generation. It was the generosity, courage, and spirit of self-sacrifice shown everywhere, when men were prepared to give money and to give their homes and lives to change conditions here, that made it possible for us to be here to-day. Deputy Johnson need not suggest that every spark of patriotism will desert the Irish farmer if prosperity comes to him, but if Deputy Johnson expects at the same time that he is going to get blood from a stone he will be disappointed. It simply is not there, and that is our attitude upon this question. I would like to say to Deputy Davin that I think he misunderstood me in the case I made in replying to a question which came from the Labour benches. I was asked what would I do for the unemployed to-day. I challenged the Deputies to give us the numbers in the unemployed ranks who if they were able to obtain work could take their places in factories which we would all like to see here. Unfortunately the position we have inherited is such that we have not the technical training or skill that makes it possible for us to do this and to hold our own. The same may be said to a considerable extent perhaps of our Irish farmers. But we have to carry on. What good would I be in a beet factory or would Deputy Davin be or thousands of unemployed? Deputy Davin knows that money needed for the relief of unemployment could be better spent through the administration of the Acts passed by this House than in the building up of factories which could not be accomplished in a year or two years.

Does the Deputy suggest that it would be impossible to find suitable workers for the beet factory in Carlow?

If Deputy Davin is going to solve the unemployment problem in this country by giving employment in sugar beet factories, many hundred sugar beet factories would be required in this country.

That is not an answer.

I cannot give the number that will be employed in the sugar beet factory, but the number is going to be very small, and of the number employed I suggest that some will be from the country and some will not. I suggest that what we can do for the unemployed under the legislation we have passed must necessarily be temporary—it may be for a few years—but we must recognise, on the other hand, that if our people are to hold their own they must be trained to take their places in factories. If that is not done we must have tariffs which will mean increasing the cost of living. What does it mean in the end? It means increasing the cost of living and the cost of production, and decreasing the possibility of the Irish farmer meeting his competitors as he is doing to-day and holding the State together.

I think it is apparent now that it would not be possible to finish the Committee Stage of this Bill unless we are prepared to sit until 10.30 to-night. I think that is not desirable, and I do not propose to move to sit late. If we are to deal with the Committee Stage next week I shall have to move to take the Report Stage without delay afterwards, because it is necessary that the Bill should go to the Seanad as soon as possible.

I want to know in connection with Section 3 of this Bill are the people interested to be represented by counsel?

That will depend upon the Commission.

Upon the Commission? Is that a proper way of doing it? Apparently the method of submitting evidence, the method of finding out the truth or value of the statements made is to be left to the Commission. I think it should be determined in the first instance by the Dáil.

That is a Committee point.

I thought the Deputy was going to make some remark about the further taking of the Committee Stage.

No, I was following Deputy Baxter.

The Dáil went out of Committee.
Progress reported.
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