The total net Estimate for the year ending 31st March, 1937, amounts to £82,204. The Estimate shows a slight decrease on the figure for last year, but it will be observed that the gross expenditure estimated exceeds the figure for the previous year by over £6,000, or, if the economy effected by reorganisation of the administration is left out of the account, by over £7,600. This extra expenditure is divided between the rural industries, the marine products and the housing services of the Department. It will be noted also that in our estimated receipts from Appropriations-in-Aid the return anticipated from net sales of products of rural industries is put down at £26,000 after deduction of wages to workers estimated at £12,000 and other payments amounting to £2,000. In other words, we are reckoning on gross receipts from the rural industries of £40,000. These figures, which show a substantial increase on former years are based on the prospects indicated by our trading experience up to the end of last year.
I shall now deal with the various sub-heads of the Vote in detail. Sub-head A covers the salaries of the administrative staff other than that directly concerned with the housing section of the Department. There is a substantial reduction (£1,294) on the amount voted last year following upon reorganisation of the staff. This reorganisation and the resultant reduction so far from hindering the work of the Department has resulted in a greatly improved position as regards our work and efficiency. Sub-heads B and C, relating to headquarters travelling and incidental expenses, show reductions amounting to £355, and have been estimated with due regard to future activities and in the light of our experience in previous years.
Rural Industries.—Sub-head D (1), which relates entirely to the salaries of technical staff engaged on the production side of the rural industries, shows an increase of £431, mainly due to the appointment of a production manager, an organising officer and additional weaving charge-hand assistants, but partly offset by a reduction in the number of manageresses provided for. Last year provision was made for six centres which we had hoped to reopen and for which manageresses would be required. It has been found possible to re-employ three of these. At the start of the last financial year 23 centres were operating, one of these was closed down and one merged with an adjoining centre. Six were opened or re-opened, so that at the end of the financial year there were 27 centres in production. In addition to these we were successful in securing local groups to operate four others that had been closed down, and I am hopeful that these will continue to prosper.
Additional centres were not opened for the weaving industry, but three assistant charge-hands were employed to help in the work of the Kilcar centre and to oversee the operations of weavers working in the Ardara and Glencolumbkille districts. The output and development of the weaving industry has been particularly gratifying and has exceeded our expectations. Our designs and ranges of quality have been welcomed by the trade, and I am satisfied that we can look forward now to further expansion and that it may soon be possible to open some new centres for the production of tweeds or other lines of weaving.
Sub-head D (2), for assistance to convent classes, shows a reduction of £80 due to the occurrence of a vacancy in one convent, which it is not proposed to fill. Sub-head D (3), for domestic instruction, shows an increase of approximately £50, due to the placing of the domestic economy instructress, whose services are well known to Western Deputies, on a scale appropriate to her services to the poor of the Western Gaeltacht. Sub-head D (4), for travelling expenses, shows an increase of £100, due to provision for additional travelling expenditure by the production manager, organising officer, and by manageresses who are brought to the marketing depot for "refresher" training courses. Sub-head D (5) covers the cost of the renewal and replacement of machines based on a scheme spread over a number of years, allowance being made for extra requirements consequent on improvement of types.
Sub-head D (6) provides for the purchase of yarn and manufacturing materials and shows an increase of £1,500 on the amount allotted last year. Due regard was given to existing stocks of approximately two months' supply of current ranges of yarns, an anticipated growth in the demand for our products and the possibility of higher prices. Sub-head D (7), for general expenses in connection with production, shows a decrease of £300, due to the pruning of requirements and certain economies, but full provision was made for our probable commitments.
Marine Products Industries.—Sub-head E (1), for salaries of outdoor officers engaged in connection with the marine products industries, shows a decrease of £170, due to the institution of revised arrangements and the decision that the short period of pressure in connection with the purchase of kelp could best be met by a temporary alteration in the duties of existing experienced staff. Sub-head E (2), for travelling expenses, shows a reduction of cost for the same reason.
Kelp.—Sub-head E (3) for kelp and other seaweed, other than carrageen, shows an increased expenditure under all items referring to current purchases and expenses incidental thereto, while last year's provision for expenses relating to purchases prior to 1934-35 ceases, owing to the fact that all such stocks have been realised. We are basing our purchase of kelp on 2,500 tons from winter weed at an average of £3 per ton. Transport, storage, shipping charges, and other incidental expenses account for the balance of this item and are based on our experience of past years. Whilst we are prepared to purchase this 2,500 tons of kelp at the price mentioned, I regret to have to report that the position as regards the iodine market remains much the same as last year, and at the moment there seems little hope of an improvement. I feel, however, that it is desirable to try to keep this industry alive by having the Department purchase the product of the winter weed. We estimate that the price which can probably be realised for its sale for iodine production will approximately cover the price paid to the gatherers, leaving the State to bear all the expenses incidental to the purchasing and marketing arrangements (shipping, storage, and the like). It is reckoned that under these heads the deficit to be met will be approximately £3,500.
We have been considering all possible alternative uses for seaweed. As a fertiliser, the question of the price at which it could be sold to the user is of first importance, and our efforts in that direction hold out little hope of success. We have also been investigating the possibility of a market for ground kelp as an admixture for cattle foods. There is a prospect of an outlet in this direction for a limited quantity.
Carrageen.—Under sub-head E (4) provision is made for the purchase of carrageen for packing and marketing for food purposes, and it will be noted that there is a reduction in this Estimate of £615 from last year's figure. This reduction is not, I am glad to say, due to a falling off in either purchases or prices of carrageen from the gatherers. On the contrary, the position in regard to both is satisfactory. Last year arrangements were made for the purchase of carrageen by the appointment of a commercial buyer in the business, whose conditions of appointment were that all operations, purchases, prices, etc., were subject to the scrutiny and check of the Department, the Department reserving to itself the right to go into the market at any time if it was felt that the rather stringent conditions under which the buyer was to operate were not being faithfully carried out.
I am glad to say that the scheme is working out satisfactorily. Over £3,000 worth of carrageen was purchased by this buyer during the year, and the prices to the gatherers have not only been maintained but are actually on the average 15 per cent. higher than in the previous year. The economy to the Department in so operating will be obvious. Under the present method our only expenditure in regard to administration of the commercial carrageen is that involved in keeping an inspector on the work, whilst the results to the gatherers are even better than they were in the past. Moreover, we still exercise the necessary and desirable control of the industry, and are able to ensure that the gatherers are fully protected against exploitation.
Central Marketing Depot.—Subhead F (1) covers the salaries of staff engaged in the work of the marketing depot, and shows an increase of £560, due to the creation of subordinate posts found necessary for the efficient receipt and despatch of goods and the proper handling and care of stocks. A commercial manager has replaced the civil servant who was acting as manager, and the latter has returned to his normal duties. Sub-head F (2) provides £550 for advertising costs, and is a reduction of £240 on last year's Vote. This does not mean that advertising on an appropriate scale will not be carried out, but merely that we are acting with close discrimination and care on what is justified and what is, in our opinion, most productive of results. Sub-head F (3) shows an increase for general expenses, due to improved demands for our products and increased activities in the rural industries. In order to effect more efficient deliveries and to expedite transport of goods to and from certain of our more important centres in remote areas as occasion requires, it has been decided to purchase a motor delivery van. I may say that will be mainly used in the weaving industry in Donegal, and then for service in the city here. Sub-head G provides for possible loans for industrial purposes, and is approximately at the same figure as last year. Items (1), (2) and (3) are nominal, and call for no special comment. Item (4) is provided in the Vote in case the occasion should arise whereby a suitable industry requiring a small amount of loan capital could be facilitated.
Sub-head H (1) for salaries shows an increase of £668 as a result of the appointment of additional assistant housing surveyors for the purpose of speeding up inspection of applications and inducing grantees to complete the work necessary for the issue of funds. Sub-head H (2) for travelling expenses shows a decrease of £600 which it has been possible to effect notwithstanding the increase in travelling staff owing to the adoption of a scheme of fixed periodical allowances for travelling instead of mileage rates as heretofore in force. Sub-head H (3) provides for an additional £5,000 for housing grants, bringing the Vote up to £50,000. Last year the actual expenditure was approximately £44,000 on an estimate of £45,000, and it is hoped and expected that, with the additional surveying staff now recruited, we will be in a position to spend at least £50,000 this year in the erection, improvement and extension of dwelling houses etc., in Gaeltacht areas.
Appropriations-in-Aid.—The Appropriations-in-Aid are estimated to produce £36,200 net. I have already referred to item 1, which is estimated to realise a net £26,000 after providing for £12,000 for workers wages and £2,000 for sales commission and other charges. Last year we estimated for a net cash return of £17,000 after payment of £6,000 in wages to the workers. I am glad to be able to say that actually our wages to the workers amounted to nearly £10,000, and our gross receipts were almost £35,500. Item 2, for kelp and seaweed provides for a cash return of £7,800, which is based approximately on the proposed purchase of 2,500 tons at £3 per ton. It bears no relation to the provision for last year as that year dealt largely with estimates of the amount to be realised on old stocks of kelp. I may mention that we are now very doubtful as to whether there will be that much kelp available for purchase this year. In any case if it is, we are in a position to purchase it.
Item 3 provides for a cash return from the sale of packed carrageen for food purposes which does not vary much from that of last year. Item 4 for loan repayments shows an increase on the provision for last year. I am glad to say that repayments during the last year have on the whole been satisfactory, and exceeded anticipations. Items 5 and 6 refer respectively to receipts from rentals from teachers' residences and miscellaneous receipts, and call for no special comment.
I have summarised as briefly as possible the details of the work of the Department, and whilst I feel that we are only now on a basis which will permit of healthy expansion, I am satisfied with the work that has been done during the year. In my statement on the Estimates last year I referred to the state in which I found various sections of the Department. I do not propose to go into that again except to say that the reorganisation is practically complete, and that we have in all our various activities got things into reasonably good shape, and I am hopeful that from now onwards we will go on progressing. Our old stocks have been mostly cleared off and production has been developed to cater properly for the known requirements of customers. The utmost care is being exercised in the purchase of raw materials and in the production of the right goods for the buyers, and general satisfaction is being expressed by the latter in the improvements both in goods and in service, and is reflected in the increased turnover that the rural industries are experiencing.
The work of reorganisation has been extremely difficult, but I believe the work of the Department has been put on a firm basis. Many necessary economies have been effected whilst, at the same time, the position of the workers engaged has been improved by the greater prospect of continuity of employment. Apart from the rural industries there have been special efforts made to expedite all the work of the housing branch, and as the Estimate indicates, we hope to accelerate still more during the coming year. Last year I indicated that I hoped to have commercial accounts prepared for trading activities, so that Deputies and others could see the position and know to what extent the State had to assist the continuance of these branches Stocktaking was carried out at the beginning and end of last year. The accounts are in course of preparation and will be laid on the Table of the House after the auditors have passed them.
I also stressed the fact that the most important matter for the people of the Gaeltacht was to have the maximum amount of attention directed by all Departments to the special needs of the Gaeltacht areas. During the year we have had the full co-operation of all the other Departments in an InterDepartmental Committee and I am glad to be able to express my own and the Department's appreciation of their help.
In conclusion, I would state that I have good grounds for believing that, now that reorganisation is practically completed, the Department will go on expanding with increased efficiency and increased benefits to the people of the Gaeltacht.