So this is a letter written a month in advance of September, 1938—actually before the Dublin Trawling Company had gone into operation at all, and the statement is there that they were operating to his satisfaction. In a letter written a month in advance of their start the Minister says he is satisfied with the way they were operating. The Minister had threatened in a way in which he was not authorised by the Dáil to do. He had not asked the Dáil for these powers and he had never indicated to the Dáil that he would ask for them. What he said was:
"If you purchase two or three trawlers I shall use any powers I have to stop your using them, and if these powers are not sufficient I shall ask the Dáil when it meets for additional powers. If you should proceed in spite of this warning I shall not feel obliged to offer you any compensation for any loss you may suffer eventually if you are put out of business by legislation."
In August, 1938, before the Dublin Trawling Company had got going, before the Minister had any experience of what they could do, he threatens the use of any powers he has against these people and, if he has not the necessary powers, he says he will ask the Dáil for such powers as will put them out of business and will refuse to give them compensation if put out of business by legislation. That was at a time when the Minister had no specific authority from the Dáil. He was saying, in effect, to these people: "You know I have a majority in the Dáil and I will get that majority to put you out of business. If you buy two or three trawlers, I will put you out of business and you will not get a penny piece compensation in respect of these trawlers." A little later the Minister wrote to these people and he told them that he thought his correspondents should get into touch with the Dublin Trawling Company. He had, he said, "no reason to suppose that the Dublin Trawling Company would be averse to disposing of some of their shares to persons like yourself with a considerable stake in the fishing business." There is the situation. These are, according to the Minister, keen and businesslike people and to his correspondents he says: "You are at the mercy of the Dublin Trawling Company. Go and ask them to give you shares in the company and they will take you in."
Let us consider an example. I have already spoken of the analogy in connection with flour milling. Joseph Rank and Company established themselves in this country and the Minister swept himself into office by the declaration that they would have less to do when he got in than they had before. Later, we discovered that they had far more to do than before the Minister had come into office and they proposed to off-load part of what they bought in Limerick. They retained majority control of the company although they sold the majority of shares. They off-loaded on the Irish people a sufficient number of shares to recoup themselves for every penny they spent on the purchase of whatever Irish concerns they purchased. With every penny got back in that way, they retained, with a minority share-holding, control of the flour-milling industry in this country. With that example before him, the Minister says to these people: "Go and take shares in the Dublin Trawling Company." If these people were keen and businesslike men who wanted the home market preserved for themselves and not a solitary piece of fish landed here without their consent, the Minister knows that anybody who tried to get into that concern at that time, when their prospects seemed to be very fair, was going to be blackmailed. That is all he had to offer to two firms who wanted to set up in business and who wanted to show their belief in the future of the fish business by purchasing trawlers. He says to them that he will not allow them to do so, that he will use any powers he has to prevent them and if he has not the necessary powers that he will take them. He says that, in respect of people with a considerable stake in the fishing industry, he has no reason to doubt that the Dublin Trawling Company would be averse to taking them in. These people did not do as suggested.
The matter went on. Things went from bad to worse. Prices rose and there was a completely inadequate supply of fish. We arrive at the Autumn of 1939. Deputy Byrne has referred to what I might describe as a well-known fact. I do not know whether the Minister has any information or whether he will deny the statement current that the Dublin Trawling Company on a very recent date diverted to an English port two boat loads of fish which they sold at a considerably lower price than was being got for fish here—that three boatloads of fish were sold at less money than they would have brought had they been sold here and even suffered some reduction of price. That is a well-known device of monopolists. Better throw fish into the sea in certain circumstances, which I understand, these people have done, than bring them into a particular market. Better to ensure that prices will be kept high over a considerable period than, in order to get a bit extra profit in a particular week, bring in a sufficiency of fish to bring the prices down. Again, these are keen businessmen and have long sight. Rather have prices kept up for 18 months, or whatever period the Minister's convenience will allow it to go on, than have a situation develop by which that prospect will be endangered. Better sell one boatload at an exorbitant price and two boatloads at Fleetwood or somewhere else than bring down the price here. That has been stated and it has been stated also that fish were dumped into the sea to keep the price up.
The Minister was not satisfied with their performance. The correspondent from whom I am quoting all the time got letter from the Minister on the 16th October, 1939 I want the phrase in this letter related to the Minister's statement that he examined their books, and that in two weeks in September they made money and that during the rest of the time they were running at a loss. The evidence he gives of that and of his belief in that is their ceasing to hire five trawlers which they previously had hired. On 16th October, the Minister's secretary tells these people that the Minister
"recently caused the directors of the Dublin Trawling Company to be notified that, while adhering to his previously expressed view that, in normal circumstances, there is room for the economic operation within this country of only one well-managed and properly-equipped deep-sea trawling company, he must insist upon the company's fleet being sufficiently expanded by the acquisition of additional trawlers, to cope with the emergency conditions now prevailing."
In October, the Secretary to the Minister is writing to insist on an expansion of the fleet. Now, the Minister tells us that he knew they were ceasing to hire five trawlers which they previously had hired. That letter, insisting on an expansion of the fleet, is a clear indication that he was not satisfied with the number of boats they had or the number of fish they were bringing in. The letter goes on:—
"The directors readily undertook to comply with the Minister's requirements and have since furnished documentary evidence that they are taking the necessary measures to that end. Such being the position, the Minister will wait for a reasonable time longer to enable them fully to implement their promise before agreeing to have examined the alternative proposals submitted by you and other persons interested in the wholesale side of the fish trade."
There is that letter in October in which the Minister caused to be made known to the directors of the Dublin Trawling Company his disappointment with what they have done, a request that they expand their fleet and the definite statement, with documentary evidence, that the directors have undertaken to comply with the Minister's demand. I do not believe that a month passed from 1938 in which the Minister had not on an average two letters from one firm pointing out the conditions prevailing in the fish market and pointing out that two things were interlocked—the scarcity of fish and increased prices. In all that time, the Minister simply held fast by this idea that there was to be one company and one company only. On 11th January, 1940, the Minister's Secretary writes:
"The whole question of supply and demand in the Dublin Fish Market is having careful consideration at the moment, and, from the information available to him on the subject, the Minister gathers that there is no prospect of any shortage in supplies this week."
He got down to the point of limiting his prophecies to a particular week but, unfortunately, that particular prophecy was not borne out.
I should mention, for the sake of the joke that ought to attend any reference to the Constitution, that this correspondent wrote and suggested that monopoly conditions were not warranted by the Constitution and he referred to that glorious Article of the Constitution which guarantees private property in external goods and to the Article in which the State guarantees to pass no law attempting to abolish the right of private ownership or the general right to transfer, bequeath and inherit property. I must say, however, that, quite rightly, the Minister's sneer at any reference to the Constitution as guaranteeing anything as an essential commodity in that sense has opened our eyes as to what it means. The company is two or three years old. It has grown up since, and the Minister has grown up since, but certainly there is no letter that shows any element of reality except the one that points out that, so far as Constitutional matters are concerned, the application of the Constitution to the matter of selling fish was all nonsense or that there was anything in connection with the question of private property. The Minister did strain his particular type of humour in the matter of referring to any type of trawler, bringing in fish, as an essential commodity. However, that was the Minister's elephantine way of sneering at the reference to the Constitution. It does not matter, however, how he expresses himself, or what particular type of humour he indulges in, the facts are as I have stated. There is the situation. The situation is that there is to be one company and one company only.
The Minister, evidently, decides on having one company only because he is afraid of wasteful competition—and then, in the background of that, we have something to the effect that it might be harmful to the community to have more than one company operating. He therefore sets up the Dublin Trawling Company and says to other companies, in effect: "If you dare to set up in competition with this company, I will wipe you out; you will be given no compensation for any expenditure that you may incur by way of purchase of trawlers, and if you want to go into the business of trawling, I have set up the Dublin Trawling Company as the monopolists in this business and I have guaranteed them, and if you wish to go in for this business the only thing for you to do is to go into partnership with these people". The Minister, then, sets up this company as monopolists, and they do not give satisfaction to the public and, according to the Minister's letter, they do not give satisfaction even to him, but now, apparently, he is insisting on the Dublin Trawling Company getting a new fleet, and he tells us to-day that it was only for two or three weeks that they had been able to make a profit and that they were so affected by that —he does not say that he agrees with it—that they had to cease hiring five of the trawlers they previously had. The Minister admitted to me that they were going to continue with a fleet of four trawlers, and he says that that is good enough.
Now, the situation, as it affects the whole community, ought to be looked into. I have here a series of prices, giving comparisons as between Dublin, on the one hand, and Grimsby and Billingsgate on the other hand. It would be too tedious to read out the whole list, but I think that Deputy Byrne's statement that the price of fish here is up by about 200 per cent. is right, and the figures I have here, in my opinion, will bear that out. The figures I have here refer to February 20th, 21st and 22nd, 1940, and I can give also the Dublin prices for the 21st and 22nd February, 1938, and there are amazing differences. For instance, the price of cod per stone on the 20th February, 1940, at Dublin, was from 5/6 to 8/6; at Billingsgate from 3/- to 6/-, and at Grimsby from 4/- to 6/-. The price of plaice on the same date at Dublin was from 10/6 to 14/-, whereas at Billingsgate it was from 7/- to 16/-, and at Grimsby from 6/- to 12/-. It will be noted that at Billingsgate the price went up as far as 16/-. This is all for February 20th. The price of haddock at Dublin on that date was from 9/- to 11/- per stone, and at Billingsgate from 4/- to 9/-. Black soles, per pound, were from 1/3 to 1/9 in Dublin, and from 8d. to 1/2 at Billingsgate. No figures are given for Grimsby on that date. The price of turbot at Dublin was from 1/4 to 1/8 per pound, and 1/- at Billingsgate.
On February 21st, 1940, the price of plaice at Dublin was from 12/- to 16/6 per stone, at Billingsgate from 8/- to 14/- per stone, and at Grimsby from 9/- to 12/-; cod was from 5/- to 8/6 at Dublin, and from 3/- to 6/- at Billingsgate, and so on. On February 22nd, the range was still higher. On that date the price of plaice per stone was from 13/- to 18/- at Dublin and from 8/- to 15/- at Billingsgate; the price of cod was from 7/- to 10/6 in Dublin and from 4/- to 7/- in Billingsgate; hake was from 8/6 to 14/6 in Dublin and from 10/- to 13/- in Billingsgate; whiting was from 4/- to 11/- in Dublin, and from 1/6 to 4/- at Billingsgate; blacksoles were from 1/3 to 1/8 at Dublin, and from 6d. to 1/1 at Billingsgate; turbot was from 1/5 to 1/9 at Dublin and from 9d. to 1/- at Billingsgate; brill, per lb., was from 1/4 to 1/5 at Dublin, and from 7d. to 9d. at Billingsgate. No prices were quoted for Grimsby. A most amazing thing is that on February 22nd, 1940, the price of whiting in Dublin ranged from 4/- to 11/- per lb., and in Billingsgate from 1/6 to 4/-. How that discrepancy can be explained I do not know. Cod, on the 22nd February, was from 7/- to 10/6 in Dublin, and from 4/- to 7/- in Billingsgate, and plaice, as I have said, was from 13/- to 18/- in Dublin, and from 8/- to 15/- in Billingsgate.
If these are the prices, and if a company that has been given a complete monopoly can only make profits for two weeks since the time they started to do business—which was somewhere about June, 1938, as the Minister, I think, said,—surely such a situation requires something more than the Minister merely ducking down into books and saying that these people should be allowed to dispense with the hire of five trawlers which they previously employed. That is the clear record from the prices I have given. The Minister has told us about the history of these people. That is the history as he has given it to us, and if this were a thing that had happened in 1932 or 1933 there might be some excuse for the Minister, but now, when he has had the example of the bacon curers—also keen businessmen, and men who feathered their nests while driving bacon away from the breakfast tables of our people—I think that he should have been more vigilant with regard to the giving of any new monopoly. Evidently, he has wandered into this thing on the same principle, which seems to be axiomatic with him, that it is not possible to have more than one trawling company operating here. According to him, if you had more than one company operating, it would lead to wasteful expenditure and to a duplication of overhead expenses, but supposing that you had more than one company operating here—even if it did lead to a wasteful type of overhead expenses—could the public fare any worse than they have fared, if that list of prices that I have read out is accurate and representative? I got the prices for various dates and have taken the three or four dates nearest to the periods concerned. These figures were given to me in good faith and I am told that these prices represent the prices that ruled at the time. There may be certain discrepancies that have to be considered in connection with the sale of fish over a long period. I am told also, when I am comparing here the Dublin prices with the Grimsby and Billingsgate prices, that I am not doing the Irish public justice because there are certain extra costs which fall upon the men who fish and land their catches for sale at Billingsgate or Grimsby which do not fall in the case of the fish that are brought in here.
The Dublin Trawling Company, in addition to having raised the prices— even though the Minister says they are only able to make profits intermittently —have certain other allegations made against them. The Minister must have heard that there are certain other allegations made against them. The first thing that the Dublin Trawling Company did when they got control was to fix a price for the fish that they were going to sell. They put on a fixed price. It was the first time in the history of the fish business that such a thing as a fixed price was known. They put it on in the middle of 1938, and if they did not get the fixed price they dumped the fish back into the sea. By reason of doing that they have retained the fixity of price which they set out to ensure for themselves. Hundreds of fish have been dumped into the sea in the 18 months that have passed. It has been a constant practice of theirs.
They have also shipped fish to England. There was a most notable example in this connection because it attracted the public attention here and was referred to at a public meeting. Out of three boat loads bound for this country, they diverted two to Fleetwood and sold the fish at a loss over there. They certainly sold them at a loss if you make a comparison with what they could get for the fish here, selling the whole lot. Possibly the impact of the two boat loads would have brought down their own fixed prices in the Dublin market, but it is part of the monopoly game to suffer a loss by some uneconomic distribution of fish—it is a useful thing to do that, if you are long-sighted enough, in order to keep up the prices over a long period. They have done that and there has not been a word of denial in the Press in relation to that allegation of the diversion of fish by the company and the Press has been resounding with it ever since it happened.
It was during the week ending February 17th that that dumping was done. As was indicated at the Mansion House the other night, and as can be established by figures, the operation of this company has caused very serious unemployment, not merely directly arising through the operations of the company, but through the retailers, the transport companies and the people who make boxes, and the effect has been to lower considerably the tolls paid in the Dublin market. One of the results of the competition, the obvious result that had to occur, can be seen in the case of one wholesaler who has been in the business in a prominent way for a generation and whose father was in it before he succeeded to it. The average wages he used to pay ran to £60 a week and, during the Lenten season, that figure was much more than doubled. At the moment, although this is the season of Lent, he is paying less than £40—something in the region of £35 a week. His outgoings to his employees—I am speaking now of the Lenten season—have dropped from £150 a week to £35. Consider the impact of that on the people who used to get £150 a week distributed amongst them. Some of them are now getting only £35 between them. You have only to mention the figure and any person with imaginative scope will realise what the effect of that is.
The last turn this whole matter has taken has been the advent of the Sea Fisheries Association. I have asked the Minister under what article can the Sea Fisheries Association import fish and he referred me to the omnibus paragraph at the end:—
"Generally to engage in any business or transaction, or to promote or facilitate any arrangements, measures, or transactions which may seem to the society directly or indirectly conducive to the development of the sea fisheries of Saorstát Eireann or to the interests or convenience of its members or in pursuance thereof and to undertake such other functions and to do all things which may be necessary or expedient from time to time for accomplishing the aforesaid objects or any of them."
I should like to have the attention of the Minister's legal adviser drawn to the fact that that general clause is referred to the specific articles that precede it. I think the Minister will agree with me that there is not an article in the specific articles set out there in which the word "import" is used. I think I am right in that— there is not an article in which the word "import" is used or is even hinted at; there is not an article which would indicate that they were ever going to go into the importation of fish.
The Minister told me that previously the society engaged in trawling and the Minister pretended to me that they were governed by the same omnibus article. There is a specific article which says that they are allowed to carry on or engage in sea-fishing. Perhaps that would be specific enough to cover trawling. That is contained in the Objects of Society, clause 4, paragraph (f). It does not matter very much whether they are doing something which may be a little bit illegal —an emergency order would soon cure all that—but they have engaged in the importation of fish, and what is the result? The wholesale fish merchants of Dublin are set in competition with the Sea Fisheries Association. They get licences for very small quantities of fish, and even for these small quantities they are subject to certain conditions. They have to kipper a particular type of fish they get in or else sell outside the City of Dublin. Recently a new move was made, that they would buy from the Sea Fisheries Association, and when they present themselves they find they are buying in competition with the retailers who want to be the wholesalers' customers. They are told that they will get a cut price, or some reduction in the price as compared with what their own customers get from the Sea Fisheries Association, if they sell outside the Dublin area.
That is the position in regard to people who have made their business in the Dublin area and who would have to close down practically 50 per cent. of their activities if they are not allowed to trade in the Dublin area. This Government-owned body which, I suggest, has no real power to engage in importation, does actually import, and they address themselves to the wholesale people and say: "You can buy from us; come down and we will sell to you", and they find that the retailers are getting the fish at exactly the same price as the wholesalers, and they certainly cannot do business on those terms. There is this specious offer made to them: "We will give it to you at a low price; we will give you certain fish that we have imported, but you will sell outside Dublin." They have no machinery for selling outside Dublin; they have made their trade inside the Dublin area.
I frankly confess an embarrassment and anxiety about all this. I cannot understand what the Minister is driving at. I can imagine the Minister saying: "I worked a monopoly in the fishing business. I recognised that I was going to impose hardship on certain people, that I was going to destroy people in the business who had a connection, who established goodwill for themselves, were getting intermittent profits and were engaged in the ordinary development of the business. I realised I was going to defeat these people, put them out of their occupations; that it would mean losing them their property, doing a thing which amounted to a confiscation of the business of these people, but I felt I could do it and not give them a penny piece of compensation because it was in the public interest to do so". Then I could imagine the Minister waiting for some period until the monopolist crowd got on their feet and he would say: "`There are casualties, people who fell by the way, but I am protected by the article of the Constitution which speaks about the common good, and here is the common good". But the Minister does not refer to the common good; he does not give one solitary phrase or figure to indicate that the population are getting either more fish or cheaper fish than they got before. If the figures I have given represent in any way the position, the populace here are suffering from two ill-effects, ill-effects always to be associated with an uncontrolled and inefficient monopoly. There is a scarcity of the article required and, the scarcity being artificially created, the prices range high.
I think it is pretty well known that one of the reasons for the relaxation of the Lenten regulations in this country —I admit that disease and sickness had something to do with it as well—was definitely and distinctly the trouble in the fish industry: the fact that fish could not be procured and was not procurable at prices that the masses of the population could pay. As I have said, I could understand the Minister making the case and saying: "There is a monopoly group. You have to have a harsh, unrelenting heart in establishing a monopoly in the country, and I have my heart steeled against those people and will simply wipe them out. I will do that in a stern and efficient way. I will establish a company, and that company will sell fish in such a way that the populace can get very much better terms than they are getting under the monopoly." But the result has been entirely the opposite. The Minister's statement proves that this company, which was put in a monopoly position and which has been charging outrageous prices, has only been able to make profits for two weeks, and these, I suppose were the two bad emergency weeks. I would like to have a look at the prices that ranged over the two weeks in which they made profits. This group of monopolists has proved itself so inefficient that it cannot supply the public with fish, and cannot even make profits for itself. That to my mind condemns the whole scheme.
The Minister, I think, has gone out of his way to deal very harshly with people who were in this business for years. I wonder if he is going to make the case, if it can be made, that the people who were engaged in the wholesale distribution of fish in the country were making enormous profits, whether there was anything in the nature of a ring and whether they had kept up prices at an exorbitant level. If the Minister is going to make that case, I want to warn him that in doing so he will be making a still heavier case against the present group of monopolists, because any comparison that is made as regard prices will not show up these monopolists of his in a very good light. I should like to know what case can be made against depriving certain people of their livelihood to justify these people in the sea fisheries group bringing in fish to the country and selling it indiscriminately to wholesalers and retailers. Private enterprise is guaranteed by the Constitution, but I put it to the Minister that people hereafter will be very loth to embark on any enterprise if, at any moment, a Minister can come along and say: "I am going to hand over the whole of this business to one group and not allow you people to engage in it any further".
I do not appreciate what the necessity for the special insurance set out in the Estimate is. As I came into the House I did hear the Minister say something about the unique position of this particular company. But if this is some further blister that is to be put on the populace because of the fact that there is a monopoly operating, then of course it condemns this small Estimate right away. I am assuming that if there are more trawlers sailing the seas possibly there may have to be heavier insurance, and that the Minister has to make heavier grants-in-aid. I object strongly to any further public money being given to this company until there is a complete overhaul of it. It is scandalous the way the populace are being treated. I object to the whole scheme that the Minister has adopted, and think that he might have learned something from the experience that he has had in regard to the establishment of monopolies in the case of other commodities.