asked the Minister for Industry and Commerce if he is aware of the circumstances which have caused the temporary suspension of cigarette production by the Irish-owned and smaller tobacco manufacturers; and, if so, whether he will consider what steps he might usefully take to ensure that the trading methods of the foreign-owned tobacco companies will not prove unduly prejudicial to the interests of the Irish-owned firms.
Ceisteanna—Questions. Oral Answers. - Temporary Suspension of Cigarette Production.
I understand that certain firms have recently suspended or reduced their production of cigarettes because of a reduced demand for their products and because of transport difficulties during the recent strike. I am not aware of the prejudicial trading methods imp lied in the latter part of the question.
Is the Parliamentary Secretary not aware that the foreign-owned cigarette companies have issued substantially larger quantities of cigarettes to traders and that the result of their doing so has been so to flood the market as to suspend the demand for cigarettes from the Irish-owned firms?
That may be so but I do not know if the Deputy suggests that the quantity issued should be restricted. I do not know what alternative system could be provided which would enable the Irish-owned firms to enjoy a larger share of the market.
Will the Parliamentary Secretary take some occasion to convey to the foreign-owned companies that they should be satisfied with the 90 per cent. of the market they now have and that he would look with disfavour on any action which would crowd the small Irish-owned firms out of business?
I do not know whether any formal intimation of that kind would have the desired results. I shall have inquiries made with a view to conveying that suggestion to the firms but the Deputy will realise that up to recently there was a shortage of cigarettes. It may be that temporary changes in supply and demand have succeeded in producing a surplus.
There is something more than that involved.