It is most encouraging to know that this year there has been a very considerable increase in the number of employed in manufacturing industry over the number employed last year. We have now approximately 4,000 more employed in this type of industry. What is even more important, the trend is in the right direction and we have every reason to believe that next year will prove an even better year than this year.
The efforts of the Opposition to belittle the increase in employment in manufacturing industry by referring to the fall in the number employed on the land forces one to mention the fact that during the period of office of the Coalition Government, not only was there a fall in the number employed in industry but the fall in the number employed on the land was very much greater than during the Fianna Fáil Government's term of office. Deputy Dillion referred the other day to the Economic Statistics issued prior to the Budget in 1960 and he mentioned that Table 16 shows that, in the year 1955, we had the highest number employed in nonagricultural economic activity. That of course is true, but what he did not mention was that from 1952 to 1955, which was mainly a Fianna Fáil term of office, the number was increasing each year. On the other hand, after 1955, the number declined very considerably and it was only last year that the decline stopped and the number evened out.
It is also encouraging to note the comparatively large increase in the output of our industries and particularly the increased amount exported. Despite the fact that last year the unfavourable weather and unsettled conditions pertaining to the eradication of bovine tuberculosis resulted in a reduction in cattle exports, the value of our total exports was almost as high as it was in the previous year. In his statement, the Minister referred to the upward trend in the flow of foreign capital into Irish industry. As he said, this is most heartening. I was glad to note he is considering appointing more representatives abroad to work in this field. I feel we have not nearly enough representatives engaged on this. The representatives we have are doing very fine work, but considering the vastness of the field, I feel we should have very many more of them.
From my own experience, over the past few years, of industry in my own constituency, I have come to the conclusion that for industries to continue to thrive, in the conditions now facing us, for example, the progressive reduction of tariff barriers in Britain vis-a-vis the other nations associated with her in the Outer Seven and also the Common Market tariff wall, it is vital for us to tie up with large industries in these countries.
As I said on this Estimate on a previous occasion, what our industries need most is technical know-how and markets, and with markets we could ally salesmanship. The best method of obtaining the technical know-how and the markets is to tie up with industries in other countries which have already got them. The Minister should go to great lengths to impress upon all our industrialists that they should gear themselves towards the export markets and that, if they do not, they simply cannot hope to survive. Capability to export is the hallmark of efficiency; it is proof of efficiency, and the industry which is now exporting a considerable percentage of its output need have no fear for the future. The industry which, however, is making no effort to improve its methods and increase its efficiency, or making no effort to get into the export market, is in for a very rough time when the tariff barriers are lowered, as has been forecasted by the Taoiseach.
What I have said in this respect is in no way to be taken as a criticism of the protection policy adopted by this Party in former years. We hear a lot of nonsense talked by the members of the Opposition with regard to our protection policy, of inefficiency hiding behind tarriff barriers, and of the public being mulcted in prices and so on, but what we have to remember is that apart altogether from the fact that these industries have provided a very large number of jobs for our people over the years, they are now the spring board from which we are making our advance on the industrial front and without which it would not be possible to make an advance.
I know of industries in my own constituency which grew up under this protection policy and, because of the go-ahead attitude of the management and the efficiency of the workers, they forced themselves on the attention of foreign industrialists who were not only willing, but anxious, to merge with them. The result is that there are in my county relatively large industries employing very considerable numbers of people and exporting a large precentage of their output, and this is due largely to the fact that the policy of protection gave them the opportunity to start. If we had not had this policy of protection we would not have these industries and foreign industrialists would not have the same incentive to come in here.
In his statement the Minister referred to the activities of An Foras Tionscal, and to the amounts of money paid out during the past year by this body. While I appreciate the difficulties that face An Foras Tionscal and am aware of the various aspects which this body must take into consideration before giving grants, I must say that I am not over happy with regard to its general policy. I feel that if a small industry shows, by the initiative of its management and its workers, that it is a success in the export market, and can show that if given a grant to allow it to expand, its exports can be increased and the number of workers it employs also increased, it should get a grant.
The general impression appears to be that if a person goes to An Foras Tionscal with an idea regarding the manufacture of a particular product for export, and can show to the satisfaction of that body that there is a reasonable likelihood of the project being successful, that it will export the bulk of its products and employ a certain number of people, he will get a grant. On the other hand, if an industry is already started on some individual's own initiative, if it is exporting a considerable amount of its products and can show that by getting a certain amount of financial assistance it would be able to increase its exports enormously, nevertheless, it is refused a grant because it is already started. It appears to me that while, in the first instance, so far as it is humanly possible it is ascertained that there is a reasonable chance of success, in the second instance it is almost a certainly that it will be a success. A small industry, which is capable of development with the aid of a small grant, should be regarded as of national importance.
People could be put into employment in such industries at a much lower cost than in a new project. Our minds tend to be directed towards large industries because if we have unemployment in our areas we are anxious to get industries which will absorb all those who are unemployed, but it must be remembered that a number of small industries would also absorb the unemployed and would be much easier to establish and less costly to finance.
Last year I mentioned the special type of problem we have in my county. Because of the fact that most of our industries came to that area or were expanded in it over the past 30 years or so, the workers in them are still comparatively young. Many of them have grown-up families but because only a small number are as yet reaching the retiring age in these industries there are not enough openings for young people. That is why I am anxious that An Foras Tionscal should consider applications for grants from already established industries in my area. An Foras Tionscal should take into consideration the special problems which confront us in that area.
It would be ungenerous of me in discussing the work of An Foras Tionscal if I did not mention the very fine rôle this body played in the organisation and development of the Dundalk Engineering Works. I should like to assure the Minister that we in county Louth are very appreciative of their efforts in that regard. Looking back at that period and remembering the almost insoluble problems that faced us, it seems to be little short of a miracle that we have got as far as we have in this project. Of course, that is not to say that all the problems in this matter are solved. Far from it. However with full co-operation, the projects should prove, in the long run, a great help to the general economy of the country.
I should like, as I have done each year on the Estimate for the Department, to refer to the matter of buying and selling Irish goods. The publicity given by the Minister to this matter over the past year is very welcome. Very fine work has been done in the schools in explaining to the children, and through them to their parents, the vital importance of buying Irish goods. If there are people in the locality working in a factory, it is a simple matter to explain to the children that these people are employed full-time because the goods made in the factory are bought in sufficient quantities and, on the other hand, that they are on short time whenever the goods made in the factory are not bought in sufficient quantities.
To buy Irish is not only patriotism but practical common sense. One very important aspect of the matter is that we are not asking our people, in 1960, to buy Irish goods simply as a matter of patriotism but because they are of high standard, of good quality and are being bought in considerable quantities in other countries, not because the people of those countries have a particular liking for the Irish people but because the goods are of as good quality or of better quality than they can get at home and because the price is competitive.
We all realise that in order to sell on foreign markets our goods must be of high quality and offered at a price the people are willing to pay. I am glad that in our appeal to our Irish people abroad the note has been changed, that we are appealing to them now to buy Irish goods because they are quality goods and not simply as a matter of sentiment. Business and sentiment, as a rule, do not mix. Irish people abroad would be most anxious to assist in strengthening the economy of our country by buying our goods, provided we offer them goods of a quality at least equal to that which they can get from any other country and at a price which is keen.
I mentioned at the beginning that the propaganda issued by the Minister in connection with buying Irish was welcome, but the leaflets issued could show more imagination. Advertising is found to be more effective in picture form than in the printed word. I would suggest that the Minister should issue a leaflet of roughly the same size as the leaflet he has issued, divided in four, having on the top left-hand corner a picture of an Irish shop displaying Irish and foreign goods, people in the shop demanding Irish goods and coming out with Irish goods; on the top right-hand corner a picture of a factory workshop in which the goods are made, with all the machines in operation and fully manned; on the bottom left hand corner a picture of the same shop with people going in, not expressing preference for Irish goods, some of them coming out with foreign goods and, on the bottom right hand corner a picture of the same factory workshop showing a number of the machines idle and fewer people employed. Something of that type would be more effective than the printed word.
I do not know how the cost would work out but I suggest that advertising in local papers would be very effective. The local papers, in my constituency have done very fine work in connection with the promotion of sales of Irish goods.
We have heard many remarks in this debate on the slowness of progress in the industrial field. For a country whose industrial development began such a short time ago and which is now forced to compete with countries having a long industrial tradition, we are doing reasonably well. The fact that our rate of progress has been accelerating for some time past gives hope that in a few years we shall be able to compete with countries, which were in the field before us, in all aspects of industrial production. We are building up an industrial tradition of which we can be proud.
I am glad to note that the amount of money available for An Córas Tráchtála has been considerably increased. In present circumstances we cannot spend too much money on export promotion and market research and development. The British market is our most important market and it is generally agreed that it has not even been scratched, that there is very much more that we could do in selling to the British.
We must try to get into other markets also. Reference has been made to countries in Africa which have got their freedom lately. As the economies of these countries develop, worthwhile markets for processed agricultural goods will be available and we should see to it that we get a foothold there and not wait until other countries have taken over the markets.
As has been mentioned often, there is a fund of goodwill in these countries for Ireland because of the work of our missionaries there.
Our balance of trade problems are a continuous source of worry to us. They have been referred to tonight by Deputy Lynch. We find ourselves on the wrong side of the balance sheet with practically every country with which we trade. To over-simplify the problem is not much help in our efforts to solve it. The problem has many aspects. If the Department made a close study of the matter the problem could be solved at least in part.
To get to grips with this matter we must first examine imports and exports in each individual case and find out in what way our economy may be affected by the imports, what effect the prohibition of such imports would have on employment, how our people would react to a prohibition of a certain type of import, what effect it would have on prices and, having assessed the position, take action accordingly.
Take, for example, Greece. We are on the wrong side of the balance sheet with that country. I have not asked for any breakdown of the imports from Greece but I assume that the bulk of them are dried fruit, currants and so on. We would have to ask ourselves whether our people would be satisfied to do without this fruit, what effect the prohibition would have on our bakery trade and employment in that trade. All these questions would have to be answered. It might be suggested that we could buy the fruit elsewhere. We would have to consider whether we could sell even the small amount that we are selling to Greece to the other country from which we would buy the fruit over and above what we sell to it now.
To develop that a little further, take a country in which we are in imbalance to the tune of £3,000,000 imports against £1,000,000 exports. Suppose we were to say to this country: "As you are buying only £1,000,000 worth from us, we shall take our business elsewhere." I do not doubt that in a relatively short space of time we could get the £3,000,000 worth of imports from other countries but the question would arise then as to whether we could sell the £1,000,000 worth of exports and, if we could not what effect would that have on our economy? I suggest that in a country such as this we should first explore every possible market and use whatever pressure we can bring to bear on its Government. While we are doing that, An Córas Tráchtála should search diligently for an alternative market for that product so that we would then be in a position of some strength to bargain. If Córas Tráchtála were successful, we would then be able to say: "If you do not improve your balance of payments with us we shall take away our business from you."
The other side of the picture in regard to the balance of payments is also important and relates more or less to the question of buying Irish. We import a considerable quantity of agricultural goods such as cheese. If our people were to concentrate on buying Irish cheese and—perhaps more important—if our producers would produce the particular type of cheese that is being imported and for which there is obviously a demand we could reduce our imports. This applies to a number of other commodities also.
During last year industrial output increased; industrial exports increased and industrial employment increased and I feel that we have every reason to be hopeful for the future.
