andMr. Governey asked the Minister for Agriculture if he approved of the scheme presented to him, the Minister for Industry and Commerce and the Taoiseach on 9th November by the Irish National Flour Millers Association for the closing of the six flour mills; and whether he considers that the closing of these flour mills is in the best interests of the country.
Ceisteanna—Questions. Oral Answers. - Closing of Flour Mills.
76.
The question of my formally approving of any particular scheme of rationalisation does not arise, but I am satisfied that some degree of rationalisation of this industry is desirable, in view, particularly, of the continued decline in flour consumption which has resulted in an excess of milling capacity. I understand that the proposals for the closing of the six mills put forward by the flour millers were based on the voluntary acceptance by the mills concerned of the conditions agreed between the members of the industry themselves. In the circumstances, and as assurances have been given that the closures will not affect the collection and handling of the wheat crop, the measures proposed for the elimination of some of the excess milling capacity seem to me to be reasonable.
May I ask the Minister if any alternative scheme was put forward for the reduction of the capacity of the mills—the output of flour?
I have told the Deputy that it was not a matter of my formally approving any particular scheme of rationalisation. I have given my view as to the wisdom and justification——
It was stated by a spokesman of the mills that both the Taoiseach and the Minister for Industry and Commerce agreed with this scheme, and I am wondering was no alternative scheme put forward which would have had the same effect?
Naturally, as a matter of courtesy, they announced what they were doing.
Is it sane to be giving grants and loans on preferential terms to locate industries in rural towns, while, at the same time, we are combining with the flour millers to close down old-established industries in the same towns? Has the Minister considered not only the interests of the mill owners but the repercussions on the small towns where one of these mills was located and which provided purchasing power and employment? If they are closed down and the towns left half derelict, surely there is some social aspect to be taken into consideration as well as the flour millers' profit?
It is like a dream to me that I have heard a different type of argument advanced in this House over the years by Deputy Dillon in regard to this industry. One thing which strikes me about a question of this nature is that we often find Questions on the Order Paper from Deputies on all sides of the House—and they are entitled to place them on the Order Paper—suggesting that there should be rationalisation of these industries. Here is a proposal made by the industry itself and agreed by the industry itself to eliminate what is known to be in existence—that is flour milling excess capacity—and if rationalisation is desirable anyway as we are led to believe, it is surely justified where it was arrived at by voluntary effort on the part of those concerned in the business.
Is it not true that there are more means of producing rationalisation than wiping out six provincial mills and concentrating the milling capacity of the country in a relatively few city-situated mills? Has the Minister had regard to the impact that closures of this kind can have on the small country towns in which in many cases the mills are practically the only industry operating in the area? Surely that has to be taken into consideration as well as the brutal process of rationalisation?
The Deputy is repeating himself.
The Minister is aware that the interests concerned had discussions with the organisations of the workers employed in these concerns who would be affected. While I am not in a position to say what understanding was arrived at during the course of the discussions the proposal so far as we are concerned seems to be a sensible one, and the fact that it was arrived at by the industry itself made it more attractive, in my opinion, than if it arose in any other way.
That is the reason CIE gave for taking up the lines, too.