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Dáil Éireann debate -
Wednesday, 6 May 1964

Vol. 209 No. 8

Ceisteanna—Questions. Oral Answers. - Duty on Imported Textiles.

22.

asked the Minister for Industry and Commerce whether, in view of the fact that he has taken steps to introduce duty on foreign spirits in order to protect Irish distillers, he will now reconsider the position with regard to the progressive reduction of duty on imported textiles; and whether, in view of the severe difficulties being experienced by Irish cloth manufacturers faced with competition from fully automated manufacturers abroad, he will take steps to extend the period of protection of Irish cloth manufacturers.

I have no evidence that the reductions in duties and the enlargements of quotas which have been made have had the effect of reducing the protection enjoyed by the textile industry below a reasonable and effective level. I am satisfied that the measures which have been taken to reduce gradually the level of protection for the industry have had and will continue to have beneficial effects for the industry and for the economy, generally, through the attainment of a higher degree of efficiency and competitiveness both on the domestic and export markets.

The Minister should hear the woollen merchants on that.

Does the Minister not think it is illogical to afford extra protection for the long-established distillers and on the other hand, reduce the protection for cloth manufacturers established only in recent times?

I do not agree that there is any comparison whatever. As far as I understand it, the margin of protection for the home distillers was something about 5d a gallon against imports chargeable with the preferential rate of duty. This would be practically negligible.

In respect of the distillers, surely this is in direct contrast to the Government's policy of reducing protection all round?

It is always possible for the Government to make slight adjustments one way or another. As the Deputy knows, there have been cases recently of a very high importation of goods of a dumping character from certain countries and there have been certain upward adjustments of tariffs. The Minister is entirely flexible in his attitude where a particular need exists. He has given warning to the industrialists in this category that quotas are to be increased and has asked them to take advantage of re-equipment grants and of methods to modernise their industry and to engage in marketing procedures for securing more exports and so on. The Deputy should know of the progress that is being made in this direction.

The Minister will appreciate that the Government's policy in respect of the removal of protection is making it easier for the British to send in woollen cloths, but on the other hand, the woollen manufacturers here are finding it increasingly difficult to send their products to England because of the embargo which the British Board of Trade has put on woollen cloths.

This is becoming an argument.

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