Dáil Éireann debate -
Tuesday, 29 Jun 1965

Vol. 217 No. 1

Imposition of Duties (Confirmation of Orders) Bill, 1965: Second and Subsequent Stages.

Minister for Industry and Commerce (Dr. Hillery)

I move that the Bill be now read a Second Time.

An explanatory memorandum has been circulated for the information of Deputies. The purpose of this Bill is to confirm three Orders made during 1964, two of them under the Imposition of Duties Act, 1957, and the Finance Act, 1962, and the third under the former Act only. It is a statutory requirement that such Orders must be confirmed not later than the end of the calendar year following that in which they are made, if they are not to cease to have statutory effect on the expiration of that period.

The first of those Orders (No. 143) provided for (a) the reimposition of customs duty on metal domestic ornaments, metal cufflinks and polyethylene film, (b) the removal of the customs duty applicable to certain paper felt and (c) the deletion of certain Notes to the chapter of the Customs and Excise Tariff of Ireland which deals with the duties on tools, implements, cutlery, spoons and forks. The need for these amendments arose as a result of the transposition of the old Tariff to the Brussels Nomenclature form of customs classification.

The second Order (No. 144) was made by the Government on the recommendation of the Minister for Agriculture. It provided for the imposition of a customs duty of 5/- per lb. on all imports of certain preparations, derived partly from meat, and materials for the manufacture of such preparations. The need for this amendment also arose as a result of the change in customs classification.

The third Order (No. 145) was made by the Government on the recommendation of the Minister for Finance. It enabled that Minister to assign to the Minister for Industry and Commerce and to the Minister for Agriculure the power to issue direct to applicants licences for the remission of protective duties. Previously that power had been vested in the Revenue Commissioners. The change was introduced as part of the effort being made to streamline and expedite the procedures for customs clearance.

I shall be glad to give any further information required in connection with the Bill.

Mr. Donegan

Again, we on this side of the House approve of the legislation proposed and, of course, again it is merely the bringing of these matters in line with what will exist as far as outside duties are concerned when we move into the Common Market. It is right that we should come in line with the Brussels Nomenclature. Our customs duties and the phraseology and implementation of them should in fact fall into line. That will stop a very considerable amount of difficult and detailed work when we reach that stage.

In relation to the second Order I can see a situation whereby the Minister for Agriculture would recommend the imposition of a duty in that case of 5/- per lb. on imports of preparations such as are used in preparing meals and soups. We are aware that the Sugar Company is now engaged in this work through Erin

Foods. There is an industry next door to where I carry on a small business myself which also is preparing these foods. I might add that very often we are provided with a free smell of tomato soup from this factory which is very nice. I had better not mention the brand lest Deputies should rush off to the restaurant and demand some. However, I wish them the very best.

The third change is the transfer of the power from the Revenue Commissioners to the relevant Ministers, that is, the Minister for Industry and Commerce and the Minister for Agriculture, in respect of imports of meat preparations and goods for inclusion in these prepared meals. I think it is also the right attitude because if you put something into the hands of the Revenue Commissioners, they must administer it in a most detailed way and there are many times in the course of ordinary trade when the Minister for Agriculture, or the Minister for Industry and Commerce, with the advice of the Revenue Commissioners, if they want to give him advice and his Department officials can, in a far more facile manner and much more quickly, make a decision. Very often these decisions, if they must wait for Government officials to deal with or wait for six months, are out of date when made. Apart from these matters this seems to be just a matter of legislation which must be passed here and it is only right that we should dispose of it with the least possible delay to the House so that we can all get home for the summer.

Mr. Corish

The final matter to which Deputy Donegan refers is one of the most important in this measure because it is high time the Minister for Agriculture and the Minister for Industry and Commerce had power to issue duty-free import licences. The Minister is getting very skimpy briefs recently, apart from the fact that he has given very skimpy replies to some Parliamentary Questions. I think we need a little more information.

Order No. 143 provides for the reimposition of customs duty on three or four very different articles, metal domestic ornaments, metal cufflinks, and polyethylene film. I should like to know the reason for this. I do not know if we are being led up the garden path in recent years. I think the Taoiseach is a bit confused as to what the position will be in regard to tariffs, quotas and trade generally. Here we have Orders, one of which says that we are going to put certain duties on certain commodities and another says that we are going to take them off. I thought the Government's policy was that we should move in the direction of gradually reducing customs duties. I do not say that we are 100 per cent in favour of that, in view of the fact that we still believe it is doubtful, to say the least of it, that we shall be in the European Economic Community by 1970.

Why is it necessary, therefore, to reimpose custom duty on these items? Is it because there have been some new establishments that will manufacture these things? If that is the reason, let us know. Is it that those who are manufacturing them here are finding difficulty in regard to the sale of their products and consequently in respect of employment or disemployment of workers?

The second Order here is for the removal of a customs duty applicable to certain paper felt. We must deduce from this that there has been a duty on a certain type of paper felt and now it is being taken off. Is it because the firm or factory that produced this type of paper felt is not in a position to produce it, or has it gone out of existence?

As regards (c) I should like to know exactly what it means. Does it mean a new duty on these things? What does it mean? Does it mean that the Order for the imposition of duty or the continuance of duty must be changed in order to confirm some other sort of formula?

I think we would all agree with the second Order which provides for a customs duty of 5/- per lb. on all imports of preparations derived partly from meat. It is a good thing indeed that the Sugar Company have decided to engage much more than heretofore in the production of foodstuffs from one of our biggest natural resources, meat. The Minister must tell us a little more about these things before we decide finally that we are going to approve of them.

Dr. Hillery

I am sorry Deputy Corish thought I was too short-winded. The effect of Order No. 143 is, first, to restore a former customs duty on metal domestic ornaments, metal cufflinks and micromesh perforated polyethylene film. The explanation of this is that following the introduction in January 1963 of a new code of excise tariffs for Ireland based on internationally agreed Brussels nomenclature and classification it came to notice that goods such as those to which I have referred had inadvertently become free of duty in the transposition from the old form of tariffs. The manufacturers of goods were anxious to have the protection which they had previously enjoyed, restored. That protection was removed unintentionally and this Order then restores them.

Mr. Corish

Is that only in respect of tools, implements, spoons and forks, etc.?

Dr. Hillery

I am told it is the whole Order. As regards (a), the reimposition of customs duty on metal domestic ornaments, metal cufflinks and polyethylene film, I have just given the explanation which is that it restores a duty inadvertently removed. Saturated paper felt used in the manufacture of felt-based floor coverings was made liable to a five per cent Revenue duty for the sake of uniformity in the new tariff but since the material is not available from home sources, it was decided to remove the duty to facilitate home manufacturers of felt-based floor coverings. That is (b).

Mr. Corish

Was that commodity, that type of paper felt, produced here?

Dr. Hillery

Not since, nor ever to my knowledge, but I have not specific information on that point. Provision (c) relates to the deletion of certain Notes. It was found by the Revenue Commissioners that in practice Notes 5 and 6 to Chapter 82 of the new tariff, metal tools and implements, gave rise to difficulties and uncertainty and they considered the deletion of these notes would facilitate the administration of the tariff.

Mr. Donegan

Will they look after the soups and the dried meat, the AFD stuff?

Dr. Hillery

Imports of preparations derived partly from meat.

Mr. Corish

If there is the slightest degree of meat in the preparation, it would be liable to 5/- per lb. customs duty?

Dr. Hillery

I am not aware of any degree. It states: "derived partly from meat".

Mr. Corish

Would one per cent mean that it has to bear this five per cent duty?

Dr. Hillery

I imagine it would, but I doubt if there is such a preparation.

Mr. Donegan

Do not get the Minister to say that or you will have the duty on.

Mr. Corish

I am only looking for the truth.

Dr. Hillery

I do not know of any preparation with one per cent meat, nor do I know how you would find out that there was one per cent of meat in it. It is designed to deal with meat products, or products partly derived from meat, and I do not think there would be any with such a low content of meat. No exception is made in any case.

Question put and agreed to.

Agreed to take remaining Stages today.

Bill put through Committee and reported without amendment, received for final consideration and passed.

An Leas-Cheann Comhairle

This Bill is certified a Money Bill in accordance with Article 22 of the Constitution.