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Dáil Éireann debate -
Wednesday, 1 May 1968

Vol. 234 No. 5

Ceisteanna—Questions. Oral Answers. - Trade with East European Countries.

1.

asked the Minister for External Affairs whether, having regard to the policy of the Government to diversify and extend Irish export markets, the formalisation of relations with east European countries would improve this country's balance of trade which is at present in their favour; if the opening of official trade missions and diplomatic relations with such countries would contribute to this; and if he will state the Government's position on the matter.

I would refer the Deputy to my reply to a similar question by Deputy Gallagher on 22nd February, 1968. There has been no change in the position since then.

Has the Taoiseach seen the statement at the exporters' annual general meeting where in fact they stated that it is a positive impediment to the reduction of the unfortunate trade balance in favour of these countries in regard to their trade that we do not formalise our diplomatic relations or at least set up trade missions in some of those countries? Has the Taoiseach anything to add in the light of that statement?

The love of money is the root of all evil.

I am still satisfied that the prospects of increasing trade by the establishment of diplomatic and trade missions in these countries are limited and are unlikely to justify the expense involved.

Would the Taoiseach not agree that an experienced body such as the exporters' body would know something about trade relations in those countries and about the regimes? They are forced to admit as trade bodies that a certain formalisation would lead to an expansion of trade and to a situation in which we could cut down the unfortunate trade balance with those countries with advantage to our own country at the present time.

The Deputy knows as well as I do that these countries have state trading corporations or institutions, and our experience is that it is very difficult to establish any degree of continuity with those countries no matter what kind of regime they operate. Córas Tráchtála, who are the official advisers, if one likes to call them that in this respect, have as much experience as the bodies to which the Deputy has referred. As well, State companies such as Bord Bainne have made trade contracts, direct contracts, which have not been nearly as lucrative as would seem to be suggested by the export body to which the Deputy refers.

Would the Taoiseach agree that——

We cannot have a debate on this question.

——everything possible should be done to see that any consumer markets opening up there would be explored and would he consider consulting with the exporters' body to see if we could make further advances in this area?

The appropriate Minister, the Minister for Industry and Commerce, under whose aegis CTT comes, would be very glad to discuss it with the exporters' body.

May I assume that when these discussions are taking place the foreign policy implications of such discussions will not be lost sight of? Most of these governments, as the Taoiseach well knows, demand as a price of their trade diplomatic infiltration for their own purposes.

These considerations will not be lost sight of. Not only do these countries demand certain diplomatic considerations in respect of our trade but also, in most cases, they demand that loans be advanced by the supplying country. These are conditions we find it difficult to trade under.

More Irish money is going there than of their money is coming here.

Irish money would have to be supplied whereby to purchase the goods involved in these exports on extended credit.

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