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Dáil Éireann debate -
Wednesday, 13 May 1970

Vol. 246 No. 8

Ceisteanna—Questions. Oral Answers. - Anglo-Irish Trade Agreement.

4.

asked the Taoiseach when the Anglo-Irish Trade Agreement came into operation; and if he will list with dates the various reductions made and measures taken since then towards trade liberalisation.

The Anglo-Irish Free Trade Area Agreement came into operation on the 1st July, 1966. On that date the United Kingdom removed virtually all her protective duties on Irish goods. On the 1st July, 1968, the United Kingdom eliminated the protective elements in her fiscal charges applicable to Irish goods.

The agreement provided for the elimination on the 1st July, 1966, of quantitative restrictions on the import of all Irish goods into the United Kingdom with the exception of butter, potatoes, sugar and watches. On the 1st January, 1967, the United Kingdom Government removed the quantitative restrictions on the import of watches.

A reduction of 10 per cent has been made on the 1st July each year, commencing in 1966, in the Irish protective duties applicable to goods of United Kingdom origin, excluding those not in the free trade sector which are included in Annex A to the agreement. A reduction of 10 per cent has been made on the 1st July each year, commencing in 1966, in the protective elements in certain Irish fiscal charges applicable to goods of United Kingdom origin.

On the 1st July, 1966, Irish quantitative restrictions on the following goods were terminated: motor tyres, motor cars, commercial vehicles, chassis and bodies, woven woollen piece goods, woven cotton piece goods, wood screws, ladies' hats, ladies' stockings costing over 50s per dozen pairs and superphosphates of UK origin. Protection on these goods is by means of customs duties which, in respect of goods of UK origin, are being reduced in accordance with the general programme of tariff reductions under the agreement. A number of quantitative restrictions were retained but the quotas in these cases are being progressively enlarged and will be terminated by the 1st July, 1975, at the latest.

On the 1st July, 1966, Irish quantitative restrictions on all UK agricultural products, excluding those listed in Annex A to the agreement, were terminated. Details of the various changes made on the Irish side are given in the Customs and Excise Tariff which is published annually.

Is it proposed to make further reductions on 1st July this year?

There is no intention to change the rhythm of the agreement at this time.

Was this matter discussed with the British Government in the last month or two—the further reduction of tariffs on 1st July this year?

The Deputy will be aware that the agreement itself provides for a review of the agreement with regard to certain sensitive areas of our industrial economy. This review will take place. There was no specific suggestion that there would be a reduction or rather a termination of the rhythm of tariff reduction on 1st July.

Have the Government given thought to the effect this will have towards the end of the year on our balance of trade?

Yes. The Government continue to give every thought to it.

And the Government are perfectly satisfied that it will not damage our figures for the balance of trade at the end of the year?

I cannot be satisfied about anything in the future but I still maintain that the agreement is working well in our favour, that it is having the desired effect as far as gearing our industry for membership of the wider European community is concerned and also of ensuring access to the British market of our agricultural produce.

The tariff reduction rhythm is not being altered in view of the continuation of the British deposit requirements?

We did not consider the reduction in that light, or rather——

Will there be any ministerial meeting or contact with the British Government between now and the next reduction in tariffs?

Very likely there will be.

Will the Taoiseach himself attend that meeting?

Not necessarily.

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