asked the Minister for Industry and Commerce whether he is aware of increasing and widespread redundancy in the footwear industry resulting from the operation of the Free Trade Agreement; and whether he will take steps to consult with the British authorities with a view to stemming the increasing volume of imports of footwear on the basis that the present situation constitutes a serious threat to the industry here.
Ceisteanna—Questions. Oral Answers. - Footwear Imports.
39.
The information available to me does not sustain the statement that there is increasing and widespread redundancy in the footwear industry. I have been informed that there have been some redundancies in certain factories but that these arise not because of imports but from problems related to the particular manufacturing units concerned. On the other hand, the Deputy may be aware from statements recently published that some firms are experiencing difficulty in the recruitment of workers.
Since the quota restrictions on leather footwear were removed only four months ago, it is not possible as yet to establish any pattern of imports. Although there has been some increase in imports since July compared with imports in the corresponding period last year, the figures available do not support the contention that they constitute a serious threat to the industry. I should perhaps add that exports of Irish leather footwear exceed imports.
Surely the Minister is aware from the figures available to him for the first two months of this year — July and August — that since the abolition of quota restrictions on foreign imports the floodgates have opened and this country has been deluged with foreign footwear? Is the Minister not aware of the dislocation which has taken place in the industry? Already redundancies have occurred at various centres, namely Dundalk, Drogheda and Kilkenny, not to mention the closure of the Clonmel shoe factory and in this case his Department have made no effort to re-open the factory. Before irreparable damage is done to the industry will the Minister not take steps to consult with the British Board of Trade in an effort to stem this flood of imports?
The Deputy is making a very long speech.
Would the Minister have talks with the British Board of Trade and re-impose an overall quota? If not, perhaps he would continue the tariff system on an increased basis over an extended period? Is the Minister not aware that one of the contributory factors in regard to unemployment is the large amount of foreign footwear imported under duty-free licence? This is nothing less than a national scandal.
The Deputy has made a number of statements on matters with which I dealt in my reply. He spoke about the huge increase in the two months since the quota was abolished. I indicated in my reply that there had been some increase in imports since July compared with the corresponding period last year. In addition, the volume of imports by comparison with the full output here is about 5 per cent. I also indicated in my reply that some of the redundancies did not arise because of the imports but from problems relating to particular manufacturing units themselves. The information I have to hand does not justify me in approaching the British Board of Trade at this stage with a view to re-negotiation. However, I shall have no hesitation in following that course if I have justification.
The Minister seems to take lightly the import figures of recent times which are available to him. Is it not a fact that in the first two months after the removal of the quota —July-August of this year—341,000 pairs of foreign footwear were imported into this country, and that of that amount some 37,000 pairs came in duty-free? Is it not a further fact that, if this trend continues, before one year passes, under present circumstances, some two million pairs of foreign footwear will have been dumped into this country and that this must result in serious dislocation of the industry's future? Is the Minister aware of the great concern of the union involved?
This is a very long speech.
I am not accepting the figures mentioned by the Deputy as being the volume of imports.
I am calling Question No. 40 and I am allowing no further speeches or supplementaries on this question.
In view of the complacent and unsatisfactory nature of the Minister's reply I wish to raise this matter on the Adjournment at the earliest possible opportunity.
Why not today?
The Deputy must indicate a day.
This evening.
The Chair will communicate with the Deputy.
I did not realise it was so late.
The Minister is backing down now.
If the Chair likes to allow the question, I will take it at 5 p.m.
The Chair will communicate with the Deputy.