Vol. 253 No. 2
asked the Minister for Agriculture and Fisheries if he will have regard to the increased burden of cost in horticultural production caused by several substantial increases in the import price of oil which makes it difficult to maintain horticultural exports in competition with countries which enjoy supplies of cheaper natural gas or government subsidies towards the cost of oil, and accordingly arrange for payment of a subsidy towards fuel costs in horticultural production.
20.
asked the Minister for Agriculture and Fisheries if he is aware that the Dutch Government are providing a rebate on heating oil to tomato producers in years when profits or prices are low; and that this is likely to react on the export prices of Irish tomatoes this season; and what steps he intends to take in the matter.
With the permission of the Ceann Comhairle I propose to take Questions Nos. 19 and 20 together.
As I pointed out in my replies to questions on this subject on 24th and 31st March, I am aware of certain financial aids, related to conversion of heating systems to natural gas, being given by the Dutch Government to glasshouse growers using fuel oil. Our exports of tomatoes are primarily to the United Kingdom, and in particular to Northern Ireland, where Dutch tomatoes are subject to customs duties whereas ours have free access and we have an advantage in proximity to the market. I see no reason to believe that our tomato exports will not continue to be fully competitive. On the home market, also, Irish tomatoes are protected from competition from imports during the annual season of homegrown supplies. I have no funds at my disposal out of which I could pay a subsidy towards fuel costs in horticultural production.
Will the Minister have regard to question No. 19 which does not confine itself to the tomato industry but is concerned with all horticultural production, including, for instance, mushrooms and flowers which are a very significant factor in the export of horticultural products?
I take it that the same general situation would apply.
I can assure the Minister that it does not and I would ask him to have another look at the matter. Would he have particular regard to the fact that oil used in the glasshouse industry is a very important factor and a more important one in our cooler climate than it might be in some of the Mediterranean climates and because of our inability to get access to natural gas we have had this considerable additional cost and the horticultural industry is finding the greatest difficulty in absorbing, as it is at present required to absorb, an increase of between 20 and 30 per cent in fuel costs in one year?
I am aware of the fact that Dutch producers are being induced to change over from fuel oil to natural gas and that they are in a particularly advantageous position in this regard, but I would also call the Deputy's attention to the circumstances which favour our entry into the United Kingdom market and also to the last sentence in my reply which states that I have no funds at my disposal for the purposes which the Deputy outlines.
Will the Minister not accept that the purpose of the question is to ask the Minister to take the steps necessary to have such funds placed at his disposal? Further, would he have regard to the fact that in the event of our becoming a member of the EEC with Britain this advantage to which he referred will immediately evaporate, or certainly evaporate over the transitional period and that we will then be in direct competition with people who have more favourable supplies of natural gas at a cheaper rate?
The Deputy can rest assured that the interests of the horticultural industry will be protected so far as the Department of Agriculture and Fisheries can afford such protection.
