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Dáil Éireann debate -
Thursday, 24 Jun 1971

Vol. 254 No. 14

Ceisteanna — Questions. Oral Answers. - Tourist Industry.

24.

Mr. O'Donnell

asked the Minister for Transport and Power whether all or part of the £395,000 spent on the special promotional campaign for the 1971 tourist season will be paid out of the £1,714,862 allocated by Bord Fáilte for marketing in the year 1971-72; and, if not, from what source it will be paid.

25.

Mr. O'Donnell

asked the Minister for Transport and Power whether he is aware that the Bord Fáilte financial provision for marketing for the year 1971-72 shows a reduction of £175,092 compared with the figure for the year 1969-70; if so, whether, in view of the increasing competition and the number of adverse factors affecting the marketing of Irish tourism, he proposes to make additional marketing funds available to Bord Fáilte for 1971-72.

With your permission, a Cheann Comhairle, I propose to take Questions Nos. 24 and 25 together.

The marketing expenses of Bord Fáilte are met out of the provision for administration, operational and general expenses under subhead F1 of my Department's vote. In 1969-70 the provision for that purpose was £2,750,000 while that for 1971-72 is £3,350,000, and increase of £600,000. The allocation of funds from this provision for marketing is a matter for Bord Fáilte. I am informed by the board that the marketing allocation for 1969-70 was £1,889,954 and that for 1971-72 is £1,714,862. The latter figure, however, does not include any part of the £395,000 spent by Bord Fáilte on the special promotional campaign for the 1971 season. £200,000 of the cost of this campaign was met out of 1970-71 funds by the transfer of this amount from the interest grants provision for that year. £195,000 was set aside by Bord Fáilte out of the £3,350,000 provided for administration, operational and general expenses in 1971-72 to meet the balance of cost of the campaign.

I am keeping the future financial position of Bord Fáilte particularly in relation to marketing under review.

Mr. O'Donnell

It appears to be an extraordinary situation that the money available to Bord Fáilte for marketing in the year 1968-69 was greater by £175,000 than it is for the current year. These are figures furnished by the Minister in reply to a question here last week in which he gave a breakdown of the amount of money spent by Bord Fáilte.

The Deputy does not get the point I made. This does not include the £395,000 we have spent for this season in addition to the allocation in the Estimate.

Mr. O'Donnell

I am only asking for a comparison with the current year 1971-72.

The reality is that for this season over and above the figures the Deputy has just mentioned we have, by transfer procedures from other aspects of Bord Fáilte's administration, spent an additional £395,000.

Rob Peter to pay Paul.

For the year 1971-72?

Yes, it was spent over the winter months. We initiated a new procedure this year in order to stimulate the necessary promotional and marketing work that was necessary to ensure an excellent season this year and we transferred practically £400,000 from other aspects of Bord Fáilte's activities and that particular promotional work was with a view to extra selling for the current year. Depending on the result of that campaign, we can decide whether we shall do something of this kind next winter for the following season. This is a matter in which I am keeping my options open.

Mr. O'Donnell

Is the Minister satisfied the funds are adequate or does he intend to make more funds available?

I am having an assessment made of the value and the contribution of this additional expenditure in which we engaged in this special promotional campaign. If the advantages are proven we shall certainly examine the possibility of repeating that special promotional campaign again next winter.

The amount is too small. We need to invest a decent amount of money if we want to get results. We are only playing with pennies.

It takes a considerable amount of expertise to affect such a transfer.

Bord Fáilte have taken money out of hotel building to advertise in North America.

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