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Dáil Éireann debate -
Thursday, 24 Jun 1971

Vol. 254 No. 14

Ceisteanna — Questions. Oral Answers. - Shipbuilding Contract.

33.

Mr. O'Donnell

asked the Minister for Transport and Power what the position is regarding a shipbuilding contract placed by Irish Shipping Ltd. with the Upper Clyde Shipbuilders Limited; and if he will make a statement on the matter.

34.

asked the Minister for Transport and Power if he will make a statement concerning the completion of orders placed by Irish Shipping Limited, with the Upper Clyde Shipbuilders Limited.

With your permission, a Cheann Comhairle, I propose to take Questions Nos. 33 and 34 together. In July, 1970 Irish Shipping Limited placed an order for four bulk carriers with Upper Clyde Shipbuilders Limited. Of these ships three were scheduled for delivery in 1972 and the fourth in 1973. On 14th June, 1971, Upper Clyde Shipbuilders Limited announced the appointment of a provisional liquidator to administer the affairs of the group. Representatives of the company had a preliminary discussion with the liquidator in London yesterday. While it is too early yet to predict any outcome to the shipbuilding group's difficulties, Irish Shipping Limited have indicated that as a result of this meeting they are hopeful that their ships will be built by the group. They expect to hold further discussions with the liquidator in the near future.

Mr. O'Donnell

Can the Minister say how much money Irish Shipping Limited have already paid over to the Upper Clyde Shipbuilding Company?

I have not got the exact amount here. I will get it for the Deputy. I want to emphasise that things look fairly good in this context, that the ships are proposed to be built in the productive shipyard belonging to the company and that the liquidator will be anxious to continue in production there.

Mr. O'Donnell

Can the Minister say why a State-sponsored body such as Irish Shipping Limited found it necessary to place this order abroad? Why was it not placed in an Irish shipyard?

Those are separate questions.

I want to pin this one down. Irish Shipping Limited and B & I always give first priority to the Verolme Dockyard in Cork but, in this case, the Verolme Dockyard was so booked up ahead that it was unable to accommodate Irish Shipping Limited.

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