asked the Minister for Agriculture and Fisheries the number of bacon factories it is deemed desirable to have in this country at present and in the immediate future.
Ceisteanna—Questions. Oral Answers. - Bacon Factories.
29.
It is generally accepted by all the interests concerned that, on a rationalised basis, a significantly lower number than the existing 37 licensed bacon factories could provide all the necessary facilities more economically and efficiently.
As the Deputy is aware, the operation of a rationalisation scheme, by way of individual voluntary offers to surrender bacon curing licences in return for compensation, has been assigned to the Pigs and Bacon Commission but I cannot of course prejudge the outcome of the scheme as regards the number of licences to be surrendered.
Is it not true to say that the main difficulty arises from the fact that most of our factories are located in places where pigs are not produced at all, for example, Cork city, Limerick and Castlebar—urban areas where one would be prosecuted for keeping pigs in one's premises—and in view of that fact, would the Minister consider in his rationalisation programme compensating the owners, as implied in the answer to the question, and have factories where the pigs are, such as Cork south-west?
The implication of the Deputy's supplementary question seems to me to be that the Deputy contemplates the establishment of new factories.
Yes, where the pigs are.
The general situation is that it is conceded by every interest in the trade that there are too many factories at present and that a number of them——
In the wrong places.
——are operating inefficiently. The places where the factories are located is a matter over which I have no control at present.
Do I understand the Minister to say that a number of factories are inefficient as they are at present?
Yes.
And that as a result of our entry into the EEC, a lot of those will go to the wall?
I would imagine that EEC considerations have little or nothing to do with it. Inside or outside the EEC, the number of our bacon factories is too great. A number of them are relatively inefficient, old-fashioned, and in any context are not suitable for retention in an efficient pig industry.
What is the Minister doing to make them efficient?
We have asked the Pigs and Bacon Commission to implement a rationalisation scheme which provides compensation for people who voluntarily opt for moving out of the industry.
Despite the Minister's assertion, which possibly is correct, that we have a surplus of bacon processing plants in the State at present, would he not agree that it is advisable to locate a factory under the rationalisation scheme in an area which statistics have proved over the years produces 11 per cent of the country's pigs, that is south-west Cork, and, as I already indicated——
I thought the Deputy got that before the last election.
No. Am I to assume that the Minister is not interested in the development of the pig industry in an area where pigs are produced traditionally? If you are to develop an industry in a place like south-west Cork, why not process the pigs there? We have suffered a great deal from emigration in south-west Cork——
We cannot have a debate on this and the Deputy may not wave his hand nicely at the Chair.
I should like the Minister to reply to the question.
I am calling Question No. 30. We have a big number of questions on the Order Paper.
With the Chair's permission I should like to reply to Deputy Murphy's suggestion that new factories be established in areas where he seems to think they are warranted. This seems also to carry the implication that existing factories in other areas such as Cork city would be closed down so that the pigs from his area now being handled in Cork city could be handled in his area. I do not think this suggestion would be looked on favourably by anybody. We want to reduce redundancies in the pig industry to a minimum and in order to do this a certain rationalisation in the industry is inescapable even though it is most unpalatable.
30.
asked the Minister for Agriculture and Fisheries the number of bacon factories for which modernisation or other grants were paid in 1968-69, 1969-70 and 1970-71; and the total amount paid for each year.
My Department operated a bacon factory modernisation scheme up to 31st March, 1969, when it was terminated. It continues to provide technical assistance grants to bacon factories. Particulars of the amounts paid under these schemes and the number of factories concerned for the periods requested by the Deputy will, with your permission, a Cheann Comhairle, be circulated with the Official Report. Following are the particulars:—
|
Modernisation Grants |
Technical Assistance Grants |
|||
|
Year |
Number of bacon factories |
Total Amount of Grants paid |
Number of bacon factories |
Total Amount of Grants paid |
|
1968-69 |
20 |
£124,038 |
6 |
£6,793 |
|
1969-70 |
Nil |
Nil |
6 |
£7,067 |
|
1970-71 |
Nil |
Nil |
8 |
£8,493 |
Is the Minister in a position to state whether any of the bacon factories that have already received substantial grants from the State for modernisation purposes will be included in this rationalisation? Is there a possibility of a closure of these factories?
The operation of the rationalisation of the pig industry is open to any bacon factory that opts for rationalisation.
Even though they have received substantial grants for modernisation?
It depends on the present status of the factory and its relative efficiency.
Does the Minister agree that the proposal to shut down bacon factories now which received grants in the last two or three years is good planning?
If the Deputy had been listening to my reply he would have heard that grants for expansion were suspended in 1969. Prior to that a system of grants was operated in an effort to bring bacon factories into a state of efficiency. Since 1969 technical assistance grants have been provided but no building grants.