asked the Minister for Industry and Commerce the percentage increase in price since 1st March, 1973 of (a) structural steel (b) cement (c) timber used in building and (d) corrugated galvanised iron sheets.
Ceisteanna—Questions. Oral Answers. - Building Material Prices.
31.
I understand that since 1st March, 1973, the percentage increase in the price of each of these products was as follows:— structural steel—20 per cent, cement —5 per cent, timber used in building—about 30 per cent, and corrugated galvanised iron sheets—45 per cent.
In the case of structural steel and galvanised iron sheets, the increases quoted relate to home-produced commodities; information about increases in the prices of imports is not readily available.
Would the Minister not agree that those increases are excessive, particularly in relation to structural steel and corrugated iron sheets? One is increased by 45 per cent and the other one by 20 per cent. Is it likely that there will be a further increase in the price of timber before Christmas or in the New Year?
There are two questions here. I share the Deputy's concern with the very considerable rises in the price of structural steel and corrugated iron sheets which have risen by 20 per cent and 45 per cent respectively. The Deputy will be aware that in the case of corrugated iron sheets there has been an immense increase in world markets in the price of zinc. There is a dilemma for us in the case of a firm like Irish Steel Holdings. We must either force them into serious losses, with possible redundancies, when they have a sharp increase in the price of their raw materials, or else of permitting these price rises. This situation does not give any joy to anyone in the country. Many of the factors are due to enormous speculation on world markets in commodities which are beyond our control.
In regard to the price of items like timber which are imported, we do not exercise price control on these products. The prices are determined outside the country. We can simply decide not to buy the timber if the price is too high or we can decide to pay the increased price. There is some evidence that the peak of the great international speculation in zinc and a whole range of other commodities has now passed. I do not anticipate sharp increases in the remainder of the year.
The Minister says that he has no control over timber prices. Would it not be better to supervise the merchants or the people dealing with such timber to see that they do not make an excessive profit on the import prices?
I agree entirely with the Deputy that it would be better. That is precisely what we do under powers which I took earlier in the year. We cannot determine the price of the raw materials on world markets.
Is it not time there was some rationalisation in the buying of these commodities on world markets by the traders in this country? We are all aware of the rapid increase in the price of housing.
Has the Deputy a question to put?
Is it not time for rationalisation of the purchase of commodities such as timber on the world markets?
Calls such as the Deputy envisages are easy to make. I can make such calls and others can make them. To suggest a practical procedure which would be acceptable in voluntary circumstances to Irish purchasers is not an easy matter. If the Deputy has practical suggestions I should be glad to hear them. I would suggest to the Deputy that he will have an opportunity to make suggestions in the debate on my Estimate which is coming up in the near future.
We must pass on to the next question.
Arising out of the Minister's statement that the timber prices have reached their peak, may I say for the Minister's information that the indications are that there will be a further 33? per cent increase in the early Spring? I am in the business. That is the indication that has been projected to us.
Would the Minister have available readily to him the percentage increase in the average residence as reflected by these enormous rises?
That is broadening the scope of the question.
It is not a question I can answer without warning.
We will discuss it on another occasion.