asked the Minister for Industry and Commerce whether he is aware of the difficulties for the sawmilling industry arising from the export of logs; and if he will make a statement on the matter.
Ceisteanna—Questions. Oral Answers. - Sawmilling Industry.
7.
Under Protocol No. 6 of the Treaty of Accession to the EEC all controls on the export of saw log from the State were removed as and from the 1st July, 1975. A limited export of saw log has since developed. I believe that the basic problem of the sawmilling industry is excess capacity which results in too many mills competing for the available supplies of timber. This problem was recognised by the IDA some years ago when they decided to confine re-equipment grants to existing saw mills where development plans included the production of timber for the building industry and where throughput at the time was at a substantial level. The aim of this policy was to help in the rationalisation of the industry. The IDA is at present undertaking a survey of the timber processing industry and, when completed, this will provide guidelines for future policy in the sector.
Could the Parliamentary Secretary tell me when this survey was commenced?
I have not got these details in the file, but I will communicate with the Deputy.
Has cognisance been taken of the level of grants and tax loadings and the burdens imposed on home industry and home sawmilling in the line of machinery, lorries and equipment vis-á-vis those of the foreign companies that are able to come in here and buy?
Obviously, what the Deputy mentions would be a very relevant matter to be considered both from the point of view of the development of the industry here and competition policy within the Community.
Surely then the Parliamentary Secretary will accept that the protocol he mentioned for the Treaty of Rome Accession should not be binding in this case?
I said the factors mentioned by the Deputy would have to be considered to see the extent to which they operate and I think that only after that investigation had been completed could one consider the suggestions made in his supplementary questions.
Has the Parliamentary Secretary any information as regards the amount of grants and subsidies available for equipment in the Six Counties and the UK vis-á-vis the grants available for equipment from the IDA?
I have no information on the type of aid available in Northern Ireland and if the Deputy wants information about aid available in Northern Ireland or any European country, he should put down a specific question in regard to that mater.
Will the Parliamentary Secretary not agree that there is a grave danger of a loss of jobs and livelihoods and a serious loss of revenue to the State and to the people if this position were to continue in which Irish sawmills are in such great danger and over £1 million is being lost to the State, because of exports? Surely that must be taken into consideration?
This matter needs to be considered if there is a distortion of competition between different countries in the Community. However, we must accept that the concept of restrictions on exports is in general incompatible with membership of the EEC.
A lot of damage will be done through loss of jobs.