asked the Minister for Industry and Energy the present position of the negotiations by the IDA to establish two German companies in Dundalk which the then Minister for Industry, Commerce and Tourism announced at a press conference in Dundalk on 26 May 1981 and which was reported in the local newspapers.
Ceisteanna—Questions. Oral Answers. - Dundalk IDA Negotiations
17.
The Deputy's first question relates to two export-oriented projects for which firm offers of grant assistance had, with Government approval, been made by the IDA.
In one case, the promoters have since advised the IDA that because of trading difficulties in certain of their operations in Germany they had decided to defer, at least until early 1982, their plans for their Dundalk project.
In the second case, I regret to say that the promoters indicated to the IDA that because the market prospects for the product had disimproved owing to the international recession it had decided not to proceed with the Dundalk project.
I can assure the Deputy that the IDA will continue to keep in contact with these promoters regarding those projects.
Would the Minister agree that such announcements the then Minister made, whether fortuitously or accidentally, only two weeks before the general election were premature and unwise in that they were a breach of the confidentiality which is regarded by the IDA, industrial promoters and all engaged in trying to attract industry as necessary in negotiations? Would the Minister also agree that the announcements created an undesirably high risk of provoking public cynicism and a loss of confidence in the event of either project not materialising? Such were the consequences in these cases.
There may be a point in the Deputy's remarks but Ministers are probably under great temptation at election time to be as optimistic as possible.
Would the Minister agree that there is a possibility that the projects did not proceed because there was a change of Government?
We can forgive the Deputy during election time but not at the moment.
Would the Minister also agree that the projects were not named by me?
I hope it will be appreciated that I am not totally in agreement with the idea that the former Minister was giving away election promises. There was an understanding that these promoters would come forward.
Would the Minister agree that the IDA were satisfied when the statement was made that the industries referred to would be established in Dundalk?
I have indicated that this was the case.
In view of the very serious unemployment problem in Dundalk, would the Minister state what plans he has to provide employment there?
The IDA are very concerned about the unemployment problem in Dundalk and are making every effort to get substitute promoters. In regard to the second project we have not yet given up hope that the promoter may proceed. His refusal relates to market prospects which may improve. We do not lose sight of the fact that Dundalk is an important centre.
May I take it that the IDA are following up further projects for the town?
Yes.