asked the Minister for Agriculture if the Government will take steps to prevent the importation of flour and such other steps as are necessary to ensure the continuance of Ranks Mills in Limerick and Dublin which are due to close finally next week.
Private Notice Question. - Closure of Flour Mills.
It is the Government's wish to see all our flour requirements produced here but the provisions of the Treaty of Rome prevent me from prohibiting or otherwise restricting imports of flour from other member states. The difficulties caused by the recent increase in flour imports from the UK has been taken up with the EEC Commission and I am urging them to deal with the matter as quickly as possible.
While naturally I am concerned at the closure of any flour mill in this country, I cannot interfere with the decisions of the owners in this respect.
Apart from the fact that over 300 jobs are involved, does the Minister realise that the production of such a strategic food as flour is of enormous importance? At the moment Ranks have 32 per cent of the market and 16 per cent of our flour requirements are imported. If they are allowed to close next week 48 per cent of our flour will be imported and within a short time the amount will be substantially more. In these circumstances would the Minister not feel it appropriate to invoke that article of the Treaty of Rome which allows a national government to take action where a particular industry is about to be wiped out or very seriously damaged, as is clearly the case in regard to the flour milling industry here?
My advice is that such action would not be allowed under EEC regulations. This problem has not arisen recently but has been with us for several years. We are very concerned about the level of importation of flour, from Britain in particular, and we are endeavouring to find some way of curtailing the extent of imports.
Is the Minister not aware that there is provision under the Treaty to enable the Commission to agree that a particular national industry is under serious threat? In this case it is not just any industry but an industry which produces a strategic food. In these circumstances could the Minister not make the Commission realise within the next few days — before this appalling event next week — the extent of the problem so that they will exercise their powers? I am sure they will do so if the case is made strongly enough but if they do not, the Government here, whatever the short-term views of the Commission, should take the necessary steps, purely as a temporary measure, to keep this industry in being.
This problem has been with us since 1979 and Deputy O'Malley, a former Minister responsible for industry, must be well aware of the problems involved. As I have said, my advice is that the measures suggested by Deputy O'Malley would not be in compliance with EEC regulations but nevertheless I will pursue that course to see if they would be acceptable.
I raised this matter previously with the former Minister for Agriculture and I made the point that Ranks intended to import flour to supply their existing market. Could the Minister indicate whether he has had any discussions with Ranks to find out why they intend to do this? Could he also state whether he has asked the trade to refrain from buying imported flour, as the former Minister indicated he intended to do?
Throughout his question Deputy De Rossa has been referring to the previous Minister for Agriculture, Deputy Lenihan. We have had discussions with the flour millers and everybody involved in the trade. As late as today, the Minister of State at the Department of Agriculture, Deputy Hegarty, had a meeting with the directors of Ranks. We are doing everything possible to avert the closure but vast sums of money are involved and I would not be in a position to give any commitment that we will be able to avert the closures in question. We are doing everything we can. It is also felt that there is capacity within the flour milling industry to provide for our own needs and there is not the necessity to import flour if we are in a sufficiently good marketing position.
Is the Minister aware that Article 86 of the Treaty provides for certain actions by any Government to protect the interests of any employees who are affected by unfair competition? While we have subscribed, some of us reluctantly, to the principle of free trade, we often forget the question of fair trade.
A question, please.
It is a matter for regret that the previous Minister for Agriculture was asked by the workers in Ranks on 13 July last year to take the necessary measures with the people in Brussels but he refused to do so.
The Deputy must confine himself to a question. I am sorry but I must insist.
Will the Minister make every possible effort to go to Brussels and make a special case under Article 86 to invoke restrictive measures against the import of flour, because the imports from the UK are——
This is a very long question; it is a speech.
——a form of hidden subsidy which will cause the decimation of the Irish milling industry?
The Deputy is putting forward an argument.
As stated in reply to Deputy O'Malley, the matter has been taken up with the EEC Commission. I answered Deputy Prendergast's question when replying to Deputy O'Malley. We are looking into the matter of the Article referred to but my advice is that it is unlikely that we will get acceptance by the EEC. Nevertheless we are pursuing the matter.
I am allowing Deputy Lenihan one question.
I am encouraged by the final remark of the Minister because that was my stance at all stages. As the Minister will be aware from the files, I met at considerable length all the trade union and milling interests involved. At the end of the day the only real prospect is to seek agreement by the Commission under the relevant Article of the Treaty of Rome. That matter must be pushed.
I should like to pass from this question. We have a good innings on it.
Is the Minister satisfied that the cause of this rather serious matter of the closure of two of Ranks' mills is related to the import of flour or might it be more profitable for the said organisation to import flour rather than mill it? If it is true that imports are the cause, what is to become of the other mills, much smaller and much weaker than Ranks, which are progressing and flourishing at present? I would have a very grave doubt as to the bona fides of the whole argument made by Ranks as to the reason for closing these mills.
That is the final supplementary.
This is really a repetition of previous questions. The fact that Ranks have chosen to close their mills in Ireland is a private matter. As I said previously, on the question of imports from Britain we have asked the EEC Commission to investigate it and we are awaiting the outcome of those inquiries.
That does not answer Deputy Blaney's question.