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Dáil Éireann debate -
Tuesday, 10 May 1983

Vol. 342 No. 4

Private Notice Questions. - Protectionism by EEC States.

asked the Taoiseach if he will indicate the Government's intention to take appropriate action in relation to the disclosures in last Sunday's Sunday Independent that French and British companies were being prevented by their respective Governments from setting up factories here.

The Government's concern at the growing threat of new forms of protectionism by certain Member states, such as linking awards of public contracts with inward investment decisions, has already been brought to the notice of the Commission. The Taoiseach intends to raise this matter at the European Council meeting in Stuttgart in June.

Is the Taoiseach aware of the fury and frustration of workers at the rigid adherence by successive Governments to EEC rules and the consequences for employment here? I give as an example the closure of Ranks in Limerick because we cannot boycott the importation of flour. How do other Governments bend the rules of the EEC when it suits them? Governments here seems to behave like boy scouts.

The Taoiseach has heard what the Deputy said and I am sure he will reflect on it. It is important to realise that we depend to a great extent on exports. If we did not have industrial exports many firms would not survive. It is not in our interest to be at the forefront in the initiation of protectionist measures in the industrial field. We, with our small domestic market and large industrial exportation, would lose more than would France or Britain, who have a large domestic market and for whom protectionist measures, however contrary to EEC law, can be tempting. The Taoiseach intends to raise the matter at the Council meeting in Stuttgart. I intend to raise it with my European colleagues next week when I will meet them in three capitals during the course of an IDA promotion. I intend to advert to what I regard as a serious derogation from the spirit of Community membership on the part of a limited number of our European partners.

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