asked the Minister for Industry, Trade, Commerce and Tourism the percentage of the new jobs created in the past two years which were in joint venture developments; and if he is satisfied that this form of development is being given sufficient emphasis.
Ceisteanna — Questions. Oral Answers. - Joint Venture Developments.
2.
Details of the number of jobs created as a result of joint ventures in the past two years are not readily available.
It is only since 1984 that specific information on joint ventures-licensing agreements has been recorded by the Industrial Development Authority and Shannon Development. This shows that 32 such agreements were made during 1984: of these, 18 were joint ventures and the remainder were licensing arrangements. However, not all of these agreements have been put into effect yet.
The Government White Paper on Industrial Policy highlights the importance to industry of technology acquisition and points out that one of the most effective means by which this can be achieved is by way of joint ventures. In this regard, the IDA will be empowered under legislation currently being prepared to give grants not exceeding 50 per cent towards the cost of acquiring new product or process technology. In addition, staff of the Institute for Industrial Research and Standards will be assigned to the major IDA offices abroad to assist in the transfer of technology from abroad to Ireland.
Would it not be very important that the Minister would have the figures and be in a position to monitor them? Is the Minister aware that the recent experience of the Northern Ireland Development Board indicated great potential in that field? Consequently, would he not consider promoting in a more active way the establishment of those links that are necessary and would he not agree that it would be far more appropriate to present day needs to have those links in different countries rather than to have the type of green field development which seems to be at a standstill?
I would not agree that green field development is at a standstill.
I am speaking about the area I know. Such development is at a standstill in Monaghan.
The Deputy will be aware of the announcement yesterday of a major investment project. However, I agree that the agencies concerned should keep a record of joint venture-licensing arrangements and that is being done as a result of the White Paper. I have given figures for 1984 but I cannot give any for earlier years because such records were not kept in previous years. They will be kept from now on and as the Deputy suggests we will be closely monitoring progress in this area. I agree, too, that this is an area where we should be expanding greatly in order to enable Irish companies to do what up to now we have had to bring in foreign companies to do. It would be preferable to operate on a joint venture basis rather than to have a holding foreign-owned company coming in here. That is the correct approach and I think the Deputy would be in complete agreement with me in that regard.
How many of these joint ventures in 1984 were under the auspices of the National Enterprise Agency and can the Minister comment also on the fact that the NEA, who are the agency dealing with joint ventures as part of their brief, appear to have invested only about half of the £5 million voted to them by this House? Is that not an indication of the difficulties in the joint venture area?
The joint ventures referred to in the reply to Deputy Leonard are private sector companies in Ireland and overseas. The reply does not deal with joint ventures between public sector companies and private venture companies which, in addition to other places, would come within the ambit of the NEA. However, this question is not about the NEA but if the Deputy wishes to have more detailed information on the operation of the agency, I shall supply him with it.
Of the 18 joint venture arrangements last year can the Minister indicate what type of operations were involved, their size and the type of incorporation by which the companies were set up?
It must be said first about all these that they involve a transfer of technology to Ireland. Therefore, they are all areas in which there is required technology that is not available other than by means of joint ventures. I have been asked for numbers in respect of these joint ventures but I have not been asked for details in respect of each venture such as the areas in which they are working. I have given such information as I have in regard to the overall numbers.
Are they all high technology areas?
Not necessarily. In many cases they could be companies in a relatively low technology area but who need to upgrade their technology in order to stay in business. Technology needs to be adopted just as much in industries in a low technology area as in those in the so-called high technology areas. However, I would prefer to have more information on the 32 ventures that have been agreed during 1984 but I can tell the House that of these 29 were under the aegis of the IDA while three were under the aegies of SFADCo. I shall obtain from the agencies concerned more details on the sectors in which the ventures are engaged.
Can the Minister say whether the oft-mentioned forthcoming National Development Corporation will represent a joint venture between Fine Gael and Labour?
This does not arise.
In particular, will there be a personal joint venture between the Minister and Deputy Taylor in addressing these questions?
I have reminded the Deputy that that question does not arise.
My expectation is that it would be a joint venture involving the entire House.
I am calling on the Minister to answer the next question. Question No. 3 please.
This is a serious question.
I am calling Deputy Séamus Brennan.
Will they have a joint venture on it or two separate corporations?
I am calling Question No. 3.