asked the Minister for Industry, Trade, Commerce and Tourism if he will give an up-to-date report on the action group that has been appointed to seek a replacement industry for Travenol Laboratories, Castlebar, County Mayo.
Ceisteanna—Questions. Oral Answers. - Castlebar (Mayo) Industry Replacement.
1.
The action group or task force in question is one set up internally by the IDA as a means of dealing most effectively with all possibilities for securing as quickly as possible a suitable project or projects to replace the existing Travenol operations at Castlebar. The regulation and general direction of the activities of the task force is a matter for the IDA but I am informed that it is busily engaged on the assignment it has been given.
It is appropriate at this stage to extend congratulations to the Minister on the increase in his family.
He is a one-man national development corporation.
Will the Minister indicate what the position is concerning the ownership of the factory and if the site consultant, as promised in the press release on the date of the closure, has been appointed.
My understanding is that the plant belongs to the company. They have appointed a firm as site location consultants and a meeting has been sought by the IDA with this group to determine exactly the terms of reference they have been given by Baxter Travenol. Meanwhile, the IDA are engaged in intensive negotiations with Baxter Travenol in respect of the terms upon which the building which they own will be made available to a replacement industry or industries.
While we take it that the decision to terminate production by Travenol is irrevocable in the circumstances existing in Castlebar I should like to know if the Minister is in a position to say if the factory will be available for the production of another health care product?
It would be better to say that it is unlikely that Baxter Travenol would wish to make it available for a health care project that was in direct competition with one of their own product lines but there is no reason to believe that they would be averse to making it available for a health care project that was not in direct competition with their product lines. However, at the moment that is not a question that has arisen. The main consultation is on alternative projects, whether they be in the health care area or otherwise. It would be only if a health care project was identified that the question raised by the Deputy would arise in the form of requiring a decision.
Will the Minister indicate if a detailed analysis has been undertaken by the action group to determine the relevant factors that contributed to the announcement of the termination of production by Travenol? Will the Minister confirm that there will be close liaison between the site consultant and the action group in providing a replacement or alternative production for Castlebar?
I do not think it would be the purpose of the task force to engage in an analysis as to why the plant closed. Essentially, that would be a matter for the IDA but, of course, to the extent that any of those factors are relevant, they would be taken into account by the task force. I can assure the Deputy that close liaison will be maintained by the task force as it has to be, with the site location consultant appointed by Travenol.
We must accept that relative to closures anywhere else this is the most serious that has taken place. The closure is very serious for the county, not just Castlebar. Will the Minister promise the House that everything possible will be done to get a replacement industry? When positive information is available in relation to a replacement industry will the Minister make it available as quickly as possible to the people of Mayo to allay the depression that exists as a result of the closure of Travenol?
I fully accept, as I said on a number of occasions, the very serious nature of this closure for County Mayo because of the proportion of manufacturing base that essentially is liable to disappear in one transaction in Castlebar. I will make information available as and when it is to hand but my main concern is to get agreements with companies to locate that will stick. I would not wish to announce anything prematurely if it was likely to jeopardise the ultimate result.