asked the Minister for Tourism and Transport the plans if any his Department have for assuming responsibility for the development and monitoring of a national tourism policy; and if he will make a statement on the matter.
17.
Ceisteanna—Questions. Oral Answers. - Tourism Industry.
6.
asked the Minister for Tourism and Transport if the Government have yet considered the Price Waterhouse report into the Irish tourism industry which was published in October 1987; if the Government accept the findings of the report; the action, if any, to be taken arising from the report; and if he will make a statement on the matter.
19.
asked the Minister for Tourism and Transport if he sees a future for Bord Fáilte in their present form; the plans, if any, he has to change their terms of reference; and if he will make a statement on the matter.
25.
asked the Minister for Tourism and Transport the current timetable in the preparation of the five year plan for tourism development; and when it will be published and brought before the Dáil.
27.
asked the Minister for Tourism and Transport his views on the findings of the Price Waterhouse report on Irish tourism; when he will act on the recommendations he favours; and if he will make a statement on the matter.
I propose, with the permission of the Ceann Comhairle, to take Questions Nos. 6, 17, 19, 25 and 27, together.
The general thrust of the analysis and policy recommendations in the Price Waterhouse report in the three critical areas of product development, competitiveness and marketing are totally consistent with Government policy for the tourism sector as already outlined by me in this House on many occasions. The specific policy recommendations in the report are at present being examined in my Department. These recommendations and the views of all sectors of the industry in both written and oral submissions to my Department will be taken into account in the development programme for the Irish tourist industry which I intend to publish shortly. This programme will specify appropriate roles and structures for public sector agencies involved in Irish tourism including those for Bord Fáilte and my Department.
Can the Minister tell us how soon he will be in a position to present a long range plan with clear objectives, supported by this programme, that include identifying the markets and determining whether the concentration will be on a vertical market or a horizontal market. In other words, will the concentration be on the specialised type of holiday or the general holiday? Can the Minister let us know how it is proposed to maximise the return on the scarce resources in these areas of investment?
I already have a draft of my five year plan and I am seeking the consideration of Price Waterhouse of that draft. As I said in the substance of my answer, the product that we have, its competitiveness and the way we market it require special attention.
It is under those headings that the Deputy's second question falls, namely, what type of product are we going to emphasise. We are going to emphasise very strongly the special interest holidays because this area has been neglected. There is a general belief that an attempt has been made to sell Ireland in too general a way and for that reason there will be strong concentration on specifics in our new programme.
There is a better way.
The Minister in his global reply indicated that he is about to produce a five year plan. The thrust of some of these questions is very specific and I would like the Minister to answer them. Does he agree in broad terms with the findings of the Price Waterhouse report? That is asked in Question No. 27. This report is very explicit in its criticism of the tourist industry and more specifically of the operations of Bord Fáilte. What are the Minister's views on that aspect of the report?
My reply was more than full with regard to that. The Price Waterhouse report deals with product development, competitiveness and marketing. I indicated to the House on broad lines, quoting the Deputy in his supplementary, that I am in agreement with what is contained in the report. The five year programme will concentrate on those areas.
So far as product development is concerned, not only will we improve the product as we have it now but we will also expand it horizontally so that we will have more products to sell. Access transport is one of the big factors in competitiveness. We have been hammering away at that since early in the year and with some considerable success. I hope that as a result of the Council of Ministers for Transport we will have even more competitive access transport in the coming year. The third area deals with marketing. Deputy Taylor-Quinn touched on the type of marketing. While serving a purpose the green isle marketing and the generalised marketing are no longer adequate to sell the product as we have it now.
With reference——
I am sorry Deputy there is a number of Deputies involved and I want to bring them in in the order in which they appear to be offering.
We tabled Question No. 25.
I appreciate that Deputy. Deputy Joe Sherlock.
Price Waterhouse specifically stated that their findings showed that 56 per cent of the people who holidayed in Ireland were dissatisfied. Does the Minister propose to take on board the recommendation that the regional tourism organisations should be restructured and integrated into Bord Fáilte? Does he think there ought to be local authority involvement where there is no structure such as a regional tourism organisation? Does he see a direct involvement role by local authorities in the promotion of tourism?
The Deputy's question is an important one. If we want to sell a "green" holiday, a holiday of pure air, clean streams and rivers, the local authorities have the paramount role in that regard. I know the Department of the Marine also have legal responsibility in this area, but local authorities have a serious obligation, in view of things that have happened in the very recent past, to facilitate us in selling our tourism product.
I am amazed at something the Minister has said. He said that he now has a draft plan ready and somehow or other he is going to fit the Price Waterhouse findings into his draft plan. That does not tie in with what the Minister has been saying. The Price Waterhouse report is a fundamental and significant document which highlights in a constructively critical way an enormous amount of areas that need to be taken on board. Is the Minister now saying that the Price Waterhouse report is to be downgraded and will not form the basis of the proposed tourism development?
I am saying no such thing. My Department have already highlighted the three major areas highlighted by the Price Waterhouse report. Indeed the Department's thinking and study are just as deep as the Price Waterhouse report. However, the Price Waterhouse report is a very useful aid in putting together our five year plan. The draft plan which has been prepared already has taken cognisance of the Price Waterhouse report. I would not like the Deputy to get a false impression from that.
The Price Waterhouse report is a result of the White Paper on Tourism published in 1985. The Minister has informed us that he is due to publish a five year plan on tourism. Surely, there should be a full debate in this House on the findings of the Price Waterhouse report, which I believe, cost well in excess of £1 million? In essence, the report is a summary, and a criticism, for that matter, of the second largest industry in the country. There should be no question of the Minister publishing a plan until this House has had the opportunity to discuss this report in full.
As the Deputy knows, the report has been published already. In addition, submissions had been invited from all concerned. In all my time in public life I do not suppose that I have ever met an industry which is more cooperative and anxious to make a contribution to tourism policy. The industry are very anxious that we should have an efficient tourism policy to deal with the areas of product development competitiveness and marketing. I must correct the former Minister, Deputy Deasy. He was correct when he said that the Price Waterhouse report was commissioned by the previous Government. However, its cost was about £250,000, not £1 million.
I believe the Minister has endorsed the points I made. The enthusiasm of the industry should be harnessed by having a full Dáil debate?
That is what I am doing 22 out of 24 hours every single day.
Should we not have a full debate in this House before any plan is drawn up?
That question has been asked a few times.
Could we have an answer to that question?
If the Deputy puts down the question I will answer it.
Arising from the Minister's statement that he accepts the Price Waterhouse report, how does he envisage funding the marketing functions in future? In the context of a significant cut in the State's budget for marketing, is it envisaged that the funding for marketing will come from private sources? With regard to product development, does the Minister not agree that the abolition of An Foras Forbartha is widely perceived as diminishing our capacity to sell the clean product type of tourism? I ask, who will fund the marketing function given the cuts and whether the abolition of An Foras Forbartha will damage the concept of clean tourism?
I think there is another question down about funding which we may reach later. My Department have indicated to Bord Fáilte that it must make adjustments because of the reduction in its budget, but that the promotion and marketing area should be kept intact. We are also expecting an increase in funding from private interests. Finally, while my Department do not have responsibility for An Foras Forbartha I have been assured by the Minister concerned that the functions performed by An Foras Forbartha will be performed by certain sectors in other Departments. I assure Deputies that they will be kept on their toes as far as tourism is concerned as long as I am Minister for Tourism and Transport.
The Price Waterhouse report states that insufficient resources have traditionally been allocated to tourism and that it is absolutely critical that the Department be provided with the resources to assume the responsibilties proposed in the plan. Can the Minister say how he proposes to get the resources necessary to develop the industry?
If the Deputy had read the Price Waterhouse report carefully she would have seen that Ireland spends from Exchequer resources a very high percentage compared with other countries.
The returns are very bad for tourism.
We in Ireland — the list is available and may be studied — have been spending at State level a considerably higher percentage than most other countries in the world.
Ineffectively.
In the stringent circumstances in which we find ourselves we are compelled to cut back. My Department have instructed Bord Fáilte not to cut back on promotion and advertising abroad. We are hopeful, and judging by the bona fides we have met already, that the industry will invest more in tourism development in the future. We hope that the local authorities, which Deputy Sherlock mentioned, will continue to subscribe to the regional development organisations at the present rate or at an even higher rate.
Does the Minister not agree that it creates a very false picture to say we spend the same as other countries? The Minister is correct when he says so in terms of our national figure; however, our regional spending bears no comparison with other countries. Our overall budget spending on tourism——
The Deputy is making an assertion.
——is remarkably low because we do not have additional regional spending. Therefore, it is wrong to suggest——
The Deputy has a point and I am sure that as a member of a local authority he will use his influence to encourage them to provide more money for the development of tourism.
Out of what?
Natural wealth.