asked the Minister for Industry and Commerce, in relation to the export credit insurance scheme administered by his Department (a) the amount of liabilities underwritten in respect of beef and sheepmeat exports from Ireland to Iraq for each of the years 1986 to 1988 inclusive (b) the amount of claims made in each of those years, in respect of such exports (c) the amount of premia paid in each of those years, in respect of such exports and (d) the cumulative outstanding export credit insurance liability in respect of such exports at the end of each of those years and as of 31 March, 1989.
Written Answers. - Beef and Sheep Exports to Iraq.
175.
The information requested by the Deputy is as follows:
(a) The amount of liabilities underwritten in respect of beef exports from Ireland to Iraq for each of the years 1986 to 1988 inclusive was: 1986, £4.9 million; 1987, £41.2 million; 1988, £78.5 million.
No liabilities in respect of sheepmeat were underwritten in the period.
(b) Claims paid in respect of the exports referred to were as follows: 1986, no claims paid; 1987, £3.4 million; 1988, no claims paid.
A full recovery of the foreign currency amounts due was subsequently made. However, due to exchange rate fluctuations between date of payment of claim and date of recovery, there was a small net loss to the Exchequer of £36,000.
(c) The amount of premia paid in 1986, 1987 and 1988 in respect of these exports was as follows: 1986, nil; 1987, nil; 1988, £1.5 million.
Premium in respect of liabilities in 1986 was paid in 1985 when the policy was written. Approval for export credit insurance was given in October 1987 in respect of contracts for shipment in late 1987 and 1988. Technical details of the actual policies were not finalised until February and March 1988 at which stage the premia were paid.
(d) The cumulative outstanding export credit insurance liability in respect of these exports at the end of each year and at 31 March 1989 was as follows: 31 December 1986, £4.9 million; 31 December 1987, £41.2 million; 31 December 1988, £117.8 million; 31 March 1989, £102.5 million.
Cumulative liability is the maximum liability. This can vary from day to day and is influenced by contract values insured, credit periods, payments due and payments received.