I propose, a Cheann Comhairle, to make a statement on my official working visit to Japan from 23 to 26 April at the invitation of the Japanese Government and on my meetings in Moscow on 22 and 26 April.
During my visit to Japan, I was afforded the honour of being received by Emperor Akihito who recalled his visit, as Crown Prince, accompanied by the Crown Princess, to Ireland in 1985 and remembered with pleasure the reception accorded to them by the Irish people at the time. He recalled with great interest the different areas of our country he has visited and how they had influenced him. I expressed the hope that their Majesties might find it possible to visit Ireland again at a convenient future date.
My meeting with Prime Minister Takeshita also took place on Monday 24 April and lasted for more than two hours, including a working dinner hosted by the Prime Minister. We discussed a wide range of bilateral issues, as well as international political affairs and European Community matters, particularly the preparations for the completion of the internal market by 1992. I took the opportunity of stressing Ireland's wish for a close working relationship with Japan and our concern for the development of an open world trading system. We referred to the Japanese five year plan and to the possibilities for increased tourism under their new "Ten Million" Plan.
The Prime Minister congratulated Ireland on our vision in setting up the Irish Financial Services Centre in which major Japanese concerns like Sumitomo, Mitsubishi Trust Bank, Daiwa Securities and Orix have already decided to participate. We agreed to establish a joint Forum for political, cultural and educational matters and another joint Forum for economic affairs. The purpose of these fora is to oversee and advance the growing relationship between our two countries; to serve as a clearing house for ideas and projects and to identify difficulties and problems. These fora represent a significant development and will be used to ensure that no opportunities for co-operation are neglected and that obstacles to trade, investment and co-operation are eliminated to the greatest extent possible.
Following the announcement on the following day of his intention to resign, Prime Minister Takeshita was kind enough to send me a personal message, assuring me that the understandings we had reached and the arrangements made would stand. I invited the Prime Minister to visit Ireland. He gladly accepted, saying that he looked forward to paying a visit when the opportunity arose.
I had a very satisfactory meeting with Trade and Industry Minister, Mr. Mitzuzuka, on the same day. Our discussions covered areas of co-operation in relation to trade and industry. The Minister was very forthcoming in his approach to the relationship between our two countries and clearly anxious to advance it to our mutual benefit. I stressed that Ireland, having one of the most open economies in the developed world, with exports equivalent to about two-thirds of GDP, was committed to international free trade. We believed that an imbalance between Japan and the rest of the European Community should be remedied by more trade and investment rather than by restrictions or limitations. I mentioned that our exports to Japan had, in fact, grown by 30 per cent last year. We agreed that the Department of Industry and Commerce and the Ministry of Trade and Industry should enter into direct communication at technical level on EC or bilateral problems in co-ordination with our embassy in Tokyo. Mr. Mitzuzuka proposed that he arrange for an investment mission to come to Ireland as soon as possible to examine all possibilities for Japanese investment here. I warmly welcomed this proposal and the mission is being arranged.
The Minister said that if there was any segment of local industry or any company which we would like to interest in this mission we should let his Department know so that it can be included for consideration in the mission. I should add that we also discussed the possibility of developing for the mutual benefit of our two countries, the services of the 160 or so FÁS students at present working with Japanese companies in Japan. Mr. Mitzuzuka indicated that he hopes to visit Ireland at an early date to pursue our discussions further and to see at first hand the progress being made in the Irish economy.
I received a courtesy call from a delegation from the Japan-Ireland Parliamentary Friendship Group, with whom I had an interesting discussion on parliamentary, trade and cultural links between Japan and Ireland, including the proposal for a new Japanese school here and the progress of the FÁS scheme in Japan for training Irish graduates.
My luncheon meeting with the Keidanren or Federation of Japanese Industries was constructive and fruitful. I emphasised that a key element of our industrial strategy is the attraction to Ireland of outside manufacturing and financial services investment. Representatives of Japanese firms with plants or interests in Ireland spoke favourably at the meeting of their experience and the success of their enterprise here. They encouraged other firms to consider investment in Ireland and took careful note of the MITI proposal for an investment mission, which I mentioned.
At the meeting of the Keizai Doyukai, or Association of Corporate Executives, on Tuesday 25 April, executives again spoke of their experience with investment in Ireland. An important point made by participants in the meeting was that, with the development of the internal market in the EC, they could now think of Ireland as part of a very large market and an important place to invest. They were very much encouraged by what I had said about the Government's attitude to investment and our support for a European Community committed to international free trade.
In addition to these meetings with representative bodies, I had a number of separate meetings with the chairmen, directors or chief executives of six very large companies who have invested or are considering investment in Ireland. These meetings were very friendly, informative and constructive. The companies indicated their continuing support for investment in Ireland. I am happy to report that I was greatly impressed by the quality of the IDA presence in Japan, their knowledge of the scene there and their extremely competent performance. They told me that the pipeline for Japanese investment in Ireland is at the highest level since 1972 and that they have set a target to double the number of Japanese companies in Ireland. I am sure that with the help and understanding of the companies, whose representatives I had the honour of meeting, this target will at least be met.
At every level, the Irish delegation was greeted with extraordinary courtesy and consideration and with a very positive attitude. I would like in particular to thank Prime Minister Takeshita for affording Ireland the opportunity of being the first country invited to Japan as part of a new arrangement for official working visits. Our gratitude is also due to Minister Mitzuzuka and to the chairmen and members of the Keidanren and the Keizai Doyukai who spared no effort to make our meetings pleasant and productive. The chairmen and executives of companies which have invested in Ireland spoke warmly of their experience and I expect that they will be joined soon by other colleagues wishing to benefit from the developments in the European Community as we move towards 1992.
I would regard the visit to one of the modern world's most remarkable countries as a success. I was honoured and gratified by the warmth of our reception everywhere and by the positive response we received at all our meetings and discussions.
I can assure the Dáil that there is a lively interest in Ireland in Japanese Government, business, financial and industrial circles. There is a positive attitude towards this country and a definite wish to seek out possibilities for trade and investment. Japan offers exciting prospects which we must fully and comprehensively follow up.
On the outward journey to Japan, at Sheremetyevo Airport in Moscow, the Soviet Government kindly arranged for a meeting to take place. The Soviet side was led by Mr. Kamentsev, Deputy Prime Minister and chairman of the Foreign Economic Commission of the USSR, and by Mr. Rachimbaev, Deputy Minister, Ministry of Foreign Economic Relations. Other members of the Soviet delegation were Mr. Zilanov, Deputy Minister, Minister of Fisheries, Mr. Uspenski, Head of the Second European Department, Ministry of Foreign Affairs, and Mr. Krasnov, Deputy Head of the Second European Department, Ministry of Foreign Affairs. On the return journey a follow-up meeting was held at the airport. Mr. B.L. Tolstykh, Deputy Prime Minister and Chairman of the Science and Technology Commission of the Soviet Union, led the Soviet delegation on this occasion.
At both meetings, the dialogue begun at Shannon on 2 April with President Gorbachev, was resumed and developed with particular reference to questions of bilateral trade, including possible countertrade arrangements between Ireland and the USSR. We also discussed multilateral issues, especially developments related to the European Community and relations between the EC and the USSR; and developments within the Soviet Union in respect of the democratisation process and perestroika.
I explained our interest in a possible oil barter arrangement whereby, for our mutual benefit, we would exchange oil and perhaps other resources from the Soviet side for Irish consumer goods and foodstuffs. When the Soviets indicated a corresponding interest we agreed to establish a joint expert committee to discuss technical questions related to grades of oil, their refining, the amounts that would be involved and other issues. That committee will meet in Moscow soon. I put forward a suggestion for consideration by the Soviets that they take a share in our oil storage and refining capacity on a partnership basis. The Soviet side expressed interest in this idea which they said they would consider favourably and let us have their reaction at an early date.
The Soviet side expressed a very definite interest in the possibilities for co-operation in the health service area. I explained the operations of PARC and mentioned that as preliminary meetings had been held, the way was clear for looking now at wider possibilities and said we would arrange for a delegation from PARC to pursue these with the appropriate authorities in Moscow.
In broadly similar terms, I explained the work and responsibilities of our State organisation, Eolas, in relation to science and technology and requested that a delegation be received to have preliminary discussions about the possibilities of co-operation. The leading Soviet Minister, whose area of responsibility is science and technology, responded very positively, mentioned areas of interest to him and welcomed the idea of a delegation coming soon to see Soviet scientific and research installations and to discuss further areas of co-operation.
In relation to fishing and ship repairs, I explained our wish to explore what possibilities for co-operation to our mutual benefit might exist, particularly in regard to Verolme Shipyard in Cork. In a considered response, the Deputy Minister for Fisheries, Mr. V. K. Zilanov, made it clear that he understood that we were necessarily bound by the provisions of the EC Common Fisheries Policy and recalled the negotiations now beginning between the EC and USSR on fishing. He suggested expanded bilateral co-operation with Ireland in three areas — viz. a joint facility in Ireland for ship repair and for change-over of crews, co-operation in fishery research and co-operation in processing and marketing. A USSR delegation will come to Ireland in early July to discuss these matters.
I mentioned that over a period of years our semi-State bodies had acquired experience in operating in the private sector and that their expertise in this context could be of value to Soviet State bodies in their new role. The Soviet Chairman responded that they had a substantive interest in personnel and management training; they would make every effort to overcome possible difficulties and would examine how best they could avail of the Irish expertise in this area.
As regards timetables and procedures for carrying these discussions forward in an organised and comprehensive way, we agreed to set up a general negotiating committee at high official level. That committee will meet as soon as preliminary investigations and contacts are completed. They should complete their work in June or July; in substance, they will prepare the agenda and a realistic programme of action for the meeting of Ministers of our two countries which will take place next autumn.
The other points covered in the talks are of more general interest: the two Soviet Deputy Prime Ministers stressed the importance of the increased Soviet-Irish programme of contacts at all levels, but especially the political level. Beginning with my meeting with President Gorbachev in Shannon earlier this month, and building on these two meetings in Moscow, further contacts now envisaged include a visit by the Tánaiste and Minister for Foreign Affairs after the summer, a visit of Members of the Oireachtas to the Supreme Soviet of the USSR, various contacts at official and expert level, and the more general Irish ministerial delegation visit to which I have already referred. As Deputies will be aware, after the first meeting in Moscow, accompanied by Deputy Prime Minister Kamentsev, I also visited the duty-free shop at Moscow's Sheremetyevo Airport, operated jointed by Aer Rianta and Aeroflot. My visit was in recognition of the remarkable success of Aeroflot, the first Irish-Soviet joint venture, since its establishment in February 1988, and of the significance of the Aer Rianta-Aeroflot business relationship in the general context of Irish-Soviet relations.
I am optimistic that these discussions will impact on existing Irish-Soviet trade and economic relations significantly. By raising our existing range of contacts to a higher level and specifically by providing a fresh, vigorous political impetus to a process already under way, the results for Irish trade and for Irish-Soviet economic relations can be immensely and immediately beneficial. I was particularly struck by the businesslike approach of the Soviet side towards action to develop practical economic co-operation in various fields and I look forward to favourable developments in the way I have mentioned.
I would like to conclude by some comments of a more general character. The visit to Japan, following the visit to Australia, and the development of relations with the Soviet Union is part of a conscious policy by the Government to strengthen Ireland's links as a member of the European Community with some of the major countries of the world, with which we have hitherto had little or no contact at the highest political level. The purpose of this policy is to allow us at an early stage to secure a full understanding of the many important and fundamental changes that are taking place internationally at present and to be in a position to accommodate these changes and when possible to benefit from them.
The completion of the internal market has focused world attention quite dramatically on the European Community. It has the potential to become the world's largest and wealthiest market in the next decade. Ireland, as a part of the Community, is of much greater interest to third countries, than we would otherwise be. We offer significant potential for trade and especially as a base for investment in Europe.
The growing economic importance of Japan, as a third force alongside the United States and Europe in the developed world is one of the most significant features of the international scene. Japan's economic performance over the last three decades has been phenomenal, and Japan is now steadily increasing her investment abroad and opening up her economy. It is vital that the growing relationship between Japan and Ireland should be recognised and encouraged by meetings with political and business leaders at the highest level.
As a necessary extension of perestroika the Soviet Union is actively looking abroad for economic partnerships and flexible financing arrangements so that some of the immense possibilities for development as well as improvements in living standards can be more quickly realised. In this context some of our State bodies and other enterprises are attractive potential partners and there are many significant bilateral opportunities to be explored. In this way the rather slow and formal pace of co-operation between Ireland and the Soviet Union that prevailed hitherto can be greatly accelerated.
The purpose of my recent visits and meetings, therefore, has been to give a new and stronger political impetus to these important developments and relationships, on the basis of the new credibility that Ireland enjoys, as a country with sound economic fundamentals and excellent prospects.