Vol. 402 No. 7
7 Mr. Bell asked the Minister for Industry and Commerce if he will make a statement on the outcome of the EC Council of Ministers' meeting of 21 September 1990 and the effects or benefits which will accrue to Irish industry and services arising from decisions taken.
The EC Council of Industry Ministers' meeting which was scheduled originally to take place on 21 September 1990 was cancelled and took place instead on 15 October 1990. Among the items discussed by the Council were the Community's industrial policy, the effects of competition rules on industrial policy, industrial co-operation with the countries of Central and Eastern Europe, and the European aeronautical industry.
There was an initial discussion on the question of developing an industrial policy for the Community facing into the nineties. The subject is to be discussed in more depth at the next Industry Council on the basis of a communication from the Commission. I welcome the opportunity to discuss this subject with our Community partners. I believe that a suitable agreed approach to industrial policy, which brings together the disparate policy elements involved, could assist the further development of industry in the Community.
Member states had a detailed exchange of views on the effects of competition rules on industrial policy. The Council noted the offer by the Commission to present its annual report on competition policy to the Council for discussion each year, to have twice-yearly meetings of experts from member states to discuss state aid issues and to publish a collection of texts on procedures, rules and judgments on state aids. These new procedures will increase the level of transparency in regard to rules on state aids and will provide Ireland with further opportunities to press its demands for a reduction in the levels of aid available in the Community, particularly in the more developed regions.
The Commission presented a general report to the Council on industrial co-operation with Central and Eastern Europe. The Commission explained that the aim was to assist these countries in moving towards a situation where they could function industrially in a free market convertible currency system. In time, Ireland and the rest of the Community can expect to benefit from the achievement of open market economies in these states.
The Commission also presented a communication to the Council on the European aeronautics industry. This is an industry in which we have a growing and important interest through aircraft servicing, financing and component manufacture. I expect that the policy being contemplated by the Commission will benefit these interests as part of the entire aeronautics industry in all the member states.
What plans have the Minister or his Department to follow up the very important decisions taken at the meeting of 15 October? Secondly, what plans with reference to initiating trade with Eastern Europe has he in his Department to deal effectively with that subject?
While there were important and interesting discussions at that Council meeting, no important decisions were made. The decisions will be taken at the next Industry Council meeting which, as far as I recall, will be within the next couple of weeks. As far as Central and Eastern Europe is concerned, my Department and particularly Córas Tráchtála Teoranta have been looking carefully at developments there over the past year. It is not going to be the bonanza in the short term that many people thought it would be. It is generally found that the economies of these countries are, unfortunately, in an even worse state than was thought and the economic difficulties they face are very considerable. I see them as medium- to long term prospects rather than substantial short term prospects in terms of trade from this country. Nonetheless, obviously at a political level, I welcome greatly the developments that are taking place there. Apart from whatever benefits we can get from trade in the long term, this Government's and this country's desire would be to be as helpful as possible to countries and peoples who are gradually getting themselves back into democracy and a market system and whose economies as a result are in a fragile state at present.
