Dáil Éireann debate -
Tuesday, 31 May 1994

Vol. 443 No. 4

Written Answers. - Export Credit Insurance Scheme.

Ivor Callely

Question:

170 Mr. Callely asked the Minister for Tourism and Trade the total amount paid out by the State on foot of claims in respect of the export credit scheme in relation to the beef sector since its introduction; the steps, if any, that were taken to recover all or part of the total amount; and if he will make a statement on the matter.

Minister for Tourism and Trade (Mr. McCreevy)

Since the export credit insurance and finance schemes were introduced a total of £8 million has been paid out in respect of claims relating to the beef sector. This has covered contracts in a variety of markets, with policies covering both commercial risks and political risks.

When any claim is paid under the schemes, an assessment is made of the prospects for recovery, and steps taken to effect recovery would depend on the circumstances of the individual case, and could include, for example, visits to the buyer country, and recourse to legal action. As the Deputy will appreciate, in the case of commercial default, it will not normally be possible to recover the full amount of moneys paid, as the default will usually have arisen as a result of the insolvency of the buyer. Steps to recover certain amounts of the moneys paid in respect of the beef sector are ongoing.