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Dáil Éireann debate -
Wednesday, 28 May 2003

Vol. 567 No. 6

Written Answers. - Tourism Industry.

Jack Wall

Question:

186 Mr. Wall asked the Minister for Arts, Sport and Tourism the number of meetings with the Department of Enterprise, Trade and Employment in regard to the contents of the Forfás report and the effect its findings is having on the competitiveness of the tourist industry; the results of such meetings; and the action proposed or taken to rectify the situation. [14828/03]

Jack Wall

Question:

191 Mr. Wall asked the Minister for Arts, Sport and Tourism his views on the Forfás report and the effect that findings of this report have had and will have on the competitiveness of the tourism industry; the plans his Department has to overcome such difficulties; and if he will make a statement on the matter. [14836/03]

I propose to take Questions Nos. 186 and 191 together. The findings of the latest Forfás consumer pricing report are undoubtedly a cause of concern for the Irish tourism sector generally and serve to reinforce worries that I have consistently expressed since taking office. It is critical that our tourism product remains competitive in international terms and the likelihood that Ireland is to become the most expensive country in the eurozone during 2003 represents a serious threat to our prospects of recovering from the setbacks of the last couple of years.

Ireland has never been marketed as a cheap mass tourism destination. Accordingly, while pricing is important, value for money and quality are the key issues. In this context, evidence from research conducted by Bord Fáilte that there is a deterioration in perceptions of value for money among visitors to Ireland, particularly from mainland Europe, is a real worry and I have consistently warned that the industry must guard against complacency.
I have not specifically met with the Minister for Enterprise, Trade and Employment with regard to the findings of the Forfás report. While the Government and its agencies have a role to play in supporting the further development of the sector, it is, as I have said before, the tourism industry itself that has primary responsibility for keeping tourism prices in check. The industry must do all in its power to control costs, improve productivity, better manage its human resources and utilise modern technology to best advantage.
The Government, in turn, will continue to play its part in supporting the industry through a range of programmes and measures in the product development, marketing, training and human resource areas. In particular I am looking to Fáilte Ireland, inaugurated to day, and to the forthcoming report of the Tourism Policy Review Group, who are considering issues such a value for money and price competitiveness, to chart a new direction for Irish tourism and to help the tourism sector to confront some of the new challenges which it faces. These actions will be underpinned by the Government's overall macroeconomic policy of sustaining non-inflationary economic growth and by key initiatives under the new social partnership agreement, Sustaining Progress.
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