I move:—
That Seanad Éireann hereby approves of Sugar (Prohibition of Import) Order, 1958.
Public Business. - Sugar (Prohibition of Import) Order, 1958—Motion of Approval.
This is a routine motion which appears annually on the Order Paper of the Seanad. As Senators know, the Sugar (Control of Imports) Act empowers the Government to make an order controlling the importation of sugar. An order has been made every year since that Act was first passed in 1939 limiting the right to import to the Irish Sugar Company. The order can have duration for one year only; hence it has to be renewed each year and the necessary confirmating motion passed.
I mentioned in the Dail earlier this afternoon, as a matter of interest, when a similar motion was adopted there, that since the corresponding motion was moved last year, this country has adhered to the International Sugar Agreement. That was an agreement negotiated under the auspices of the United Nations in 1953 for the purposes of introducing a degree of stability into the world sugar market. Its effect was to oblige the countries which were parties to that agreement to import only from those countries which were also parties in circumstances in which the price of sugar fell below four cents per lb. and which imposed on them certain quota obligations designed, as I said, to stabilise market conditions.
In 1953, we decided not to join because it did not seem to us that there was any advantage in membership. It could operate to limit our freedom of choice in the purchase of sugar in circumstances in which that course was necessary, as indeed it was at that time. The agreement was reconsidered and revised slightly in 1956 but, again, a decision was taken not to join. Since then, however, we have encountered certain practical disadvantages by reason of our being outside the agreement, particularly in the last year.
I mentioned that the agreement requires countries that are a party to it to buy only from these countries which are also parties in circumstances where the price of sugar falls below the stipulated price. In a limited degree, we have now become an exporter of sugar and because of the operations of this agreement, our exports were stopped for a period last year when the price conditions obliged importing countries to buy only from member countries. We decided, therefore, that the advantages were now in favour of joining the agreement. A new agreement has in fact been negotiated. It is not substantially different from the old one in its main provisions and it secures for us the right to continue to export to countries which are parties to it, even in circumstances where the world price imposes certain obligations. The advantage it was thought we would have in 1953 in remaining outside the agreement has in any event disappeared by reason of the fact that all the main exporting countries are now within it. The position at the moment is that we are producing the entire requirements of the home market from home-grown beet. After many years of striving, we have now reached that situation.
The Minister now has a paternal love for the sugar factories.
Yes. There is, of course, a substantial export trade in various products in the manufacture of which sugar is used, as well as the exportation of sugar as such. It is the practice of the Sugar Company having operated their factories at full capacity during the sugar beet season, to import raw sugar in the other periods for refining. The industry is therefore in good shape. Indeed, the circumstances are such as to permit it to supply sugar to those exporters who require it at the world price so that they are under no commercial disadvantage vis-a-vis the world markets.
Question put and agreed to.
The Seanad adjourned at 8.50 p.m.sine die.