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Seanad Éireann debate -
Wednesday, 21 Mar 1962

Vol. 55 No. 3

Cement (Amendment) Bill, 1962— Second and Subsequent Stages.

Question proposed: "That the Bill be now read a Second Time."

As Senators will see, this Bill is for the purpose of repealing Part III of the Cement (Amendment) Act, 1938. This Part of the Act, which incorporates Sections 12 to 17, inclusive, is concerned solely with the importation of cement. Section 13 provides that it shall not be lawful for any person to import cement for use in this country save under a licence issued by me in accordance with the provisions of Part III of the Act.

Cement Ltd. are the sole manufacturers of cement in the State and have been able to supply the home market in full since the Cement Act was passed in 1938, apart from certain periods of unusual supply difficulties, such as that of the World War, when it was necessary to license some imports. The company have, in addition, built up a substantial export trade.

The company now wish to prepare for the conditions of free trading which will prevail in the event of our joining the European Economic Community and are planning to consolidate the industry both technically and financially. They have represented to me that it is desirable to replace the existing prohibition on imports of cement by the customs duty of 30 per cent., full rate, and 20 per cent., preferential rate, which was imposed by Government Order some time ago, but which, of course, has not so far been applied. Having considered the implications of the company's representations in all their aspects, I am fully satisfied that it is necessary for the good of the industry and in the national interest, that the existing import control arrangements should be terminated and should be replaced, as proposed, by the lesser degree of protection afforded by the customs duty.

Cement, Ltd. consider that even though the customs duty of 30 per cent. (full) and 20 per cent. (preferential) on cement will, under Common Market conditions, have to be stepped down, and eventually disappear, the protection of the duty should be sufficient to allow the company to consolidate itself in the intervening period to meet any competition, except aggressive dumping.

Except in so far as it may become necessary to offset increased costs which are outside the control of the company, Cement, Ltd. have undertaken not to increase their home market prices, which, I understand, compare favourably at present with cement prices in Britain and on the Continent.

As from the 5th March, 1962, Cement, Ltd. increased its prices for cement on the home market by amounts varying from 3s. 9d. per ton to 4s. 9d. per ton, according to delivery zone. The reasons for these increases have been investigated and I am satisfied that they were necessary to offset increased costs.

Employment in the factories of the company will not be adversely affected by the new arrangements. On the contrary it may be anticipated that the strengthening of the company's finances and the improvement of its technical efficiency will safeguard the employment of the workers.

I commend the Bill to the House and look forward to its early passage through all Stages so that Cement, Limited, may be in a position to proceed with their plans as soon as possible.

This seems to us to be a desirable measure. It is a step towards the liberalisation of the tariff policy which is part of the scheme of the European Economic Community. If it results, as the Minister says it will result and as we hope it will result, in an improvement of the position of the Cement Company, that, naturally, is something we would all desire and agree with. As far as I can see, the Bill is in tone with the spirit of the time and it is desirable in the interests of the company and in the interests of the people in general, including the employees of the company.

Having listened to the Minister and looked at the Bill, I must confess I still find it very hard to understand the reasons for it. I note particularly that the Minister is assuring the House that the passage of this Bill and the change which will result will not interfere with the employment of the workers of Cement, Limited, and will likely make their employment more secure. Because of that assurance, I am not raising any objection whatever to the passage of the Bill.

Question put and agreed to.
Agreed to take remaining Stages today.
Bill put through Committee, reported without amendment, received for final consideration and passed.
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