I thank the Senators who put down this motion for discussion and also the Senators who took part in the debate. It is certainly very encouraging for us and it must be very encouraging for the Irish Goods Council to find the degree of support that their efforts are having. The timing of the motion was very appropriate, particularly in the Christmat season when people spend a good deal of money. The debate has been very logical and encouraging. There has been criticism in some areas but constructive criticism. I intend to deal as briefly as possible with some of the points raised by the speakers.
Senator Hyland referred to the role played by some semi-State bodies in promotion of Irish products. These bodies have a very important role to play and this has been recognised by both the Minister for Industry, Commerce and Tourism and my predecessor, Deputy Burke. Both continually exhorted the semi-State bodies and other agencies to examine their purchasing role and to ensure whenever possible that Irish products are purchased. It was stressed to these bodies that they should set an example to private consumers.
Reference was also made to the role played by the multinationals. The activities in the market place of these companies involved in the supply and distribution of goods are like those of any other enterprise—they are subject to whatever statutory controls operate in relation to those goods. The operation of such regulations are monitored and there will be no hesitation in dealing with any persons who are reported as contravening them. Should any abuses arise which cannot be adequately dealt with within the existing regulations, then whatever action is called for to remedy the situation will be taken.
I remind the Members of the Seanad that the firm so lavishly praised by Senator Dowling could be considered a multinational firm. This multinational is also involved in exporting and, while others may not fully stock Irish products, some purchase a large amount of Irish produce to sell in their outlets outside the country. I am sure that the Irish Goods Council will continue to ensure that the shelf space for Irish goods in firms operating in Ireland will be improved.
Senator Hyland and others also referred to the role played by the trade union movement. I feel that if the council were questioned on this point they would indicate that the trade union movement actively support the campaign. Union headquarters staff and local branches are actively exhorting their members to support Irish products to save the jobs of fellow workers and are taking part in promotion campaigns. Union executives, by their membership of local trades councils around the country are almost vociferous in their support. Union members canvass stores and shops to encourage them to stock Irish products and we are reasonably satisfied with the response received. I am not saying that the job is perfect. If it was we would not be debating this motion at present, but, given the right attitude, more support from rank and file members will be forthcoming in the future.
Senator Harney praised the Guaranteed Irish scheme. The Guaranteed Irish scheme recognises that there would be no significant support for a campaign which simply appealed to the public to buy Irish for its own sake or for nationalistic motives. The idea behind the Guaranteed Irish symbol, initially, was that it was intended to act as a rough imdicator of the proportion of Irish goods on display in individual shops and perhaps force retailers into a position whereby they would stock a good proportion of Irish goods to meet any demand generated by the promotion of the Guaranteed Irish symbol. The acceptance of the Guaranteed Irish symbol as a selling point by Irish manufacturers is indicated by the growth in the number of participants and by the increased usage of point of sale material.
In January 1976 the number of companies enrolled in the scheme was under 200. This figure has to date increased to almost 1,000, involving approximately 90 per cent of all manufacturing companies and representing 10,000 different products. The Guaranteed Irish advertising promotion and publicity programmes maintained an extremely high profile and as a result the symbol has become the brand identifier for Irish goods. The guarantee element of the sumbol has had increased emphasis and the assurance of after sale satisfaction has considerable potential for influencing buying decisions. In addition manufacturers are exhorted to ensure that maximum use is made of the symbol in their advertising and merchandising material and on the product itself.
In the Guaranteed Irish scheme the emphasis is on competitive merit and the ability to offer the consumer value for money. The consumer should not buy an Irish product just because it is Irish. The Irish Goods Council will continue to market the symbol aggressively to maintain and generate further the confidence which has evolved around the symbol over the years. To expand the Guaranteed Irish scheme a step further the Irish Goods Council introduced a Guaranteed Irish stockist scheme under which shops and larger stores would, because of the policy commitment to stock, display and sell a reasonable proportion of Irish goods, be nominated as Guaranteed Irish stockists. This scheme, which was initially introduced in Dublin, Cork and Limerick, is to be extended to other large areas of the population.
Senator Harney adverted to the important role played by the schools and other community organisations. The council are very conscious of the benefits which could accrue from their involvement. Lectures in schools have taken place. In addition there have been school essays, posters and project competitions organised from time to time. In various parts of the country the school children themselves have organised local promotional campaigns under the guidance of the council. The council also acts as a catalyst for organising and directing voluntary efforts in the promotion of Irish goods. The co-operation of the women's organisations and other community groups has been forthcoming on a regular basis. Junior Chamber Ireland actively assist in these promotional activities.
In relation to the complaints concerning the type of preserves in use on CIE trains, the board have confirmed from the supplier, Chivers & Sons Ltd., Coolock, that the Hartley portion packs are packed in Coolock. The lidding and the tubs are imported in raw material form and moulded into shapes in their plant. The firm are also negotiating with an Irish company for the supply of the PVC used as a tray for holding the portion packages together.
With regard to the ingredients, which include strawberries, raspberries and blackcurrants, the firm take the maximum amount of fruit available locally before seeking supply elsewhere. The Seanad will appreciate that quite a large amount of ingredients, for instance, apricots, oranges and so on, have to be imported. It has been brought to my attention also that Irish Biscuits have agreed to meet CIE's requirements of biscuits in small catering packs. CIE are placing an immediate order with this firm.
The figures for competing food imports quoted by Senator Governey are a matter of concern to the Government. For this reason a number of measures were taken under the auspices of the working party on imports substitution to endeavour to stem the tide of these imports. The chief executive of the Irish Goods Council chaired a meeting last September between the Irish Wholesale Retail Food Trade which includes multinationals. This group agreed for a six-month period to initiate no new importation of primary food lines, to enter into discussions with Irish manufacturers with a view to substitution of lines currently imported; where imported food products are sold by Irish manufacturers, to procure those products from the manufacturer rather than through external resources and to undertake special steps to ensure that the Irish-made products are highlighted on their shop shelves.
Last week I chaired a further meeting consisting of the food promotional bodies in the food sector, CBF, BIM, NDC, PBC and the IGC. I pointed to the growing rate of competing food imports and urged this group to redouble their efforts in the promotion of the sale of Irish products. I also urged the various bodies to co-operate more closely in order to achieve maximum penetration of Irish foodstuffs into the shops and supermarkets at home.
In relation to new products and new processes the IDA have a scheme whereby firms can receive 50 per cent grants towards salaries, materials and consultancy costs of developing food products. The IDA are making a renewed approach to interested firms to take up these attractive grants.
Senator Murphy supplied interesting background information on programmes of the past. While the expected results or aims of these programmes were similar I am sure he will agree that the present approach is totally different. As a trading nation, Ireland is in favour of freedom of trade and would propose counteraction only where there is unfair competition and where there is a serious threat to Irish industries, or where the adverse balance of trade would be intolerable. The strength of our economy is based on the fact that we export our products successfully to over one hundred markets throughout the world. For this reason countries must be given reasonable access to the Irish market.
Many Irish consumers tend to have a negative opinion of Irish goods, regarding them as relatively more expensive, and often of poorer quality than their imported rivals. This view was aided by the emotive and nationalistic appeal to "buy Irish" in the past. We are now adopting a totally different approach. Public information programmes, advertising, publicity and promotional activities were designed to give the consumer practical reasons for purchasing Irish products. The emphasis is on the competitive merit of Irish-made items, high standards, good workmanship, value for money and overall consumer satisfaction. It is recognised that Irish goods must be competitive, sell on merit and that retailers have the responsibility to give consumers an opportunity to select Irish products. Consumers should demand that they be given an opportunity to choose between imports and home products. Very often this choice is denied by the refusal of the retailers to provide a fair and reasonable share of shelf space and to effectively present and promote Irish products. In the course of the debate we heard many instances and examples from Senators in relation to their experiences in these matters.
Senator Dowling covered many aspects in his interesting contribution to this debate. I have already covered some of these items. However I should like to refer to the other areas mentioned, for instance, the manufacturers and the retailers. There would be a far less significant, competing imports problem if the spirit and the initiative of our export drive existed in the home market. The role of the council in relation to manufacturers has been, and will continue to be, to identify market opportunity and communicate that opportunity to the manufacturers with follow-up promotional assistance. Co-operative marketing programmes, on a sectoral basis, on sales, merchandising promotions and other marketing areas have been established and the council have provided an inventory of marketing skills and training facilities for Irish industry and have assisted manufacturers in improving their marketing management.
The council's liaison with other bodies, for instance, the Industrial Development Authority and the Institute for Industrial Research and Standards, is maintained in order to assist Irish manufacturers. The seller or retailer has a key role to play in any programme as the consumers are unable to purchase Irish goods if they are not stocked in the outlets. The effective liaison already established with the retail trade has been further developed and aimed at increasing the demands for Irish products. Communication between retailers and manufacturers has been improved, an area of weakness in the past. A strong "sell Irish" emphasis has been incorporated in the overall "Guaranteed Irish" scheme to encourage retailers to give the consumer the opportunity to select Irish goods. A continual promotional programme and publicity activities were a feature of the programme. These included promotions in single stores, with groups of multiples, in streets, in shopping centres, in towns and districts, involving special display and merchandising material for point-of-sale publicity. The promotions included sectoral marketing with special attention given to footwear, clothing textiles, carpets, furniture and food outlets. Retailers, where promotions have taken place, have expressed a willingness for further promotions.
I am also in agreement with Senator Dowling when he indicated that we can only keep abreast by updating ourselves on the matter of modern technology. The role played by the Government, through the IDA and other agencies, has indicated that new technology and the manufacture of the new technology equipment are certainly receiving the attention they deserve. An estimated 11,000 people are already employed in the electronics industry in Ireland and more than £350 million has been committed to date by overseas electronic companies in fixed asset investment.
Senator Connaughton mentioned the use of incentive schemes, the end product of which would be increased sales of Irish goods. Incentive schemes have been instigated in a number of areas, particularly in junior chamber promotions. The extension of local incentive schemes to involve most of the staff of particular establishments and one broad scheme for retailers is being considered by the Irish Goods Council at present.
Senator Hussey mentioned the importance of consumers and indicated that, out of every £100 spent, women are responsible for £80. The programme envisaged that all citizens would be fully informed and they understand the role they can play in order that full advantage can be gained and the objectives met. The hidden benefits of supporting Irish products at the point of purchase — jobs, living standards, economic progress — were also stressed so that they would be taken into consideration when the choice was being made. A comprehensive planned series of consumer promotions, competitions and other shopping incentives were undertaken which also resulted in further media publicity.
I should make one point in relation to a remark by Senator Hussey in regard to shopping at Christmas. She more or less inferred that the Irish Goods Council had lost out on their promotions during this period. I have here an outline of some of the extra work which the Irish Goods Council put into the promotions effort in order to improve sales over Christmas. There was an intensive publicity campaign on television and radio, in daily and provincial papers and through outdoor poster sites. Some 22,000 posters were distributed to schools, offices, factories and shops. There was the distribution also of over 400,000 leaflets for insertion in pay-packets. This matter was referred to by Senator Lambert also. We had the mailing of over 10,000 retail outlets urging prominent display of Irish-made goods. There was the engagement of two street theatre groups to promote Irish-made goods in the main shopping precincts of principal cities and towns. There were also special Christmas shopping promotions in Cork and Limerick in association with local councils and trade unions. There were special publicity features in the major trade union publications, for instance, Liberty and The Distributive Worker. Senator Lambert made reference to this also. We can see from that that the Irish Goods Council were aware of the importance of putting on a special effort for the Christmas period. Let us hope that, at the end of the day, we will see the desired result.
Then there is the question of what is being done about food, a question raised by Senator Hussey also. In this sector the Government propose to continue to monitor packaged goods which could deceive the consumer concerning the country of origin. The Department of Health are ensuring that imported products are subject to the same rigid health hygiene regulations as those applying to Irish goods manufacturers. The requirement of the Examiner of Restrictive Practices that notification to him by importers of the terms and conditions on which goods are being imported or purchased will be vigorously enforced. The chief executive of the Irish Goods Council acted as chairman of a meeting of representatives of wholesale and retail distributive trades of manufacturers to consider the problem caused by the high incidence of food imports. If I have time later I may give further details of the outcome of that meeting.
Senator Cassidy mentioned the difficulty of getting Irish goods in the ordinary store. I have experienced this also. These are matters we are examining. For instance, where I do my shopping, I want to buy a particular brand of Irish-made shoe, made in my own constituency. The situation obtaining is that that particular company deal with one merchant in that town, which in turn means that there are a number of other merchants or distributors in the town not in a position to sell that product because the manufacturer will not supply them. These are some of the matters we are having examined at present. Let us hope we will find some solution rendering the situation more satisfactory. Senator Cassidy also raised the question of the importation of vegetables, a very pertinent one. This is another matter we are examining at present.
Senator Hussey made some remarks regarding the role being played by women. We all realise the importance of this. Certainly we shall bring her comments to the notice of the Irish Goods Council. If we feel that this aspect has been neglected then they will have something on which to work to improve that situation.
Another point raised by Senator Lambert was VAT on imports at point of sale. We have also been considering this matter quite recently. It is being considered by the working party on import substitution. Senator Lambert complained about the "Guaranteed Irish" symbol on imports. If he is in a position to give some positive information on this matter we shall be glad to have it investigated.
One important matter in relation to the whole campaign was that suggested by Senator Ryan regarding the importance of our balance of payments position. In this respect I should say that the "Buy Irish" campaign has been broadened and directed in a way to ensure that we are not just buying Irish for the sake of buying an article produced at home. Emphasis is being placed on the importance of matters like our balance of payments, jobs creation and other matters of vital importance to our economy generally.
Senator Kiely raised the question of sportswear. There was also the question of Christmas cards. They are all matters of importance. We all have a definite obligation to ensure that we do our best to buy the Irish article when it is available at the right price.
I should like to say that we all appreciate and are grateful to all the organisations, all the groups, who have worked so hard, who have played such an important role in ensuring that this important work is continued on for the benefit of our economy.