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Seanad Éireann debate -
Wednesday, 19 Nov 2008

Vol. 192 No. 5

Tourism Industry: Motion.

I move:

That Seanad Éireann—

commends the Government, the tourism agencies and the wider tourism sector for the exceptional performance of Irish tourism in recent years, which has consistently outperformed competitor destinations in western Europe, including the number of overseas visitors exceeding 8 million for the first time ever in 2007, an increase of over 33% in the period since 2001, as well as record numbers of domestic visits;

recognises the continuing commitment of the Government to the progressive delivery of its key tourism investment priorities in tourism marketing, staff training and business development and product development, within a framework of sound public finances and value for money, noting that the total allocation of the tourism services budget has increased by 50% since 2003 to €161 million in 2009;

acknowledges the exceptionally challenging conditions now facing tourism worldwide in the context of global economic conditions, as well as the particular challenges facing Irish tourism in the context of the current cyclical downturn in the domestic economy and notes that the Government is conscious of these challenges;

notes that, notwithstanding these exceptionally difficult conditions, overseas visitor numbers reported to date in 2008 are broadly in line with 2007;

welcomes the Government's intention to build on the success of its policies and programmes to date by renewing the policy framework for tourism, as set out in New Horizons for Irish Tourism: An Agenda for Action 2003-2012, with a view to ensuring that the sector returns to sustainable growth in the medium term;

acknowledges the contribution of North-South co-operation in the tourism sector, in particular through the work of Tourism Ireland in marketing the island of Ireland overseas, with the support of the Northern Ireland Tourist Board and the Minister for Enterprise, Trade and Investment in the Northern Ireland Executive;

and notes that the Government and in particular the Department for Arts, Sport and Tourism, Fáilte Ireland and Tourism Ireland are continuing to develop and implement actions and initiatives to support the sector in responding to the current short-term challenges it faces.

I welcome the Minister for Arts, Sport and Tourism and express my thanks to him for giving up his time to be in the House. We have to accept that we have done exceptionally well in tourism over recent years. We must also acknowledge the challenging circumstances we will face in the tourism industry. The Government's ambition and support for tourism is something for which we should express our thanks.

There are different types of tourism, and Ireland is unique in the types it can provide. Be it leisure tourism, golf, hiking, cycling or whatever, we are involved in everything except sun tourism. That is important. Tourism revenue has changed in some ways over the years, but in 2007 we brought in almost €4 billion in tourism income. That is an enormous sum of money. With that income, we have shown that we are still able to compete, in spite of a number of changes that have taken place in the tourism industry and to tourist destinations. Some of this is due to the fact that we have competitively priced flights into Ireland. Our hotels and guest houses have also become very competitive in the past two years when compared with accommodation in other destinations. This was forced on them owing to the amount of development that had taken place in the tourism industry.

The figures show that we took in €823 million from North America, €1.3 billion from the UK and €729 million from other European countries. That is a phenomenal amount of tourism revenue coming into Ireland. The economic climate is more difficult now, but I know that the Minister is doing his utmost to promote Ireland as a tourism destination.

There have been some tremendous successes at an international level, such as the Irish stage of the World Rally Championship, which will return in 2009. The amount of revenue created in the north west by that event was enormous in such a short period. The number of bed nights filled within a 60-mile radius of Sligo was phenomenal. It was so difficult to get beds that some people hired cruisers on the waterways and stayed in them while they commuted to and from Sligo. It shows that if we produce a high quality niche product, people will follow it and spend money.

Success in this area also comes from the type of facilities provided and the type of back-up we supply. Back-up means everything from hotels, restaurants and pubs. Anyone who comes to Ireland does so partially for its rugged beauty and its friendliness, and we all accept that the Irish tourism industry has an orientation towards friendly service. Golf has also become a major player in attracting people into this country. Many have come to play three or four of the famous courses. We may have spent a lot of money on the K Club a few years ago, but the knock-on effect in promoting Ireland has been enormous. Certain golf courses, especially those in the south west, are very popular with overseas visitors, especially those from the US. We are facing tougher times and the currency situation has caused problems with the American market. However, we have still managed to maintain our tourism levels and our income from tourism.

Other events are very important to tourism here. Racing fixtures attract many people from the UK and from other parts, and these people spend a lot of money. There are major festivals in Galway, Punchestown and elsewhere, but these attractions need major sponsorship. I fear that the level of sponsorship available from the private sector for racing could have an effect on how it is developed. Many overseas visitors are attracted here because there is much more prize money in racing than is available in the UK. The racing industry has always made an historic contribution to society as well as a contribution to tourism.

We must look also at the hotel industry. Certain hoteliers and hotel groups make a great contribution to attracting tourists into Ireland. Some hotel groups promote coach tours here, especially during the low season. They manage to have an occupancy rate of between 70% and 80% at off-peak periods. That is very important, because one hotelier once said to me that he is better off having a head in the bed for a €5 profit than having nobody in the bed. That is a progressive approach to the problem because once he had somebody in his hotel, he could make extra money in the bar or the restaurant. The area in which the hotel was located would also benefit. Such hoteliers often do not get the recognition they deserve, but so called "golden age" or senior citizen tourism is a major player.

If we are to have a progressive tourism industry we must consider two issues, namely, our competitiveness compared to other destinations and what we deliver for that money. From now on, tourism will be much tighter and people will be more cautious in how they spend their money. We should start to focus on the senior citizens' market as well as getting people to spend holidays in this country. Every euro that goes to Spain, Portugal or elsewhere is a euro lost to our economy. We must target the domestic holiday market, even though it is not the easiest thing to do, especially after the summer we had this year. People will become more conscious of value for money, however, so we will make progress if we can maintain the high quality tourism product we currently have. I thank the Minister for attending the House for this debate.

I second this motion on tourism. I welcome the Minister to the House. Over many years, tourism has played an important role in the economy, bringing much needed finance not just to Dublin and Killarney, but to less developed areas also. The spin-off from tourism did much to improve the livelihoods of those along the west and north-west coasts where the bed and breakfast sector, together with activities, such as walking, hill-climbing and cycling, brought large sums of money to local economies.

Despite the global economic downturn, visitor numbers continued to grow this year and last year. As Senator Ellis rightly said, we place great emphasis on people coming here from abroad but we should not forget domestic tourists either. Irish residents took 890,000 holiday trips in the first quarter of this year, which is a 16% increase on the same period in 2007. The related expenditure totalled €181 million. This means that our hotels and guesthouses are offering a good deal because there is nobody more discerning than Irish people when it comes to seeking value for money. They can see they are getting value here so there is an increased interest in short holidays, which include gym facilities such as swimming pools, spas and other treatments. In other words, we like to pamper ourselves. If the Minister could get the sun to shine for the three summer months he certainly would be the most popular person.

While it may seem parochial, religious holidays form an important segment of the tourism market. In England there are large ethnic groupings that are interested in pilgrimages. In my parish, Knock shrine attracts large numbers of people, including those of Asian origin. More could be done to welcome such people, however, and to make trips available for them. A meeting has been scheduled for the coming weeks to investigate this matter which concerns many people of Asian origin in England. This market should be pursued and facilitated.

This is the first time I have had an opportunity to thank the Minister, Deputy Cullen, who as Minister for Transport provided a grant of €27.1 million to Knock airport. That is having a major impact on tourism in my county, which is welcome. I pay tribute to the Minister for making that grant available when he held the transport portfolio.

A recent survey of Ireland's competitive edge examined four areas: Britain, North America, Germany and France. The two top points identified in that survey were the Irish people and the scenery. Other points included the fact that the country is English-speaking, its cultural history and ancestral family ties. The people constitute the most important element, however. In recent years, our hotels had to employ large numbers of foreigners, which gave them a good living. There was a downside to it, however, because one might not meet an English-speaking person in some hotels. That was not good for us, so from now on the Irish people will have to take time out to talk to tourists and tell them what they can see in a local region. That would be better than following some guide-book made up by somebody from another country who flies through Ireland and writes a book just to sell it.

Scenery plays an important role in tourism and it is unspoiled here so we should make more of it. From the Giant's Causeway to County Wicklow and from the west coast to the south, we have some of the finest scenery in the world. We should promote it to ensure that people visit and, in addition, local people have a role to play in telling tourists about scenic areas.

The downside includes the weather, to which I have alluded, and the high cost of living. We hear about price levels but we supply a good product and our hotels were never as cheap as at present. They offer a great service to foreign tourists, together with good prices. Their food is of high quality and the rooms are of a high standard. I have visited England and continental Europe where hotels do not compare to Irish ones. We should promote domestic tourism and give full credit to our hotel industry in this respect.

Tourism has brought money to remote regions, which has been important for the economy generally. It is also important for our people, as well as providing a good supplement to the local economy. In recent years, the bed and breakfast sector, and especially farmhouse holidays, seem to have died away or declined. Something should be done to promote such holidays, as was done over the years by the Irish Farmhouse Holidays Organisation and the Town and Country Homes Association. They did a lot of promotion for that type of holiday where people could come and enjoy a stay with families for three or four days at a time, moving from one county to another and seeing all the local sights. They got a high standard of service and the farmhouses built up such a reputation that they had repeat business over many years. However, with reduced hotel prices and, dare I say it, with driving two or three miles to the pub a thing of the past, people prefer to stay in a hotel, where they have all the services under one roof.

Regardless of what anybody thinks, the motion shows we have a very good product and that our Government is promoting that product. The Minister is doing a good job in ensuring it is promoted around the world.

I move amendment No. 1:

To delete all words after "Seanad Éireann" and substitute the following:

noting:

the disappointing downward trend in visitor figures, with a decrease of 3% in the number of trips to Ireland in June 2008 and a 2% drop in August 2008 at the height of the tourist season;

the underlying trend of a fall-off in visitors from traditional dependable markets such as North America and Europe with a 10% reduction in figures for August 2008;

the serious challenges posed to the aviation industry and the resulting impact this threat will have on tourism access to Ireland and, in particular, regional destinations;

the pressure that the current rate of inflation of 4% is exerting on the tourism industry, coupled with unwise increases in transport costs such as the recent 8% increase in taxi charges;

considering:

the Government's failure to introduce initiatives and supports aimed at properly harnessing the potential of open skies;

the negative impact the Government's introduction of a departure tax on flights will have on tourism figures;

the pressure the €200 annual levy on holiday homes introduced in the budget will place on the industry;

the significant cuts in current spending for the arts in the budget which will have a significant impact on the availability and quality of cultural tourism products across the country;

calls on the Government to:

reconsider immediately the short-term revenue generating measures taken in the recent budget which will not deliver long-term gain for the industry;

take steps immediately to ensure tourism products and marketing spend in regional areas are enhanced to take advantage of open skies;

introduce concrete steps aimed at restoring competitiveness and reducing cost pressures on the tourism industry; and

revise the action plan for the industry, New Horizons for Irish Tourism: An Agenda for Action 2003-2012, to take into account the new pressures facing the industry in the context of the current economic climate.

I welcome the Minister to the House and thank him for coming to listen to the debate. I look forward to hearing his contribution, when he will be able to outline what aids and incentives he believes are appropriate at this difficult time for tourism and any other worthwhile ideas he might have.

When I listened to Senator Ellis reeling off figures, I thought of the old saying about lies, damned lies and statistics. In my area and in many others, unfortunately, many people are calling this the worst tourist season in living memory. Of course, there are more tourism products than ever before and we had some good years.

I look forward to hearing the Minister refer to Killarney House. There is a proposal with his Department with regard to cultural tourism and the major funds available for worthwhile projects in this regard. I know his colleague, the Minister, Deputy Gormley, is interested in this issue, as is the chamber of commerce and all Killarney tourism interests. Something very worthwhile could happen. Not alone could it be a visitor centre for the national park, it could have a room dedicated to the memory of the Earls of Kenmare, who lived there for so long, and to McShane, the man who built Washington, who lived there with his wife for 40 years before he left the house to the nation. In fact, he had sold most of it cheaply to the nation before his death. I look forward to hearing the Minister deal with this issue. If he cannot deal with it today, perhaps he might be able to brief me separately.

Tourism accounts for more than 250,000 jobs across a variety of sectors. With the recent downturn in tourism numbers, this obviously spells danger for employment in these sectors. Tourism has contributed nearly €3 billion per annum to the Exchequer in tax revenue through expenditure on tourism related goods and services. This is vitally important to the Exchequer and, as such, needs to be protected to ensure it will continue, in so far as we can ensure this. The indicators at present are not good.

Last year, there were almost 8 million visitors to the State and, while this is an admirable figure, it has sadly not been sustained this year. The Minister admitted in the Dáil during a parliamentary question session that the figures for the first seven months of 2008 were only just ahead of last year's figures and that the figures for July were less positive. The figures for August look likely to continue this downward trend, which the Minister might be able to confirm. Overall visitor numbers for July were down by 8% to 835,000 but even this fall was cushioned by a relatively good performance from continental Europe, which managed to maintain last year's level of visitors. North America was down by 6% but the most disappointing performance was from Great Britain, which showed a drop of 17% on July of last year. In my area, I hardly met an American visitor this year.

Mention was made of our great golf courses, of which the south-west has its share, but unfortunately, as the Minister is aware, income from green fees has decreased greatly. This may have resulted from the shocking weather in July and August, which, while it is outside our control, meant that many clubs had to make big refunds to visitors who came but could not play. Sadly, the visiting American golfer did not seem to come this year.

The Irish Tourist Industry Confederation has predicted that this year will see the first drop in overseas visitor numbers since 2002, with a consequent drop in tourism revenue. Revenue is also likely to suffer given the weakened condition of sterling and the dollar, allied to the trend toward shorter stays. Possible reasons for this drop in overseas visitors include the following. The reality in respect of the visitor figures from Europe, which the Minister said are holding up, is that these represent low spend figures and they will probably disappear because all the indications are they relate to family members of migrant workers coming to Ireland. Those visitors will disappear if the reports we hear about high unemployment among migrant workers are true, which we know they are.

The climate is another factor. While this is not something which can be attributed to the Government, it nevertheless has an impact on the suitability of Ireland as a tourist destination. For the second successive summer, rainfall totals were above normal everywhere and were more than twice the average in the east and south east of the country. Dublin Airport had its wettest summer since 1958, while it was the wettest at Cork Airport since records began there in 1962. Except for a few parts of the west and north west, each of the summer months was wetter than normal. A total of between 42 and 48 wet days was recorded at most stations for the three-month period compared with the normal range for summer of between 32 and 38 wet days.

There has been a downturn in the world economy and there also has been a common trend towards an increase in travel by visiting friends and relatives. Such tourists tend to spend less than holidaymakers or other promotional visitors and this trend adds a further negative impact on yield per visitor. The drop in tourism has a number of knock-on effects for the Irish economy, including redundancies as there is no longer a need for the provision of certain services to the same extent.

The Government has not helped tourism with regard to areas such as the increase in taxi fares and the €10 levy in respect of flights leaving the country. The response by Ryanair to this tax has been to heavily reduce its presence in Shannon and British Airways has cancelled its Dublin-Gatwick service. The Government abandoned the decision to separate Cork and Knock airports from the DAA, which means these regional airports are simply unable to take decisions for themselves, they experience a lack of autonomy and they are being laden with debt from the DAA. There is also lack of public transport at night to and from Dublin Airport, which does not accommodate late night flights.

There is also the failure to take advantage of open skies. The Government failed to harness the potential afforded to Ireland in the context of open skies because the opportunities included more passenger flights, lower prices and more choices of carrier from Irish airports to the EU and the US. There is massive potential for Irish airports to establish themselves as hubs for the US and Europe and new trading and tourism opportunities with existing and emerging markets. Perhaps the Minister will comment on this issue.

With regard to the proposed €10 tax from 30 March on outgoing flights of more than 300 km and €2 on shorter journeys, while this will not apply to children under two years, disabled passengers and their helpers, it is estimated it will raise €95 million in 2009 and €150 million in a full year. I look forward to hearing the Minister's response on this issue. Surely some alleviation can be provided in this regard. The Minister might spell out how he can solve this problem. We on the western seaboard are very disadvantaged. As I have said on previous occasions, the only flight from Kerry not taxed would be to Dublin.

I formally second the motion. I will reserve my position in deference to the Minister.

I thank colleagues for welcoming me to the House and for the opportunity to speak to this motion, which highlights the success of Irish tourism to date as well as noting current trends in the sector. The motion is timely given the changes in global conditions, even in the relatively short time since the House considered the position of Irish tourism last April.

While the international tourism market is becoming increasingly competitive, Ireland has consistently outperformed its competitors in terms of growing the number of overseas visitors to our shores. Taking the long view, in 1990 overseas visitor numbers to Ireland were just over 3 million. That has more than doubled to an all-time high of 8 million visitors in 2007. Revenue earnings from these visitors have also grown steadily. In 1990, foreign visitors spent just over €1 billion in Ireland. That figure grew to almost €5 billion in 2007.

Tourism also generates an estimated €2.3 billion in tax receipts to the Irish State. The latest Fáilte Ireland data estimate the number of people in jobs in tourism and hospitality as at least 320,000.

The Government is supporting and has supported the development of Irish tourism directly in three key areas, funding for overseas and domestic marketing and promotion, developing the capacity of businesses and managers as well as the skills of those working in Irish tourism and supporting tourism infrastructure and product development.

The total allocation for tourism in 2009 is over €160 million. The corresponding allocation in 2003 was €107 million. Thus, even in the context of the current economic and budgetary stringency, the allocation to the tourism sector has increased by 53% over the allocation made in the Department's first full year in 2003. There will be marginal reductions in the budgets of the principal tourism agencies, Fáilte Ireland and Tourism Ireland, in 2009 but these will be largely absorbed by savings in pay, overheads, consultancy and non-programme advertising.

Our investment in front-line international tourism marketing is being maintained. The tourism marketing fund for 2009 is €48.5 million, which will enable Tourism Ireland and Fáilte Ireland to maintain the scale of their investment in marketing. Given the overall economic situation, the tourism agencies should also be in a position to negotiate better value in terms of advertising and marketing space.

In 2009, capital funding of €11 million is being provided to support investment in key tourism infrastructure, attractions and visitor facilities which are in need of upgrading and development and to bring on stream some new products and experiences to meet the sophisticated needs of increasingly demanding tourists.

The sustained Government and private investment of recent years in people, product and marketing within the overarching framework provided by New Horizons for Irish Tourism: An Agenda for Action has given Irish tourism a new strength in depth. This strength in depth, together with the partnership between Government and its agencies, the industry and key players, which has worked so well in recent years, will be fundamental to our capacity to deal with challenges that now face us as global tourism slows down in the face of a deteriorating economic situation worldwide and at home.

There is no doubt that the current domestic and international environment is very challenging for tourism worldwide and in Ireland. Sharp changes in fuel costs and a global economic downturn, coupled with falling consumer confidence and adverse trends in exchange rates, are affecting business. The latest international projections are that growth in tourism arrivals worldwide, including the rapidly growing long-haul destinations, will be down to approximately 2% for 2008 and less in 2009. Indications are that tourism growth across Europe stagnated over the summer months — international arrivals in our region of Europe were up just 0.3% for the year to August. In the same period, Ireland's overseas visitor numbers were down just 0.1%. Indications are that we are continuing to hold our own, while many of our competitors are faring less well. Meanwhile, growth is continuing in the long-haul markets reflecting the broader economic trends. There was a 1.3% increase in revenue from overseas visitors in the first half of this year. In actual terms, expenditure from overseas visitors for the first six months was €2,137 million. The fall-off in monthly numbers over the summer reflects trends across Europe, where the year started positively but saw a downturn in monthly figures from May onward.

The Irish Tourist Industry Confederation has stated that the fundamentals of the industry remain strong and Irish tourism is better positioned to withstand any downturn than in the past. In particular, as our overseas tourism business has diversified across a wider range of markets in recent years, this has given it the capacity to better withstand pressures on particular markets. I am heartened that the sector generally remains positive and confident for the medium term, building on its growing professionalism and resilience of recent years.

While I am aware that our businesses are responding positively to current challenges, it is important that the strategic framework for tourism development responds to the changing environment. I have therefore decided to take steps to renew our strategic framework for tourism development as set out in New Horizons for Irish Tourism: An Agenda for Action. I am currently finalising arrangements to put in place a renewal group. This group will examine the current tourism policy and programme priorities, with a particular focus on the challenges which lie ahead, and will develop a road map to assist us in ensuring that tourism continues to be a major industry for Ireland. I will seek for the group to complete its work in the first half of next year.

In that context, various colleagues raised particular aspects of tourism in their areas, which could feed into that process in terms of the priorities and the emphasis that must be made on some of the products available, whether it is in Mayo, Sligo, Kerry, Killarney or wherever. That may be added value in terms of this review.

Tourism Ireland will shortly launch its 2009 overseas marketing strategy and plans. At the heart of the visitor experience in Ireland are our people. I was particularly pleased that in 2007, Ireland topped the Lonely Planet blue list survey as the world's friendliest destination. Recent detailed consumer research undertaken by Tourism Ireland and Fáilte Ireland endorses the findings of this survey.

Getting to know the people of Ireland is a multi-dimensional experience and in particular can be enriched by engaging with our culture and heritage. As part of the Department's 2009 planning process, I propose to take an initiative to develop the potential of cultural tourism, building in the first instance on co-operation and synergy between the bodies and institutions under my remit. This initiative will build on some planning work already undertaken. I intend to bring together the heads of the key arts, sport and tourism sectoral development bodies and the national cultural institutions to draw up a cultural tourism action programme to be initiated as soon as possible. That will strengthen the arts and culture family and help the Irish tourism industry to address the current challenges and boost business in future years.

Both the tourism agencies have demonstrated their worth over the past few years. Fáilte Ireland has developed the quality of our product, not only by supporting capital investment in product but also through developing the skills and capacities of those working in and managing our tourism businesses, and ensuring that our standards compare with anywhere in the world. They have also been central in the strong growth of domestic tourism.

Tourism Ireland has been driving the international marketing of the island of Ireland in Great Britain, Europe, North America and, increasingly, new and developing markets such as China, India and South Africa. It is fair to say that Tourism Ireland is widely respected by its counterparts and competitors and is also acknowledged as being an exemplar of what can be done through North-South co-operation.

I would like to give a special acknowledgement in this context to the work not only of Tourism Ireland but also of my counterparts in Northern Ireland, where the Minister of Enterprise, Trade and Investment and her Department have worked closely with us to ensure that Tourism Ireland maximises the tourism benefits for both parts of the island.

I thank the Cathaoirleach and Senators for the opportunity to contribute to this debate. I am pleased that the House is taking an active interest in tourism, perhaps our longest-standing internationally-traded service industry. We all recognise that these are extraordinarily challenging and difficult times for every economic sector, and tourism is not immune, but with a robust strategic and policy framework, strong partnership between the public and private sectors, effective State agencies, appropriate investment in marketing and product, and tourism enterprises which are now on a par with those anywhere in the world in terms of management capacity and quality, I am confident that Ireland can face the challenges and position ourselves to come out of this downturn stronger. I commend the motion to the House.

I second the amendment agus cuirim fáilte roimh an Aire. The motion before us is timely and opportune given the figures published today but I wonder if we can continue to blame the weather, the euro, sterling, the dollar, the price of oil and the international climate for everything that goes wrong in this country. An honest appraisal of the prices we charge, the cost of doing business in this country, the need for a cohesive plan, the changes in our welcome and in employment in our tourism sector and the lack of infrastructure, from our regional and major airports in Cork and Dublin to the city centres, make us look to the future.

As the Minister stated, the tourism figures for the last quarter of this year undoubtedly show that we face a challenging period. There has been a 17% decline in UK visitor numbers, which are down by 65,800. The figure for the rest of Europe is down by 8,800. The figure for the United States and Canada is down by 10,200 and the figure for visitors from elsewhere in the world is down 1,200. That is a 10.8% decrease, with the biggest decrease being in visitors from our neighbour, the UK. That is an indication that our largest indigenous industry is facing a major challenge, and we should not overlook the fact that tourism is this country's largest indigenous industry. It contributes more than 7% to service exports and accounts for €1 in every €20 spent on goods and services here. It would be wrong if we dismissed the 250,000 jobs in the tourism industry. Tourism contributes €3 billion per annum in tax revenue. We should not just abandon that and the Minister probably will not. We must examine where we are going. In the presentation the ITIC made to the Oireachtas joint committee its representative said, "Ireland is not in a good place in terms of growth prospects for the next couple of year." I am happy that the Minister said we need a plan and he spoke about the renewal of the plan. We need a vision and a strategic plan for Irish tourism. That will begin with the domestic market and go outwards. We need a major emphasis on value for money. We must be about value for money. I hope the Minister will go back to his Cabinet colleagues and talk to the banks which need to pass on the interest rate cut to businesses. I hope the Minister will also pass on the need for liquidity for banks to be able to do business.

We need major renewal in our cultural area. I speak in the context of our music. I pay tribute to the work of Comhaltas Ceoltóirí Éireann. Music brings people into the country. Our playwrights, our language——

We need a few in here.

There are a few very good actors on the far side. Senator Norris uses Bloomsday as a means of getting people into Ireland. We should encourage more of this kind of activity. Ireland is an island of festivals; we have a festival for nearly everything. In my city, Cork, we have festivals for jazz, film, folk music and I could keep going. Let us promote our culture more and have Ireland's distinctive culture embedded and imbued across the world.

I hope we can examine the issue of short breaks and I will return to that later. The Minister did not refer to the travel tax in his speech. That is the daftest tax we have introduced in a long time. It is anti-consumer, anti-tourism and anti-business. The imposition of this tax when the aviation and travel industries are in trouble defies logic. I have met no one in Government who has told me of the benefit of it. I am sorry that Senator Carty has left the Chamber because last week the chief executive officer of Ireland West Airport Knock said the travel tax will have a devastating effect on his airport and will reduce tourism revenue by approximately €5 million to €10 million next year. Imagine the impact in Cork, where the tax will be imposed, unlike Dublin. It makes no sense. Rather than tying the hands of our airlines and airports, we should encourage people to come and visit.

I am sorry the Minister, Deputy Cullen, has left the Chamber. The Minister of State, Deputy Moloney, a sportsman himself, might tell the Cabinet that under no circumstances should Ireland be without an Irish Open golf tournament next year. We used the Ryder Cup to promote Ireland and it worked to a point. The Irish Open is a major vehicle, through Sky television and the golfing fraternity, for attracting more people to the country. Senator Coghlan referred to golf in his remarks. I ask the Minister of State not to allow this to be lost. If we are not negotiating with the European Tour, we should be.

May I refer to my own city and county of Cork? We have no permanent ferry link with the UK and we need one. We face another summer with no ferry service to the UK. It closes off an avenue of promotion.

People may use Rosslare.

We have lost a lot in the south west.

It has a knock-on effect for the principal tourist destinations in the country, Cork and Kerry.

What about the rest of the country?

It has a knock-on effect on the pubs, restaurants, shops, etc.

We have none in Tipperary.

They are probably also losing a little.

We need a permanent ferry link with the UK. Will the Minister of State, Deputy Moloney, use his good offices to talk to the Minister for Transport, Deputy Dempsey? I do not know if he is aware of the seriousness and severity of this for tourism in the south-west region. We spoke about the hotels, and the regional distribution of visitors requires urgent attention. We cannot have regional distribution only in Dublin and around the Pale. Cork city is the capital of the south. County Cork is the largest country in Ireland. We must encourage people to go beyond the M50 and visit places such as Cork where one can have a great urban break with shopping, restaurants and sport.

I welcome the fact that the ITIC has 41 websites in 19 languages, but business tourism in places such as Cork must be advocated. It is daft that a city and county such as Cork has no major conference centre. I referred to that in the previous debate in the House on tourism. Cork requires a conference centre. We are planning a national conference centre but I speak on behalf of the people of Cork. Our cultural heritage is of paramount importance to the development and evolution of tourism and attracting visitors.

The Minister has been involved in the budget talks through his Department. The travel tax must be repealed. We are talking about attracting people. The cost of doing business in Ireland has increased exponentially and this has not been addressed, so perhaps the Irish Hotels Federation could examine the cost factor in what hotels charge people for eating out, etc.

I commend the amendment to the House. Not everything is rosy in the garden. It is not just the weather. The tourism industry needs a major revamp. I am not sure the Government has the vehicle or wheels to propel it forward.

Cuirim fáilte roimh an Aire. I am glad this discussion is taking place. We have had much discussion in recent weeks on the downturn in the economy and much of this has been of a very general nature. We must examine the individual elements of the economy, especially our strengths and how we might sustain and build on them. In recent weeks in the Oireachtas committee we have had most of the main agencies before us to discuss tourism. We have had Fáilte Ireland, Tourism Ireland, the Irish Rural Tourism Federation and various groups that provide a service to the tourism industry. While they all say these are challenging times, each one adopted an upbeat attitude to the challenges facing us. That is the starting point if we are to get the maximum benefit from the tourism potential.

Over the years of the Troubles one can understand the difficulties the tourism industry must have had trying to market the island of Ireland — at that stage we marketed only the Republic — against some recent atrocity that would have been highlighted throughout the world. It could have come right in the middle of a specific marketing campaign. Despite this, the tourism board, then Bord Fáilte, would respond on each occasion. It must have been exceptionally difficult, even more difficult than the challenges that face us now. One of the best developments that has taken place under the Good Friday Agreement has been the establishment of Tourism Ireland to market the whole island of Ireland. When one was trying to promote Ireland abroad, it was quite an irony to have to draw a line across this island, in some cases separating tourist attractions which are quite close to each other. I am pleased to note the new arrangement is working exceptionally well. It has helped the industry in this jurisdiction. Fáilte Ireland has replaced Bord Fáilte in looking after the home base. Bord Fáilte had an exceptional record, by any measure, in building up the tourism industry. I am sure Fáilte Ireland will continue that good work.

I am glad that a sense of getting back to basics has been evident in recent announcements made by the tourism industry. The basics to which I refer are the strong and exclusive things that make Ireland different as a tourist destination. Discerning tourists will not leave their own countries to come here if they think they will get a copy of what they have at home. I am reminded of a major tourism survey that was conducted 15 or 16 years ago. It highlighted the six main features of this island that attract people here. The first item on the list was this country's collection of national monuments. That should encourage us because our base of national monuments is so strong. It is important to note that Ireland's monuments are not confined to large urban centres of population. If tourists are prepared to travel to see a built heritage attraction, tourism business can be attracted to the most isolated parts of the country.

Traditional music and genealogy were also among the six features of this country highlighted in the survey to which I referred. While the first generation of the Irish diaspora has been replaced by the second and third generations, the willingness of tourists to come here to trace their roots has not changed. The interest of people of Irish extraction in coming here has been refreshed by the status of this country in fields like economics, sport, literature and cinema. The people in question are proud of Ireland and are keen to visit the source of that pride. The existence of the Irish diaspora, as a committed and captive audience, is one of the strongest tools we have at our disposal when it comes to tourism. As we try to sell Ireland in a competitive market, it is important that we have almost 40 million people of Irish extraction at our disposal in north America.

I have already mentioned the need to get back to basics. Ireland's confidence has been enhanced in many ways in the past ten or 15 years, which has given us a newfound willingness to emphasise those attractions that are exclusive to this island. That exclusivity is the biggest thing we can offer discerning visitors from other countries. When we are discussing value for money, which is an important issue, we must compare like with like. I am afraid that if one lowers the quality of the product one is offering, simply to be able to say one is providing better value for money, one will find it more difficult to attract the type of tourist that has been the mainstay of our success — the discerning tourist who comes to Ireland on a regular basis. I have seen that happening to some extent in the airline industry. I accept we are getting a good spin-off from that.

In these challenging times, we are lucky that huge sums of money have been already invested in our tourism infrastructure. We can build for the future from the infrastructural base that exists in urban and rural areas. We should feel more capable than many other countries of overcoming the difficulties that currently exist. Other countries do not have the same tourism base as Ireland because they did not make the same level of investment over the years. Above all else, they did not cultivate their heritage and culture as we have done. Everyone is singing from the same hymn sheet in that regard. Ireland's culture, heritage and literature strike a chord with people from other countries. I refer not only to the Irish diaspora, which is huge in itself, but also to many other people. Ireland is seen as an attractive specialised tourist destination. We can attract high spenders, who have a certain amount of finance at their disposal, as well as low spenders.

It is obvious that the character of the Irish tourism business has changed because many of the immigrant visitors to this island are working in the hospitality and catering sectors. I believe we can turn that to our advantage. In years gone by, the very thing that made us attractive, apart from the matters I have mentioned such as our scenery, was our people. Tourists often regarded their encounters with people who had the time to talk to them as one of the highlights of their visits to Ireland. I am confident, on the basis of our track record, the investment that has been made, our history and the potential we may have, that our tourism industry can overcome the difficulties it may encounter. We are well poised to cope with any competition that may come our way.

I welcome the Minister of State, Deputy Moloney, to the House. He comes from the same part of the world — the midlands — as my mother's people. I think he is a good Laois man. He does not have responsibility for this issue, given that he is a Minister of State at the Department of Health and Children, but I am sure he will winnow out the more sensible and trenchant remarks that are made and bring them to the attention of the relevant Minister. He is ably assisted by two officials. I know they will examine what we have to say.

I do not want to get involved in the dispute between the motion and the amendment. It is a classic example of the Wednesday night ping-pong that goes on in this House. Members on one side think the Government is wrong and Members on the other side think it is right. It is terribly boring. Good points have been made by Senators on both sides of the argument. It stands to reason that our tourism industry has been affected by the economic downturn and the fluctuations in currency, etc. We have held our heads surprisingly well in the circumstances. I will speak briefly about some of the things that have happened at the James Joyce Centre, with which I am involved, over recent years, including this year. I agree with Senator Ó Murchú, who is now in the Chair, that cultural tourism is at the heart of our tourism industry. He has played a significant role, through Comhaltas Ceoltóirí Éireann, in the development of traditional music, which now has a wide audience throughout the world.

I am concerned about some of the elements our tourism agencies promote. There is a role for stuff like key rings, mugs and tea towels, but it is all so blaringly obvious. We need to focus on what is distinctive about Ireland. I have often said that, in addition to traditional music, books and bricks are the two most distinctive things we have. People do not come here for the weather because they appreciate they will not get a suntan here. Nowadays, some people come here in their wetsuits to avail of our remarkably good surfing locations. Ireland's weather does not necessarily deter tourists. Many people live in very warm parts of the world, where there is sunlight all the time. They are sick of being scorched. Such people find the rain reasonably refreshing, which is curious. They are not as put off by it as we are. Our weather will not attract many tourists, however. It is our culture — by which I do not mean tea towels, key rings and drink — that will attract them. Please spare us from the drink culture. I am bored by it and tired of it. Its promotion does no good for our country. I refer to phenomena like the area of Dublin that was recently described as "Temple Barf". We have had enough of that.

Joyce is an international brand name which could not be bought, and we are lucky. We are different from the rest because we are the emerald isle, 40 shades of green were given to us and we have James Joyce, who is known all over the world. If one mentions Joyce, people think Ireland. If one mentions Ireland, people think Joyce. The name brings huge numbers of tourists to Dublin.

We established the James Joyce Centre approximately 20 years ago and we managed to repair the entire building, which was about to be pulled down by philistine authorities and the wonderful series of ceilings used as in-fill for the Poolbeg generating station. We rescued it. Our footfall has been consistent over the past four or five years at 17,000, which compares very favourably with the fully supported anchors such as the James Joyce Tower in Sandycove and the Dublin Writers Museum. The former is the setting for the opening section of Ulysses, yet the centre still attracts more visitors.

Until recently I was on the board of St. Patrick's Cathedral, which has experienced a downturn. It could not survive without tourists and it generates enormous revenue from them. We should re-examine support for historical ecclesiastical buildings. I understand absolutely the sensitivities associated with the separation of church and state, which I completely approve of, but buildings of international significance should be looked after.

It is terribly important that the James Joyce Centre stays where it is. We have a good plan and the Department has been extraordinarily helpful in this matter. However, the centre cannot be looked at exclusively in commercial terms. If it was commercial, it would close tomorrow. We have kept our side of the bargain and we have met all the required financial targets but unless we are supported regarding the building and Bloomsday is hived off, which would also be good for the city, with the building treated separately, the centre will be in difficulty. I recall talking to Bord Fáilte when Bloomsday was nothing. I told the officials that if they played this right, they would have an event similar to Mardi Gras. Bloomsday has evolved over 40 years and it is celebrated all over the world. I am invited to every city and I could go anywhere I want. I always stay in Dublin out of loyalty to the James Joyce Centre. The unique aspect of the day in Ireland is it has expanded to Blooms week. We shifted the readings from the centre to Temple Bar, which brings everything alive. Let us recognise it.

Genealogy is great fun. I love it but it is all hokum. I was involved in the Fitzpatrick clan society and it was immense fun. A number of enormously wealthy Yanks came over. They had a parchment scroll from here to Adam showing they were the kings of Ossory. One woman said, "Well in the midst of all this royalty, I guess I am one of the ordinary Fitzpatricks. I am Colleen Fitzpatrick. My folks left this here Queen's County, as they called it then, to go to New Orleans in 1847." She was like hell ordinary, given she was a senior NASA scientist involved in DNA testing. I rushed to the front of the room and said, "Open my veins. Take my blood. I sacrifice myself in the name of clan." I was despised, spurned and rejected because they wanted mitochondrial DNA. I volunteered my cousin who sent them a lump of spit in an envelope. It was returned and the letter was all X, Y, Z, as it were. He asked whether I understood it and I replied that I did. He said he was a doctor and he did not. I understood the only paragraph that mattered, which stated he was undoubtedly the last remnants of the ancient royal and noble family. This was rubbish. We are all descended from frogspawn but what a card to play at these gatherings. The following year I attended a gathering and the Yanks were not present. I asked what happened them and I was told it was a bit embarrassing. I said, "I like embarrassment. Do tell", and I was told they may have been from somewhere in near Asia. They were not even European. Genealogy is a wonderful card to play.

With regard to transport, the metro must proceed. I am glad taxis were deregulated because we now have taxis all over the place.

I refer to the Abbey Theatre. My first choice for this wonderful institution was for it to remain on its current site but apparently that was impossible. My next choice was the Carlton site but that has been loused up by property interests. It must not be allowed, therefore, to become a token in a commercial development on the Dublin docks. It should be in the GPO. I was told by officials that the theatre would not fit there. I am not an engineer but I visited DIT Bolton Street which has a school of architecture. The design of the theatre in the GPO is the final year project for engineering students. They have completed three dimensional modelling and have compared it with all the national theatres throughout the world. As Barack Obama said, "Yes we can." It would fit perfectly. They have arrangements for scene docks and so on. Imagine the connection with the cultural revolution and the relationship between Yeats, the theatre, Pearse and "A terrible beauty is born". Imagine as a project for 2016 to commemorate 1916 the opening of the Irish national theatre, the Abbey, on every television set throughout the globe, bang in the middle of O'Connell Street with the Luas, the metro, taxis, bicycles cars and every damn thing delivering people there. What a fantastic space. Watch this space; the people will prevail. The naysayers will be put back in their box and I hope, with the assistance of open-minded officials and the Minister, the Abbey Theatre will be located where it should be, on our prime street, O'Connell Street, for 2016.

It is difficult to follow that splendid contribution.

It was a wonderful contribution.

The learned Senator should become a Joycean tour operator for the city of Dublin, as he would make an excellent job of it.

I thank the Senator very much.

The Senator touched on nothing being done about other tourist attractions. In 1965 my mother opened a little farm guest house on Sheep's Head, 13 miles west of Bantry, at a time when there was little hope in the country. We had no electricity but we survived without it until 1977 and she reared 11 children. She did not have a telephone until 1967. She educated many of us through a simple tourism project in the middle of nowhere. Recently I came across an Irish Farmers’ Journal article about what she was doing at the time for tourism in which she was photographed. We have moved on light years from that and we are making major strides and doing very well.

I am concerned about the airport charges but they were mentioned earlier and I do not want to into the issue. Perhaps the Minister of State will deal with it when he responds. The airport in Cork is wonderful, despite the shenanigans over its debt and so on. In the current climate the new terminal building would not have been built. I use the airport regularly and I would like it to cater for transatlantic flights from Cork to the east and mid-west of America. That should be achieved as it would be wonderful for tourism in the south west.

I refer to health and fitness tourism. Senator Ó Murchú highlighted heritage tourism, which is wonderful, but the market is expanding for people who enjoy simple pursuits such as walking. I was involved in the establishment of the Sheep's Head Way. Last Sunday, I walked five miles through the mountains during a soft day in west Cork but it was pleasant. For every tourist who plays golf, three prefer to walk. We have the most wonderful, exceptional and safe walks throughout the country, which should be highlighted and promoted. This is the way forward. I am amazed by the number of young people who avail of these walks. The weather is not a factor because one can survive on a reasonably wet day wearing the appropriate gear. It is a healthy pastime. Walking provides a wonderful opportunity to promote remote parts of Ireland. I thank the Minister, the Department and the Minister for Community, Rural and Gaeltacht Affairs for the wonderful initiative they have adopted. In many remote disadvantaged areas, such as Beara, parts of Kerry, west Cork and Mayo where they have waymarked ways, farmers are getting a top-up in their REPS payment for maintaining the walks. That is co-operation and it is a positive way forward.

I am sure the Minister of State, Deputy Moloney, will not have heard of this but he might address it in his response. There is a wonderful feature coming to Bantry Bay in 2012 called the Atlantic Challenge. It was held in Finland this year. It is an international event covering a number of disciplines involving youth from the ages of 16 to 28. It is a mixture of rowing, sailing, safety at sea, navigation skills, etc. That should be highlighted and promoted as a wonderful attraction. Bantry has now been designated as a tourist hub and already we are seeing the benefits.

Being somewhat parochial again, I cannot forget the issue of the Cork-Swansea ferry. Technically, this comes under the remit of the Department of Transport, but no doubt the loss of this link for the past two seasons has been critical to the south west, to Cork and Kerry, given the amount of people who used it. In many instances the people who used it were from Wales and the British midlands. It is a terrible loss to the region from the point of view of tourism and commerce, and to the fishing ports and the container lorries that used it to travel to England and further afield. I ask the Department of Arts, Sport and Tourism to take a hands-on approach to this matter. I am aware that there are certain difficulties in trying to locate a ship. However, when I was elected chairman of Cork County Council in 1989-90 this ferry service was one of my commitments. I was fortunate enough to also become a Senator in 1990, and the ferry service was restored when this country was recovering from a sustained economic depression. We can still achieve such an outcome. It would be most regrettable if the ferry facility were not available for next year.

Marine tourism is another area which may have been mentioned already. For every yacht in Ireland — I do not refer to the yuppies — there are 500 in Australia, although perhaps that statistic has changed slightly. When one considers the position in France and elsewhere, the manner in which we in Ireland have neglected the area of marine tourism is regrettable. Thankfully, in the past four or five years Cork County Council recognised that. We in west Cork are in a wonderful position in that there is a little of it in Kinsale. From Baltimore, Schull, Crookhaven, Bantry and along the coast down to Dingle, there is not a decent marina, and yachting is becoming a popular event. My point is that marinas can be self-sufficient and can be built because those who can afford a £500,000 yacht can afford to buy a suitable berth. Marine tourism has potential where we have beautiful bays and inlets. In Schull harbour this summer there were approximately 160 yachts scattered over various moorings. We must develop this tourism potential. While we may be a bit late in the day, if we grasp the nettle in terms of marine tourism the benefits to the economy will be far-reaching.

I thank the Minister of State, Deputy Moloney, and thank the Cathaoirleach for allowing me to say a brief few words on tourism which is one of the success stories of the past decade that we cannot deny.

I welcome the Minister of State, Deputy Moloney, to the House. I will begin with my usual spiel when it comes to tourism. I also welcome the officials whom I know well.

For the Minister of State's information, I am an insider trader when it comes to this topic because I worked in the sector for nine years. I will gauge my comments as party spokesperson on tourism but I hope he will bear in mind that they will be based on what I think is in the best interests of the future development of tourism. I will use this opportunity to pick out certain areas that need to be promoted because I believe we are at a crossroads, and this is not just because of the international situation or the funding issue at home. We have had incredible success in tourism and it needs to be acknowledged. However, we all acknowledge there are some areas where we probably could have achieved more, there is an issue regarding products and there is an issue regarding regional spread.

The first issue to which I will refer is that of the markets. There has been a significant turnaround in the past year and the figures speak for themselves. The UK market is particularly worrying, and it needs to be addressed quickly. There is a related issue of competitiveness and how we market our product. From a competitive point of view, we need to change our stance.

Paul O'Toole, chief executive of Tourism Ireland has told me about the significant encouragement he is getting from eastern Europe. That is a welcome development which needs to be progressed further. Short breaks are the way of the future for us when it comes to the European markets and we need more investment in this area. Fundamentally, how we promote the short breaks is important. It needs to be localised. Much work has gone into this but it is worth expending greater effort in this area.

The United States will pose a problem, given the turnaround in that market and the currency issue. While Mr. Joe Byrne and his team over there are doing a good job, we must remember that the yield there is quite large. The creation of an area of advocacy was brought up during the Irish tourism review. I do not know where the proposal ended up but, when it comes to the United States market, that role needs to be encouraged more. I am not sure the proposal ended up anywhere.

The most important aspect of Irish tourism is maintaining the Irish experience. Despite some research, there is an issue here. Visitor surveys show that we need to ensure our way of life has not been detrimental to the Irish experience. While statistics say one thing, there is anecdotal evidence to show there is a particular concern in this area.

In terms of tourism, competitiveness is key in terms of value for money. Some 34% of people surveyed were not happy with our services, an increase of 10% in the past couple of years. We all know we have a problem in this regard, the issue is how to address it. Three areas that need to be addressed are food, hotels and green fees. We should not encourage and promote to the same degree those who charge golf green fees of €400 and €500 during the summer. Such fees are simply outrageous and do not contribute to the promotion of Irish tourism, and we need to acknowledge that.

I welcome Fáilte Ireland's review of the costs incurred in serving food. However, we need a breakdown not just of labour and raw materials, but of all ancillary costs, to determine how one can justify, certainly in large urban areas, passing on such charges to visitors. They see it as a rip-off.

On hotels, we must get real. I have said this a number of times to members of the Irish Hotels Federation. Bedrooms are a perishable product. One cannot use a bed-night a second time. The airline industry learned this lesson. There is a proliferation of hotels in this country. Seán Quinn, the chief executive of Fáilte Ireland, has admitted we have enough, if not too many, hotels. Many of them have been in trouble recently, and some have closed down. If they do not engage, like the airline industry, in selling those rooms to cover their overheads, they all will be in trouble. The idea that prices need to be maintained to keep a certain plateau needs to be thrown out. In modern times, it simply does not wash.

A number of areas in product development and marketing need to be addressed . I have heard all the stories about rural tourism, which in theory is close to my heart given that I am a Tipperary man. There is, however, no such product. What we really need is development of more products in rural areas. While some work has been done, we need to concentrate on developing tourism clusters, particularly around lake lands and areas where we can create activity-based destinations.

Regionalisation is important. From a tourism perspective we have been successful but from a regionalisation perspective we have failed. This will be important to the Minister of State, Deputy Moloney, who comes from a location near me. When I worked in the tourism industry, a comment that was made about tourism promotion was that we had a hole in the doughnut, namely, the middle of Ireland. Unless the role of Dublin Tourism is addressed we will always have this hole in the doughnut. Dublin Tourism is a fine organisation which does a fantastic job for Dublin but because access is through Dublin, it does not encourage people to go down the centre spine of Ireland. This needs to be addressed.

Domestic tourism is under-rated. It contributes a huge volume of visitors, particularly to the middle of Ireland. Approximately 70% of visitors to Offaly and Tipperary are domestically based. We need to encourage this and Government incentives could be provided with regard to marketing and product development. One of my bugbears is that we have a proliferation of tourism agencies. For a long time, I have suggested that the roles of Tourism Ireland and Fáilte Ireland overlap. I have personal experience of this and I know they overlap in areas such as golf. This needs to be addressed and I encourage the Government to do so.

We also need to examine funding from the Department of Community, Rural and Gaeltacht Affairs which overlaps in tourism, and the roles of Shannon Development, the Western Development Commission and various other agencies. I do not state we should get rid of them but an issue is raised with regard to overlap in what they do. Until this is dealt with we will never get the bang for buck for the amount of money we spend on tourism.

I wish to speak about the importance of the tourism industry to Ireland as we have known it and grown it and how we will progress it. The contributions made by colleagues are to be commended and I welcome the Minister of State, Deputy John Moloney, to the House. Earlier, I spoke with the Minister for Arts, Sports and Tourism, Deputy Cullen, and the Minister of State knows where is the hidden Ireland with regard to the beautiful midlands with its lake district, bogs, golf, music and the various attractions from the Rock of Cashel to the Shannon and the Seven Wonders of Fore — where I live — to Dun na Rí in Cavan.

As was stated, the figures are encouraging. During the first three months of this year 890,000 holiday trips in Ireland came from the domestic market. This is extremely encouraging particularly as we must look toward the domestic market in the coming years for tourists to come and enjoy what we have to offer in places such as Laois, Offaly, Longford, Westmeath, Cavan, Tipperary and Roscommon and the entire midlands area.

We are fortunate because worldwide, our music is a brand name. For how many countries is music a brand name? In his lifetime, the Acting Chairman, Senator Labhrás Ó Murchú, has done a great deal for Irish traditional music. He has been a shining example to motivate us to show our appreciation for the tradition handed down to us through the establishment of Comhaltas Ceoltóirí Éireann which occurred in my native town of Mullingar. Senator Camillus Glynn and the Acting Chairman are doing a great deal for Comhaltas Ceoltóirí Éireann.

The Acting Chairman has been also involved in all-Ireland fleadhanna which took place in the Taoiseach's home town for the past two years and which were shining examples. I attended a fleadh in Mullingar in 1963 and had the great pleasure of playing in the Clones fleadh in 1964 which almost marked the birth of Comhaltas Ceoltóirí Éireann.

Consider the worldwide success of Irish artists. Consider the great ambassadors they have been for our country in letting everyone know about this young, vibrant well-educated country where 50% of the population is under 35 years of age. Never more was this excelled than the night Celine Dion won the Eurovision Song Contest and Riverdance was born. What wonderful achievements the two great musicals, namely, Riverdance and Lord of the Dance, are. Michael Flatley and all associated with John McColgan and Moya Doherty, are the great creators and innovators and the ones who have done so much for our tourism throughout the world through the music of our country.

I wish to bring to the attention of the Minister for Defence, Deputy Willie O'Dea, and the officials that the world of dancing has become a phenomenon in Ireland. Approximately 2,000 go to Killarney for a Friday, Saturday and Sunday. They will go to Tralee in a month's time and to Bundoran or Castlebar to see Irish artists performing. They can enjoy themselves with dancing and they will fill hotels, have meals and entertain themselves with genuine popular Irish artists. This area is not given too much support at present but I want it considered for future funding.

As was stated, hotels have been transformed in Ireland. I have been in the hotel industry for a long time, since 1983, and most members of my family are heavily involved. I handed it over because I wanted to become a full-time politician in 2003. The Government transformed the industry by providing capital allowances to allow people to build hotels and provide the best standards to the tourists. We know that one does well to have a profit margin of 5% or 6% and then one must pay taxes. It is an extremely long-term investment for high services. It creates jobs, with perhaps 50 or 60 people employed. The Greville Arms in Mullingar employs 100 people. They are all little factories in themselves which keep communities together and money is spent in the community area.

We have excelled in this and I congratulate successive Ministers with responsibility for tourism and Governments which have provided us with this opportunity. Hand in hand with this we have grown the concept of golf. We have 440 golf courses in Ireland, with some of the best, if not the best, in the world with regard to links courses such as Ballybunion, Portmarnock, Royal County Down, Enniscrone and we also have Esker Hills, Glasson and Slieve Russell. We have beautiful, magnificent world-class golf courses and — a dream come true — one of our own has won back to back opens in the same year. This was never before achieved by a European and Padraig Harrington deserves our congratulations. He is the best ambassador we could possibly have to show a shining example that not alone are we building courses but we have one of the best golfers in the world. We look forward to many more of his achievements.

I congratulate Dublin Tourism and Fáilte Ireland for all they have done but my hero is Michael O'Leary. I remember when Castlepollard was in a county hurling final and if the game was a draw my friends could not afford the return flight home from England for the replay of the match. Now, people can go anywhere in England, western Europe and eastern Europe and Michael O'Leary has made it possible for them to come home. Fair comment for a local man down the road and our congratulations must go to him for making air travel competitive. Maintaining competitiveness is the greatest challenge. Mr. O'Leary has opened up Europe and I look forward to the further opening up of eastern Europe. The latter represents a substantial market in which we can excel.

I am proud to come from a county that has produced, in Athlone, John McCormack, and, in Mullingar, Joe Dolan. As Senator Norris observed, the geniality factor is enormous, particularly for our friends in the United States. We have a claim to John F. Kennedy, Ronald Reagan, Bill Clinton — whose mother was a Cassidy — and now Barack Obama, who we hope will visit the Taoiseach in his native county of Offaly. Including the Cathaoirleach, three Offaly men occupy the highest positions in their respective spheres both in Ireland and in the United States. We look forward to the inauguration of another of our ancestral sons in the White House in January.

As I said on the Order of Business, I support the proposal to relocate the Abbey Theatre, if it is to be moved from its current location, to O'Connell Street. My friends in Castlepollard do not have to be told why O'Connell Street is the ideal location. It has all the necessary services, including tram services and proximity to train services. I support the proposal to locate the theatre in the GPO. However, there is no necessity for it to be based in the front of the building; instead, it could be located on one of the side streets. We should remember that RTE commenced operation from the GPO. Our forefathers gave their lives so that we could have the opportunity of free speech, and their struggle reached its climax in that building. There is no better place.

I wholeheartedly welcome everything that has been done in the area of tourism. However, much remains to be done and it is up to us to be the leaders, as we have been for the past 15 years in terms of our economy, in promoting our country as a tourist destination into the future.

I welcome the Minister, Deputy O'Dea, to the House. I support the Fine Gael amendment, which seeks to curb the exuberance of the Fianna Fáil motion and to commend courses of action that will enhance our tourism product in the future. To say all is well with our tourism industry is not accurate. The statistics are stark. In the month of August, for example, there was a 17% drop in visitors from Britain and a 10% drop in those from the United States. These are alarming figures. There was an overall reduction of 8% in the number of visitors in the month of July. The tourism industry is faced with significant threats and challenges. All I can say to my good friend, the Leader, and my colleagues on the other side of the House is to paraphrase Ronald Reagan, "It has happened on your watch."

The reduction in the numbers of tourists from Britain and the United States raises the question of what we can do to alter this decline. The Acting Chairman, Senator Ó Murchú, made reference earlier to the importance of the 47 million people who constitute the Irish diaspora in the United States and the millions of others of Irish extraction throughout the world. We must come up with more imaginative and consistent ways to market Ireland among the diaspora. We must look more closely at targeted marketing via direct mailshots, e-mails and every other form of direct communication in establishing links with these populations. We should use our sports and music stars, as well as political figures, in these initiatives. St. Patrick's Day offers a great opportunity for such activities, but we must seek out similar opportunities on every occasion. We should think outside the box to find ways of reaching out to people of Irish ancestry.

I attended a meeting of the Cavan Association in London some days ago. Several county associations were involved and it represented an obvious marketing opportunity. While some Irish people living in Britain come home regularly, there is potential to delve further into that market. I urge the Minister, Deputy Cullen, to examine what further steps can be taken to develop links with the Irish abroad. Not enough is being done in this regard.

Given that the Government was so eloquent in its claims of responsibility for the Celtic tiger, it must equally accept responsibility for the inflation figure of 4%. This presents a difficulty for tourism, with visitors often citing costs as an issue. A cost benefit analysis of the proposed €10 air travel tax should be undertaken. It may well present a difficulty, particularly for those on return trips, given the popularity of cheap flights. We must consider whether moneys accrued from this charge may be cancelled out by the potential loss of tourism revenue. It is an ill conceived initiative in that it impacts on a multitude of low-income visitors. I am not convinced it is the right approach to take.

Many speakers referred to the great potential that exists in cultural tourism. I acknowledge the Acting Chairman's significant contribution in this area. I am proud to say I initiated a Percy French society in Cavan, making the link between Cavan and Roscommon, organising festivals and so on. We made sure the places in which he had lived were marked. That achieved much in terms of increasing tourist numbers to the locality. We should do more in the area of cultural tourism, including literature, music, the arts generally, including cultural festivals based around historic figures such as Percy French, Bishop Bedell and Patrick Kavanagh. Some work has been done in this regard but further opportunities exist in cultural tourism and the flagship events associated with it. Likewise, there is great opportunity, in the context of my earlier point about the diaspora, in the idea of clan gatherings.

Every county and every area should have a flagship tourism project, which is vital in increasing tourist numbers to those areas. More should be done to expand this sector. In this context, I was pleased at the recent achievement of Geopark status for the area around Blacklion in County Cavan. I was also pleased to learn that the Castle Saunderson project for Scouting Ireland is to progress. The latter was the subject of an Adjournment debate which I initiated some months ago. That project has the potential to encourage many youngsters from various countries to become regular visitors to Ireland.

We have many excellent hostelries in this State. Contrary to what was said by a previous speaker, the demise of the Irish pub represents a serious threat to tourism. Senator Norris said he did not favour the presentation of a stereotypical image of Ireland as a place with a drinking culture. We all agree with that but the Irish pub is a unique establishment and it had enormous potential. Something will have to be done to revive the Irish pub, such as providing alternative ways of ensuring local people can get to the pubs. It was the local characters who made the Irish pub an attraction to visitors, and we must be careful in dealing with this issue.

I am pleased the House is discussing this matter. It merits many further hours of discussion because it is not possible to do it justice within the time constraints. I urge the Government to accept the amendment as a realistic assessment of the difficulties in the industry at present and the need for the Government to be more proactive in dealing with them.

I welcome the opportunity to speak on this motion on tourism. We should note the impressive figures for the number of overseas visitors to this country. The number exceeded 8 million for the first time in 2007, an increase of more than 33% since 2001. That is a most impressive statistic and the Government and the State agencies involved in this area are to be commended on the work and focus that has been brought to this important sector of our economy.

However, we are entering difficult times and it will be necessary to re-examine the strategies we are using. In a time of economic downturn tourism will be an extremely important sector. Visitor rates might be affected and we might find it more challenging to attract long distance visitors in particular. We will have to examine how we can refine our strategy in this area to ensure we will continue to have the same success we have enjoyed in recent years in attracting visitors to the island.

Ireland is an attractive and scenic island. Its landscape and built heritage attract visitors. We have a strong literary and musical culture and a strong sense of our history. All these factors have resulted in visitors being keen to come here and experience the culture. Some Members have referred to the number of people who fly into this country. Dublin Airport is considered one of the busiest in Europe and is an important hub. However, we must consider the issue of rising energy prices and the fact that the low cost air travel that is available at present might not continue to be available in the foreseeable future. The Green Party believes we must focus to a greater extent on the European and domestic markets. When energy prices are high we must be realistic about how far visitors will be prepared to travel.

Dublin city is and will continue to be a great magnet for tourists. There is a very strong sense of heritage in the city. Its built environment is important and our planning policies have increasingly protected that environment in recent years. There are historic parts of the city but there are also new and emerging parts of the city that have more modern architecture. This is happening in a way that allows the newer developments to sit comfortably beside the more historic parts of the built environment, which is welcome.

We must consider how to make the city more attractive by looking at best practice elsewhere and seeking examples of best practice among the leading cities in the European Union. Many prominent European cities have gone green. Going green means embracing, in a wholehearted way, eco-tourism, which is a growing trend that is increasingly popular with consumers. The city of Freiburg in Germany is a good example of a city that has promoted and developed eco-tourism. We can learn from that city and a number of others in Europe.

It is a gorgeous place.

What would greening Dublin mean? For a start it would mean improved cyclist and pedestrian facilities. That requires more cycle lanes and the new free bicycle scheme that is due to be introduced early next year. We will know Dublin has truly arrived as a European city when it is as easy to cycle around the city as it is to drive. Unfortunately, at present people are taking their lives in their hands in certain instances when they choose to cycle in the city. That should not be the case. We must make space on our roads for cyclists and encourage more people, both tourists and residents, to cycle in their daily lives. Providing cycle lanes will be important in that regard.

The free bicycle scheme will be an interesting experiment. Other political parties have been critical and alleged that the bicycles will end up dumped in the Liffey and so forth. We must trust that Irish people will recognise what a valuable convenience it will be to be able to pick up a free bicycle at one point in the city, cycle to another point and leave the bicycle there. I believe that facility will be welcomed by many people, particularly late at night when they are trying to get home and are unable to get a taxi. These are positive initiatives that must be pursued. In the budget this year the Government allocated €5 million to the development of cycle lanes in Dublin. That is a positive development.

There also must be more high quality public spaces in Dublin city, particularly to host cultural events. I commend the Festival of World Cultures, which has taken place for a number of years in Dún Laoghaire. It is a good example of how public spaces can be used to host cultural events which attract a growing following every year. Dublin city has events such as the St. Patrick's day parade and other cultural events which are a core part of tourist activity in the city. Improving public spaces in Dublin city is important.

Traffic management and control are also important. This is a contentious issue but everybody who lives in Dublin is aware that in recent years the city has become increasingly congested and often grinds almost to a halt. We must recognise the impact this will have on tourism, whether it is tourist buses trying to get around the city or visitors trying to drive from one place to another. We will have to bite the bullet and examine approaches to managing and controlling the volume of traffic in the city.

We must also make Dublin more family friendly. There must be more focus on local parks and playgrounds. I visited New York recently and was struck that Manhattan, despite being a city with a high population density, has many urban parks that are available to families with young children. In Dublin, we must give more thought to this issue. The families who visit the city, in addition to the city's residents, would greatly appreciate the availability of local parks and playgrounds.

We should make the most of the River Liffey. It is an important asset for the city. We must develop the attractions that are made available on boats, barges and so forth. We must also examine the development of local markets. Again, there is great interest in food markets, particularly in other European cities. Ireland has been always strong in local food production and we have seen the emergence of an increasing number of farmers' markets in recent years. These should be encouraged. Alongside the markets there should be a system of allotments. It is the allotments, which have now gone out of fashion, that encourage food production in urban areas. The new name for allotments is "community gardens", and they encourage communities to get involved in producing food in their local areas. There can be a link between the community gardens and the local markets. All of this is a tourist attraction as tourists are interested in seeing such activity.

Public transport must be improved. It is important that the metro project that is planned to extend to Dublin Airport proceeds despite the economic circumstances. We must also increase the number of buses on our roads and connect the two Luas lines. These developments are most important.

I wish to refer to the hinterland of Dublin. We cannot forget the importance of providing recreational opportunities for tourists in the hinterland areas of Dublin, such as the Dublin Mountains, Bray Head and the Sugarloaf. My colleagues in Bray Town Council have secured a special area order designation for both Bray Head and the Sugarloaf. These are extremely positive developments as they will protect and preserve those areas for recreation and as amenity areas. That will be particularly important for tourism in the future.

We must make the most of the cultural options provided by the new non-Irish populations, especially in Dublin city. New cultural quarters are emerging informally and they should be developed to prove Dublin is a truly multicultural city and to provide different cultural experiences for visitors.

I thank everyone who contributed to the motion and I have no doubt the queries raised will be brought to the attention of the Minister by his civil servants.

Is the amendment being pressed?

It is being pressed. I am under instruction.

Amendment put.
The Seanad divided: Tá, 17; Níl, 24.

  • Burke, Paddy.
  • Buttimer, Jerry.
  • Coffey, Paudie.
  • Coghlan, Paul.
  • Cummins, Maurice.
  • Donohoe, Paschal.
  • Fitzgerald, Frances.
  • Hannigan, Dominic.
  • Healy Eames, Fidelma.
  • Kelly, Alan.
  • McFadden, Nicky.
  • Mullen, Rónán.
  • Norris, David.
  • O’Reilly, Joe.
  • Regan, Eugene.
  • Ryan, Brendan.
  • White, Alex.

Níl

  • Boyle, Dan.
  • Brady, Martin.
  • Butler, Larry.
  • Callely, Ivor.
  • Cannon, Ciaran.
  • Carty, John.
  • Cassidy, Donie.
  • Corrigan, Maria.
  • de Búrca, Déirdre.
  • Ellis, John.
  • Feeney, Geraldine.
  • Glynn, Camillus.
  • Hanafin, John.
  • Keaveney, Cecilia.
  • Leyden, Terry.
  • McDonald, Lisa.
  • Ó Domhnaill, Brian.
  • Ó Murchú, Labhrás.
  • O’Brien, Francis.
  • O’Donovan, Denis.
  • Ormonde, Ann.
  • Ross, Shane.
  • Walsh, Jim.
  • Wilson, Diarmuid.
Tellers: Tá, Senators Paul Coghlan and Maurice Cummins; Níl, Senators Déirdre de Búrca and Diarmuid Wilson.
Amendment declared lost.
Motion agreed to.

When is it proposed to sit again?

Ag 10.30 maidin amárach.

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