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Dáil Éireann díospóireacht -
Thursday, 4 Dec 1947

Vol. 109 No. 4

Ceisteanna — Questions. Oral Answers. - Tea Imports.

asked the Minister for Industry and Commerce if he will state the reasons for the decision to import tea supplies to this country direct from Ceylon and India; if he is aware that tea, in these places, is purchased in competition with substantial British interests, resulting in very high prices; and whether he consulted the interests concerned here before the change was carried out.

Prior to the war the bulk of the Indian tea supplies to this country was obtained through British merchants. During the war period and up to December, 1946, Great Britain obtained the exportable tea available in India and Ceylon under a bulk purchasing arrangement with the Governments of those countries. The teas so purchased were allocated by the International Emergency Food Council, the supplies for this country being included in the British re-export allocation. I informed the Dáil on June 21st, 1945, of my intention, in view of our experience in regard to tea supplies during the war period, to take steps as soon as might be practicable to arrange for the purchase of this country's tea requirements in future in the countries of origin by Irish firms and to have them imported here on through bills of lading. A decision made late last year by the Governments of India and Ceylon to terminate the arrangement regarding bulk sales and to allow tea to be sold freely as from January 1st, 1947, resulted in Great Britain being no longer able to supply tea to this country and, accordingly, it became necessary for me to make the alternative arrangements immediately. After consultation with representatives of the Irish wholesale tea trade I decided that the Government-sponsored company, Tea Importers, Limited, should purchase in India and Ceylon and import direct a quantity of tea sufficient to enable tea supplies to be maintained for a considerable period ahead.

I am aware that following the resumption of public sales of tea in India and Ceylon the increased world demand, together with the reduced supplies in producing countries, caused a marked increase in prices, which was further aggravated by the imposition of export taxes by the Governments of India and Ceylon.

asked the Minister for Industry and Commerce if he will state, with reference to tea imports to this country: (a) the quantity supplied from the London market and the cost price per lb. landed here; and (b) the quantity supplied from Ceylon and the cost price per lb. landed here.

In the absence of any indication as to the import period he has in mind, I am unable to give a reply to the Deputy.

asked the Minister for Industry and Commerce whether, having regard to the serious unemployment which has followed the new arrangements for the import of tea to this country, he is prepared to revert to the former system of securing supplies through the agency of British tea merchants.

I am not aware that there has been any serious unemployment as a result of the introduction of the present system under which this country's tea requirements are purchased in country of origin and imported direct.

I am not prepared to revert to the former system of securing supplies through British tea merchants, or agents.

Does the Minister intend to make any statement as to what he is going to do about the supplies of tea that were in the hands of merchants when he knocked 2/- a lb. off it?

That is a separate question.

Is the Minister going to do anything about the matter?

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