andJ. Lynch asked the Minister for Industry and Commerce if he will state in respect of the latest 12 month period for which statistics are available (a) the quantity and value of waste paper imported, the average price per ton paid for such imports, and the cost per ton on arrival at the paper mills, and (b) the average price per ton paid for waste paper collected in this country and the average cost per ton on arrival at the paper mills.
Ceisteanna—Questions. Oral Answers. - Waste Paper—Imports, Collections and Prices.
During the 12 months to February, 1956, 488,769 cwt. of waste paper, of a total value of £341,590, were imported into the country. The average price paid for these imports was about £14 a ton and the cost on arrival at the paper mills was about £14 10s. a ton.
The price paid for waste paper collected in this country varies according to the quality of the paper. From inquiries which I have made, I understand that the price paid at present for household waste paper is from £4 a ton upwards. After sorting, grading, cleaning and baling, this waste paper is sold to the paper mills at about £8 10s. a ton. Prices of better types of waste paper received at the paper mills may be as high as £15 a ton.
andJ. Lynch asked the Minister for Industry and Commerce whether he is aware that a great voluntary effort was made in Cork to collect waste paper with a view to helping the Church building fund and providing raw material for Irish paper mills, and, if so, why the importation of dearer material was allowed while plenty of cheaper raw material collected in this country was available; and if he will take steps to prevent such importations in the future.
Imports of waste paper by the paper mills were necessary to supplement the quantities available from home sources. The present reduction in the demand by the mills for waste paper has not been caused by imports but by the fact that the mills are experiencing a considerable falling-off in the demand in export markets for the products manufactured from waste paper. In these circumstances, the elimination of imports of waste paper would not solve the problem. I am advised that imports of waste paper have been very substantially reduced and that they are now at the minimum level consistent with existing contracts and with the maintenance of essential export connections. Investigation of the position has not, however, yet been completed and the possibility of finding an outlet for all supplies of waste paper available from home sources is being explored.
Is the Minister aware that two years ago the directors and management of the Waterford Paper Mills invited all the local authorities to Waterford to inspect the mills and to engage in a campaign to collect waste paper? We were told they were bringing it as far as America at the time and that they had orders booked up for the export of the product up to two years. It seems very strange that this change has come about so suddenly and that the imports could not be stopped sooner than they were, so as to allow of the native collection.
Surely the Minister does not suggest that the great amount of waste paper imported has no bearing whatever on the collection of waste paper in this country?
That is an argument rather than a supplementary question.
This is an extremely difficult problem and it arises in the main from the fact that those who can use the paper not only have excess stocks on hands, but the demand for the product made from the waste paper is not as great now in the export market as it previously was. The position at the moment is that the only imports of waste paper arriving here are those which are essential because of the quality of the waste paper or which are coming in in fulfilment of a contract made with an outside firm which is still current. No other type of waste paper is coming in here at the moment.
The Deputy will appreciate the change which has taken place when I tell him that the quantity of waste paper imported in July of last year was 3,196 tons, whereas at the present moment the quantity imported is about 500 tons, clearly indicating that so far as the firms using this paper are concerned, they have sufficient stocks in the country to meet their main requirements and they are importing only the special paper or on fulfilment of contract.
Is it not a fact that this position has arisen through the large importation that took place last year? The Minister is aware that, between January and December, 1955, waste paper to the value of £347,000 odd came into this State. Whether portion of that was of a high grade paper, or not, I shall not dispute, but the Minister should be aware that there is high grade waste paper available in this country at the moment which is not being purchased by these mills. In view of that, will the Minister consider an embargo on the importation of all waste paper at the moment, irrespective of contracts that may be entered into?
If I were to do that, in the case of one large user of this paper, it might result in their losing a very valuable order, in which case they might need no Irish waste paper at all, if they were to repudiate a contract which is now current with a firm which takes a substantial quantity of the finished product. I want to look at the matter from another point of view to see whether or not it is possible to provide an outlet for the accumulated waste paper, but in recent months much more waste paper has been collected than at any time previously. The problem, in the main, arises from a greater collection of waste paper in all kinds of areas throughout the country and that impacting upon a situation in which the demand for the finished products on the export market has fallen off.
Will the Minister see that only the very minimum quantity is imported in future?
I should be most happy to do that and I want to see if I can find a solution for this problem along the lines of permitting export of paper, if a market can be found for it and if it is not possible to absorb it here.