asked the Minister for Industry and Commerce if he will make a statement on the tangible advantages to the Irish footwear industry which have resulted from the visit of the EEC working party to this country.
Ceisteanna—Questions. Oral Answers. - Footwear Industry.
7.
As a result of their examination of the Irish footwear industry, the EEC Commission have come to accept that the industry is faced with exceptional difficulties but that nevertheless the requisite conditions exist in Ireland for the maintenance and development of such an industry.
As the Deputy is aware, certain measures have already been taken, with the Commission's approval, to help the industry. A surveillance system on imports of footwear was introduced on 12th June, 1975, and on 12th July, 1975 an import duty of 10 per cent was applied to imports of footwear with uppers of leather originating in the United Kingdom.
Though there is a degree of stability in the footwear industry at the moment, the available statistics indicate that the measures I have mentioned have not as yet resulted in any reduction in the overall level of imports of footwear.
The EEC Commission have undertaken to consider the mobilisation of all means at their disposal, and in particular those available in the social and regional fields to support the reorganisation of the footwear industry in Ireland. In this connection I have commissioned a firm of management consultants to draw up a rationalisation plan for the industry which will be submitted to the Commission.
Is the Minister aware that since the time of the working party the footwear industry has continued to deteriorate rapidly and that in my constituency the number of redundancies is considerably greater than what it was last year? Recently we heard of 200 further redundancies in one factory. Has the Minister any practical proposals to stem the rate of redundancies and to prevent the further closure of factories?
As I have indicated to the Deputy, I have the undertaking of the Commission that all means at their disposal, particularly the means available from the social and regional funds, will be used to support the reorganisation of the industry here. These proposals are being drawn up.
The Minister will agree that it will be some considerable time before action can be taken so that any such measures as may be taken will not save the jobs of many of those who are in danger of being made redundant? Would he not agree, too, that the measures taken to date have been relatively ineffective and that any system of solving the problem would be a slowing-up process rather than a stopping of imports from outside? Can he state whether he has any immediate plans to try to ensure that there will not be further redundancies in the industry?
May we have a brief question, please?
The situation of the past couple of years has had a detrimental effect in my constituency.
The Chair would endeavour to dissuade the Deputy from making statements.
When the Deputy says that the proposed reorganisation in regard to the Commission's social and regional aids will not act quickly I agree with him but it is fair that I should say that the commitment of the Commission to using their regional and social organs in relation to our industry is a commitment to the future of that industry and that this commitment has a stabilising effect on existing companies. The further studies that are in progress are specific studies for reorganisation. These are well advanced and, like the commitment I have referred to, also have a stabilising effect.
I understand and share the Deputy's concern for the industry. I am aware that his own constituency has suffered severely in this regard but the commitment regarding the social and regional funds and the promised reorganisation plan are a guarantee in the long term for the future of the industry.