asked the Minister for Industry, Commerce and Energy the reason for the 28 per cent increase in the price of factory lime approved by the National Prices Commission recently; when it took effect; when it was announced; when the last increase took place; the distribution of allowable costs on which the increase was based between labour, import costs and profits; and the likelihood of a further increase within the next 12 months.
Written Answers. - Lime Price Increase.
71.
Factory lime is a by-product of sugar manufacture and is produced by Comhlucht Siúicre Éireann Teoranta during the sugar manufacturing campaign in the period October-January of each year. Sales of factory lime represent only 0.07 per cent of the company's turnover. The increase approved in the price of factory lime was recommended by the National Prices Commission following their detailed examination of a price increase application from Comhlucht Siúicre Éireann Teoranta.
Factory lime is sold to the farming community at the cost of piling, loading and delivery and there is no provision in the price structure for the cost of the manufacturing process in its production or for any profit on the product. The latest available trading accounts in relation to factory lime have revealed that the company are continuing to make a substantial loss on sales of this product and it was on this basis that the National Prices Commission recommended, and I approved, the price increase. The company were informed of my decision on 27 July 1978.
Details of the price increase were included in the Appendix to the July 1978 Report of the National Prices Commission, which was published on 13 October 1978. As is the normal practice, no other public announcement of the increase was made by my Department. I understand from Comhlucht Siúicre Éireann Teoranta that, to date, the price increase has been implemented in full only at their Tuam factory and in part at their Mallow factory.
The last increase in the price of factory lime—56 per cent—was approved by my predecessor in July 1976 and took effect from the following October.
I have no indication when the next application of an increase in the price of factory lime will be made by Comhlucht Siúicre Éireann Teoranta.