asked the Minister for Finance if he is aware that the price advantage enjoyed by British biscuit manufacturers over Irish Biscuits Ltd. is contributed to by the VAT imposed and that the present rate of VAT is a threat to employment in Irish Biscuits Ltd.; and if he will review the position.
Written Answers. - VAT on Biscuits.
384.
I am, of course, aware of the effect of VAT on any underlying price differences between products, whether biscuits or other goods. While I am sympathetic to the difficulties being experienced by particular manufacturers, such as the company mentioned, any easing of their VAT position can only be considered in the context of a general review of VAT rates in the course of budget preparations. It must be appreciated, however, that the same rate of VAT must apply to imported and home-produced goods of the same kind.