asked the Minister for Tourism, Fisheries and Forestry the number of meetings which have been held by the committee established by him to examine whether distortions of competition and trade are occurring in the timber industry; if the committee have reported to him; if he proposes to take further action; and if he will make a statement on the matter.
Ceisteanna — Questions. Oral Answers. - Timber Industry.
36.
I understand that the committee have met on five occasions since their inaugural meeting on 27 March last. I have not yet received a report from the committee and pending receipt of such I do not wish to comment on the matter.
Can the Minister give any indication of what brief he gave to that committee when they were established and whether he asked them to submit a report to him within two months? It is gone way beyond that time now. Has he contacted the committee even in the interim to get any indication of their views as to how this problem can be dealt with?
The terms of reference of the ad hoc committee are to examine and investigate the problems that have arisen recently in regard to the sale of timber from State forests to sawmills South and North of the Border under the forest and wildlife service tender and quota systems, to identify whether distortions of competition and trade are occurring and, if so, the factors giving rise to such, to make appropriate recommendations in the matter and to submit a report to the Minister for Tourism, Fisheries and Forestry within two months. The committee held their inaugral meeting on 27 March, as I said, and the most recent meeting was held on 6 June. They are due to meet again on 18 June and they will require at least one further meeting before reporting to me.
Can the Minister give us any indication of the direction in which the committee are going? Have they discovered major distortions which are creating this problem that is alleged to be taking place? Surely the Minister is aware that in one area alone, for instance, the price of fuel, there is a major difference now between the cost of diesel and petrol in the North as against here and that that alone is a major factor enabling these companies to come in here and compete in a more favourable position than our millers here. Are areas of that nature militating against the industry and creating difficulties for the sawmills here and forcing them to lay off people almost every day?
I think the Deputy is making conclusions on the outcome of the report before even I have got the conclusions. I do not intend with, I understand, only a short time for the committee to report to me, to give out any information on what their conclusions might or might not be. However, I can tell the Deputy that the amount of timber which has been purchased by Northern processors in the Republic since the inquiry commenced has been negligible. Only timber which was already tendered for before this committee were set up has been taken out of this country as far as I am aware. As regards any new tendering——
That concludes Question Time.
I want to finalise this because it is a very important issue.
If you have a short question.
We have not had very much time for forestry questions and these are very important issues. Can the Minister indicate whether it will be possible for fairly substantial amounts of timber to be purchased by people here for Northern mills which do not show in the figures the Minister has quoted us here?
I do not agree that that is accurate. Of the amount of timber purchased by sawmillers here under the tender system of whatever, only a very small proportion is exported North of the Border. This is the information I have been given by the technical experts in my Department. Only a very small, insignificant amount goes North of the Border.
The Minister will be aware that the allegation about the competitive position of the Northern firms as against businesses here has been that in energy costs, and a number of other areas, they have subsidies which are not available to the industry here. Has the Minister any information about the value of the grants-and subsidies which are being paid to the millers in the North by the British authorities which are giving them the competitive edge over the industry here and how that is affecting the capacity of the millers here to compete with them?
This is exactly why I set up this ad hoc committee, to determine exactly what the differences are between the competitiveness of North and South sawmillers. That is what the committee will report to me on. As I have said, in the meantime the timber being purchased through the tender system, which is the normal system with my Department, has been practicually nil to my knowledge since I set up the committee. Since the committee were set up nothing has been happening in this area. I will be quite prepared to give the Deputy this information as soon as I can get it.
Finally, can I get any indication from the Minister as to whether he has had any meeting with the ad hoc committee since they were established, or does he propose to have any meeting with them in the forseeable future?
I had the inaugural meeting with the committee. I would not presume to interfere with their operation, having set up the committee for a specific purpose. As soon as they are in a position to produce their report to me, I will be meeting them and if they wish then to have any discussion with me on the basis of that report I will be available to have it with them.
That concludes Question Time.