Dáil Éireann díospóireacht -
Tuesday, 5 Dec 1995

Vol. 459 No. 3

Written Answers. - Closure of Cavan Firm.

Brendan Smith

Ceist:

168 Mr. B. Smith asked the Minister for Enterprise and Employment the specific action, if any, he will take to prevent the closure of Iduna Ireland Limited, Kingscourt, County Cavan, in view of the valuable employment provided at this factory and the difficulties and hardship that such a closure would cause to employees and to the local economy; if he will ensure that every effort will be made by all State agencies to have a replacement industry in place as quickly as possible if it is not possible to retain the current project; and if he will make a statement on the matter. [18286/95]

Minister for Enterprise and Employment (Mr. R. Bruton)

Due to increased competition from the Far East and high production costs in Europe, Iduna NV, the Dutch owners of Iduna Ireland Limited decided to rationalise their worldwide operations. As a result, the company advised IDA Ireland earlier this year that they intend to close the Kingscourt plant. At the request of IDA, Iduna deferred closure until the end of the year and the plant is now scheduled to close on 22 December 1995.

I have asked the State development agencies to do everything possible to find a replacement industry for Kingscourt. In this regard the overseas and regional offices of IDA Ireland have been informed of the impending closure of the facility and the availability of a skilled workforce.

IDA Ireland is making every effort to seek a new investor for this facility. Interest has been expressed by a number of potential investors and the IDA is currently engaged in ongoing discussions with one of these investors. I should add that both IDA and Forbairt are continuing to promote the Kingscourt area as a suitable location for further industrial development.