Vol. 482 No. 5
9 Mr. McDowell asked the Tánaiste and Minister for Enterprise, Trade and Employment the further steps, if any, she has taken to secure a replacement industry for Cork in view of the postponement by Seagate Limited of their 1,000 job plant at Ringaskiddy; and if she will make a statement on the matter. [18344/97]
The issue of a replacement industry does not arise since Seagate has merely announced the postponement of its Cork project.
I have been keeping in close personal contact with the Seagate company and the IDA in the matter, and I met Seagate senior management on both my recent visits to the United States — in late August and last week. I have been assured by the company that this is a postponement of the project to review changes in the market for its products — data storage discs. It is important to stress that this is not a cancellation but a mere postponement.
On 15 October the Tánaiste told me that it was, in fact, a postponement. She saw the executive vice president of Seagate on Friday, 3 October. The question now is: when is the company coming to Ireland? The Minister continues to tell us this is merely a postponement. We were talking earlier about unemployment black spots. The north side of Cork city in particular is certainly one of those black spots. Unfortunately, my party does not have a parliamentary representative in that city, but there is a crying need for an industry such as this. Will the Minister give an assurance to the House that Seagate will come to Ireland and will she give the date the company will start up on the site in Ringaskiddy?
I met representatives of the company on two occasions, last Monday week and at the end of August. I cannot say when the company is coming to Ireland. Its representatives told me the project has been postponed for six months. We are talking about a very competitive industry, as the Deputy knows.
Are they just being courteous to the Minister?
I do not believe that is the case. The company has to review its position in the market place and its products. In the electronics field, as the Deputy knows, products and processes change every 12 to 15 months; it is a fastchanging industry. The company's representatives have assured me this is merely a postponement and all I can do is accept their word, which I am happy to do. Our experience with this company in the past has been a good one and its Cork project is very much part of their plans for the future.
I accept there are high levels of unemployment in Cork as there are in other regions. The Government is committed to regional development. By the end of this year, particularly between September and December, a record number of new projects will have been announced for Cork. There are a number of new projects in the pipeline. Cork is very much at the top of our agenda, as are other provincial cities and towns. We are determined to have an even spread of development throughout the country.
If the Minister accepts the word of the vice-president, would it not be important for the people of Cork that she ensure substitute arrangements are put in place with regard to replacement industries if this project does not go ahead? People's hopes have been raised and now dashed. Young people in particular about to enter the labour market are upset by this development. Will the Minister give us an assurance today that if this project does not go ahead she will identify a substitute project to replace it? There are many technology companies on the west coast of America anxious to set up in Ireland.
In light of her discussions with the vice-president and the fact that these jobs might only be postponed for six months, will the Minister indicate if she sought an assurance that other proposals are in the pipeline which can accept these 1,000 jobs? For example, has the company prepared a planning application and is there sufficient floor space for these additional jobs? That would give us some sense of assurance that these jobs have merely been postponed and not cancelled. Did the Minister get any such assurance from the company?
The company has completed the planning process but it is not proceeding with the construction until they come closer to the time when they need the products on the market. In relation to Deputy Broughan's question, it would be wrong to look for a substitute for something that is merely postponed. I assure the Deputy I have plans for many more projects for the Cork region and I hope to be in a position to make announcements in that regard over the coming weeks.
Written Answers follow Adjournment Debate.
