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Dáil Éireann díospóireacht -
Tuesday, 24 Feb 1998

Vol. 487 No. 6

Written Answers - Duty Free Sales.

Michael Bell

Ceist:

32 Mr. Bell asked the Minister for Public Enterprise the action, if any, she has taken to reverse the decision by the EU Commission to abolish duty free sales at airports, on airplanes and on ferries within the EU; and if she will make a statement on the matter. [4756/98]

Michael D. Higgins

Ceist:

33 Mr. M. Higgins asked the Minister for Public Enterprise the action, if any, she has taken to reverse the decision by the EU Commission to abolish duty free sales at airports, on airplanes and on ferries within the EU; and if she will make a statement on the matter. [4759/98]

Willie Penrose

Ceist:

34 Mr. Penrose asked the Minister for Public Enterprise the action, if any, she has taken to reverse the decision by the EU Commission to abolish duty free sales at airports, on airplanes and on ferries within the EU; and if she will make a statement on the matter. [4757/98]

Brendan Howlin

Ceist:

45 Mr. Howlin asked the Minister for Public Enterprise the action, if any, she has taken to reverse the decision by the EU Commission to abolish duty free sales at airports, on airplanes and on ferries within the EU; and if she will make a statement on the matter. [4761/98]

Michael Ferris

Ceist:

47 Mr. Ferris asked the Minister for Public Enterprise the action, if any, she has taken to reverse the decision by the EU Commission to abolish duty free sales at airports, on airplanes and on ferries within the EU; and if she will make a statement on the matter. [4755/98]

Derek McDowell

Ceist:

50 Mr. McDowell asked the Minister for Public Enterprise the action, if any, she has taken to reverse the decision by the EU Commission to abolish duty free sales at airports, on airplanes and on ferries within the EU; and if she will make a statement on the matter. [4749/98]

Róisín Shortall

Ceist:

65 Ms Shortall asked the Minister for Public Enterprise the action, if any, she has taken to reverse the decision by the EU Commission to abolish duty free sales at airports, on airplanes and on ferries within the EU; and if she will make a statement on the matter. [4751/98]

Proinsias De Rossa

Ceist:

66 Proinsias De Rossa asked the Minister for Public Enterprise further to her comments to the meeting of the Oireachtas Committee on Public Enterprise and Transport on 7 January 1998, the results, if any, she has had from her lobbying of other EU Transport Ministers regarding the planned abolition of duty; if she will give her assessment of the prospects of having the decision reversed; and if she will make a statement on the matter. [4685/98]

Brian O'Shea

Ceist:

71 Mr. O'Shea asked the Minister for Public Enterprise the action, if any, she has taken to reverse the decision by the EU Commission to abolish duty free sales at airports, on airplanes and on ferries within the EU; and if she will make a statement on the matter. [4762/98]

Thomas P. Broughan

Ceist:

76 Mr. Broughan asked the Minister for Public Enterprise the action, if any, she has taken to reverse the decision by the EU Commission to abolish duty free sales at airports, on airplanes and on ferries within the EU; and if she will make a statement on the matter. [4753/98]

I propose to take Questions Nos. 32, 33, 34, 45, 47, 50, 65, 66, 71 and 76 together.

I first outlined my position in regard to the campaign for retention of duty free to the House on 30 September last and have done so on many subsequent occasions.

As recently as Monday, 9 February, I addressed the Airports Council International conference in Dublin on the subject of duty free. The conference brought together several hundred delegates from airports all over Europe and further afield. I availed of the opportunity to impress on the delegates the need for their own Governments to contribute to a concerted effort, by all the member states, if we are to get a positive result in Europe on duty free.

The subject of duty free was also raised under Private Members' business a fortnight ago. We extensively debated the issue over two days, Tuesday and Wednesday, 10 and 11 February. In that debate, I set out fully my plans on the campaign to retain duty free. My colleague, the Minister for Finance, stated clearly what the procedural requirements were in order to reverse the decision of the European Council to abolish the duty free concession, or to obtain a deferral of the date set for that abolition, that is, July 1999.

Last Thursday, 12 February, this House held a full debate on aviation policy. Again, I took the opportunity to advise the House, in the course of that debate, of my plans in relation to the duty free campaign which is of such particular importance for the aviation sector.

I announced during those debates that I intended to raise the issue of retaining duty free in person with both the British and German transport ministers. Yesterday, I met the British Deputy Prime Minister, John Prescott, at a transport conference in London. I have also arranged a meeting with my German counterpart, Matthias Wissmann, on 3 March and arrangements are in hand to meet Jean Claude Gayssot, my French counterpart.

The House will understand that both Germany and Britain play key roles in the EU. The British currently hold the Presidency of Europe and Germany's size and significance in economic and political terms assures it a pivotal position on the European stage. I will be taking the opportunity presented by these meetings with my European colleagues to underline the need for the EU Commission to carry out its own study into the effects of abolition of duty free.

As the Deputy knows, reversal of the present decision requires a proposal from the Commission and unanimous agreement of the ECOFIN council. Pending the completion of a Commission sponsored study of the effects of the abolition of duty free and the examination of its findings by the member states, the Commission must now be persuaded to make a proposal for the deferral of the abolition of duty free sales for travel within the EU.
I have raised this matter at both Councils of Transport Ministers which were held under the Luxembourg Presidency in October and December last. I will continue to raise it at every appropriate opportunity.
As I mentioned in my response to earlier parliamentary questions, my colleague, the Minister for Finance, is currently awaiting the report of a study, commissioned by his Department, to establish the impact of the loss of duty free sales on Irish employment, transport and Government revenues. This independent study will be completed shortly and will provide a clearer picture of the likely effects on employment and other important areas such as transport and tourism.
I believe it is quite clear that I and my colleagues in Government are availing of every possible opportunity to further the campaign for the deferral of the decision to abolish duty free sales in 1999. It is not possible at present to give a definite response as to whether or not our campaign for the deferral of the duty free decision will be successful. However, I am optimistic that if pressure can be brought to bear on the European Commission to conduct an EU-wide study, the results will speak for themselves and the Commission will be persuaded to make a proposal. Indeed, I believe that my contacts with my British, German and French counterparts in the next few weeks will prove fruitful and should help to increase the pressure on the Commission considerably.
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