The purpose of this Bill is to continue, with the approval of the Oireachtas, certain protective duties which were imposed by Orders made under the Emergency Imposition of Duties Act, 1932. Section 1 (2) of that Act provides that unless an Order made under the Act is confirmed by the Oireachtas within eight months after the making of the Order, such Order shall cease to have statutory effect at the expiration of the period. Emergency Imposition of Duties (No. 233) Order of 1948, which is referred to at reference 1 in the Schedule to the Bill before the House, imposes a duty on malt extract and preparations of malt extract and fish liver oil, and was made on the 6th July, 1948. The eight months' period will end on the 5th March, and if the duty is not to lapse the approval of both Houses of the Oireachtas must be obtained before that date.
Senators may like to have some particulars of the purposes of the duty and of the industries which are covered by the Emergency Imposition of Duties Act. The production of malt extract was undertaken by one firm in 1944 and by another in 1946. Malt extract is used, not only in the bakery and confectionery trade, but also as a pharmaceutical preparation. Either of the two firms engaged in the production are capable of meeting the total home market, which is estimated at 300 tons per annum.
Prior to the imposition of the duty, the home manufactured supply was meeting approximately half the market, the other half being met by imported supplies. Direct employment in the industry is afforded to approximately 40 persons and it is hoped, with a greater supply of barley in the coming season that increased employment may be available. The prices of the home products are approximately the same as those of the imported, but it is difficult for these firms which are only recently established to compete with firms who have a long tradition in this trade, and who have the benefit of world-wide markets and the added benefit of world-wide advertising— which, as Senators may know, is of considerable benefit to anything in the nature of a pharmaceutical preparation.
The other duties are imposed on glass jars and were first imposed as far back as 1924 for the protection of the Irish Glass Bottle Company. As the company's range increased, the duties were gradually extended to cover the entire home production of bottles; and in 1939 the duty on beer bottles was 75 per cent. ad valorem, 50 per cent. preferential, with a minimum duty of 8/- per gross, 5/4 preferential; and in the case of other glass bottles and jars, 90 per cent. ad valorem, 60 per cent. preferential. In 1947, the Irish Glass Bottle Company installed new plant and production increased by approximately 20 per cent. Further additional plant was provided early last year and production has increased by a further 16 per cent. This eliminated some of the shortages which existed here and enabled the company to meet the entire home demand for the types of jars and bottles which come within the scope of the duty. In order to assist the company to use to the fullest extent the new plant, and to expand the range of bottles manufactured, it is desirable to continue this protection.
The other duty imposed under Emergency Order No. 235 of 1948 continues the duties on battery plates and accumulators. The manufacture of lead acid battery plates was begun in 1936 and the firm provides the various types of battery plates which are used here and gives employment to a fairly large number of people. It is difficult again for the home manufacturer to meet competition from outside, particularly in view of the fact that the outside manufacturers have the advantage of the motor-car industry elsewhere, which, of course, has a much bigger market than it has here.
The remaining duty which is covered by this Bill is the customs duty on footballs of 37½ per cent. ad valorem and 25 per cent. preferential. That duty was increased to 40 per cent. ad valorem and it is still 25 per cent. preferential. The problem here is that our manufacturers have to compete with footballs made in India, where labour costs and the costs of raw materials are very much lower than they are here. It is impossible for our manufacturers to compete with footballs of Indian origin. The standard quality of Indian footballs were available last year at 10/- each. The cost of similar footballs manufactured here is over 13/-, so that it is difficult, in view of the lower labour costs and cheaper raw materials in India, for the Irish manufacturer to compete on anything like an equitable basis. Accordingly, I ask the Seanad to confirm the duties which are imposed under the Emergency (Imposition of Duties) Bill.