Léim ar aghaidh chuig an bpríomhábhar
Gnáthamharc

SELECT COMMITTEE ON ENTERPRISE AND SMALL BUSINESS díospóireacht -
Wednesday, 10 May 2006

Estimates for Public Services 2006.

Vote 34 — Enterprise, Trade and Employment (Revised).

The purpose of today's meeting is to consider the Revised Estimates for 2006 falling under the remit of the Department of Enterprise, Trade and Employment. The proposed timetable was circulated to members. It allows for opening statements by the Minister and Opposition spokespersons, to be followed by an open discussion on the individual subheads, grouped together, by way of a question and answer session. Is that agreed? Agreed. I ask members to co-operate in adherence with the timetable, as we must conclude no later than 11.30 a.m. The Minister for Enterprise, Trade and Employment, Deputy Martin, has to leave at 11 a.m.

Deputy Hogan, Deputy Quinn — I presume — and I are due to be in the Dáil Chamber at 11 a.m. for another debate.

The Chair is entirely in the hands of members. I know brevity is the order of the day and that members have a track record in this regard, which may not please the Chair sometimes.

On behalf of the select committee, I welcome the Minister for Enterprise, Trade and Employment, Deputy Martin; the Ministers of State at his Department, Deputies Michael Ahern and Killeen, and officials from his Department. This is the first time during this Dáil that we have had two Ministers of State with their officials present at the one time. Therefore, this is a very important meeting for us.

I invite the Minister to make his opening statement, for which he has 15 minutes.

I shall make it as quickly as I can.

The Minister can take more time, if that is acceptable to members.

I thank the committee for giving me and my colleagues the opportunity to present the Department's 2006 Estimate today. The Estimate totals €1.390.073 billion gross. This sum is made up of €944.973 million in current expenditure and €445.1 million in capital expenditure. The Estimate represents a 5% increase on the 2005 allocation. In addition, a sum of €29.78 million is included in my Department's Vote by way of a carryover of capital savings from 2005. The committee may also wish to know that the national training fund will contribute €355.614 million on top of the Exchequer allocation in the Vote to upgrade the skills of the labour force. As the committee is aware, my Department's remit extends across a wide range of activity which is crucial to supporting the economy and the labour market. The brief circulated to committee members itemises the 2006 Estimate allocations by subhead and shows the corresponding Estimate and outturn figures for 2005. I shall outline some of the key objectives for use of the 2006 Estimate in the main strategic areas of my Department's Vote. It is important to consider these objectives in the context of the prevailing economic environment.

In the space of less than ten years we have built a new robust and successful economy, underpinned in the past eight years by the sound policies of the Government which have ensured the fruits of our success have been cultivated carefully, used wisely and distributed fairly. We have generated an economy that is the envy of many and a model that others seek to follow. We have seen truly historic achievements such as the ending of high unemployment and mass emigration and the achievement of living standards unimagined not so long ago. From 1997 to 2004 Irish GDP grew by an average of over 7.5% compared to an average of just over 2% in the EU 15. More importantly, we have built an economy which has the inherent capacity to sustain growth rates into the future. In its latest quarterly economic commentary the ESRI forecasts GNP growth rates of more than 5% for 2006 and 2007. It is estimated that an additional 67,000 jobs will be created in the economy this year, with employment growth expected to be of the order of 3.4%.

At the root of this exceptional performance is a deeply embedded commitment to pursue policies across Government that boost our competitiveness. Maintaining our competitiveness is of huge importance for us because this is one of the most open economies in the world. We must constantly change, adapt and reform if we are to stay ahead. We have one of the most favourable taxation regimes in Europe and put in place enterprise policies that support all investors. This makes Ireland a business-friendly and profitable location from which to do business.

As knowledge and technological developments rapidly become the basis for competition, the ability of Irish companies to quickly develop and absorb new technologies into their products and processes will be a decisive driver of future competitiveness. I am pleased to report that total expenditure in Ireland on research and development continued to climb strongly in 2005 when gross expenditure on research and development activities in all sectors of the economy rose to an estimated €1.9 billion. This represents a 7.3% increase in nominal terms compared to 2004. Ireland is engaged in a race to the top in innovation and transforming to a knowledge-based economy. It is not, as often characterised by some commentators, a race to the bottom in terms of labour market issues. In essence, the challenge for Ireland is presented by a race to the top in value added products and Irish industry becoming a problem-solver for world industry and business.

Coping with competitive challenges in the medium to long term also requires us to increase our exports. Ireland's export performance level grew by only 1.8% last year. However, the ESRI is forecasting an improvement in Ireland's export performance this year, with a predicted growth rate of 3.5%. We must capitalise on this because in the long run a dynamic and competitive export sector for high value goods and services is the platform which will support the rest of the economy.

Raising productivity levels across the entire economy will also be central to supporting our international competitiveness and prosperity. The good news is that Ireland's average productivity levels are now above the EU average. This productivity growth has been concentrated in a small number of capital intensive industries dominated by multinational companies such as chemicals, pharmaceuticals and electronics, but we can and must expand growth to other sectors.

Internationally, technological developments in production and services provision are offsetting requirements for lower skilled labour, further raising pressure to move to higher value added activities. High productivity is the glue which enables countries to achieve high income levels and competitiveness at the same time. Productivity is not about working harder for longer hours and less money, it is about working smarter. We can do this through improving management practices and organisational design and the efficient and creative use of ICT and other technologies. My Department's development agencies are supporting industry in this objective, while FÁS is investing in raising the skills and productivity of those in and seeking employment.

Funding for enterprise support by my Department's agencies, including science and technology initiatives, will amount to €629.256 million this year, an 8% increase on the 2005 Estimate. The funding available will support the activities of Forfás, IDA Ireland, Enterprise Ireland, Shannon Development, the city and county enterprise boards, Science Foundation Ireland and InterTrade Ireland which collectively provide a range of grants, equity investment, advice and other supports for industry. Funding is also available for complementary activity supporting enterprise development.

The supports provided by my Department's agencies are increasingly being targeted at firms which demonstrate commitment to innovation in products and services driven by an indepth knowledge of customers and markets. The enterprise strategy group report, published in 2004, presented a vision for the development of the economy based on winning greater market share in fast growth sectors through innovative products and services. To capitalise on these opportunities, businesses will require a new orientation and to build expertise in marketing, market diversification and knowledge based skills. They will also need to focus on technological and research and development capability.

A key plank of my Department's response to the enterprise strategy group report has been the new Enterprise Ireland strategy to help transform Irish enterprise. The vision set out in the strategy is the support and creation of a dynamic indigenous firms sector engaged in high value-added activities. Enterprise Ireland's clients will become more intensely market-focused and innovative, providing new and proprietary products at premium prices. Its strategy places a heavy emphasis on research and innovation, exports, competitiveness and entrepreneurship. The objective is to deliver greater numbers of new high growth companies with strong potential to win increasingly profitable contracts in global markets. Among its targets for 2006 Enterprise Ireland plans to assist 70 new high potential start-up companies, approve approximately 130 applications under the productivity fund and place 160 managers on management development programmes. Ultimately, however, the key performance indicator for Enterprise Ireland's programmes is its impact on the exports of the agency's client base. It expects the value of exports among its client companies to rise to €11.5 billion this year, up from approximately €10.7 billion in 2005.

IDA Ireland also developed a new strategy in 2005. The key strategic imperative for IDA Ireland is to design a new innovation driven proposition for Ireland and connect this offering to international companies in a more globalised world economy. As part of the strategy, IDA Ireland will this year introduce a new communications and promotions campaign, acquire technology specialists to work with it and develop new offerings for the manufacturing sector. It has set the following targets for job creation projects this year: 66 new job creation projects approved; 50% of all jobs approved in greenfield projects to be in the BMW region; and 40% of jobs approved to carry salaries above €40,000 at 2005 prices. IDA Ireland's portfolio stands at more than 1,000 international companies, which employ more than 130,000 full-time staff and spend approximately €18 billion in the Irish economy each year. These 1,000 companies represent a major national strategic asset. As a result, it is critical that IDA Ireland further develops and leverages this asset. The agency is working to increase the commitment and benefit to Ireland of overseas companies by deepening their existing operational mandates and functions here and by putting in place agreed development plans or frameworks. In 2006, IDA Ireland aims to agree 23 such frameworks with client companies. It also aims to achieve seven mandate changes that will expand the importance of the existing Irish-based investments to parent companies and increase their focus on Ireland.

Investment in research, development, innovation and technology must be an essential ingredient if Ireland is to maintain its competitiveness. Expenditure on science, technology and innovation programmes will amount to €258.5 million in 2006. This represents an 18% increase in funding over 2005 and a fourfold increase in funding in the subhead since 2001. That is clear evidence of a very strong focus on this area by the Department in terms of how it shares out the Estimate. In addition, a sum of €6.355 million has been assigned to the subhead from the carry-over of 2005 capital savings. Spending under subhead F is allocated to programmes operated mainly through Enterprise Ireland and Science Foundation Ireland.

In the current national development plan, Ireland is achieving a fivefold increase in investment in technology, innovation and scientific research. Spending of €2.5 billion is planned for the period 2000 to 2006, compared with €500 million over the period 1994 to 1999. This investment will enhance innovation and competitiveness in order to increase output and employment. We will continue to work with companies on that agenda.

While Ireland is an impressive latecomer to investment in research and development, from approximately 1998 to the present, we need to ramp up our policies even more. In that context, a Cabinet sub-committee, chaired by me and involving nine other Departments, is putting together a strategic implementation plan for research and development. We are adding the finishing touches to that and it will significantly ramp up our investment in research and development up to 2013. In the current context, we are working with the various agencies to ensure proper application of that money with a view to developing new products, processes and applications to industry.

The Department's Estimate for 2006 includes a sum of €633 million for labour market development. In addition, a sum of €355.6 million is being allocated from the national training fund in 2006 for upskilling the labour force, bringing total investment in this priority area to just over €989.5 million.

Employment in Ireland grew by 4.6% to the end of 2005, the highest annual growth rate since 2000. There are close to 2 million people in employment, with the construction and services sectors continuing to see the main increases. Unemployment continues to be maintained at a low level and stands at 4.4%, with long-term unemployment at 1.3%. Ireland's employment growth and employment rates continue to outstrip the average of the EU 15. Continued growth in employment is forecast for this year.

FÁS plays a major part in preparing people for employment through apprenticeships, training courses and employment programmes. It also provides placement services to employers and prospective employees. We can deal with the details of the spend later. Approximately €37 million of the FÁS budget has been allocated to the Department of Community, Rural and Gaeltacht Affairs this year. That is reflected in the Estimate. It is not a decline. We handed the social economy programme over to that Department because it is for the support of communities as opposed to being a labour market intervention measure. I have no doubt that the Minister for Community, Rural and Gaeltacht Affairs will be creative in his utilisation and management of that scheme.

My Department continues to pursue its objectives in regard to employment rights and workplace issues by advising workers of their rights under domestic legislation, carrying out inspections to ensure compliance with that legislation and enforcing the legislation through prosecutions, if necessary. As a measure of my Department's engagement in this area, in 2005, the employment rights information unit dealt with over 128,000 telephone inquiries, 3,073 e-mail requests and 887 person-to-person consultations. The unit provides a comprehensive range of explanatory leaflets and guides on employment rights, including a series which is produced in nine languages. More than 91,000 leaflets and guides were distributed last year.

The labour inspectorate carried out a total of 5,719 inspections or visits in 2005 and the prosecutions unit referred 59 cases to the Chief State Solicitor for prosecution. An additional 14 inspectors were appointed over the course of 2005, bringing the total number to 31. As committee members know, employment rights are a significant focus of the social partnership talks.

The Estimate for health and safety is €20.59 million, which represents a significant increase of €4.5 million on the 2005 Estimate. The reason for the increase is that the remit of the Health and Safety Authority will be significantly expanded this year as a result of the Government's decision to designate it as the competent authority to oversee the European Union's REACH chemicals regulation. This function accounts for most of the increase in the HSA's budget. The Government has approved the allocation of extra staff resources to the HSA for REACH. This year the authority is prioritising a number of sectors for attention, including the high risk agriculture, construction, mines and quarries sectors, as well as the health service, local authorities and processing sectors. The details are included in my submission to the committee.

The Department is providing for an increase of 76% on consumer affairs to €7.2 million to support the activities of the interim board of the new National Consumer Agency which I appointed last June. Of the increased funding, €3 million will be allocated to the board to carry out work in the area of consumer awareness, advocacy and targeted research and to prepare for the establishment of the statutory agency, on which we will publish legislation later in the year. The Office of the Director of Consumer Affairs is also being funded in the Estimates.

The Competition Authority received a significant 15% increase in its funding, bringing it to a figure of €5.83 million this year which will enable it to double resources in its cartel enforcement division and increase substantially the number of investigations it can carry out into criminal breaches of the Competition Act. The Director of Public Prosecutions and the Competition Authority have recently secured 12 criminal convictions in Galway Circuit Court in respect of a price fixing cartel detected by the authority in the home heating oil sector. A further nine prosecutions are pending. The first conviction was secured in March, following which trial 11 other accused parties pleaded guilty. Fines ranging from €1,500 to €15,000 were imposed and one defendant was sentenced to six months imprisonment, suspended for one year. The Competition Authority has also investigated allegations of price fixing among car dealers on a number of car marques recently. To date, one person has been charged with aiding and abetting a cartel and remanded on bail. These actions by the Competition Authority, the work of the ODCA and the new National Consumer Agency will help to demonstrate to consumers that real change is under way to protect their interests. I made provisions last year for increased fines for breaches of a range of consumer legislation.

The Estimate also covers regulatory bodies, of which, the Chairman will be very glad to hear, the PIAB has had an especially successful year. I have written to the committee separately to detail the board's success which includes the achievement of €4.3 million savings on costs which would have arisen had cases gone to litigation. A total of 1,500 cases have been completed.

That is good news.

The remainder of my written submission sets out business delivery modernisation within the Department which continues to progress satisfactorily. The Department's decentralisation programme is going well with a total of 300 posts to be decentralised to Carlow. Last year the Office of Public Works completed the purchase of a landmark site in Carlow town where my Department's premises will be built. Strong interest has been shown in moving to Carlow in the central applications facility and the Department is exploring the possibility of making an advance move to the town, which could take place in 2007 if suitable, high quality accommodation can be found. We will actively work on this project during the year.

I am sure Deputy Nolan will be pleased with the good news, as will Deputy Hogan.

I welcome the Minister's statement and the opportunity to discuss the range of matters covered by the Department of Enterprise, Trade and Employment. I acknowledge the Minister's opening remarks on the national economic situation.

The potential for growth, especially in the manufacturing sector, is something on which I wish to focus during this debate. While substantial economic progress has been made in recent years, the background threat to the cost base in manufacturing is causing concern. We have not remained competitive. We have slipped 22 places in the national competitiveness league in five years and are heading in the wrong direction. There is no room for complacency but I note from his remarks that competitiveness is at the core of Government policy. I hope the recent decisions of the Minister for Finance, Deputy Cowen, will ensure that stealth taxes are discontinued because in the previous six or seven years 41 additional stealth taxes were loaded on manufacturing and consumers. That is the background to the input costs to manufacturing. The Minister has alluded to a number of important areas that will make manufacturing more competitive vis-à-vis its competitors.

In the context of my remarks, Chairman, may I put some questions to the Minister?

With the demise of the sugar beet industry has he in conjunction with the Minister for Agriculture and Food requested Enterprise Ireland to consider proposals for replacement industries because of the significant loss of well-paid jobs and the spin-off impact on the local economy in counties Carlow and Cork? Notwithstanding the fact that the issue of compensation for farmers is still outstanding, we should not lose sight of the impact of the loss of employment in these two plants. Does he propose to contact Greencore to elicit if it plans to redevelop these factories in order to benefit the communities where jobs were lost?

Will the Minister update members on phase one of social partnership, which deals with employment standards and displacement, and say when the negotiations will conclude?

I welcome the Minister's proposed new plan for the science and technology area. Research and development issues are critical if we are to provide additional employment opportunities for people who may be displaced from the traditional manufacturing sector. Innovative ideas for new products as well as training are important.

I am concerned about the arrangements that Science Foundation Ireland has with the universities for patenting ideas generated by research and development departments. We do not always see Science Foundation Ireland engaging in the commercial exploitation of such research and development. I would like to see evidence of progress in exploiting the commercial potential of some of these product development lines emanating from the technological and mainstream universities. Who wants to see the very good work in research and development failing to generate employment opportunities in Ireland? We should concentrate on generating employment from research and development. The former Minister for Finance, Mr. McCreevy, introduced a tax credit for individuals engaging in research and development, but the take up is quite low because it is allowed against profits. When establishing a company one has to borrow from the financial institutions and usually does not generate profits. Will the Minister consider allowing the tax credit against payroll costs rather than against profits as this will incentivise people to engage in research and development?

Consumer policy has long been the Cinderella of the Department. I welcome the establishment of the National Consumer Agency. However, until the legislation underpinning it is enacted, it does not have sufficient power. I hope some time in the future in the underpinning legislation we will be able to give additional statutory powers that will put in place an ombudsman-like process, so that consumers can lodge complaints, have them investigated and actually get redress. That happens in relation to product safety and price displays and so on, but that is very small beer compared to some of the serious consumer complaints.

I am surprised that the Office of the Director of Consumer Affairs continues to exist. When the National Consumer Agency was set up, I thought they would be merged into one. That should be considered so we could have a comprehensive one-stop shop for consumer issues in addition to the Competition Authority.

I am surprised that the price war predicted by the Minister among the supermarkets has not happened yet. I noticed in the first survey that was carried out——

I did not say that.

The Minister was spinning there was going to be a price war among the supermarkets.

I never used that term.

With all the commitments he gave us about grocery price trends arising from the changes in the groceries order and the Competition (Amendment) Bill, I expected that we would see price reductions, after all the euphoria in the reports issued by the Department at the time. The first survey, carried out within six weeks, showed there was an average increase of 5% to 10% across the range of typical household products, which did not include Evian water or Bacardi rum but tea, butter and milk and all the products that are important to householders. We need to amend the Competition (Amendment) Act even further to ensure that rebates and discounts garnered by retailers get to the consumer rather than being pocketed by big business and supermarket chains. That is the warning that we issue to all parties in this committee. I know the Minister has his view and that we disagree. I have a different view on how the matter was handled, but time will tell — and it is telling already.

FÁS has a considerable budget and has spent almost €1 billion on training. Much money was required to be spent some years ago when we had higher levels of unemployment, but the economic and training mission of FÁS needs to be looked at. It has done some good work with migrant workers and people coming into this country, tailoring them towards the particular needs of the economy, but a lot more needs to be done on apprenticeships. Although the number of apprenticeships has risen slightly in recent times, much more could be done to get people into the trades. It is difficult to get people into toolmaking, for example, or to be mechanics or fitters or doing household repairs or plumbing.

FÁS has a role to play in targeting a group of people that could be gainfully employed through apprenticeships and who would fill a considerable niche in the market place on behalf of all of us. Anecdotally, we say there is no difficulty in getting a Polish worker to do that because an Irish fellow will not do it, but I do not subscribe to that notion. We need to get the youngsters of 16, 17 and 18 years of age involved in apprenticeships and they will get a taste for those skills, which would fulfil a considerable deficit in the marketplace in various consumer issues and trades. I would like more resources to be put into apprenticeships through FÁS and for money to be redirected to that.

FÁS has increased its top level management by 200 or 300 in the past eight years, while community employment schemes have been reduced by 50%. There is a bit of feather-bedding going on at national level while the fellows on the ground feel the pinch. That is especially true of the three-year capping of the community employment schemes, which is having a major impact in every community. I would much prefer to see people gainfully occupied than doing nothing. Spending an additional €25 a week, which is what it costs net to keep a participant on community employment schemes rather than the dole, represents good value for the State, as it gets a bit of money back on the PAYE and the PRSI. It is financially neutral and beneficial not only to the community but to the participants that they can do 19 hours work and see something done for their money, rather than allowing people to stand at village and town corners doing nothing. The three-year cap needs to be looked at. It is all right for those over 55, but there is a cohort of people who will never be able to get into mainstream employment and need to be targeted on participation. I do not want people to get into a training industry.

Those who participate in community employment schemes for two years should be permitted to return after, for example, a further two years in order to participate in other schemes. This would be more beneficial than the current crude instrument which provides that a person may only participate in a community employment scheme for three years.

I do not believe the rural assist scheme is working. The Minister will require the collateral thinking of the Minister of State at the Department of the Environment, Heritage and Local Government, Deputy Batt O'Keeffe, if he is to come up with suitable ideas on how to spend this budget. However, I bow to the Minister's superior knowledge on that matter. I do not believe the rural assist scheme is working in many areas. It is not working in Kilkenny, though it may be working better in Connemara. Take up of the scheme in Kilkenny would suggest it is not working there. I do not believe splitting the rural assist and community employment schemes has benefited part-time farmers and so on.

With regard to health and safety, during discussions on legislation I referred to my concern regarding the threat posed to construction workers as a result of the scam in FÁS, namely, the issuing by trainers of safe pass certificates to people who did not receive training. I have been informed by the Garda Síochána, through the Minister for Justice, Equality and Law Reform, that only one person received a refund following investigation of this matter. The average cost of participating on the safe pass course was €400 but only one person received a refund, even though approximately 2,000 people were affected by the scam. Given the 44% increase in the number of deaths in the construction sector this year, this issue requires serious consideration on the part of the Health and Safety Authority and the Department. It also requires independent investigation to enable us to address not only the level of training and protection that construction workers receive on sites but also the serious threats posed to their colleagues and to the community. It is not acceptable to gloss over this matter and I would like the Minister to take a greater interest in it. A 44% increase in the number of fatalities in the construction industry is a worrying trend.

I thank the Deputy. As there is no representative present from the Labour Party, we will move on to item 2, a general discussion on the Estimates by subhead groups. The first subheads with which we will deal are A1 to A11 — administration.

May I make a comment?

No. The Deputy may speak on the various subheads. Subheads A1 to A11 deal with administration. As there are no questions on these, we will move on to the next grouping, subheads B1 to J2 — enterprise, agencies, science and technology. These are issues in which we all have a keen interest. I welcome the increases in respect of research and development and science and technology.

I wish to refer to the county enterprise boards and Deputy Hogan's comments on the beet industry. Some 1,100 families in Wexford relied on the latter industry, which is now obsolete. I am glad to say that the county enterprise board is examining suitable replacement industries for the area and has produced a good document on the economic impact of this.

As regards research, it would be wise if we intensified our research into biofuel production as a replacement for the beet industry, in particular. May I comment on FÁS at this stage?

We are dealing with subheads B1 to J2.

These subheads deal with Enterprise Ireland, IDA Ireland and county enterprise boards.

Is it correct that FÁS is dealt with under a later subhead?

I will call Deputy Dempsey first when we come to deal with FÁS.

That is fine.

On the sugar beet issue, I met interested groups in Carlow, Cork and Mallow to discuss the question of job losses which Deputy Hogan raised. Our agenda is very much focused on creating alternative jobs in both the indigenous sector and the foreign direct investment sector if we can attract it. The meetings were attended by representatives of the IDA, Enterprise Ireland and FÁS in the context of working with workers who had been made redundant. We have given them a clear message that particular actions must be taken to ensure revitalisation and regeneration in those communities following the demise of the sugar factories in both locations as a result of EU restructuring.

I discussed with Greencore the issue of sugar beet and bioethanol production. The indications are that it is an area in which Greencore is not disposed to get involved. Enterprise Ireland is supporting companies — these are on a smaller level — engaging in research into alternative fuels to develop niche products. There is nothing on the scale that would be required in terms of utilisation of the sugar beet crop. We need to be careful not to raise expectations. The Brazilian Minister for industry was very interesting on the topic. Brazil has a thriving and viable bioethanol industry — 25% of the market is in bioethanol and 50% in fossil fuels. The bioethanol is produced from sugar cane, a much different product from our sugar beet. The return from sugar cane is enormous compared to unit cost. There are issues around returns. As I am not a scientist, I will only say the issue is not black and white and it is not simply a question of growing a lot of sugar beet and building a plant to transform it into fuel. Our climate is less advantageous in terms of yields than that in other parts of the world.

The Minister for Finance introduced incentives in the budget and the Finance Act to facilitate a range of activities in the alternative energy area. Already there are indications of significant growth in some sectors, for example, solar panel production and solar energy, and in interest in the biofuels area. As a country, we need to invest in it from an energy perspective. In the context of the job replacement issue in Mallow and Carlow, I come from a city that had to literally reinvent itself when its entire industrial base collapsed in the 1980s. The ship-building yard closed, while two major manufacturers ceased production. Textile production also ceased. We had to move on with new industries. The IDA is moving to try to bring new technologies and industries to these areas.

Does the Minister agree it was because a Minister and a Minister of State from the one county were there to address it and that is why it is successful now?

It was the collective effort of all concerned.

I welcome the Minister and Ministers of State. Since the Minister went to Kildare Street to a building once known as Seán Lemass's white elephant he has been like a breath of fresh air, like Seán Lemass, with his new innovations and efforts on behalf of Irish industry and trade. I congratulate him sincerely on his efforts in my constituency arising from the difficulties that have arisen in the past couple of years, some of which were unnecessary, while others were the result of European policy. We appreciate the time he is devoting to ensure the area attracts new industrial development.

I appeal to the farmers in north and east Cork who are running around talking about growing sugar beet for ethanol production and the continuation of the Mallow plant. If the plant is continued, it will have to be demolished within a certain period and farmers will not be compensated.

The majority of farmers are seeking compensation and I am being contacted each day by those who want to know what they are going to receive. They will get substantial financial compensation of perhaps €80 per tonne, plus the single payment until 2013. I would like that matter to be addressed today. One boatload of ethanol or some other biofuel from Brazil would collapse the market in Ireland. We may have regulations that require us to mix biofuel with other energy forms. It must be remembered that the fuel which comes out of the ground is still the cheapest available. The other forms of fuel cannot be created without the use of pre-existing fuel.

The Minister has made a great many announcements on science and development since he took office, but they have been very fragmented in nature. There have been announcements, for example, on Glanbia, Dairygold and, yesterday, Dawn Farm Foods. Why can we not have one research centre that can innovate using the expertise of all of those companies, rather than having a cost structure that requires administration at each centre. It is a waste of taxpayers' money and European funds. There is not much one can do with food because people only eat so much of it. All one can do is brand it in different ways. What expertise exists in this area that will give rise to innovation? I have been around for a long time and I know a great deal about the food industry. I like good quality food but someone must say stop where waste of this sort occurs. Enterprise Ireland is in something of a panic due to job losses in the area.

It is time we had a Department of food. Food is outside the farm gate whereas agriculture is inside. We have ducked and dodged that fact, to use the words of the great former Deputy from south Kerry, John O'Leary. I would like to see a Department established to cover food, food safety and all the other matters relating to the food industry, rather than continuing with existing structures. Some food matters are covered by the Department of Enterprise, Trade and Employment and more are the responsibility of the Department of Agriculture and Food. There should be a single body with overall responsibility. We have a very small food business. The Minister should use his modern methods and approach and address the issue at Cabinet level. I would like to see the next Government, of which I am sure Deputy Martin will be a member, include a Fianna Fáil Minister for food.

I welcome the Minister, Deputy Martin, the Ministers of State, Deputies Michael Ahern and Killeen, and their officials and compliment them on the good work they are doing. I could not let the opportunity pass without thanking them for what they have done for my local area in Ballinasloe, where the announcement of 125 high technology medical jobs has given confidence back to the town. While things are beginning to move, it took a significant announcement to start the process.

The Minister's increased research and development budget is extremely important. Even the smallest industry must carry out research and development, particularly in light of the pace of change internationally. Remaining competitive is a significant challenge in Ireland. While our low taxes are of great benefit, we are competing with third countries that can produce products at very low costs. It is important that we try to encourage high quality industry of the type the Minister has brought to Ballinasloe.

For the past 12 months, we have worked with the universities, Teagasc and nine Departments on my research and development initiative. The focus is to develop a coherent national implementation strategy and prioritise and target those areas in which research is required on new products and processes for industry. The bulk of the money is coming from the companies to which Deputy Ned O'Keeffe referred, with encouragement and some financial supports being provided by Enterprise Ireland to ensure the development of strong, in-house research and development capacity. The companies have different strengths and markets. While I do not believe that the Deputy is advocating this, it would not be realistic that they would all undertake their research in-house. The Deputy will be aware that Teagasc deals with milk and other products in terms of what added value can be gained from them.

The Deputy is correct that we have been involved during the past year, through Enterprise Ireland, in supporting significant research and development operations in Glanbia, Dairygold, Kepak and Dawn Farm Foods. We have also been involved with other smaller companies such as a high potential start-up company in Cork, Cully and Sully, established under the graduate entrepreneur programme. This company sells different types of products in supermarkets and pubs. I am amazed by the potential of the food industry. While visiting Dawn Farm Foods yesterday, I was photographed surrounded by salami. Some 80% of its produce is exported but it must continually invest in research and development to ensure that its products meet the needs of the markets in which it wishes to increase its sales.

The Deputy asked if we are aware of the potential of the food industry? I was amazed to learn that the average British citizen eats 135 sandwiches per year. The figure for Ireland is ten sandwiches per head of population per year. Approximately 2.5 million salami produced weekly by Dawn Farm Foods are used as pizza toppings. Another 1.5 million are used in sandwiches. There is enormous potential in this industry because consumer foods are changing dramatically. It is estimated that the number of out-of-home meals produced in Europe alone will increase in the next couple of years to 12.5 billion.

The market has changed dramatically and it is important Irish companies position themselves to capitalise on it, particularly in terms of consumer trends towards more convenience foods and what we call the "wellness" market, which is growing. People are demanding good nutritional food and are focused on its health-enhancing aspects. This demands quality in terms of production and, critically, good research. I have seen evidence of this in the laboratories of the companies I visited. Exciting work is taking place in these laboratories, the raw material for which comes from our universities. During my visit to Dawn Farm Foods, I was informed that approximately 65 or 75 of the personnel in its food department graduated from University College Cork.

Deputies Ned O'Keeffe and Hogan referred to Science Foundation Ireland. The emphasis on increasing critical mass is to produce more postgraduates and graduates in science — particularly food science — who can become the brains in such companies and facilitate the development of new products, thus enabling the companies to grow.

I thank Deputy Callanan for his comments regarding Ballinasloe. I was struck during my second visit to the region by the degree of innovation in the local indigenous companies. It was most heartening. The Deputy is correct in saying that we need to ensure that research and development is carried out by every company in order to maintain our competitiveness into the future.

I am sure Deputies Ned O'Keeffe and Michael Ahern are happy to be Members of the House at a time when 1,000 new jobs have been announced for Carrigtwohill.

We will now deal with subheads K1 to M5, labour force development. These subheads deal with FÁS and cover the point raised earlier by Deputy Tony Dempsey. Are there any questions thereon?

Last year, we discussed the situation of the Gama workers and workers in the ESB at Moneypoint. I have recently been made aware of a similar situation in my constituency, which is not too far from Carrigtwohill. What orders have been put in place to prevent State organisations engaging in mischief in terms of the employment of non-nationals? What regulations have been put in place in regard to Irish employers or multinational companies that operate here advertising for non-national employees, as happened in my constituency? That is why I raised the issue last January when I was in Belfast at a meeting of the British-Irish Interparliamentary Body. I sought permits for everyone. Can companies be selective regarding who they employ? If they advertise for 100 employees and receive applications from Irish and foreign applicants, can they be selective and invite only the foreign applicants for interview and ignore their Irish counterparts? Is that area covered in labour law?

My next question relates to health and safety. There has rightly been much noise regarding farm safety and the difficulties of farming. Farming is a very difficult and serious business and there are many dangers attached to it. How many people were injured or killed last year by farm animals, including suckler cows? The Minister of State, Deputy Killeen, would have much knowledge in this area because he comes from County Clare, which is one of the largest suckler cow farming areas in the country.

Matters of health and safety will be dealt with later.

What measures can be put in place to——

That does not come under this heading.

Is Deputy Killeen not the Minister of State with responsibility for the area to which I refer?

Health and safety comes under another heading. I will call the Deputy first when we deal with it.

I welcome the extension in respect of the over 55s. However, the age should be reduced to 50. That might solve the problems posed by the three-year cap. The extension was from three to six years. There may be some problems with people approaching pension age and there would not be much point in pushing them out to seek work at that stage.

The FÁS apprenticeship scheme is very good. I attended FÁS's presentation of certificates last year and was surprised by how few plasterers and bricklayers were present. There seems to be more employment for plasterers and bricklayers than for anybody else. Perhaps that is the reason they were not represented. It is important to encourage such people to pursue their apprenticeships. It is probably too easy to get a job in both plastering and bricklaying at present.

I welcome the allocation in respect of people with disabilities. Not enough is being done to encourage employers to employ these individuals. There are many such people who are capable of doing good work and the training given by FÁS is excellent. However, it seems to be difficult to get them into employment. Anything we can do to facilitate employers to employ people with disabilities would be welcome.

It is important to distinguish between those who are socially employable and those who are socio-economically employable. Community employment schemes need to deal with people who are unable to get into the normal economic workplace or make the commercial contribution made by other workers but who can make a major contribution to communities. The Kerry playwright, Brian McMahon, stated on "The Late Late Show" that politicians believe the economy to be the most important thing. That is not the case. People are most important. The community employment schemes have the potential to facilitate the socially employable and there should be no time limits involved. People who are socially employable should be able to continue to be so, irrespective of their age.

FÁS is doing an excellent job. Deputy Hogan spoke about the lack of skilled labour. On every building site there are people who have assisted bricklayers for many years. It would take very little to convert them into skilled tradesmen. I tried to introduce such a scheme when I was principal of a vocational school but it was opposed by the trades council on the grounds that it would flood Wexford with tradesmen. The current reality is that most bricklayers in Wexford are from Northern Ireland or from Poland. It should be possible for the Minister or one of the Ministers of State to examine the possibility of upskilling, on different types of training schemes, people who have spent their lives working as plumbers, bricklayers or carpet-layers and who are, in fact, practically qualified. A day release scheme could be initiated under which these individuals could be released, with compensation for their families, to local vocational schools that teach building construction in any event. It is not impossible to facilitate such a scheme, particularly when one considers that FÁS has its own training schemes. It would fill the gap in skilled labour to which Deputy Hogan referred.

On our visit to Wexford, we discovered that 17% of people had left the land and entered the construction industry in recent years. The danger is that if construction declines, these people will have no back-up skills. That was pointed out to us forcefully.

Absolutely.

Deputy Ned O'Keeffe referred to Gama Construction and the recent cases involving major contracts and sub-contracts of a State company in which there was a failure to honour recognised rates of pay. On hearing of the latter, I immediately instructed my Secretary General to write to every other Secretary General to ask the agencies under their aegis to validate all of the contracts and sub-contracts for schemes and ensure that conditions of Irish labour law and registered agreements are being observed. While nothing is agreed until everything is agreed, the current social partnership negotiations have passed the first stage, which dealt with workers rights and compliance with Irish employment law. One can anticipate a substantial package of measures, some legislative and some operational, and structural changes that will go a long way towards dealing with compliance with Irish labour law. We will revert to the committee on these matters at the end of the social partnership talks. It is a key point.

We have tightened up the process for issuing work permits. As members will be aware, 1,000 work permits were issued to Gama but we are no longer issuing a high volume of permits to any particular company. Gama entered Ireland prior to the granting of access to the market by EU accession states. Since the accession states were allowed free access to the Irish labour market, we have given Union preference to EU citizens over non-EU citizens, especially in construction and a range of low-skilled employment areas. In future, the emphasis in respect of non-EU citizens will be on highly skilled individuals in areas such as IT, health care, engineering and research in which the expert skills group has identified significant shortages. We must work consistently to plug those gaps.

We will keep a very vigilant eye on these issues. In 2006, up to 19 April, 6,434 work permits were issued, whereas in 2005 the total was approximately 27,000. In 2004, 37,000 permits were issued and in 2003, 47,000 were authorised. It should be noted that approximately 70% of work permits issued are renewals and provided to workers who are in the State already. Work permit numbers are decreasing due to the opening up of the European Union, citizens of which do not require them. The numbers in that context have been staggering. While it is estimated that approximately 200,000 people have come here from the rest of Europe, approximately 65,000 remain in the workforce. While many people have come here from the new member states, large numbers of them have returned home.

Deputy Callanan referred to issues relating, among others, to disability, in respect of which the wage subsidy scheme has been in place since September last. I take the Deputy's concerns on board. I have inquired periodically with FÁS about the success of the scheme. I also inquired if there is sufficient awareness among employers regarding the wage subsidy scheme and whether there are other issues we must address to ensure an adequate level of take-up.

Approximately €46 million has been made available within the FÁS budget for specialist training and the provision of contractual services, while €20 million has been made available for employability schemes and integration supports. Among those schemes and supports is the wage subsidy scheme, in respect of which approximately €10 million is provided. The latter includes a provision for existing participants. The number of participants on the scheme at the end of 2005 was 632, most of whom were former ESS and PEP participants. We are not satisfied with the number of new participants and will be obliged to revert to FÁS on the matter. FÁS set a target of 200 new participants for 2006, but only 47 people have joined the scheme. Of those, 30 are employees from Gandon who would probably have been on the older schemes in any event.

Deputy Tony Dempsey's comments are well taken. We have increased the numbers on apprenticeships significantly over a five-year period. I will, however, reconsider the matter with FÁS and the third level colleges. One must work with the institutes of technology on capacity and quality issues and capital investment programmes. The numbers are quite dramatic.

While an apprentice is usually a fellow who leaves school one year after sitting his junior or leaving certificate, there are others who fell through the net and were obliged to leave school early. Those individuals are builders' labourers who are, in practice, three quarters skilled. Second-chance apprenticeship training should be available for such people. I had the mechanism to take action in this regard when I worked as principal of a vocational school, but the initiative was opposed by the trades council which informed me that I would flood Wexford with tradesmen. In every other walk of life, people get a second chance but the person who went to England or somewhere else to work in construction does not. It is within the capacity of FÁS to provide the training to which I refer.

I will raise the matter with FÁS on Deputy Tony Dempsey's behalf. The Deputy made a good and fair point.

We have already covered subheads N to P, inclusive, on employment rights and industrial relations. The next grouping relates subheads Q to S4, covering commerce, consumers and competition.

Why has the Consumers Association of Ireland grant been reduced from €243,000 to €65,000.

It is the same.

The outturn for 2005 was €243,000.

The association received €65,000 last year and will get €65,000 this year. The subhead to which the Deputy refers includes money that was allocated last year in respect of the new consumer agency. We separated the subheads this year. There has been no decline in funding for the association.

I thank the Minister for increasing the audit exemption for small businesses in line with a proposed Fine Gael amendment to the Act, which was, unfortunately, voted down. I thank the Minister of State, Deputy Michael Ahern. I am glad that the position was reconsidered.

The timing was not right.

What Act was that?

It involved the audit exemption levels for small businesses in respect of auditing and accounting. The Government opposed the proposal previously but is now in favour of it. I thank the Minister for accepting the Fine Gael proposal.

I was never opposed to anything.

The Minister was not present at the time. Deputy Michael Ahern was there.

It is time to move on.

I have strong views on the groceries order. While the changes are now law, it is also the case that one can amend anything after enacting it. Yesterday was an historic day, with the commemoration at Collins Barracks — formerly the Cork Military Detention Barracks — for the Kent brothers. Councillor Kevin O'Keeffe rang me last night to say that he had been approached by Mrs. O'Riordan, a niece of the famous brothers, to express her disappointment, as someone involved in business, regarding the groceries order. The order will take every Irish grocery business out of existence. We have not seen the worst of the problems relating to this matter, which is only in its infancy, but they are beginning to mount. There will be very few Irish grocers and small businesses operating in the market here. I expressed my concerns on this matter previously. When the message comes from someone of Mrs. O'Riordan's background, it makes it worthwhile to mention the matter again. She told Councillor Kevin O'Keeffe, my son, to bring it to my attention because she said that I understand Irish people and Irish business.

The committee was closely involved in the establishment of the Personal Injuries Assessment Board through its inquiry into the insurance industry. The Minister has given information to the committee today that will be included in our discussions on our fourth and final report. Will he elaborate on the Personal Injuries Assessment Board under this section?

Deputies O'Keeffe and Hogan have referred to the groceries order. However, it is far too early to make a serious assessment of the impact.

The worst is yet to come.

One cannot have it both ways. Deputy Hogan cannot claim, on the one hand, that it has not led to price reductions and, on the other, that the world is going to collapse.

Deputy O'Keeffe said the world was going to collapse.

You said it too. That is the game being played.

You are now getting confused.

To be fair to Deputy Hogan, he played both sides admirably.

No, I did not. Retailers and consumers know where I stand.

We have three long serving Members of the Oireachtas and they all know the procedures on directing statements through the Chair.

The Minister is being provocative.

The Minister is making a statement and Deputy Hogan had his chance. We will give him a chance to come back in if he so wishes.

The Minister should accurately report what people say and the Chairman should protect us.

The Deputy must address his remarks through the Chair.

We discussed the need to support Irish food companies. The major food companies all opposed the groceries order out of self-interest, yet a vast amount of their exported produce goes onto shelves in countries that do not have such an order.

Britain does not have a groceries order.

That is the only one.

Many other countries do not have one either. Some do and some do not.

What difference does that make?

The point is they can thrive in those markets. The importance of the groceries order is overstated; it kept prices artificially high. I never said they would go down.

That is a fact; check any record. The reason I did not do so is clear — there are other variables related to price, not least the cost of fuel and energy.

Did the Minister say prices would go up?

I do not want to be provocative, but any half-informed person knows that if oil prices go up to the extent they have in terms of price per barrel, 40%, it will impact on the entire economy. It is misleading to suggest prices have gone up because of the abolition of the groceries order.

The Minister is suggesting it is too soon to make an assessment.

Yes, but I am saying more than that. It kept prices artificially high. The argument is they could be even higher now, if it was not for the abolition of the groceries order; we do not know.

That is some argument.

On the subject of the PIAB, the figures attesting to its success are there to be seen.

I would like to pay tribute to the Chairman for the work he did on the insurance issue as Chairman of the committee. I also pay tribute to the committee for its work on the subject.

Before there is a response, do committee members have questions on the Personal Injuries Assessment Board? I will then give the Minister a chance to respond to everyone.

Very few savings are being passed on to consumers by the Personal Injuries Assessment Board. We should bring its representatives before us in the context of our insurance inquiry.

The final report, yes. They are included.

There are examples where the Personal Injuries Assessment Board does its job but the insurance companies do not pass on savings. I am talking about liability insurance.

No, they are not doing so.

Motor car insurance premiums have come down by 20% to 25% on average. However, in some liability insurance cases, savings are being made through the use of the Personal Injuries Assessment Board and companies' profitability is surging because these savings are not being passed on to consumers. If the insurance industry is making more than €1 billion in profits, one would expect savings to be passed on to consumers.

This concerns public liability and employer's liability insurance.

We have heard much from the chairperson of the new Personal Injuries Assessment Board about what she will achieve, but nothing has been achieved on the cost of claims. Only the legal side of the issue has been sorted out because if one is indebted to the legal profession or the Garda, that is fair enough. The cost of claims has not come down in five years, despite my understanding that that was the issue this body was to address. There is as much money paid out in claims today as there was then, whether they are rogue claims or otherwise. Motor insurance premiums have fallen — why should they not, with double the number of cars in the country? There are many accidents, but the number of cars means the insurance companies are taking in more in premiums. Therefore, the costs are the same with the same level of staffing. That is the answer to the question on insurance.

The savings on legal costs to date have been around €4.5 million.

That is not very much.

It is actually. The number of resolved up-front settlements following contact with the PIAB was up to 4,000. It is, therefore, a far more efficient operation for the consumer. The PIAB ultimately has to reflect the awards determined by the courts.

It is tied in to the book of quantum also.

If the variance is significant, it is obvious what will happen.

The legal savings are €4.5 million in the initial stages.

Initially, but we expect it to go with the number of cases and assessments completed. I have no doubt the chairperson of the PIAB would relish the opportunity to meet the members of the committee.

She is on our list of invitees.

She does not like being questioned.

Subhead T on health and safety——

I have a question on farm safety.

The Minister may then respond to that question. Does anyone else have questions?

I asked a question on the investigation by the Garda, to which I would like an answer.

Deputy Hogan referred to the substantial increase, particularly last year, in the number of deaths in the construction sector. The figures released yesterday show that the rate among foreign workers is 22.1 per 100,000; for other workers it is seven per 100,000. This is an extraordinary death rate among non-national workers.

The Deputy also raised the issue of the safe pass scheme. As I recall, it was promised that those who had lost out on training would receive it. The Health and Safety Authority and FÁS were more concerned that people would receive training rather than pursuing the issue of refunds. I can get further details on this. There has been a scam relating to the purchase of safe passes by persons who have done no training.

The Health and Safety Authority signed off on the construction regulations in the past week and they are now with the Parliamentary Counsel. I will write to the Chairman offering to show them to the committee

In answer to Deputy O'Keeffe on the number of fatalities on farms in the past three years, in 2003 there were 20; in 2004, 13 and last year, 18. However, only 29% of farms have received a safety statement. This is extraordinarily low. The Health and Safety Authority intends to carry out at least 1,700 farm inspections this year; less than 100 were carried out in 2004. It is a sector to which additional resources are being allocated.

I should categorise the number of farm accidents involving animals, tractors and other workers on the farm. How does one put safety measures in place to save farmers from rogue animals? How many farmers were killed last year in such circumstances? The beef suckler herds present the biggest issue. County Clare has the most suckler herds in the country. I understand beef breeds are the problem when it comes to farm safety.

The Minister of State has acknowledged that the safe pass scheme was the subject of a scam. Has the matter been investigated? Can he indicate the changes that have been made to ensure that there will be no recurrence? In light of the increase in fatalities in the construction industry in the past year, I am concerned about this matter. People are entering construction sites who were allegedly trained but who, in fact, were not trained because they fell victim to this scam. These individuals are putting themselves, their colleagues and the general public in danger. Will the Minister of State provide a full report on the Garda investigation that was carried out? What new processes have been put in place? Have the trainers that were part of this scam been removed from the FÁS panel?

: There were two scams. People were given certificates, despite the fact that they had not attended training, and the quality of the training was also at issue. We dealt with that over a long period and, to the best of my knowledge, none of those involved remain as trainers. I will check the position and revert to the Deputy with the details.

There was also an issue relating to forged documents. These are notoriously difficult to spot and the matter was only brought to our attention quite recently. I will keep the Deputy informed regarding developments on this issue.

Regarding fatalities on farms, I do not have in my possession the breakdown of the causes of death in individual cases. I will send Deputy Ned O'Keeffe a copy of the statistical review, which was launched yesterday.

: Are there any questions on subheads U to X4, other services?

: How many trade missions took place in the past 12 months and what level of success did they achieve?

I will obtain the exact number for the Deputy. The trade missions were particularly successful in the past 12 months. The feedback from Enterprise Ireland suggests the presence of a Government Minister on trade missions with Irish companies is very advantageous. This is particularly the case in Asia, the United States and eastern Europe. Small Irish companies may have world class products but they find scale a difficult issue with which to deal. The fact that Enterprise Ireland takes equity in some of these companies and that Irish Government Ministers are present on trade missions gives them credibility. I gave Enterprise Ireland's figures earlier and its strategic vision is working for its client companies. Exports have increased. The Minster of State at the Department of Enterprise, Trade and Employment, Deputy Michael Ahern, and I have been on many trade missions and will continue go on them on the basis of the feedback we have received from Enterprise Ireland and its client companies. It is important for the overall Irish effort to access overseas markets.

: There is one final matter on which I wish to comment.

: Perhaps the Minister of State, Deputy Michael Ahern, would like to add to the comments made by the Minister.

The Minister has adequately explained the benefits of trade missions.

: I occasionally go on trade missions and I want to acknowledge the wonderful work that is done by the Department of Enterprise, Trade and Employment and the three Ministers, particularly Deputy Martin who I accompanied to China and India. I travelled to South Africa with the Minister of State, Deputy Michael Ahern. Our country is very fortunate to have such dedicated people in Enterprise Ireland and it was a privilege to be associated with them.

: I wish to return to the Minister's point on the groceries order, the food industry and the British market. Of the 15 countries in the European Union before enlargement, 14 had groceries orders. We are aware of that fact on foot of research carried out on behalf of the committee. The Minister was extremely innovative in terms of what he did in respect of the groceries order and I pay tribute to him for that. The work done by the committee was not recognised by any of the political parties.

The British market is the toughest market for Irish food producers. One need only consider what is happening to the British food industry. I had been of the opinion that continental Europe was the main market for Irish food. Regarding dairy foods, I see only Danone and Yoplait yoghurts in the shops throughout Dublin city. I have not seen products sourced in Ireland. One hears about the short shelf life of produces and the need for diversification. We do not have the products that consumers demand.

Much debate takes place about modern lifestyles and obesity, yet we stock foods that contain a high fat content. Much more research must be carried out in this area if success is to be achieved. Sandwiches do not represent the way forward for the Irish food industry. We must consider launching products with short shelf lives that are attractive and innovative. Sufficient work is not being done in this area.

The Deputy's reference to sandwiches was a throwaway comment on a significant part of a large market. Irish companies, for example, O'Brien's, have franchises all over the world. However, that is only one aspect of the matter. The Deputy is correct that we need to encourage more innovation. That is why we are investing in research and development activities on the part of all food companies. The British market is large and important to us. However, we target markets in Europe, the United States and elsewhere. Innovation is the key and we need to do more in this regard.

I am objecting to sandwiches only because they are made with white bread, which contains high levels of carbohydrates, lactose and so on.

I accept that it is not covered under this Estimate, but the rural social scheme in County Galway is working well. It was meant for small farmers and that is why it is working well in the area I represent.

: There are no further questions for the Minister, Deputy Martin. Does he wish to make a closing statement?

: I wish to thank the committee for its co-operative and constructive engagement with the Estimates.

On behalf of the committee, I thank the Minister, Deputy Martin, the Ministers of State, Deputies Michael Ahern and Killeen, and their officials for attending. I also thank members for their contributions.

Barr
Roinn