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Dáil Éireann - Volume 279 - 16 April, 1975

Ceisteanna—Questions. Oral Answers. - Louth Employment Situation.

14. Mr. Faulkner asked the Minister for Industry and Commerce the plans he has to deal with the serious unemployment situation in Ardee, County Louth.

Mr. Keating: I am aware of the situation in Ardee and I have been informed by the Industrial Development Authority that they are making every effort to find new industry for the town.

A 24,000 sq. ft. advance factory is now nearing completion there. So far the IDA have arranged for seven industrialists to visit the building but no firm project has yet emerged.

It is hoped that a project already approved by the IDA with an employment potential of 200, which had to defer setting up in Ardee because of a cut-back in the parent company's production will go ahead when the market situation recovers.

[1776] Mr. Faulkner: Is the Minister aware that 171 workers have been declared redundant in the Castleguard Textile Factory in Ardee, the vast majority being men, that those who remain in employment there will work only one week in every two and added to the number already redundant, because of the closure of the Ardee chair factory, this is a catastrophe for a town of this size? The Minister in his reply does not appear to fully appreciate the difficulties.

Mr. Keating: I am aware of the situation in Castleguard. My figure, for the record, was 140 rather than 171.

Mr. Faulkner: It is 171.

Mr. Keating: I accept the Deputy may have a more recent figure than I have. There is this to be said about Ardee. I agree entirely that there is a special situation there. We thought that last year on the basis of two projects, both of them perfectly genuine, we had a solution to it. One of them has cancelled and the other has deferred and that makes it a special problem.

Mr. O'Malley: Does the Minister know why?

Mr. Keating: They cancelled because of a downturn in the market for the product of the particular firm, which is not an Irish market. It is a product for export and they considered that the economic situation in the market area did not warrant building a new factory at this moment. That is in regard to the one that cancelled. In regard to the one that deferred the downturn is in the Irish domestic market and they intend to resume when the market turns up again.

Mr. Faulkner: Is the Minister aware that over 80 per cent of the production of Castleguard Textile Factory is exported mainly to Britain? Is he further aware that the Minister for Industry in Britain, Mr. Wedgwood Benn, recently expressed grave anxiety about the effect of imports from low cost countries on the textile industry in Britain? Would the Minister immediately get in touch with [1777] Mr. Benn with a view to jointly demanding that the importation of textiles from low cost countries into Britain is severely curtailed?

An Ceann Comhairle: This is an enlargement of the question.

Mr. Keating: While Mr. Benn is the Industry Minister the appropriate Minister in Britain is Mr. Peter Shore, who is the Minister for Trade, with whom I have had contacts. The circumstance of what Mr. Benn said was in the light of the campaign for a “No” vote in the British Referendum. If the intention for Ireland is to remain within the EEC, then the rules of the EEC must be complied with. Within that we were the first to make approaches to the Commission and we have got things from them, particularly in regard to one low cost area, that no other country got. I am satisfied that our efforts produced results before other countries made approaches but I am not satisfied with the amount of action the EEC have taken. This is a matter where we are continuing pressure and we are continuing contacts with the United Kingdom.

Mr. Faulkner: The Minister made approaches to the EEC after pressure was brought to bear on him by this side of the House.

Mr. Keating: I have already denied that. The Deputy can go on repeating it but it is not true.

Mr. Faulkner: Might I further suggest to the Minister, in view of the fact that the countries concerned made the rules and the regulations of the EEC, because of the situation here and in Britain on which the Castleguard Textile Factory depends it would be a worthwhile exercise on his part to approach the British and make representations in relation to changing the regulations?

An Ceann Comhairle: Could I ask for brevity in supplementaries and, indeed in replies also? Little progress is being made.

Mr. Faulkner: May I ask one final supplementary?

[1778] An Ceann Comhairle: It must be very quick and final.

Mr. Faulkner: In view of the exceptional nature of the unemployment situation in mid-Louth, would the Minister consider having it declared a designated area?

An Ceann Comhairle: That is a separate question. Question No. 15.

Mr. Faulkner: Perhaps the Minister would reply to it?

Mr. Keating: I do not propose to reply to it now. I should like to discuss it with the Deputy immediately Question Time is over. If he is not satisfied with what I say, he is perfectly entitled to put down a question which I will then answer.

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