asked the Minister for Industry and Commerce whether the duties imposed in the Finance Act, 1936, on ground spices and peppers are designed as revenue tariffs or are intended to afford protection to the trade of spice grinding, and if they are protective tariffs, whether licences have been recommended to issue for the importation of ground spices or peppers, free of duty, since the duty was imposed; and, if so, why in view of the fact that supplies of these commodities are now and have been for some time available from Saorstát sources of supply.
Ceisteanna—Questions. Oral Answers. - Duties on Spices and Peppers.
The duty referred to by the Deputy was imposed to ensure that the maximum amount of work in the grinding and blending of spices would be carried out in the Saorstát.
For a short period after the imposition of the duty recommendations for licences for the importation of ground spices, free of duty, were made for strictly limited quantities in order to facilitate importers during the transition period. Such recommendations are not now being made except on production of evidence that Saorstát ground spices are not obtainable.
Is the Minister aware that two licences were issued in the course of the last fortnight to customers of a firm which has been grinding spices and peppers in this country for the last three years, to import ground spices and peppers from abroad free of duty? Is the Minister further aware that it would appear that the Department is using this tariff, not for the purpose of protecting an existing industry, but for the purpose of destroying an existing industry in order to make way for a new enterprise that desires to collar this man's trade? Will the Minister take such steps as will be necessary to ensure that the man who was grinding spices and peppers before there was any tariff put on will continue to get a fair deal and not allow his business to be taken from him in order to give it to somebody who refused to undertake the business until he got protection from the Government?
Has any licence been issued to a foreign firm to come here to the detriment of an existing firm?
I think Deputy Davin should put down a separate question. With regard to Deputy Dillon's supplementary question, if the position is as the Deputy has explained, I can promise him I will look into it.
Is it not a fact that the Minister for Industry and Commerce received a letter in May last protesting against a statement made here that the grinding of spices was not being carried out in this country?
That is a separate question.
Was the Minister not aware of these facts when he was preparing the answer?
Is there not and has there not been information in the Minister's Department for the last three months that there were abundant supplies of ground peppers and spices available from Saorstát Eireann sources and why, in the circumstances, did the Minister's Department issue licences for the importation of these commodities free of duty? Surely the Minister must know there were abundant supplies available within the Saorstát?
If the Deputy has specific instances in mind, I suggest he should put down a question. He has asked for particulars as to the policy of the Department in regard to licences and I have told him what the policy is. If he has specific instances in mind, I should be glad if he would bring them to my notice.
Arising out of the Minister's reply, I think the Minister has misread my question. I asked him to state categorically whether licences have been recommended to issue for the importation of ground spices or peppers free of duty, since the duty was imposed. To that the Minister replies, "Yes. I have recommended the issue of licences." I now ask why he has recommended such issue of licences when he knows for months past that there were abundant supplies of those commodities to be got from a firm producing them in Saorstát Eireann, and which was, in fact, producing them long before any tariff was put on at all. My submission is that the Minister's admission that he has recommended those licences to issue is prima facie evidence of the fact that the tariff is being used not to promote a new industry or to encourage an existing one, but to destroy an existing industry in order to make way for somebody else to come in and start in place of the person who is to be wiped out. If that is true, I say it is a very great scandal. Am I to understand that the Minister will look into the matter?
The Deputy has made a statement that licences were issued for importation of spices when the Department knew that spices were available in this country?
Yes.
The information I have at my disposal is that that may not be so; I cannot say at the moment. There seems to be a doubt whether the total requirements in spices can be supplied from the existing factories, but I shall look further into the matter.
Lest it might appear that there was any doubt as to the accuracy of my information, I shall give the Minister a further opportunity, by your leave, Sir, to deal with it more fully by raising the matter on the adjournment.