Oireachtas Joint and Select Committees

Tuesday, 25 September 2012

Joint Oireachtas Committee on Jobs, Enterprise and Innovation

Beverage Exports: Discussion with Drinks Industry Group of Ireland

1:45 pm

Photo of Peadar TóibínPeadar Tóibín (Meath West, Sinn Fein) | Oireachtas source

Fáilte roimh anseo inniu. I have a question about the industry's structure. It was rumoured a number of years ago that several dominant organisations within the industry may have led to a lack of growth. Increased diversity, particularly in respect of spirits, has led to an increased emphasis on exports. What are the witnesses' opinions in this regard? The Cooley Distillery created a competitor, on the back of which it attracted a foreign investor. Some people believe that this stimulated brand competition.

I might not be correct, but most of the market's large players are foreign-owned. Does this have an effect on their view? Are the products in question additions to their core products or are they focused on driving them?

The micro-brewery industry is an emerging sector, but remains comparably very small. I studied the issue and learned that the micro-brewery industry as a whole had received an investment of €70,000 in 1996, which was equivalent to the promotion of Trinity's sports day by Smirnoff Ice, a tiny product of a large company. Diversity among the micro-breweries seems to be creating product innovation in that industry.

Regarding the structure of industry sales, on-licensed trade seems more valuable to the State than off-licensed trade. If a fisherman catches a fish, it is worth X amount. If a tourist catches a fish, it is worth more. Perhaps the Government should consider ways of promoting on-licensed consumption as opposed to the more dangerous off-licensed consumption.

MEAS is an organisation for the proper consumption of alcohol supported by the drinks industry. We were trying to set up a pilot project in Navan, County Meath, in which all alcohol bottles and cans would carry the stamps of where and when they were sold so that the adults who gave them to young people could be traced. Such activities would promote the proper consumption of alcohol and lead the Government to adopt a more relaxed attitude towards excise, etc.

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