John O'Donoghue (Kerry South, Fianna Fail)

The Irish horseracing industry has the most successful record internationally of any sport in which we are involved. This has been proved at various race meetings across the globe. We also have an enviable greyhound industry; I would venture to say that it is the finest in the world.

When an examination of the horseracing industry was undertaken, it was established that the thoroughbred breeding industry makes a gross contribution to the economy of €330 million per annum and pays tax of in the region of €37.5 million. Ireland is Europe's largest producer of thoroughbred foals and accounts for 42% of total output. It is the third largest producer in the world behind only the USA and Australia.

The horse and greyhound racing fund, which the Government put in place in 2001, is one of the reasons we are so successful in horseracing and greyhound racing. Under the provisions of the fund, the excise duty collected from high street shops was ring-fenced for the industries. The fund has been a resounding success.

Deputy Gogarty, in terms of the way he phrases his questions, and others who are critical of the industries concerned forget completely their economic contribution. For example, independent economic studies have put the value of the Galway and Punchestown festivals to their local economies at €60 million and €43 million, respectively. Racing attracts approximately 70,000 visitors to this country each year. The total value of Irish bloodstock sales last year was approximately €250 million, all of which, as with any other agricultural activity, is fully taxable. In the breeding industry alone, employment is estimated at 2.400 in the stallion sector and 2,300 in the brood mare sector.

These indigenous industries deserve the support of the Government. I emphatically disagree with any suggestion that the horse and greyhound fund should be discontinued after 2008. If it is discontinued after that date and if there is a reduction in support for the industries concerned as a result, we would be under-investing in indigenous industries which, for the most part, are located in rural areas where it can be quite difficult to find alternative employment. I sincerely and unashamedly hope that the fund will be renewed after 2008 so that we can continue to develop these indigenous industries, both for those involved in them and for the glorification of Irish sport.

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