John O'Mahony (Mayo, Fine Gael)

I am glad to contribute to the Fine Gael motion. It is particularly apt it should be debated at this time, just before the budget, when the Government has another chance to create conditions for Ireland to reverse the trend it has experienced in recent times and help make our country competitive again.

All the facts and figures in this year's report by the National Competitiveness Council confirm in stark terms what we are already seeing on the ground. Our share of exports in world markets has fallen since 2002 and domestic inflation has eroded Irish price and cost competitiveness. In addition, as regards productivity growth, Ireland has lost its place as an international front-runner and now lags behind the OECD average.

The lack of physical infrastructure across a wide area of the economy has been a major source of competitive disadvantage. The inability of our roads, rail, ports and airports to cope with economic and population growth in the 1990s is now coming home to roost.

The Minister of State, Deputy Haughey, said that we are improving and catching up. While the east coast might be improving, that is not the experience in the west. The boom in the construction industry in recent years and the growth in jobs it produced masked the fact that manufacturing and agriculture lost thousands of jobs in the same period. Construction now accounts for one in seven workers, compared to one in 17 in the United States. With the building boom slowing down rapidly, one does not need to be a genius to work out that we have a problem on our hands.

It is accepted that Ireland's international competitiveness has weakened and that problem is multiplied to an even greater degree in the west. Rural areas, including small towns, are struggling to compete nationally, not to mind internationally. If our national infrastructure cannot keep up with demand, what chance has the west coast of doing so? It has been way down the priority list during the boom years when there was a golden opportunity to advance balanced regional development.

The west urgently needs the western rail corridor to help develop the region. Part of the corridor is currently being built from Ennis to Claremorris, but no date has been given for rebuilding the remaining section to Sligo. This section passes by Ireland West Airport Knock, offering an ideal opportunity to develop the region in a structured and linked-up way. Completing the western rail corridor will connect the two gateways of Galway and Sligo, thus revitalising smaller towns along the way. The completion of the western rail corridor from Mayo to Sligo is the true test of the Government's commitment to balanced regional development.

The snail's pace roll-out of broadband in the west is not giving business and industry a chance to complete on an even playing field. I could give countless examples of individuals with small businesses who are unable to operate in numerous parts of Mayo because broadband is not available to them. One such example is in Kiltimagh where people are awaiting the Government's go-ahead to operate MANs. The IRD in the town is frustrated that the connection to the network, which has been there since 2003, has been denied to them despite umpteen requests to the company operating the scheme on the Government's behalf. Kiltimagh is currently promoting the Cairn international trade centre project, which could provide 150 jobs.

The map supplied for Transport 21 opening up the regions tells us everything about the competitiveness problems facing the west. Only one motorway is going into Connacht. Other projects, such as the N26, have been delayed. In addition, the N6, N17, N83, N5 and many others are so far behind that they need to be seriously accelerated if we are going to attain competitiveness.

Ballina and north Mayo's progress is being seriously curtailed by the infrastructural deficit in the region. At the other end of the county, Ballinrobe and Ballyhaunis are in a similar situation. If Ireland is to become competitive, we need a much better and more prudent use of our resources than has happened in the past ten years. I commend the Fine Gael motion to the House.

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