John Paul Phelan (Carlow-Kilkenny, Fine Gael) | Oireachtas source

I pick up where Deputy McLoughlin left off. I thank the Customs and Excise service and An Garda Síochána for their efforts in protecting our borders commercially. The Deputy pointed out that they may need more resources. I know there is a constant demand on Ministers for more resources. I will make that point later in my contribution.

We are dealing with legislation in the customs area that goes back to 1876, which is a long time ago. The importation of articles and material into the country has changed considerably in that 140 year period. I welcome the measures in the legislation which take account of the changes that have taken place in the intervening period, not least the effect of European Union regulation and law in this area. I know that is part of the Bill we are discussing and the Minister referred to it in his opening comments. I welcome that the Bill carries forward the existing customs appeals procedures.

Further to Deputy McLoughlin's contribution, my major focus is on the importation of illegal or counterfeit goods and other materials, principally tobacco and fuel. I am a member of a committee of the British-Irish Parliamentary Assembly that is investigating mainly fuel laundering and counterfeit importation in general. We have been presented with pretty strong evidence of such illegal activities that continue in the country. I appeal to the Minister of State on the issue of counterfeit cigarettes. I speak as somebody who from time to time socially avails of tobacco. Some people might say I have a vested interest. I can assure the House that my vested interest is in protecting people's health and protecting the taxpayer.

Many of these counterfeit cigarettes are of a particularly dangerous quality and standard. That goes above and beyond the obvious negative health effects smoking has on individuals. That is one factor to be taken into consideration. The other is the loss to the Exchequer, which is hard to quantify for sure. In my part of the world there is considerable anecdotal evidence of significant sales of counterfeit tobacco products. Representatives of those involved in the legal sale of tobacco have supplied me with evidence of particular activities that go on in some of our port towns and the surrounding hinterland. They report significant reductions in the sales of tobacco products at times when significant ships come into that port town. I know it is anecdotal evidence and it is hard to quantify it exactly. However, all these retail representatives tell me the same story.

Kilkenny is an unusual area in that it is an inland county with two ports - the Port of New Ross and the Port of Waterford. The Port of New Ross, partly, and the Port of Waterford, wholly, are located in County Kilkenny. Significant evidence has been presented to me of activities that coincide with the arrival of certain vessels from certain areas into those port facilities and the resultant decline in the sale of legal tobacco products in outlets in the immediate hinterlands of those ports. It is also obvious that certain individuals, who have no other obvious source of wealth or income, manage to live lifestyles that are incompatible with what their legal income might be determined to be because they are allegedly, at least, involved in these activities.

I know there has been investment in recent years in additional scanning facilities at our ports. There is at least one mobile scanning unit and there may be others. I ask the Minister of State to clarify that in his concluding remarks. More investment is needed in this area because it will have a knock-on beneficial effect for the Exchequer in terms of ensuring that the tobacco products sold here are legal.

4 o’clock

In the area of fuel laundering, we are all familiar with people who have suffered as a result of using laundered fuel. This has happened across country, not least in my constituency. In the past five years, the proliferation of disused filling stations suddenly springing up and offering fuel at much lower prices than longer established fuel facilities rings alarm bells for most people. However, we cannot, nor should we, blame the public for shopping around and ensuring they get the best value for money when buying fuel. Some of the facilities sell illegal product. It is easy for a backbencher to seek extra resources but in this area it is self-financing. If extra expenditure is incurred in policing the activity within the economy, the knock-on benefits to the Exchequer in additional revenue from legally produced fuel will finance the venture. I encourage the Minister of State to ensure the funding is made available.

I welcome the legislation. It seems appropriate that a such a consolidation measure comes before the House. I ask the Minister of State to consider additional resources sought by me and Deputy Tony McLoughlin.

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