Dáil debates

Thursday, 23 March 2017

Intoxicating Liquor (Breweries and Distilleries) Bill 2016: Second Stage [Private Members]

 

4:30 pm

Photo of Brendan  RyanBrendan Ryan (Dublin Fingal, Labour) | Oireachtas source

I congratulate Deputy Kelly for bringing this Bill before the House. He did so in consultation with the operators in the business. I welcome them to the Visitors Gallery today. Many speakers in this debate have congratulated Deputy Kelly although his chair is empty. That is because he is attending the Committee of Public Accounts this afternoon. He has passed on his apologies for his absence.

The craft beer sector is booming with an eleven-fold increase in annual turnover since 2011. There has been an almost 30% increase in production by micro-breweries last year. However, those producing beer, cider and spirits are prevented from selling those products on their own premises. The Bill before us seeks to address that anomaly and would remove that barrier for these important Irish businesses which are operating in a growing sector.

Craft brewing and distilling employ around 1,000 people directly and indirectly. They operate in nearly every county, including one in Lusk in my own constituency. I am referring to Mr. David Llewellyn who describes himself as a fruit grower, wine maker, cider maker and vinegar maker. That description outlines the potential for where this business could go.

Many microbrewers who see the tourist potential want to open visitor centres to attract more customers for their products.

For those who do, or who have done so, current legislation requires that they either have a pub licence or an off-licence to sell their produce. This is obviously overly restrictive. The legislation before us today is simply common sense, as so many people have said. The simple objective is to remove a regulatory barrier to growth and support an expanding industry here in Ireland.

It will have a very positive impact on tourism around the country, increasing the number of tourist "things to do locally" in nearly every region and craft beer tourism has a huge potential which will be enhanced by the passing of this legislation. The craft brewers themselves have highlighted this potential in a recent report for Bord Bia and the Independent Craft Brewers of Ireland. I note the words of support from individuals and groups right around the House, including from the Minister of State, and I welcome that support. As Deputy Kelly himself noted, can a situation be imagined in Italy, France or Spain where tourists visiting vineyards could not buy a product at the end of it?

The Bill is, however, restrictive in its detail. It restricts sales to between 10 a.m. and 6 p.m. Sales can only be of products brewed on site and fines would ensue to ensure owners do not sell alcohol that is not brewed on site. There is also a clause preventing the licence holders applying for the types of exemptions and extensions to opening hours that pubs and clubs can apply for. Sales on Good Friday and Christmas Day are also disallowed, as they are for pubs and off-licences. I anticipate we will have a further debate on that at some stage in the future, particularly in regard to Good Friday, but that is for another day.

I will not repeat all of the statistics that Deputy Kelly and others have produced, but I would like to pick out some highlights and points of note from the industry itself. There are around 90 microbreweries operating in the Republic, of which 62 are production microbreweries and at least 28 are contracting companies. The number of microbreweries has more than quadrupled since 2012. Thirteen new production microbreweries commenced production in 2015 compared with a total of 20 in the previous year. This highlights the phenomenal growth in new enterprises in the last two years. Thirty-three of the 62 production breweries referred to commenced production in 2014-2015. The sector has recently been in high growth. The total turnover of craft beer producers in 2015 is estimated at €40 million and for 2016 is projected to be €59 million. In the five years since 2011, turnover has increased elevenfold.

These are powerful statistics. This is phenomenal growth. It is time to let this industry off the leash. The players themselves see the potential for growth. We need to help them along part of the way by the passing of this modest and simple legislation and the case for the change in the law needs no further argument. Everybody has made the case. I think it is accepted right across the board. I look forward to the passing of this Bill and its speedy passage through Committee and all Stages in the Houses of the Oireachtas.

I thank the Minister of State for his contribution at the beginning in which he indicated the Government will not oppose the Bill. While that is very commendable, I would really like to see the Minister of State and the Government grasping this, running with it and seeing its potential, rather than simply not opposing it. I recognise the gaps the Minister of State has identified in terms of risks of potential abuses, the need for court certificates, the potential impact on young persons, planning issues and fire certificates. All those are valid issues to raise but accepting and not opposing the Bill is positive for what Members are doing today. It is a statement that the Government will not oppose it because it is not perfect, it knows the legislation can be improved and that can be done on Committee Stage. I would ask the Minister of State to do so quickly. The people in the Gallery are waiting for action and I hope the Minister of State can deliver.

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