Tony Killeen (Clare, Fianna Fail)

I thank my mid-west colleagues, Senators O'Meara and Coonan, for raising this important matter. The Competition Authority on Friday last announced its determination that the proposed acquisition of RHM plc by Premier Foods plc may be put into effect. The Competition Authority is required under the mergers and acquisitions section of the Competition Act 2002 to determine whether the result of the proposed acquisition will substantially lessen competition in the markets for goods and services.

The Minister for Enterprise, Trade and Employment has no role or function in non-media mergers under the Act, nor is the Minister entitled to access any commercially sensitive information on which a decision of the authority is based. It would be inappropriate for the Minister to comment in any manner, shape or form on the authority's determination in this case or any other case. However, since the announcement, Enterprise Ireland has been in contact with the company, which has stated that Premier Foods will dispose of the Erin brand to address the Competition Authority's concerns. It has not, however, made any decision yet about the plant or the jobs therein. It will commence a review and Enterprise Ireland has offered to assist in every way possible. I assure the Senator that the Government, through the agencies, will do everything it possibly can to secure the jobs.

The Government's strategy for Thurles and north Tipperary involves driving the transition to the knowledge economy by winning new foreign direct investment in the innovation-driven, high value, high skills sector, and by working with the existing company base to expand its presence in Ireland by the addition of increased strategic functions. The Government recognises the need to achieve high value employment in Thurles and is committed to marketing the area as part of its national goal of achieving balanced regional development. The attractiveness of Thurles for inward investment has to be seen within a regional context, with the national spatial strategy providing a framework for the achievement of this goal.

The IDA has five supported companies in north Tipperary employing 610 people, one of which is in Thurles. Gilbert and Mellish, a pharmaceutical distributor, has purchased rights to a BSN Medical product and employs eight people in the Tipperary Technology Park in Thurles. In addition, investments by Taro Pharmaceutical Ireland in Roscrea and Taylor Made in Templemore will result in significant additional employment for north Tipperary generally and the surrounding towns.

Shannon Development works closely with IDA Ireland in the development of, and the promotion and marketing of, tailored property solutions to potential investors throughout the mid-west, including the development of Tipperary Technology Park in Thurles. Shannon Development's sectoral emphasis in the mid-west region is on attracting new knowledge-intensive projects in information communications and technology, globally traded businesses, medical technologies and life sciences. The agency has completed first stage development of Tipperary Technology Park, which includes 25,000 sq. ft. of state-of-the-art accommodation to facilitate the attraction and development of knowledge-based enterprises. Associated with these activities, a major Government-funded marketing effort is underway, which involves Shannon Development, IDA Ireland, the local town council, LEADER, the North Tipperary County Enterprise Board and the Tipperary Institute, to promote the advantages of the town as an industrial location. There is confidence this effort will be successful in the medium term. In addition, Shannon Development continues to support the existing industrial base in Thurles.

Since the new building at the Tipperary Technology Park in Thurles was completed in August 2002, Shannon Development has been promoting space and facilities to the indigenous entrepreneur who wants to develop his or her own business. The facilities cater for "knowledge age" enterprises in the various stages of development — from the feasibility study stage to the venture capital stage and beyond. There are currently seven businesses operating from the incubator InnovationWorks Tipperary. The seven businesses currently operating in the incubator are involved in software development, marketing services, customer service call centre, back office operations, health and safety training materials and custom-designed burn garments respectively. Shannon Development, the North Tipperary County Enterprise Board and the Thurles Marketing Group also operate offices at the park. Three further companies occupy the larger expansion spaces on the park, namely, Digital Cinema, which is involved in a project to convert all the nations cinemas into digital cinemas; C&C Wholesale, which operates a customer service operation; and the vetting unit of the Garda Síochána. From a base of zero in 2002, there are currently over 100 people employed on the site across ten companies.

IDA Ireland and Shannon Development, as well as other agencies, are partners in the Thurles Marketing Group, which was established in 2002 with a view to developing a pilot marketing initiative in north Tipperary as part of the implementation of the County Economic and Cultural Strategy 2002-12. The focus of the marketing initiative is to promote Thurles as a location for business investment, both foreign direct and indigenous.