Tony McLoughlin (Sligo-Leitrim, Fine Gael)
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582. To ask the Minister for Jobs, Enterprise and Innovation the extent to which she has managed to secure assurances throughout the EU and beyond regarding the need for expanded market access through fair competition in the aftermath of Brexit, especially as it impacts the Border region and counties Sligo and Leitrim; and if she will make a statement on the matter. [14990/17]

Mary Mitchell O'Connor (Dún Laoghaire, Fine Gael)
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European competition policy is developed from two central rules set out in the Treaty on the Functioning of the European Union.

Article 101 of the Treaty prohibits anticompetitive agreements and practices between two or more independent market operators such as cartel behaviour, which may involve price-fixing and/or market sharing.

Article 102 of the Treaty prohibits the abuse of a dominance position. The Competition Act 2002 as amended closely reflects these provisions in Irish law and this legal situation will continue after Brexit.

More generally, the European Commission is empowered by the Treaty to apply these rules and has a number of investigative powers (e.g. inspection at business and non-business premises, written requests for information, etc.) and may impose fines on undertakings which violate the EU rules. It works closely with Member States where anti-competitive practices are alleged to be taking place cross border or in more than one Member State to bring about an end to such practices.

The purpose of competition law is to protect and benefit consumers. Greater competition provides good value for consumers, stimulates business, and enhances the economy as a whole while anti-competitive behaviour results in consumers paying higher prices without any extra benefits and undermines the competitiveness of the Irish economy. The greatest harm comes from cartel type activity including price-fixing, which deprives consumers of the benefits of vigorous competition on price, service and innovation. Such activity is characterised by hidden costs and higher prices.

It is too early to say what impact Brexit may have on the UK’s regulatory and competition environment. Provisions on State Aids and competition policy are a common feature of EU Free Trade Agreements to ensure any aid granted by authorities to private entities does not distort competition.  The terms of any future free trade agreement, including state aid rules, would be a matter for the EU 27 and the UK to agree as part of any negotiation.

From a regional perspective, the Action Plan for Jobs 2017 includes a series of collaborative actions aimed at stimulating regional growth, including the progression, monitoring and support of the eight Regional Action Plans for Jobs, which aims to realise the national Action Plan’s regional employment targets.

The North East/North West Plan aims to support the creation of 28,000 jobs across Sligo, Leitrim, Donegal, Cavan, Monaghan and Louth by 2020. Sectors targeted as part of the plan include traditionally strong sectors for the region like agri-food, manufacturing/engineering and tourism.

The North East/North West Regional Action Plan for Jobs is stimulating job creation across the region, by facilitating collaborative initiatives between the public and private sector, and through the provision of new competitive funds awarded through Enterprise Ireland, to support regional enterprise projects.

There has been a substantial improvement in the North East / North West region since the commencement of the National Action Plan for Jobs in 2012, with an additional 23,000 in employment in Q4 2016 compared to Q1 2012. Moreover, there are now almost 6,800 more people in work in the region since the launch of the Regional Action Plan initiative.

My Department is providing additional funds through the agencies out to 2020. For example, together with Enterprise Ireland, I am currently finalising plans for a regional initiative of up to €60m to support collaborative approaches to grow and sustain jobs across the regions, and to encourage each county to reach its full potential.

Tony McLoughlin (Sligo-Leitrim, Fine Gael)
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583. To ask the Minister for Jobs, Enterprise and Innovation the extent to which her attention has been drawn to the possibility of a global trade war; the extent to which the economy can be protected in such a situation, especially the Border region and counties Sligo and Leitrim, in the wake of trade complications with Brexit; and if she will make a statement on the matter. [14991/17]

Mary Mitchell O'Connor (Dún Laoghaire, Fine Gael)
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I am well aware of the shifting and evolving global challenges which may affect trade and investment in the future.  Understanding the needs of business in their drive to succeed is and will continue to be fundamental to Ireland’s economic success and especially in these times of global challenge.

No open economy like ours can be fully shielded against global impacts.  I am confident however that we have the right policies to build resilience where possible and firmly strengthen our competitiveness and innovative capacity, thus ensuring the economy is properly positioned to meet any external challenges.

Promoting cross-border trade in light of the potential impacts of Brexit is a key priority for the Government as a whole.  It is, of course, hard to predict at this stage what the impact of Brexit will be for all of Ireland, including the border counties.  Much will depend on the nature of the deal that will be negotiated between the UK and the EU. These negotiations are likely to be complex and multifaceted.  This Government will seek, during that process, to highlight our unique economic ties with Northern Ireland.

It is clear that the cross-border market on the island is a particularly important one for SMEs, with nearly two thirds of Northern Ireland small firm exports going South and one sixth of Ireland’s small firm exports going North.  Inter Trade Ireland has undertaken a series of events for SMEs to raise awareness of Brexit issues, with more planned.  They have published information material for their companies setting out key challenges posed by Brexit.  Further initiatives by Inter Trade Ireland on this issue are also being developed for roll out later this year.

I am engaged strongly with Enterprise Ireland and IDA Ireland to ensure that Irish jobs are maintained and created with a particular focus on regional targets.  Enterprise Ireland is working with its 1,500 clients who export to the UK, looking at the individual challenges faced by companies in every county in Ireland and also on a sectoral level, as some sectors are more exposed than others.  Enterprise Ireland also consistently works with client companies focussing on enhancing their competitiveness, capability and levels of innovation to assist them to diversify into new markets.

I am in constant communication with these agencies, and chair a Brexit Coordination Group, which includes the senior management of my Department and the CEOs of the agencies.  As part of the Government’s ongoing dialogue with interested parties, I organised an important stakeholder engagement event on the 30th of January, in Carrick on Shannon, Co Leitrim to hear the views of stakeholders, both directly and through representative bodies.

The Government has just published a new Trade Strategy, Ireland Connected: Trading and Investing in a Dynamic World which supports an extensive programme of Ministerial-led trade missions, as part of a major drive towards market diversification - promoting diversified export markets in light of the potential impacts of Brexit is a key priority for my Department. This includes markets that are growing and have scale as well as markets where we are already well established but with potential for further growth.  The programme of trade missions and trade events for 2017 includes a substantive focus on the EU and third country markets.  In 2017 we have 42 Minister led trade missions to existing and emerging markets. These have been reorientated to reflect an increased focus on EU markets.

The EU’s suite of Free Trade Agreements with third Countries help to open new markets, break down barriers and provide new opportunities for Irish firms.  These existing EU Agreements and new trade deals will continue to be important for Ireland.  With a small domestic market, further expansion in other markets is essential to our continued economic growth.