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Westmeath Independent

Published: Wednesday, 11th November, 2009 5:30pm

We must make the brave decision to shop local

Profile by Tadhg Carey

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There's no question that for many families in Athlone, the rest of Westmeath and indeed the entire country, this Christmas - and probably the next one - will be as tough as it gets.

Inevitably, people will look for cheaper alternatives for their food, booze and gifts. Some will choose Lidl and Aldi; some will trek across the border, and those with a few more euros stashed away might nip over to the UK.

The justification for this, many will tell you, is survival. Money is scarce. We are at the most awkward of junctures in our nation's economic history, in that the average person still expects the same standard of living as the Celtic Tiger era, but suddenly, they have less means to do so.

They turn to the British market, where the strong pound sterling has made prices north of the border and east of the Irish Sea much more competitive. People will, as a consequence, travel to save.

It's strictly business - and basic economics. Hopefully, however, we're coming into an age where morality plays a much larger role in commerce.

And that's where the flip side of the argument comes in. It is our duty to ensure that local business thrives. It is a moral imperative that we support local coffers and maintain local jobs, instead of filling the tills of the British Exchequer.

Hamstrung by incompetence in Central Government, and other external factors, there's not a lot that business in the 26 counties can do to ensure people shop local at Christmas.

Both consumers and small/medium enterprises are being pulled in various directions. Consumers have less spending power, because they face increased medical bills, pay cuts, more taxes or more expensive education fees. Local business, meanwhile, is crippled by the lack of credit flow, an unchanging VAT rate, and an uninspired political establishment which has nailed its colours to various masts.

One of these great political pillars is, of course, the euro. In 1993, at the end of our last economic downturn, a decision was taken to devalue the Irish punt. The effects on the economy were phenomenal: unemployment fell, and the Celtic Tiger era was born.

We cannot do this now because we are locked into a currency system which is not ours to devalue. It belongs to several other countries too, chief among them the great European powers of Germany, France and Italy. We are not in a position to adjust our currency to a point where prices become competitive with our near neighbours, and our exports to the UK return to normal levels. The situation where people from Athlone travel to Newry or Enniskillen for their Christmas shop (or indeed, their weekly one) is a symptom of this bigger picture. Unfortunately, these macro-economic factors are in the hands of politicians. They are unlikely to rethink Ireland's place in the Eurozone, but they can make some positive decisions in favour of small and medium businesses in the forthcoming budget, allowing them to offer more competitive prices to taxpaying consumers. It is not likely that this will happen, as the Government has chosen the route of inflicting massive cuts across the board, in a bid to finance its blank cheque to the banks.

This calls for some independent action, and consumers have a chance to be the biggest and bravest of all parties involved. By paying that little bit extra locally, or within the borders of this country, shoppers pay to protect local jobs, and to keep that friendly, familiar face behind the counter. It's time for consumers in Westmeath to think in the longterm, and make a large instalment of trust in local business, in the hope that when the economy takes a turn for the better, that friendly, familiar face is still around to return the favour.

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