The Minister for Arts, Sport and Tourism, Mr O'Donoghue, has repeated his warning about the high costs encountered by tourists. The Minister said there was no point in people burying their heads in the sand.
"We have Bord Fáilte surveys which suggest that an increasing number of visitors perceive that the value for money we offer is not what it used to be. It would be foolish to ignore that.
"I have chosen not to ignore it and have advised the industry on the precise position and asked it to become more competitive.
"I am happy to say that the industry has responded positively and we are becoming more competitive.
"It is a tough world and we should be under no illusion but that competition in the marketplace is fierce."
The Minister was speaking during the debate on the National Tourism Authority Bill, setting up the tourism authority, which passed its remaining stages.
He said that a visit to the recent world fair in London had shown that more countries, in particular developing nations, were entering the marketplace.
"If one does not have a lean and hungry product some of the market share will disappear. It is as simple as that."