The Government was yesterday urged to step up its efforts to develop industry in Youghal following the closure of manufacturer, Seafield Technical Textiles in the town with the loss of 40 jobs.

Cork East Fine Gael TD David Stanton said the news that Seafield Technical Textiles is due to close in December is a serious blow to Youghal, which has lost jobs with the closure of both Artesyn Technologies and Kodak Eastman in the town in recent years.

"My understanding is that Seafield in Youghal is not able to compete with cheaper supplies coming in from eastern Europe and Asia, particularly China," said Mr Stanton, adding that Youghal had been "totally sidelined in terms of industrial policy".

He called on Cork South Central TD and Minister for Enterprise Trade and Employment, Micheál Martin and Minister of State for Trade and Commerce Michael Ahern, of Cork East, to step up their efforts to prevent the town becoming a jobs blackspot.

"And there must be an immediate change in Government policy, which is slowly driving Ireland out of business by fuelling costs and driving up inflation," he said.

Mr Ahern expressed his disappointment at the job losses and said that the news will come as "a severe blow to their workforce and their families". He said he had asked the State agencies to make every effort to find alternative employment.

Seafield Technical Textiles, which manufacturers heavy duty textiles for use in industrial clothing and endurance sports gear, was established in Youghal in 1945 but has been under the present ownership since 1991.

At its peak in the 1970s, it employed over 400 people.