Kitt Leads Over 20 Irish Exporters in Search of Eastern Promise

"Chinese Market is Key Target" - Minister for Trade

Mr. Tom Kitt T.D., Minister for Trade will lead a delegation of over 20 Irish companies to China for a week long, intensive trade promotion mission in the world's most dynamic growth market. The visit coincides with an official visit to China by An Taoiseach.

The trade mission from 14th to 19th September, 1998 will see visits to Beijing, Shanghai and Hong Kong involving high level political and business meetings.

Minister Kitt will sign a bilateral air transport agreement during the mission. The two Governments will also discuss treaties to facilitate the growth of trade between Ireland and China, including a double taxation treaty and an investment protection agreement.

Tom Kitt said that "Large benefits will flow to Irish exporters if they can gain a foothold in the Chinese marketplace with a consumer population of over 1.2 billion, three times that of the E.U.". Last year our exports to China increased by one third to £228m. For the first 6 months of this year, exports are up 33% on the same period last year. "The potential is almost limitless and that is the job I will be about on my visit in mid-September".

The Trade Minister said that Irish exporters can benefit from China's new policy of economic liberalisation in "gaining access and share" of this vast market.

"Our key objective will be to define specifically the areas whereby Chinese and Irish companies can work together", the Minister stressed. He was confident that many new business opportunities would be generated as a result of the trade mission.

With Enterprise Ireland based in Beijing, Shanghai and Hong Kong, Ireland is now well positioned with a strong marketing presence to maximise benefits to the Irish economy.

Over the course of the week long mission, Minister Kitt will accompany An Taoiseach to meetings with Premier Zhu, President Jiang and Chinese Ministers responsible for trade, telecommunications, food/fish, aviation, education/training and labour. The Minister was confident that with China seeking to join the World Trade Organisation (WTO) the environment for mutual trading opportunities would be greatly enhanced. He would, he said, be encouraging China's entry to the WTO on appropriate terms by pointing to the benefits which Ireland has gained from an open trade policy.

There will be an extensive business-to-business programme for the 20 Irish companies travelling to China and the Hong Kong Special Administrative Region. "The mission, in conjunction with the official visit of An Taoiseach, demonstrates the Government's commitment to advancing the interests of Irish Exporters in one of the world's fastest growing markets", concluded the Minister.

More than 70 Irish companies were currently doing business in China and the Hong Kong Special Administrative Region, and many had developed well-established partnerships and other business alliances with local business interests. There were notable success stories especially in the industrial and engineering sectors involved with the modernisation of Chinese industry and infrastructure. This new business was solidly based, with excellent prospects for growth. There is a growing number of developing trade relationships between China and Ireland, such as the Aer Rianta consultancy services to Beijing International Airport on their duty free operations.

Bilateral trade between Ireland and China and Hong Kong was worth £672 m in 1997, with the balance, not surprisingly given to size, in China's favour. Irish exports to China and Hong Kong were £228 m, an increase of 32% on the previous year. Total Trade in the first 6 months in 1998 is 50% up on the same period last year with exports up by 33%. These figures doe not include services exports, such as aviation and training, which have been growing substantially.

The main Irish exports to China are electrical apparatus, industrial machinery, chemicals and pharmaceuticals, telecommunications and food ingredients. The level of Irish exports reflects the complexities of the market for Irish exporters.