IRISH SUB SUPPLY SECTOR TARGETS £40 MILLION OF NEW BUSINESS AT SUB SUPPLY 98 - MINISTER KITT

Mr. Tom Kitt, T.D., Minister of Labour, Trade and Consumer Affairs, today (Tuesday 22nd September, 1998) opened Sub Supply 98, Ireland's national and European industrial and products exhibition, in O'Reilly Hall, UCD Belfield, Dublin.

Sub Supply 98 is a major initiative in Enterprise Ireland's global sourcing programme of building relationships with procurement teams in Europe and worldwide.

Minister Kitt said that "Ireland is emerging as the high tech centre of Europe. Large international companies are increasingly sourcing in Ireland for quality, competitiveness and convenience. Buyers see Ireland as a world class quality global supply source and home to a rich vein of sub suppliers."

Minister Kitt went on to say that "Sub Supply 98 is expected to generate £40 million in new business for Irish industry suppliers, with 75% of it coming from overseas customers." More than 150 buyers representing major companies in Europe and Ireland are expected to attended the one-day show. The biggest new sales boost - worth an anticipated £30 million - is expected from major multinational corporations and original equipment manufacturers in ten European countries including France, Belgium, Italy, Spain, Holland, Russia, and Germany.

Minister Kitt said that "the global business revolution, driven by trade liberalisation and modern communications technology, had a significant impact on procurement. Many of the world's leading companies now pursued global rather than country strategies. Buyers demanded a world class local service internationally and sourced anywhere in the world on the basis of competitive capability. Irish sub suppliers had successfully responded by internationalising their business and acquiring a deeper identification of the requirements of their customers".

The Irish sub supply sector employs 14,000 people and has combined annual sales in excess of £1 billion. It has been expanding in recent years at 20% per annum and two-thirds of output is sold to export customers.

The companies taking part in Sub Supply 98 provide a wide range of engineering and electronics manufacturing products and services including telecommunications and computer equipment, precision moulded components and turned parts, turnkey services, subcontract assemblies, print and packaging. Almost all are ISO certified and are already selling in overseas markets.