Minister for Trade and Commerce, Michael Ahern TD, reacts to trade figures

Minister for Trade and Commerce, Mr. Michael Ahern T.D, broadly welcomed the trade statistics released today (Friday 15^th July 2005) by the CSO. The figures show that exports for May 2005 increased by 10% relative to May 2004 while imports increased by 7%.

Although imports and exports for May 2005 were down 3% and 9%, respectively, on April 2005, the Minister said that the April 2005 figures had been exceptionally high and added that, due to their cyclical nature, it can be difficult to establish a definitive trend based purely on month to month comparisons. The Minister noted with satisfaction the fact that the April and May 2005 trade figures showed an increase comparative to figures for the same two months last year, and felt that this was more significant.

Comparing the cumulative period January to April 2005 with the same period in 2004 export figures remained broadly the same, while imports increased by 8%. The main imports were road vehicles, other transport equipment and petroleum. Commenting on this aspect, Minister Ahern pointed out that “a proportionate rise in imports, particularly raw materials, is often an indication of increased economic activity leading to an increase in exports in the longer term.”

The Minister also welcomed the additional information being provided by the CSO on the preliminary figures for May 2005. “The additional detail now included will allow for easier identification of trade trends,” the Minister said. “Overall our trade figures have been relatively stable over the first five months of 2005. We are now well poised to take advantage of positive global opportunities.”

The EU continues to be our most important export market, accounting for 62% of all Irish exports. Minister Ahern said that he would expect that figure to increase further over time. He is pleased that exports to France increased by 12%, to Switzerland increased by 15% and to the Netherlands by 10%. There was a small decrease in exports to the US (-4%) and to the UK (-5%). “Overall, today’s figures show that Irish exporters are continuing to perform strongly under difficult economic conditions and the signs that Ireland’s will increase its global share in trade by end-year are promising,” the Minister concluded.

ENDS

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