Speech By Minister Micheál Martin at the Export Industry Awards 2005

O’REILLY HALL, UCD, 1 DECEMBER 2005

Ladies and Gentlemen

I am very pleased to have been invited to present the Export Industry Awards here today and to have the opportunity to meet so many of our leading Irish exporting companies. Unfortunately, due to a prior engagement I could not be here at the start of this evening’s event. I am sure, however, that this evening’s host, Derek Davis, kept the proceedings moving along smoothly in my absence. Thank you, Derek. I look forward to the rest of the evening’s presentations with great interest.

I would like to say a few words now on the valuable contribution made by Irish exporters to the growth and development of the Irish economy, and the important role played by the Export Industry Awards in recognising that contribution. The Awards, now in their fifth year, recognise the outstanding achievement of Irish exporters across a wide range of sectors who, against a prevailing background of a difficult trading environment, last year helped bring Ireland’s total exports of merchandise goods and services to over €122 billion.

Ireland is continuing to outperform its European counterparts in terms of economic growth and development; the recent CSO projections for future economic growth indicate that this growth is showing little sign of slowing down in the near future. This success is largely built upon the export activities of Irish based companies. In fact, Ireland’s impressive economic performance over the past two decades was largely driven by the exporting sectors of the economy. The substantial acceleration in export growth during the 1990’s resulted in a doubling of the Irish share of world exports. The global economy, which Ireland has fully embraced for the betterment of all exports-orientated firms and their employees, offers massive opportunities for indigenous companies. Exploiting the prospects offered by new export markets such as Central and Eastern Europe and by countries such as China, beyond Ireland’s more traditional markets, will be critical for future growth.

It is fitting that these Awards cover all industrial sectors. Included in the Award categories is the rapidly growing services sector, which now accounts for over 30% of our exports. Figures from the Central Statistics Office show that, in 2003, services exports grew by 11% to €33.6 Billion and, in 2004, by 13% to €37.9 Billion. The success of the services exports sector in its own right is nothing short of phenomenal. For instance, since the mid 1990’s, right up as far as 2004, services exports increased ten-fold. During the same period, exports of merchandise goods increased two-fold.

The Awards also encompass the various product sectors, including consumer goods. This year, also, I note that two new categories of awards have been introduced - the Pharmaceutical Exporter of the Year Award and the Multinational Exporter of the Year Award. The Pharmaceutical Exporter Award is in recognition of the fastest growing sector of our export industry. Ireland is now one of the largest exporters of pharmaceuticals and fine chemicals to the world. The Multinational Award recognises the exceptional performance of Multinational Companies in contributing to Ireland’s export success.

All of the award categories, while varied and distinct, have one thing in common. They represent companies which have all been successful in overseas markets – ranging from very competitive European markets to non-traditional markets in far-flung regions of the world. Something else that all of the finalists share is the fact that they have often succeeded against the odds.

Irish exporters have weathered tough international trading conditions well in recent years. The experience has left them strongly positioned to capture emerging opportunities for growth. Companies in sectors facing particular difficulties, for example, software and telecommunications, have continued to innovate and remain focused on international markets. Consequently, they are well placed to compete in the new world landscape that is emerging.

There are indications that a broad based recovery is underway in the global economy. This will be coupled with high trade growth. On the other hand, concerns regarding competitiveness remain, most notably related to the lower cost economies of China, Eastern Europe and the newly acceded EU member states. The reality is that in today’s rapidly changing global business environment, no economy can stand still. This is especially true of a small open economy, such as ours, where Irish companies are so dependent on exporting to increase market share and ensure survival.

The success we have achieved in recent years is due in equal measure to the competitiveness of our economy and the commitment and drive of our exporters. To continue to compete successfully, Irish companies need to constantly develop their R&D capabilities and to create strong intellectual property in their core business. The cornerstone of export success for Irish companies is innovation of products, services, and practices to meet the needs of international buyers. This means selling top quality products and services that will create new markets and beat international competition. Such success is grounded in a deep understanding of customer demands.

For its part, the Government will continue to assist Irish companies in their efforts to increase overseas business as mush as possible. My Department and its agencies, in particular Enterprise Ireland the agency responsible for the development of indigenous industry, will continue to work closely with the Irish Exporters Association to maintain and develop policies in assisting the exporting sector. Other agencies, such as An Bord Bia and Bord Iascaigh Mhara, while administratively linked to other Government Departments, continue to work closely with Enterprise Ireland in helping our exporting companies to extend their business in overseas markets.

Before concluding, I would like to record my thanks to Mr. Don Moore, President of the Irish Exporters Association for his introduction. A special word of thanks also to all the members of the Irish Exporters Association, the sponsors of the various awards and, of course, very importantly, the companies participating in this years’ Awards. Thank you for taking part in this evening’s event and may I take this opportunity to wish you every success in your future business endeavours.

ENDS

ETE 1470