Address by Michael Ahern, TD, Minister for Innovation Policy at a Reception for the Irish Trade Mission to Saudi Arabia

Organised by Enterprise Ireland in the Irish Embassy, Riyadh, Kingdom of Saudi Arabia.

Monday, 31 March 2008.

Ambassador Russell, honoured guests, ladies and gentlemen:

I am delighted to be with you this evening and I am very pleased to be leading this trade mission from Ireland to the Kingdom of Saudi Arabia. On my own behalf and on behalf of the Irish participants, I would like to express our sincere thanks and appreciation for your welcome.

The twenty-nine Irish companies who are taking part in this mission represent a wide cross-section of internationally traded services, as well as industrial and consumer sectors. They offer expertise in telecoms, engineering, automotive, risk management, education, project management, tourism and leisure and other sectors. They share one thing in common – all of them see Saudi Arabia as a key element of their future export strategy, through direct sales, partnering with Saudi companies or through undertaking joint research and development work with Saudi counterparts.

In January last year, the Taoiseach, Mr Bertie Ahern, led an Irish trade mission to Saudi Arabia. It was the biggest Irish overseas trade mission ever -- and it also proved to be one of the most successful ever in terms of sales results, new business developed and new contacts made. I am confident that this mission will be no less successful.

The calibre of Irish companies taking part in this mission demonstrates that Ireland is a world-class supplier of goods and services, an attractive trading partner offering competitive, high quality and technologically advanced solutions. The mission will enable Irish companies to meet with their existing and new Saudi Arabian customers and partners, and develop new contacts, to explore opportunities for doing business together.

The Kingdom is a valued trade partner and Ireland holds its business relationship with Saudi Arabia in high esteem. Trade between our two countries has been growing steadily and Irish companies continue to flourish in Saudi Arabia. The most recent figures, for the year 2007, show that Irish companies increased their sales here by 10% to €367 million. Irish-owned SMEs, such as are taking part in this mission, have been the leaders in sales growth, achieving average year-on-year sales increases of 20% plus.

This vibrant growth in trade is a reflection of the strong, friendly relationships between Ireland and Saudi Arabia. We look forward, as a further strengthening of these links, to the visit to Ireland in May of Sultan bin Abdul Aziz Al Saud, Crown Prince of Saudi Arabia. We also welcome the decision of Saudi Arabia to open an Embassy in Dublin this year.

I am confident that there is huge potential for further growth in our trade relationship and this trade mission is part of the process of accelerating and deepening the level of trade interaction between our two countries. There is excellent scope for Irish companies to contribute to the dynamic pace of development in Saudi Arabia by increasing their sales in areas where we have already been successful. We recognise that selling to the Saudi market requires a long-term perspective. More Irish companies are establishing their market presence in Saudi Arabia through strategic alliances, technology collaboration and other forms of partnerships with local companies and institutions and thereby creating deep and meaningful relationships.

Enterprise Ireland works with Irish companies and business interests in Saudi Arabia and throughout the region to develop partnership opportunities for both. In the IT and high technologies sectors, in particular, Ireland has much to offer. These are sectors where innovative companies with leading edge products and services can thrive. It is also where strategic partnerships between small, medium and large companies, is recognised as the most effective way to ensure competitive advantage.

For example:

In telecommunications software applications, where Saudi Arabia is investing heavily in its IT infrastructure, Irish companies offer world-class solutions that have a competitive edge

• The construction and engineering sectors are showing dynamic growth in Saudi Arabia, exemplified by large-scale projects such as the King Abdullah Economic City. Irish companies have an impressive track record in supplying construction products and services.

• The utilities investments by the Saudi Government in infrastructure and automation also offer solid opportunities for Irish companies to contribute to these developments.

• In healthcare, Saudi Arabia is also making significant investment aimed at improving the health of all people in the Kingdom. Ireland has a strong reputation as a centre of excellence in pharmaceuticals, medical devices, diagnostics and other areas of healthcare.

• In education and eLearning, Ireland is also a world leader. Ireland’s long tradition as a provider of quality education is backed by the high standards of its education services, internationally recognised qualifications and the worldwide reputation of its training. Irish third level education institutions have attracted many students from Saudi Arabia and the Gulf Region to study in Ireland for many years. Traditionally students have enrolled in medicine, other courses are now becoming popular. Recently, Irish institutions received over one hundred King Abdullah Scholarship Programme (KASP) students for postgraduate courses. By 2010, it is expected that over 1,000 KASP students from the programme will have passed through Irish education institutions.

Given Ireland's industrial and technical strengths and competitiveness in world markets, and given the active interest of Irish companies in doing business in the Kingdom of Saudi Arabia, I believe that there is very substantial potential for a significant upswing in our trade partnership. On behalf of Enterprise Ireland I would like to take this opportunity to encourage you to grasp the opportunities that exist between our two countries and to develop and strengthen strong business relationships and indeed personal friendships over the course of this trade mission.

I would like to thank Ambassador Russell and his dedicated staff for hosting today’s event with Enterprise Ireland. I wish all trade mission participants and their current and potential Saudi customers and partners every success over the next few days and over the coming months and years as you deepen and development your business relationships.