Major traded companies set to create 1,762 jobs

Strong growth among 120 Irish internationally traded companies is expected to create more than 1,762 jobs over the next three years. In the last year these companies have received total funding, with the support of Enterprise Ireland, of in excess of £68 million (#86.34 million).

The companies operate in the services sector, and software development and multimedia functions are now their predominant activity. Enterprise Ireland has highlighted the importance of continued investment in research and development (R&D) to retain their competitive advantage.

Announcing sales of £130 million by the Irish internationally traded services sector last year, Mr Dan Flinter, Enterprise Ireland chief executive, said: "The technology intensive nature and short product life cycles in many of these businesses demands a far higher commitment to research and development. Last year alone Enterprise Ireland's total investment in R&D in these companies amounted to over £10 million, nearly double that of 1997."

The services sector, which includes 32 new start-up companies and 38 expansions, is comprised of software development, financial services, education and training, and media and publishing companies.

In the last year numbers employed in the sector have almost doubled. By 2001 Enterprise Ireland has projected employment in the sector will rise 30 per cent to 5,700, and sales will increase from £130 million last year to £416 million over the same period.

Attending the announcement, the Tanaiste, Ms Harney, said: "Small firms are pioneering these new growth sectors. Their competitive advantage often lies in their greater adaptability, flexibility and responsiveness as these key attributes have assumed a greater importance in the global marketplace."

However, Mr Flinter warned there was no room for complacency, and the concentration of activity in the Dublin and east region is a cause for concern. "We are currently engaged in a major review of the sector in order to identify appropriate areas for development throughout the country and to identify industry segments which can be clustered in specific regions."

Mr Flinter also called for the benchmarking of emerging opportunities within the sector, particularly in the area of multimedia. Enterprise Ireland has recently commissioned a number of studies, including investigations into the design service and direct mail marketing sectors.