Irish companies signed deals worth at least €75 million during this week's trade mission to India, with the Government now expecting annual exports to India to grow fivefold to €500 million over the next five years.
Taoiseach Bertie Ahern confirmed yesterday that companies advised by Enterprise Ireland had concluded business that would be worth more than €35 million between now and 2009. Dublin-based property developers, Howard Holdings has independently reached a deal with Tata, India's largest company, to jointly develop a €75 million hotel project in Cape Town, South Africa. The 50/50 investment, with Tata's Taj leisure wing, will involve building a 200-bed hotel and 30 apartments.
"While this was to a large extent a market study visit, looking for new ways of boosting two-way trade, it has proved to be very exciting in terms of the partnerships formed and contracts signed," said Mr Ahern last night as the week-long trade mission drew to a close. He highlighted 20 agreements signed between Irish higher-education colleges and Indian counterparts that will allow for exchanges between students, researchers and academics.
"Cross fertilisation of innovative ideas will benefit both our countries in years to come," the Taoiseach said.
Mr Ahern also hinted that he would talk to Minister for Finance Brian Cowen about the possibility of increasing incentives for Bollywood movies and other films to be made in the Republic. "There is huge employment potential," he said.
The Taoiseach paid tribute to Enterprise Ireland, which had arranged more than 400 business meetings for the 85 companies taking part in the mission. The State body yesterday launched plans to open a new office in Mumbai to help Irish companies to access the burgeoning Indian market with greater ease.
Minister for Enterprise Micheál Martin said he was also planning to talk to the Industrial Development Authority about opening its own office in India to encourage the country's many successful multinationals to locate in the Republic.
"I think there are opportunities here for foreign, direct investment. And by opportunities, I mean some of these companies are truly global - there's a bit of untapped potential here for us." Mr Martin said many of the organisations on the trip were eyeing the potential for exporting to India, the world's seventh-largest economy.
Among the seven agreements signed yesterday was a €2 million contract for Finlay Hydrascreens, the Tyrone-based engineering manufacturer that was one of 12 northern organisations on the trip. Finlay's crushers - machines used to crush rock on building sites - will be used in Mumbai as part of the biggest slum clearance in the world.
Cork-based Audit Diagnostics agreed a deal that will see its clinical reagents being sold by Indian diagnostic testing firm, Transasia. Dublin firm Shanahan Engineering is negotiating to construct and operate a power plant in India.