Enterprise Ireland firms enjoy exports rise

COMPANIES SUPPORTED by Enterprise Ireland have achieved record growth in export sales over the past year, but direct employment in these firms has fallen by more than 5,000, it has emerged.

According to Enterprise Ireland’s 2010 annual report, which was released yesterday, Irish companies achieved export sales worth almost €14 billion – an increase of 10 per cent – last year.

The report also shows a record €1.95 billion in new export sales were secured in 2010.

Enterprise Ireland is a Government agency with responsibility for developing Irish companies and driving export sales.

The agency’s annual report says that 8,193 new jobs were created in Enterprise Ireland-supported companies last year, bringing the total number employed to 137,241. However, it says there was a net decline of 5,355 jobs.

Enterprise Ireland chief executive Frank Ryan said yesterday that employment levels in its client companies had started to grow again in the past three months.

“That has not happened since the start of the recession. We are coming out of the trough.”

Mr Ryan said exports had been growing for the past 22 months, and said Ireland could be the “comeback economy in Europe”.

The annual report says there has been “a strong rebound” in exports and about 70 per cent of exports lost in 2009 were recovered last year.

“All of Ireland’s key industry sectors recorded growth in total export sales, including life sciences, cleantech, electronics, engineering, construction and timber, education services and software,” it says. “Of particular note was the food sector, which is Ireland’s biggest indigenous industry, growing exports by 11 per cent.”

Mr Ryan said Irish exports grew by 27 per cent in Germany, central and eastern Europe and Russia last year.

Enterprise Ireland chairman Hugh Cooney said the bounce-back in Irish company exports had been “truly remarkable”.

Asked about the net fall in employment at a time when exports were booming, Minister for Jobs and Enterprise Richard Bruton said that an export-led recovery was the only way for the country to resolve its problems.

He said domestic demand was weak, adding that a lot of Irish companies went through a very difficult period in 2009. He said international evidence showed there would be a time lag “before we see the employment response”.

Welcoming Enterprise Ireland’s report, the Minister said he had pointed out repeatedly “that government does not create jobs, businesses do”. But he said the role of the Government was to create the environment in which businesses could grow and create jobs.