The State agency, Forbairt, has invested £13 million in Irish healthcare and biotechnology companies in 1997, according to the Minister of State for Enterprise, Trade and Employment, Mr Tom Kitt. This brings to £40 million the Forbairt-supported investment now committed to six young companies creating advanced technology products for world markets.

Mr Kitt said these companies, which are all fewer than five years old, plan to create up to 410 jobs within three year. Currently, they employ 150, mainly graduates. Three of the companies, Biotrin, Megazyme and Trinity Biotech, are developing diagnostic products. Of the remainders, Medtech and Mednova, specialise in minimum invasive surgery devices, while Unimed creates new pharmaceutical products.

Mr Kitt said this new sector has real potential to produce Irish companies of international stature. "The new sector of high-tech healthcare and biotechnology is, like software, a global one driven by leading edge expertise in research and technology. The foundation to success lies in the specialist technical and market knowledge of highly-skilled people. On this basis, Ireland can aim at becoming a serious player in the world arena."

Forbairt's chief executive, Mr Dan Flinter, said the agency was focused on meeting the key needs of new technology companies with innovative niche products of high potential. "These companies need a strong financial underpinning from an early stage to support the development demands and lead times involved. For this reason, equity accounts for over 50 per cent of our support, while research and development finance accounts for a further 33 per cent," he said.

Mr Kitt urged more companies in the start-up phase to avail of support from the Forbairt Enterprise Development Programme.