Government to invest €30m in consumer foods sector

The Government today announced Enterprise Ireland’s strategy for the development of Ireland’s prepared consumer foods industry.

Tánaiste Mary Coughlan revealed today that the Government, through Enterprise Ireland, expects to provide around €30m over the next five years in the sector through R&D and growth funding.

Ms Coughlan said: “Working in partnership with the other state food development agencies including Bord Bia, BIM and Teagasc, Enterprise Ireland has identified the prepared consumer foods sector as a key area of growth.

"Exports for this sector grew by 6 per cent to €1.8bn last year with further growth anticipated this year. . . . Through this strategy, Enterprise Ireland will work with companies to realise this sector’s full international growth and export potential.”

Minister for Agriculture, Fisheries Brendan Smith  said industry-led research partnerships would create research with commercial benefits, “and exploit the world leading food science research that is already taking place in our third level institutions and food research institutes”.

Food and Drink Industry Ireland (FDII), the Ibec group that represents the sector, today welcomed the announcement.

FDII Director Paul Kelly said the initiative "is a vote of confidence by Government" in the growth and export potential of the prepared consumer foods sector.

“Consumer food companies are facing a very difficult trading environment in both domestic and export markets and this initiative will help to improve their long term competitive position,” he added.

The food industry is the State’s single largest indigenous sector and contributes annual output of approximately €18.7bn, exports in excess of €7.5bn and direct employment of 46,000. The sector, which comprises over 700 companies, accounts for approximately 10 per cent of the State’s GDP.