Written Answers. - Business Partnerships Scheme.
James Leonard
Question:
50
Mr. Leonard
asked the
Minister for Enterprise and Employment
the number of jobs provided in counties Cavan and Monaghan through inward investment as a result of the Washington White House Conference and the Matchmaker Programme.
[22724/96]
James Leonard
Question:
57
Mr. Leonard
asked the
Minister for Enterprise and Employment
the efforts, if any, being made under the business partnerships scheme to involve companies in the Cavan/Monaghan constituency to create alliances with firms in the United States in view of the lack of progress to date.
[21684/96]
I propose to take Questions Nos. 50 and 57 together.
There are a number of schemes in operation at the moment which are geared towards establishing partnerships between Irish and US companies. In some cases, the programmes apply to Irish firms nationwide whereas others are restricted to Irish companies in the North and the Border counties only.
The North American Partnership Programme (NAPP), for example, is promoted by Forbairt in conjunction with the International Fund for Ireland. Companies selected to participate under this programme are principally drawn from the services sector, with a particular focus on export-oriented services including software development, data processing, telemarketing and technical, consulting and media recording services. Participants are required to have strong technological capability.
Phase 1 of this programme was launched in February, 1995 at a seminar in County Cavan which was attended by representatives of firms from all the Border counties. This phase resulted in nine partnerships being created for six of the 15 participating companies. Phase 2 was launched in May of this year. The Deputy will be glad to hear that two companies from Cavan and Monaghan have been selected to participate in this phase. I understand one of these companies proposes to undertake a week long visit to the US this month to meet potential partners and the other is expected to undertake a visit next March for the same purpose.
Another scheme, the American Management and Business Internship Training Programme (AMBIT) was launched at the White House conference in May, 1995. The focus of this Programme is to provide Irish managers and key personnel with US management training and access to technology/new products/services, with the further possibility of the formation of strategic alliances between the Irish and US organisations. Under the programme, Irish participants are placed in US "host" companies for periods of up to six months. To date, some 33 Irish businesses have availed of the programme including Lakeland Dairies in County Cavan and IJM Timber Engineering Ltd. in County Monaghan.
In addition, four companies from Cavan/Monaghan have participated under the Forbairt Small Business Administration Business Partnership initiative. Active negotiations are ongoing in three of these cases. Forbairt, which is actively supporting these companies, has indicated that, while negotiations may be protracted, any partnership arrangements that result therefrom will be significant undertakings by the Irish firms and should lead to significant business development for the Irish companies in the medium term.
However, whereas the above schemes have made progress, and the Washington White House Conference had a positive role in this respect, no jobs had been provided in Cavan or Monaghan arising directly from the conference or from the Matchmaker Programme. What has emerged from all the programmes I have mentioned is that, in deciding whether or not to form a partnership with an Irish company, US companies look for competitive advantage. At local level, the one clear factor which will most influence the winning of international projects is, without doubt, the level of industrial competitiveness a location can offer by way of infrastructure and a positive business environment. I acknowledge that this is not something which Irish companies can achieve in isolation. Rather, Government policy at all levels and the work of the industrial development agencies must be geared towards the maximisation of competitive advantage if Irish firms are to attract multinational interest. I am satisfied that this is the case at the moment and will continue to be in the future.
