Britain is a major export market for Irish business and is also a strategic export market in that it is often the first export destination for indigenous companies. As a large and nearby market, with similar business practices and client needs, it is a natural fit for Irish exporters. It accounts, for example, for 41% of Irish food and drink exports and the market supports vital employment in the Irish economy. It is also a growing market. Notwithstanding the current economic challenges globally, for the first eight months of this year, our merchandise exports to Britain have increased by more than €1 billion compared with the same period last year, reflecting both the quality and value of the offering from Irish exporters and the priority attached to the market by the Government.
Reflecting that importance, the level of trade promotion activity by the Government in the British market is already quite extensive. To date in 2012 there have been 25 ministerial or high-level visits to Britain incorporating a trade promotion element. Typically these have been in support of specific sectorial trade promotional activities by the State development agencies.
Our economic agencies and our diplomatic service have a significant market presence in Britain, and are well positioned to support exporters there on a targeted and ongoing basis.
Notwithstanding that extensive promotional effort and export performance, the Government is clear that we must seek to further develop our trade relationship with Britain. The joint statement issued by the Taoiseach and PM Cameron in March of this year aims to build on the existing strong trade relations between Ireland and the UK. Supporting and further developing this growth is something to which I am devoting considerable attention.
The joint statement identifies a number of sectors where collaboration between British and Irish entities could give rise to mutual gain and work is ongoing between the two Governments in pursuit of that agenda.
It is also true that, even without availing of the Government support available, it is possible for Irish companies to engage in Britain with relative ease. Many Irish suppliers maintain a physical presence in the UK and in some sectors customers operate as a UK and Ireland business, resulting in market needs which are very closely aligned.
I should also note that trade missions may take place under the auspices of non- governmental groups, including Chambers of Commerce, which bring together companies with common interests. The Deputy may be aware, for example, that there is a newly formed British Irish Chamber of Commerce which I expect will engage in activities designed to increase trade between Britain and Ireland.
Because of the importance of the British market, I intend to keep the level and nature of trade promotion with Britain under review and to support whatever activities best generate new business opportunities and employment in Irish firms.
