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Foreign Direct Investment

Dáil Éireann Debate, Tuesday - 15 April 2014

Tuesday, 15 April 2014

Questions (131)

Peadar Tóibín

Question:

131. Deputy Peadar Tóibín asked the Minister for Jobs, Enterprise and Innovation for each region of the State the percentage of inputs that are sourced in Ireland for each of the past five years by foreign direct investment firms operating here. [17717/14]

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Written answers

The Forfás Annual Business Survey of Economic Impact 2012 (ABSEI), which was published recently, shows that direct expenditure by foreign firms in the Irish economy increased by 4.7 per cent to €22.9 billion from €21.9 billion in 2011. Direct expenditure is comprised of payroll costs plus purchases of Irish materials and services.

Details of the percentage spent on Irish materials and services in each of the years 2008 to 2012 is shown on the tabular statement. The ABSEI asks companies to provide an estimate of the total value of what they purchase in the Republic of Ireland. The questionnaire does not ask for further details such as the ownership or regional location of each supplier used as to do so would impose too onerous a burden on the respondents for whom the survey is voluntary.

I have asked Forfás to follow-up directly with the Deputy in relation to the data gathered as part of the ABSEI.

The Global Sourcing Project has been a major focus of the Enterprise Ireland/IDA Ireland Senior Management Team since its establishment in early 2012. Action 235 of the Action Plan for Jobs 2014 aims to progress the implementation of the agreed Global Sourcing Strategy, with specific targets set to increase global sourcing sales by EI clients through greater client introductions between foreign owned multinationals and Enterprise Ireland.

Annual Business Survey of Economic Impact 2012

Results for all Foreign-owned client companies of the Enterprise Development Agencies

(IDA Ireland, Enterprise Ireland, Udaras na Gaeltachta, Shannon Development)

2002

2008

2009

2010

2011

2012

Total Materials - Cost of materials and components used directly in the production of goods and services [exclude goods purchased for re-distribution only or any capital expenditure].

26,974

30,021

21,055

21,957

23,603

24,132

Materials sourced in Ireland - Estimated proportion of materials and components produced in Republic of Ireland

5,911

2,998

2,383

2,442

2,779

3,283

Materials sourced in Ireland as a percentage of Total Materials purchased

22%

10%

11%

11%

12%

14%

Total Services (inc. Royalties) Cost of all bought-in services, e.g. royalties, agency fees, advertising, transport, fuel, power, repairs, telephone, postage, stationery, computing services, professional fees etc.

22,662

45,448

43,491

46,244

49,638

52,988

Services sourced in Ireland - Estimated proportion of services sourced in Republic of Ireland.

10,263

9,863

9,451

9,428

10,780

11,058

Services sourced in Ireland as a percentage of Total Services purchased

45%

22%

22%

20%

22%

21%

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