Dáil Éireann Debate, Thursday - 12 November 2020
372. Deputy Carol Nolan asked the Minister for Agriculture, Food and the Marine the most recent analysis conducted by his Department on the contribution of the biosector to the net foreign earnings of Ireland; and if he will make a statement on the matter. [35899/20]
View answerIn June 2012, the Department released a report entitled The contribution of the ‘biosector’ to Ireland’s net foreign earnings: a provisional estimate for 2008[1]. This report found that, in 2008, the biosector accounted for 40% (over €8 billion) of net foreign earnings from merchandise exports. This was more than double the biosector’s 19% share (almost €16 billion) of merchandise exports in that year. The reasons for the sector’s disproportionately large net contribution to earnings from exports included:
- Import requirements per euro of Biosector exports were lower than in the Non-Biosector and
- Receipts of EU payments were almost entirely in support of agriculture and its exports. This is especially a feature of the Biosector, unlike the Non-Biosector, where they are negligible.
While a similar analysis has not been conducted since 2012, each year the Department monitors the contribution of the sector and publishes up-to-date analysis and statistical information from a variety of sources in the Annual Review and Outlook.
The Annual Review and Outlook for Agriculture, Food and the Marine 2020 [2], which I launched last month, outlines that agri-food exports in 2019 were €14.5 billion. This represents growth of 42% since 2012 when exports were valued at €10.2 billion. It also outlines that the food and drink sector continues to source a very large proportion of its raw materials in Ireland and states the Food & Drink sector purchased the majority or 78.6% of its materials in Ireland in 2018, while the services sectors purchased just 33.5% of their materials in Ireland.
The sector is a key economic and social driver underpinning the vitality of rural villages and towns across the country and continues to make a substantial contribution to the Irish economy.
[1] https://igees.gov.ie/wp-content/uploads/2014/02/Reportnetforeignearningscontribution200712.pdf
[2] https://www.agriculture.gov.ie/agri-foodindustry/agri-foodandtheeconomy/economicpublications/aro2020/
