Export to Ireland
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Ireland still faces some challenges as a small state in the global economy. The global recession reduced property prices leaving massive Irish bank debts that were guaranteed by the government. In 2010, the Irish government secured an 85 billion Euro guarantee from the “troika” of the European Union, European Central Bank, and International Monetary Fund as well as other banks that supported its economic recovery.
Ireland is now looking forward to successfully exiting this program and returning to self-funding on debt markets by the end of 2013. The hoped-for return to private funding following five years of tough austerity measures and an extension of settlement dates for sovereign debt caused by Ireland’s banking crisis will form the backdrop for future potential economic growth. Ireland remains a wealthy country, with a per capita GDP of $48,289. Further, the country is a net exporting nation with a positive 2012 trade balance estimated at nearly $58 billion. The productive economy of Ireland continues to attract international investors and businesses entering the European market. |
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The Irish government just hosted the rotating 6-month presidency of the European Union (January to June 2013) and fashioned its presidency around a number of goals highlighting “Stability, Jobs and Growth”. Its tenure comes to an end on the back of the official announcement of the launch of negotiations of Transatlantic Trade and Investment Partnership deal. Irish government reports suggest that Ireland could benefit from a U.S.-EU deal with the generation of an additional 4,000 jobs and a significant boost to gross domestic product fueling further economic growth. The Irish government hopes that a return to self-funding, an action plan for jobs growth and wider economic growth will help establish Ireland as “the best small country in the world in which to do business.”
Market Opportunities
Within the European Union, Ireland’s exceptional economic features continue to stand out, particularly with the country’s welcoming and pro-business environment and continued attractiveness to foreign investment.Moreover, the Irish Government seeks to sustain its strategy to refashion the country as an R&D-centered, innovation-based, knowledge-intensive economy. Regardless of the recessionary landscape, this strategy will be a deciding factor in Ireland’s ability to attract continued investment from R&D-focused companies. Coupled with low corporate taxes, the Irish Government’s “Strategy for Science, Technology and Innovation” indicates a long-term commitment to build on “Innovation Ireland” with R&D strengths. These initiatives have offered great advantages for firms looking to establish a European location, with onward access possible to Eurasia, the Middle East and Africa.
Companies are primarily attracted to Ireland because it can serve as a trading platform to enter the greater EU marketplace which consists of 329 million consumers in the Euro-zone and up to 500 million consumers in all of Europe.
Increased migration numbers over recent years mean that Ireland is now home to a more diverse population with multi-cultural interests. This has opened the door for products and services to fulfill different and more exotic consumer demands.
Additionally, the economic downturn presents opportunities:
Signs of an economic recovery, even at a slow pace, present increased opportunities for international manufacturers exporting to Ireland. With an effective business strategy, firms can take advantage of the current opportunities that are available in the Irish market where the emphasis in some sectors is slowly moving away from cost and back to quality of products and services. Furthermore, due to Ireland’s membership in the European Union, businesses must consider the overall “net” benefit of the market’s position
Market Opportunities
Within the European Union, Ireland’s exceptional economic features continue to stand out, particularly with the country’s welcoming and pro-business environment and continued attractiveness to foreign investment.Moreover, the Irish Government seeks to sustain its strategy to refashion the country as an R&D-centered, innovation-based, knowledge-intensive economy. Regardless of the recessionary landscape, this strategy will be a deciding factor in Ireland’s ability to attract continued investment from R&D-focused companies. Coupled with low corporate taxes, the Irish Government’s “Strategy for Science, Technology and Innovation” indicates a long-term commitment to build on “Innovation Ireland” with R&D strengths. These initiatives have offered great advantages for firms looking to establish a European location, with onward access possible to Eurasia, the Middle East and Africa.
Companies are primarily attracted to Ireland because it can serve as a trading platform to enter the greater EU marketplace which consists of 329 million consumers in the Euro-zone and up to 500 million consumers in all of Europe.
Increased migration numbers over recent years mean that Ireland is now home to a more diverse population with multi-cultural interests. This has opened the door for products and services to fulfill different and more exotic consumer demands.
Additionally, the economic downturn presents opportunities:
- In select market segments, as companies have downsized, there now exists a larger workforce;
- Reallocation and the need to further diversify the country’s economy creates the demand for new and innovative business types;
- International firms’ access to more credit than Irish firms presents a competitive advantage;
- and the depreciated US dollar gives American products a competitive pricing advantage.
Signs of an economic recovery, even at a slow pace, present increased opportunities for international manufacturers exporting to Ireland. With an effective business strategy, firms can take advantage of the current opportunities that are available in the Irish market where the emphasis in some sectors is slowly moving away from cost and back to quality of products and services. Furthermore, due to Ireland’s membership in the European Union, businesses must consider the overall “net” benefit of the market’s position
