Austrade media release

Thursday, 17 July 2008

Ireland, the ‘Celtic Tiger’ isn’t doing the roaring trade it did in the recent past but there are still plenty of opportunities for Australian businesses according to Austrade’s Chief Economist Tim Harcourt.

"Ireland has certainly felt the impact of the credit crunch on its economy but many forecasts suggest that there still are opportunities for business growth," said Mr Harcourt.

"There are still great business prospects stemming from Ireland’s average annual growth rate that over the past decade has averaged over 7 per cent (after averaging three times the European Union (EU) average in the 1990s), and is currently at 5.3 per cent."

Austrade’s Dublin-based Senior Business Development Manager Melissa Moloney, is optimistic for Australian businesses looking to make the most of the Emerald Isle’s opportunities.

"Australian companies such as Macquarie, Harvey Norman and Redflex have all done well in Ireland, while Howard’s Storage World recently opened its first Irish store and Australian fashion designers such as Josh Goot, Tina Kalivas and Yeojin Bae have made an impact on the Irish fashion scene," Ms Moloney said.

"Ireland is nothing if not resilient, and it’s proving to be a good place for niche players amongst small and medium sized enterprises (SMEs)."
 
"Opportunities exist in research and development, with the Industrial Development Agency (IDA) having attracted about $2 billion worth of investment into the country in the past months. 

"The low corporation tax rate of 12.5% still exists to encourage international players to consider Ireland as their ‘Gateway into Europe.  These include Microsoft, Johnson & Johnson, IBM, Pfizer, Merck and Genzyme.

"The retail sector has suffered a slight drop, but the outlook is rosy.

"In Dublin alone, Blanchardstown Shopping Centre has plans to expand by a further 50% by 2012, Liffey Valley Shopping Centre plans an extension to double the size of its existing 46,500sqm centre and it is predicted that city centre retailers will achieve a 68% growth in retail spend to $4.08bn within the next 10 years."

Mr Harcourt explained the Irish believe in economic openness and have been open to trade and investment and therefore to new ideas and technology. Almost half of Ireland’s medium sized businesses export, which is high by global standards.

"662 Australian businesses successfully exported to Ireland last year and total exports were worth around $608 m with over 60 per cent of the total in services dues to Ireland's success as a mature market," he said.

Ms Moloney said many Australian players who cross the Irish Sea realise how much had changed in Ireland and what a vibrant entrepreneurial place it is.

"Australia has a strong brand and is naturally popular in Ireland because of a common culture and ancestral links."

ENDS

Media contact

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