Irish Exporters Management of the Recession was Best in Europe

According to fresh analysis of Eurostat indicators, according to the Irish Exporters Association

The latest release of trade statistics for Europe show that total merchandise exports from the 27 EU countries was €4,011 billion in 2008, this fell by 18.3% in 2009 to €3,274 billion. However, in 2010 EU exports increased back to €3,883 billion, but still well below the 2008 export level of €4,011 billion .Irish exports fell by 2.4% in 2009, and recovered in 2010 to grow by 6.3%, to give an aggregate gain over the two year period of 3.7%.

John Whelan, ceo of the Irish Exporters Association commented that;
‘’ this robust performance by Irish manufacturing exporters was exceeded by an even stronger performance by our services exporters across the recession and showed the strength in depth of the export sector , and its ability to manage adverse conditions. ‘’

The detail merchandise EU trade figures released by Eurostat on the 17th February give specifics by country but only for the eleven months to November 2010. However the figures clearly show that Irish exporters have managed the recession during this period better than their European competitors, as can be seen from an extract of the Eurostat releases in the table below.

Irish exports are shown over the period Jan –Nov 2008, compared to Jan-Nov 2010 to have grown by 3%, whereas all other EU member states show exports falling over the period with the exception of Latvia and Romania, with an average fall in merchandise over the period across the EU of 4.9%.

Irish exporters showed particular strength in retaining market share in major international markets such as the USA, where Irish exports grew by 12% in 2009 and by a further 18% in 2010 to give a total 24.7% increase in Irish exports to the USA over the 2 year period. By comparison EU27 exports to the USA fell from €232 billion in Jan-Nov 2008, to €188 billion in 2009 and back up to €221 billion in 2010 in the period Jan-Nov .This is a total fall of 4.7% over the two year period.

Also of significance was the growth in the fast emerging so called BRIC countries (Brazil, Russia, India, China) by Irish exporters who grew exports through both 2009 and 2010, by an aggregate of 13% over the two year period. In the same two year period across the EU 27 exports to the BRIC countries only increased by 8%.

John Whelan, chief executive of the IEA stated, on release of the analysis of the EU export data;
‘’Irish exporters have managed the recent recession better than most across Europe. We need to ensure this image of a strong professional Irish export industry is promulgated internationally. All the statistics point to the fact that real export growth is under way and can enable a return to a more general growth across the Irish economy.

However, confidence amongst our trading partners is still at a low point and is affecting exporter’s credit worthiness abroad. It is essential to distance export industry from sovereign debt concerns, if exporters are to regain and retain the credit worthiness necessary for further export growth. This will have the double benefit of reducing exporter’s reliance on bank funding to expand trade as well as reducing the rising cost of interest on funds. This is a competitiveness issue, and we need to manage this carefully on a national basis. ‘’


Eurostat First Estimate Statistics for 2010


ENDS


For further information contact:

John Whelan, Chief Executive
Mobile: 087 927 1243