Wide Range of Exporters in Survival mode, state Irish Exporters Association in briefing session with Minister for Enterprise, Trade and Innovation Batt O'Keeffe T.D.
The Irish Exporters Association met with Minister Batt O'Keeffe T.D. yesterday 20th April and briefed him on the urgent need for a new strategy for Trade, Tourism and Investment.
Liam Shanahan, President of the Irish Exporters Association (IEA) stated;
"There are a wide range of indigenous exporters in survival mode who will not make it through 2010 at the current exchange rates to sterling."
He went on to say;
"The Government's cost base reduction mechanisms for labour and energy have proved inadequate."
"This is a major cause of lost competitiveness for all exporters small and large" he said.
But he went on to say; "food exporters to the UK who accounted for two thirds of all indigenous exports, have had to deal with zero profit margins and indeed significant losses, squeezed between the high cost base and high value of the euro. This is unsustainable and will result in further closures and job losses if not addressed.
Shanahan Concluded by advising the Minister to;
"Front load support to Enterprise Ireland and Bord Bia to ensure they are given the resources to assist indigenous exporters. Transfer resources from FAS to meet any funding or staffing requirements in order to support Enterprise Ireland and IDA."
The IEA point to the fall in Irish manufacturing output of 8% from 2000 to 2009, while globally merchandise trade increased by 50% and concluded that any new enterprise strategy must address the underlying causes of this lack of competitiveness.
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