Horticulture in the Dail – Key Sectors of Agriculture or Food Industries that Are Contributing the Most to Export Growth

Lucinda Creighton (Dublin South East, Independent)
436. To ask the Minister for Agriculture, Food and the Marine the key sectors of agriculture or food industries that are contributing the most to export growth; and if he will make a statement on the matter. 

Simon Coveney (Minister, Department of Agriculture, the Marine and Food; Cork South Central, Fine Gael)
The agri-food sector plays a very significant role in national economic development. It currently accounts for 7.1% of national gross value-added and 8.6% of employment. Between 2008 and 2012, the sector’s contribution to national GVA rose from 6.1% to 7.1%.
However, these figures, significant as they are, may actually underestimate the importance of the sector to national economic development. The Deputy should be aware that more than 75% of the expenditure in this sector is on Irish goods and services, compared to 42% for all manufacturing. In addition it has a lower import content and a lower level of profit repatriation than other manufacturing industries. In fact every €100 of exports from the bio-sector (agriculture, forestry, fisheries, food & drink industries) contributes around €48 to GNP while the ‘non bio-sector’ contributes around €19.

Last year, Irish food and drink exports exceeded €9 billion for the first time. This trend is continuing, with the latest CSO figures showing a 6.7% rise in agri-food exports in the first three-quarters of 2013, as compared to the same period in 2012.
The table below outlines the performance of total exports attributed to each sector of the agri-food industry, compared to the baseline figures from Food Harvest 2020.

Export Performance in the Agri-food Sector

Lucinda Creighton (Dublin South East, Independent)
437. To ask the Minister for Agriculture, Food and the Marine the extent of dealings his Department has with Enterprise Ireland for further enhancing export opportunities for food and agricultural industries; and if he will make a statement on the matter. 

Simon Coveney (Minister, Department of Agriculture, the Marine and Food; Cork South Central, Fine Gael)
My Department has an extensive and longstanding relationship with Enterprise Ireland (EI), which is focussed on supporting the growth and development of the agrifood industry and the expansion of export opportunities. In order to export successfully, and meet the targets set out in Food Harvest 2020, the food industry’s capacity and capability to develop and deliver products and services in line with customer requirements are vital.

DAFM and Enterprise Ireland work together, sharing expertise, to support developments in a variety of areas. Contacts vary from formal participation across a range of committees which progress different policy areas to ongoing daily informal contacts.
Food Harvest 2020

EI have been fully involved in Food Harvest 2020 from the outset and are represented at CEO level on the High Level Implementation Committee (HLIC). The HLIC, which I chair, consists of the senior officials of all state agencies involved in the agriculture, food and fisheries sector. Their third report “Milestones for Success 2013 ”, launched in September, provides a detailed account of progress achieved to date on all the recommendations in Food Harvest 2020.

Capacity and Capability Building
My Department provides funding for major capital investment programmes through the Dairy Fund and the Beef & Sheep meat Fund, which between them have made investment support of €169 million available to companies since 2007. Enterprise Ireland administers this funding which supports both greenfield and expansion projects in food.

It funds a range of key programmes delivered by Enterprise Ireland supporting innovation, sales and marketing skills, strategic thinking and competitiveness, including Lean Training programmes, Leadership4 Growth and Innovation Vouchers.
DAFM representatives sit on the EI committees for Investment and Jobs Expansion.

Research and Development
Enterprise Ireland sits on the industry led Food Research Expert Advisory Group operated by my Department which developed the Food Research Ireland strategic research agenda (SRA) used to guide the content for the Food Institutional Research Measure (FIRM) calls. In addition, EI sits on the overarching Research Committee which conducts the 3rd stage (short listing projects for possible funding by DAFM) in the evaluation process for DAFM competitive research programmes.

In turn representatives from my Department bring their expertise to bear as members of the Enterprise Ireland Industrial Research Commercialisation Committee, which deals with the funding for applied research and commercialisation involving the public research organisations, collaborative research and industry led networks. This committee has supported innovation with pan-industry initiatives, including the Food Health Ireland Technology Centre (parts 1 & 2), the currently developing Dairy Processing Technology Centre and a similar project regarding a potential centre for meat processing. My Department also participates on the EI R&D Committee concerning support for in-company research.

Foreign Direct Investment (FDI)
Enterprise Ireland has responsibility for the attraction of international investment to Ireland and maintains a team in Ireland, supported by colleagues in the market place. The FDI function is a key area of collaboration between Enterprise Ireland and my Department. Indeed, accompanied by EI and other state agencies I have used trade missions to the U.S., the U.A.E. and elsewhere as a vehicle for promoting Ireland as a location for inward investment.

My Department will continue to develop this ongoing close cooperation with Enterprise Ireland across many different areas.

Source: FreshProduce News Room