Paul Connaughton Snr (Galway East, Fine Gael)
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Question 60: To ask the Minister for Enterprise, Trade and Employment his views on the 3.3% drop in exports to EU accession states for the period to November 2004; and if he will make a statement on the matter. [6202/05]

Michael Ahern (Cork East, Fianna Fail)
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Total exports from Ireland during the period in question, January to October 2004, amounted to €69.4 billion. That reflects an increase on the same period in the previous year of €1,498.9 million, or 2.2%. The total export sales to the ten new EU member states for the period from January to October 2004 amounted to €586.3 million. That reflects a 3.3%, or €20 million, decrease in exports to the region compared with the same period in 2003.

To date, exports to those markets from Ireland have been accounted for mainly by multinational companies operating here. For indigenous companies those markets are at a relatively early stage of development, and the Government, through Enterprise Ireland, is rolling out a market development offer to Irish companies to assist them to take full advantage of the export opportunities in those markets.

One example was the launch, in May 2004, of Enterprise Ireland's guide to developing economic activity in the new member states entitled Building Your Business in the EU Accession States, in which it outlined the scope for further substantial growth in export business with those markets via the sale of sophisticated products and services.

Another recent initiative is the Enterprise Ireland GCEE automotive business development programme, launched on 15 February 2005 to meet the growth requirement of Enterprise Ireland's industrial, software and services clients targeting the German and central and eastern Europe automotive sector as a primary market.

In addition to the numerous trade missions which have been organised to the majority of the new member states in recent years and the inward buyer visits from the ten which have taken place with Enterprise Ireland support, there will be another mission, to the Czech Republic, in April this year.

Enterprise Ireland has overseas offices in three of the ten new member states, namely, Poland, Hungary and the Czech Republic. Exports to those three countries account for 81% of all exports to the region, totalling €477.2 million in January to October 2004, up €13.6 million, or3%, on the previous period.

Exports to the ten new EU member states currently account for under 1% of total exports. I am confident that this proportion will increase over time as the benefits of the Single Market begin to come into effect. It is also true that an increasing number of Irish companies are viewing the potential of central and eastern European countries for competitive production with interest, and are using that potential to strengthen their Irish operations. In the longer term, I am confident that our economic relations with our new partners will achieve the levels which reflect the recognised potential.