Tommy Broughan (Dublin North East, Labour)
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Question 192: To ask the Minister for Enterprise, Trade and Employment his response to the significant drop in industrial production during Autumn 2006, in particular in relation to the three month period September to November 2006; the actions he will take to prevent Ireland's manufacturing base being further eroded; and if he will make a statement on the matter. [2519/07]

Micheál Martin (Cork South Central, Fianna Fail)
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There is a need to tread cautiously when interpreting quarterly results for industrial production as the indices are subject to fluctuation. Such results are best compared to performance relative to the corresponding quarter of the previous year rather than relative to the preceding quarter.

While CSO data indicates that production decreased by 6.0% in the period September-November 2006 compared to the period June — August of the same year; a comparison of third quarter figures between 2005 and 2006 shows a slight increase in manufacturing production for that particular quarter in 2006.

Taken over the past five years Irish manufacturing has, in fact, performed quite strongly; CSO data indicates that manufacturing production — in volumes — increased by 28 percent overall between 2000 and 2005. The performance of the sector is subject to ongoing review by my Department and the enterprise development agencies and while there are challenges to be addressed, I believe the sector will continue to be a significant contributor to exports, employment and economic growth in the future.

To assist industry maintain competitiveness and increase productivity, the economic development agencies are working on an ongoing basis to promote the adoption of new technology and best practice at company level. The agencies aim to support sustainable, high value added enterprise in Ireland through the provision of mentoring and developmental supports, the enhancement of management capabilities and critical workforce skills in client companies, support for the creation and implementation of strategies for market entry, development and growth, and strong supports for innovation and for research and development.