Charlie O'Connor (Dublin South West, Fianna Fail)
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Question 214: To ask the Minister for Enterprise, Trade and Employment if he will report on efforts to improve trade with Ukraine; and if he will make a statement on the matter. [12110/07]

Michael Ahern (Cork East, Fianna Fail)
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The Government's efforts to strengthen Irish exports to Ukraine are primarily channelled through Enterprise Ireland (EI). Since late 2004, following the "Orange Revolution" in that country, a number of initiatives have been undertaken by the EI office in Moscow (which also services the Ukraine), to increase and deepen trade ties between the two countries.

Following a successful EI seminar on business in Ukraine in 2005, I myself led Ireland's first ever official Trade Mission to that country in June 2006. 21 companies and organisations participated, including representatives of state and semi-state bodies. Over 100 buyer meetings were directly brokered by EI during the course of the mission. In June this year, EI will run a 5 day Market Study Visit to Ukraine for a delegation of their client companies. This visit will concentrate on the capital, Kyiv, but will also afford participants the opportunity to explore business opportunities in Lviv, in Western Ukraine, where a number of Irish companies have set up operations.

EI has, over the past 2 years, built up a substantial network of Ukrainian contacts and support resources, and has focused its efforts on sectors such as IT and Telecommunications, Financial Services/ Banking Systems, Education, Medical Devices and Agricultural Machinery, which have been identified as markets likely to generate the most opportunities in the short to medium term for Irish industry. Linkages have been developed with local trade and business associations and with private contractors, to provide logistic support for Irish companies when they visit the Ukrainian market.

In 2006, EI launched a Ukrainian domain corporate website, www.enterprise-ireland.com.ua, to provide Ukrainian businesses with economic information about Ireland and to highlight the activities of Irish companies active there. The website is in Russian and readily accessible as a valuable information resource for the large section of the Ukrainian population who are native and second language Russian speakers. It is planned to add Ukrainian language content to the website later this year.

Irish merchandise exports to Ukraine increased by 49% between 2004 and 2005 and by 8% between 2005 and 2006, when they reached €25.2m. Irish services exports to Ukraine have shown an even more dramatic change, with an increase of 71% to €60m between 2004 and 2005 (the latest full year for which services data are available). Merchandise imports from Ukraine have also been increasing and currently stand at €9.3m for 2006, while services imports were €4m in 2005.

Discussions have been ongoing for some time to conclude a Double Taxation Agreement with Ukraine, which would significantly reduce the barriers to international business and trade between our two countries.