Bernard Durkan (Kildare North, Fine Gael)
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Question 200: To ask the Minister for Enterprise, Trade and Employment the number of manufacturing jobs lost throughout County Kildare to more competitive economies in each of the past five years; the number of new jobs created in the same period; and if he will make a statement on the matter. [31664/07]

Micheál Martin (Cork South Central, Fianna Fail)
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Job losses occur for a wide variety of reasons and therefore it is not possible to quantify the actual numbers of jobs, that have been lost to more competitive economies. There are a variety of factors involved in a firm's decision to move all or part of their operations offshore. In addition to relative wage rates and other cost factors, these may include business takeovers, consolidations and changes in product or market focus. The relocation of businesses, within particular types of industry, is a reality of modern global manufacturing for a highly developed economy such as ours.

Ireland is no longer a low cost economy and manufacturers in particular are facing increased competition from producers in lower cost economies. The model of manufacturing in developed countries is changing and Irish enterprises are adapting to those changes and engaging in higher value added activities in order to compete in the global marketplace. This has been achieved as a result of increased productivity, technology levels and sophisticated skills of Irish employees. Competition for foreign direct investment (FDI) is also relentless but Ireland continues to punch above its weight when it comes to attracting overseas investment. While costs are higher, we have responded by positioning ourselves as a location for more advanced activities, with more qualified and better paying jobs.

The following table sets out the number of full time manufacturing job gains and losses in Enterprise Ireland and IDA Ireland assisted firms in Co. Kildare for each of the years between 2002 and 2006. Overall in the period in question 4,031 new manufacturing jobs were created while job losses amounted to 3,048. In addition Kildare County Enterprise Board assisted in the creation of 136 net new Manufacturing jobs over the period, giving an overall net increase in manufacturing employment in Kildare of 1,389 in the period.

The enterprise development agencies are committed to promoting Kildare as a location for investment as part of an integrated East Region, with access to a population base of 1.5 million people, as well as supporting and developing businesses already present in the county.

Kildare has in recent years attracted some world class manufacturing companies such as Intel, Braun Oral-B and Hewlett Packard. These companies continue to invest in the area as evidenced by Hewlett-Packard Financial Services proposed expansion of their EMEA headquarters in Leixlip and Intel's plans to establish the Technology Research for Independent Living (TRIL) Centre in Ireland. Approximately $30 million invested in the TRIL Centre over a period of three years and Intel will collaborate with several leading Irish universities, including UCD, TCD and NUI Galway to create one of the largest research efforts of this type in the world. IDA Ireland is also working to attract the International Services, Software, Financial Services and Pharmaceuticals sectors.

Enterprise Ireland activity is focussed on the creation of new jobs through supporting entrepreneurs in manufacturing and internationally traded services companies who are setting up new High Potential Start-Up Companies. Since the beginning of 2003, EI has approved over €12m in support to companies in Kildare to help them grow their sales and exports and improve innovation and new product development in order that they can compete on world markets. The consumer foods sector in particular, has shown rapid growth in recent years. Over the last two years we have seen significant investment by Green Isle Foods and Dawn Farm Foods Ltd, both supported by Enterprise Ireland, leading to significant employment increases in both of these state of the art facilities.