Bernard Durkan (Kildare North, Fine Gael)
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Question 99: To ask the Tánaiste and Minister for Enterprise, Trade and Employment the steps she has taken or proposes to take to improve the competitiveness of the manufacturing and services sectors here; and if she will make a statement on the matter. [13752/09]

Mary Coughlan (Donegal South West, Fianna Fail)
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Under the Framework for Economic Renewal we are taking a number of measures across Government to address competitiveness objectives. A key element of the Government's current strategy to develop the enterprise sector is to encourage increased levels of investment in research, using more technology in product development and encouraging more innovation. "Building Ireland's Smart Economy" sets a clear agenda to help manage this change.

I believe that our economic prosperity depends, to a significant degree, on our capability to build 'high tech'–'high value' businesses that can compete successfully from an early stage in global markets. In order to be competitive and increase exports, Irish companies must focus on improving productivity, investing in research and continue applying innovative solutions to every facet of their business process. Our development agencies are assisting companies to this end, for example Enterprise Ireland has set up a specialised unit aimed at helping companies identify and drive down costs.

In order to oversee the implementation of the recommendations of the High Level Group on Manufacturing, I will shortly be announcing the membership of the Manufacturing Forum. This forum will drive the implementation of the recommendations of the report of the High Level Group on Manufacturing, and will help firms to maximize their potential to exploit new opportunities. Emerging sectors such as Environmental Products and Services have significant potential and will be targeted. Both IDA and Enterprise Ireland have recently established an internal team to identify enterprise opportunities for Ireland in the newly emerging clean/green sectors. Following on from a commitment in the Smart Economy framework, I am establishing a High Level Action Group on Green Enterprise to ensure the potential of this important area is fully exploited. This Group will build on a recent Forfás study on Environmental Goods and Services.

Services innovation is as vital as technological innovation in terms of driving performance. We are committed to assisting businesses in realising their potential for non-technological innovation through the development of new business models, customer-interfaces and service-products, as an invaluable source of new opportunity, as well as national competitiveness. We want to successfully reach those services companies that traditional R&D innovation policy has not. Ongoing implementation of the recently launched Services Strategy will be important in this respect. My Department is also working on the transposition of the EU Services Directive. The Directive is designed to create a genuine single market in services with benefits for Irish service providers and Irish consumers. A fully functioning single market in services will substantially enhance Ireland's competitiveness as well as that of the EU as whole.

Our competitiveness priorities also include a strong focus on skills, education and training. Lifelong education fundamentally supports advances in productivity, upon which our competitiveness depends. I will shortly be announcing an implementation plan for the National Skills Strategy. The policies outlined above, along with a continuing focus on driving down the cost of doing business in Ireland, will improve the competitiveness of both the manufacturing and services sectors.