Written answers

Tuesday, 15 April 2014

Department of Jobs, Enterprise and Innovation

Foreign Direct Investment

Photo of Peadar TóibínPeadar Tóibín (Meath West, Sinn Fein)
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131. To ask the Minister for Jobs, Enterprise and Innovation for each region of the State, and the percentage of inputs that are sourced in Ireland for each of the last five years by foreign direct investment firms operating here. [17717/14]

Photo of Richard BrutonRichard Bruton (Dublin North Central, Fine Gael)
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The Forfás Annual Business Survey of Economic Impact 2012 (ABSEI), which was published recently, shows that direct expenditure by foreign firms in the Irish economy increased by 4.7 per cent to €22.9 billion from €21.9 billion in 2011. Direct expenditure is comprised of payroll costs plus purchases of Irish materials and services.

Details of the percentage spent on Irish materials and services in each of the years 2008 to 2012 is shown on the tabular statement below. The ABSEI asks companies to provide an estimate of the total value of what they purchase in the Republic of Ireland. The questionnaire does not ask for further details such as the ownership or regional location of each supplier used as to do so would impose too onerous a burden on the respondents for whom the survey is voluntary.

I have asked Forfás to follow-up directly with the Deputy in relation to the data gathered as part of the ABSEI.

The Global Sourcing Project has been a major focus of the Enterprise Ireland/IDA Ireland Senior Management Team since its establishment in early 2012. Action 235 of the Action Plan for Jobs 2014 aims to progress the implementation of the agreed Global Sourcing Strategy, with specific targets set to increase global sourcing sales by EI clients through greater client introductions between foreign owned multinationals and Enterprise Ireland.

Annual Business Survey of Economic Impact 2012
Results for all Foreign-owned client companies of the Enterprise Development Agencies

(IDA Ireland, Enterprise Ireland, Udaras na Gaeltachta, Shannon Development)
2002
2008
2009
2010
2011
2012
Total Materials - Cost of materials and components used directly in the production of goods and services [exclude goods purchased for re-distribution only or any capital expenditure].26,974 30,021 21,055 21,957 23,603 24,132
Materials sourced in Ireland - Estimated proportion of materials and components produced in Republic of Ireland5,911 2,998 2,383 2,442 2,779 3,283
Materials sourced in Ireland as a percentage of Total Materials purchased
22%
10%
11%
11%
12%
14%
Total Services (inc. Royalties) Cost of all bought-in services, e.g. royalties, agency fees, advertising, transport, fuel, power, repairs, telephone, postage, stationery, computing services, professional fees etc.
22,662
45,448
43,491
46,244
49,638
52,988
Services sourced in Ireland - Estimated proportion of services sourced in Republic of Ireland.
10,263
9,863
9,451
9,428
10,780
11,058
Services sourced in Ireland as a percentage of Total Services purchased
45%
22%
22%
20%
22%
21%

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