Written answers

Thursday, 23 March 2017

Department of Jobs, Enterprise and Innovation

Brexit Issues

Photo of Maurice QuinlivanMaurice Quinlivan (Limerick City, Sinn Fein)
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20. To ask the Minister for Jobs, Enterprise and Innovation her plans to maximise Irish food and drink exporters' opportunities to fill the potential void in British exports to the EU as a result of Brexit; her views on whether her Department has been allocated enough extra spending to support this; if consideration will be given to putting in place an export fund to assist exporters replace the reduction in goods that the UK currently exports to Europe; and if she will make a statement on the matter. [14458/17]

Photo of Mary Mitchell O'ConnorMary Mitchell O'Connor (Dún Laoghaire, Fine Gael)
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As part of 2017 Budget negotiations, I successfully secured a €100 million increase in the Department’s expenditure ceilings by year end 2016 and for 2017. This includes €3 million which is specifically for “Brexit” related posts across the Department and its Agencies. Part of this funding will support 39 targeted posts in Enterprise Ireland, located at both at home and abroad, to support its clients across all markets.

While Enterprise Ireland supports companies in the Food and Drink sector in Ireland, Bord Bia under the Department of Agriculture and Food works with these companies to access overseas markets. Both Agencies work closely together.

While the UK remains a key market, Enterprise Ireland is also working closely with Irish Food and Drink companies to build on their international reputation for product excellence and to drive growth in other key markets such as the Eurozone, Canada, the US and Asia.

In summary, the key focus is on supporting companies through:

1. Greater competitiveness

2. Markets diversification

3. More innovation

4. Better risk management andstrategic financial skills.

My Department, working closely with the Department of Finance, the Strategic Banking Corporation of Ireland (SBCI), EI and various stakeholders, has conducted a structured engagement with a large and diverse range of companies, to ascertain what, if any, impact Brexit is having on their business. This detailed work will provide a strong evidence base for the development of appropriate, tailored and targeted responses to support real business needs. Work on the data is well advanced and I will shortly be considering what options, in addition to those already being provided by the Agencies, should be introduced. 

Photo of Tommy BroughanTommy Broughan (Dublin Bay North, Independent)
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21. To ask the Minister for Jobs, Enterprise and Innovation the status of current work by her Department and agencies under its aegis regarding Brexit, protecting jobs and attracting new jobs here; and if she will make a statement on the matter. [14412/17]

Photo of Mary Mitchell O'ConnorMary Mitchell O'Connor (Dún Laoghaire, Fine Gael)
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My Department and the enterprise agencies are fully committed to supporting business and all of our stakeholders in this period of heightened uncertainty.

I have established various structures in my Department, commissioned research and secured additional funding to support our work on Brexit.

Enterprise Ireland and the LEOs are steadily working with companies to make sure that they are better prepared to respond to the challenges that Brexit will bring. 

Enterprise Ireland has been systematically engaging with its 1,500 clients that export to the UK. Enterprise Ireland's strategy is to:

- Strengthen our ability to penetrate the UK market so as to sustain and grow exports.

- Strengthen our ability to penetrate other key markets to reduce dependence on the UK.

- Invest in programmes to ensure that clients have the finances, innovation, leadership and scale to grow in international markets.

- Strengthen the ability at local and regional level to generate more start-ups and businesses with export potential.

IDA Ireland continues to actively pursue any opportunity for mobile investment. IDA will continue to:

- Work with its existing client base to assist and support them to grow;

- Highlight Ireland's continued strong offering – for example, Ireland's continued access to the EU market; and

- Be in contact with clients and prospective clients across the globe and continue to market a competitive value proposition to attract mobile investment from global locations including the UK.

Science Foundation Ireland is working to strengthen collaboration with the UK and is also seeking to expand its range of actions to take advantage of Brexit opportunities.

Enterprise between North and South could be impacted in many ways by the UK’s withdrawal from the EU - in this regard the role of Intertrade Ireland is vital.

We are providing InterTrade Ireland with additional funding this year to undertake a range of initiatives for SMEs. This will involve the provision of factual advice, supports for capability building and the provision of other specialist expertise for companies.

My Department is also funding a research project to be undertaken for InterTrade Ireland by the ESRI. This will improve our understanding of the impact of different trade and tariff regimes which might be imposed following Brexit.  

Photo of Brendan SmithBrendan Smith (Cavan-Monaghan, Fianna Fail)
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22. To ask the Minister for Jobs, Enterprise and Innovation the additional supports put in place to date to assist businesses that are heavily or totally dependent on Northern Ireland or the British market for an export market in view of the uncertainty that has arisen due to Brexit and currency fluctuations; and if she will make a statement on the matter. [14444/17]

Photo of Mary Mitchell O'ConnorMary Mitchell O'Connor (Dún Laoghaire, Fine Gael)
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In Budget 2017, I secured additional monies, both current and capital, to support Enterprise Ireland’s strategic response to Brexit, including 39 targeted posts, both at home and abroad to support its clients across all markets.

There are 1,500 Enterprise Ireland (EI) client companies recording exports to the UK.  They employ 100,000 people across the country and have exports of over €7 billion. Enterprise Ireland is particularly working with companies in the UK market who are most exposed in areas such as engineering, food, construction and timber to maintain their market share.

Over €1bn of EI exports go to Northern Ireland and I am very conscious of the challenges that may be faced by companies operating in close proximately to the border.

EI will continue to provide various targeted supports and programmes to assist client companies.  These include management capability, leadership, marketing/sales, innovation and R&D.  EI will also deliver a suite of supports that help clients reduce supply-chain costs and drive efficiencies and cost reductions as a means of improving operating margins, thereby increasing competitiveness.

InterTrade Ireland (ITI) will have an important role to play in protecting cross border trade following Brexit.  We will continue to support the work of ITI as it takes steps to help clients deal with the uncertain business climate ahead.

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