Electric.ie July/August 2021

ELECTRIC.IE • The Magazine & Website for the Irish Electrical Industry • 29 Irish exports steadied at €25.48bn in 2020 despite Covid-19 and Brexit challenges E nterprise Ireland, the state agency responsible for helping Irish companies start, grow and scale in international markets, saw exports by companies it supports remain steady in 2020 despite the immense challenges encountered during the year. As global economies reopen, Irish exporters are generally optimistic that growth of up to 8% can be achieved by the end of 2021 and Enterprise Ireland will be enhancing its supports to help companies meet the new challenges of sustainability, digitalisation and internationalisation. Companies supported by Enterprise Ireland recorded €25.48bn in exports in 2020, an increase of 0.3% on the previous year. • Exports to the Eurozone continued to grow, increasing by 1.6% to a total value of €5.85bn in 2020. The Eurozone now accounts for 23% of exports, which is double what it was a decade ago • While the UK remains our largest export market, it contracted by 3.8% in 2020. The UK now accounts for 29% of total exports, down from 40% 10 years ago but still accounting for €7.51bn now versus €5.5bn at that time • Export sales to North America and the Asia-Paci c region held up well, falling by just 1% in each case, to sales of €4.46bn and €2.14bn, respectively • The main sectors of growth were construction, up 12% to €2.51bn; consumer retail, up 6.1% to €989m; and ntech, up 2% to €658m. Food grew by 0.6% to €12.17bn in export sales • However, the impact of the Covid-19 pandemic was evident in some markets with exports to the Middle East, Africa and Indian market contracting by 7%, to €1.15bn ‒ Exporters anticipate boost of up to 8% by end of 2021 as global markets reopen abroad. ‒ Enterprise Ireland approved €198m in Covid-19 funding to more than 1600 companies, including Sustaining Enterprise funding of €181m, protecting more than 27,500 jobs. Industry News Commenting on the results the Tánaiste and Minister for Enterprise, Trade and Employment, Leo Varadkar, TD , said, “These are very robust export results recorded by Enterprise Ireland’s clients. Despite the disruption of the pandemic and Brexit, there was a small increase in exports. “2020 was a year like no other and Irish businesses pivoted and innovated to ensure they could continue to trade and, in some cases, increase or win new business. “However, like our domestic economy, there were some sectors that have been particularly hard hit by the pandemic. The hospitality, travel and education services sectors for example, witnessed a severe contraction in 2020. Government policy since the outset of the pandemic has been to support these businesses, to sustain them and their staff until trading conditions improve.” 2021 Outlook Enterprise Ireland said that the outlook for Irish exporters was positive and that Irish exporters surveyed by the agency were anticipating a boost in export sales by the end of 2021, of up to 8%, based on economies around the world recovering from Covid-19, opening up and restrictions being lifted. The actual outcome will depend on developments during the year in terms of both the course of the pandemic and on global market conditions. In the rst half of 2021, Enterprise Ireland saw positive signs of growth: • 585 new contract wins, a 14% increase compared to the same period in 2020 • 173 new client overseas presences • A doubling of engagement with companies looking to export into the Eurozone rising from 108 in the rst ve months of 2020 to 247 for the same period this year • 2365 virtual meetings between Irish exporters and international buyers The Agency also said that it has already physically reopened 27 of its 40 overseas of ces, and that it plans to physically reopen the remaining 13 international of ces in Q3 and Q4, subject to Covid-19 restrictions. It is also planning to recommence its programme of in-market trade missions from September to the UK, Eurozone, North America and the Middle East. Tánaiste and Minister for Enterprise, Trade and Employment, Leo Varadkar with Enterprise Ireland CEO Leo Clancy.