Enterprise Ireland publishes Annual Report and Accounts 2013
10th July, 2014
- Upward momentum continues as record €17.1bn in exports by Enterprise Ireland client companies in 2013
- Irish exporting companies spent €20.28billion in the Irish economy in 2013 and achieved record levels of job-creation
- 20% increase in job commitments by Enterprise Ireland companies made in first half of 2014 – Minister Bruton
- Number of Ministerial-led trade missions doubled in recent years and 2014 showing a further increase
2013 saw the best performance in over a decade in export growth and net job creation by Enterprise Ireland client companies, as detailed in Enterprise Ireland’s Annual Report and Accounts for 2013, published today 10th July, 2014.
These companies achieved a record €17.1billion in export sales, representing an 8% increase on 2012 and created 18,033 new jobs in 2013. The Report confirms a net increase of 5,442 in the number of people employed which is the largest net increase in a decade and underscores the clear link between strong export growth in new and existing markets across the globe, and job creation here in Ireland.
These strong results confirm the major impact that Enterprise Ireland client companies have across the wider economy. As employment continues to rise, so too does company spend in the local economy, all helping to generate increased commercial and economic activity. Total direct employment in Enterprise Ireland client companies stood at 175,750 in 2013 (149,718 full time and 26,032 part time). By the end of 2013, companies supported by Enterprise Ireland were employing and sustaining well over 300,000 jobs (direct and indirect) in Ireland. Economic calculations indicate that for every 10 jobs created in an Irish exporting company, 13 additional jobs are created elsewhere in the economy in supply and service companies. Latest figures show that direct expenditure by Irish-owned firms, in terms of payroll and purchases of raw materials and services produced in Ireland, account for €20.28 billion expenditure in the Irish economy.
As part of the Action Plan for Jobs, over the past three years the number of Ministerial-led trade missions has been double the level prior to 2011.
Other findings of the report include:
- In 2013, close to 860 companies were involved in significant R&D projects of above €100,000 spend per annum, with almost 140 companies engaged in substantial R&D projects of over €1m spend, both results up on the 2012 figures.
- The number of CEOs and Managers participating in Enterprise Ireland’s leadership and management development programmes increased to close to 1,100 in 2013.
- Over 1,000 client companies taking part in 18 minister-led trade missions and a further 67 international events in major target markets in North America, Europe, Asia, the Middle East and Latin America.
- Enterprise Ireland brought over 1,100 targeted international buyers to Ireland to meet client companies here to progress business alliances and new contracts.
- Enterprise Ireland opened new offices in Istanbul, Turkey, and Austin, Texas, USA, growing its overseas network to 30 international offices.
- A dedicated new Global Sourcing team was set up to work closely with IDA Ireland to help identify opportunities for client companies to win a greater share of the procurement spend by MNCs in Ireland.
- In 2013 Enterprise Ireland invested in 104 new high-potential start-up (HPSU) companies, the highest number yet in a single year.
- Over 40 projects led by women achieving investment through either HPSU funding or through the Competitive Start Fund, up from 16 in 2012.
- Under the Government’s Action Plan for Jobs 2013 Enterprise Ireland was directly responsible for delivering 77 of a total of 333 actions across a wide number of activities
Launching the Report Julie Sinnamon, CEO Enterprise Ireland said: ‘The strong performance of our client companies and their capacity to continuously innovate, develop new products and services and win new export business against the toughest of international competition, represent a tremendous achievement. This success in the global marketplace has given rise to the highest net jobs creation recorded in the last decade.
‘These companies are contributing hugely to the performance of the Irish economy. Driving continuous innovation and export growth leading to job creation right across the country will continue to be the major focus for Enterprise Ireland over the coming years. As an agency, we are completely committed to this mission, and to working with our client companies to realise their ambitions’.
Welcoming the Report the Minister for Jobs, Enterprise and Innovation, Richard Bruton TD, said: ‘At the heart of the Action Plan for Jobs is creating a powerful engine of Irish exporting businesses alongside the strong multinational sector we have built up. Enterprise Ireland is the agency with a mandate to deliver on this, and together we have put in place a range of measures to achieve it, including doubling the number of trade missions, increasing Enterprise Ireland staff in overseas markets and new tax incentives for exporting companies. Today’s report shows that the companies Enterprise Ireland supports continue to go from strength to strength. Results are up under virtually every heading, and most importantly exports have increased to a record €17.1billion and employment has increased by more than 5,442 to 175,750.
‘The indications from the first six months of 2014 are very positive, with job commitments by Irish exporting companies up more than 20% on the same period in 2013, indicating that the 2013 records are set to be exceeded. At a fragile point in the economic recovery, this is a hugely important confidence boost from the crucially important Irish exporting sector. I wish to commend Julie and her team both in Ireland and overseas on these achievements. We in Government will continue, through the Action Plan for Jobs, to make the changes necessary to provide the supports for more Irish exporting companies to start up, expand and create the jobs we need”.
For further information contact:
Enterprise Ireland Press Office.
Department of Jobs, Enterprise and Innovation
NOTES FOR EDITORS
The highlights of the year were many, but the common theme across a whole range of activities was the continuation of the upward momentum. Client companies continue to invest more and more in research and innovation, driving the development of new products and services. In 2013, close to 860 companies were involved in significant R&D projects of above €100,000 spend per annum, with almost 140 companies engaged in substantial R&D projects of over €1m spend, both results up on the 2012 figures. Similarly, the number of CEOs and Managers participating in Enterprise Ireland’s leadership and management development programmes increased to close to 1,100 in 2013. This commitment by Irish companies to innovation and company development is having a major impact on their success in winning new customers in export markets, helping fuel job creation at home.
The record level in exports was greatly supported by Enterprise Ireland’s activities to support clients win new business and expand their export footprint. Again, activity levels were up with over 1,000 client companies taking part in 18 minister-led trade missions and a further 67 international events in major target markets in North America, Europe, Asia, the Middle East and Latin America. Enterprise Ireland brought over 1,100 targeted international buyers to Ireland to meet client companies here to progress business alliances and new contracts. Ever mindful of emerging market opportunities, Enterprise Ireland opened new offices in Istanbul, Turkey, and Austin, Texas, USA, growing its overseas network to 30 international offices. A highlight of the year was the success of the 116 early stage companies that secured their first new international reference customer with Enterprise Ireland assistance. And to maximise the linkage opportunities with the multinational base in Ireland, a dedicated new Global Sourcing team was set up to work closely with IDA Ireland to help identify opportunities for client companies to win a greater share of the procurement spend by MNCs in Ireland.
The Report shows that entrepreneurship activity is at a very high level. Supporting new business start ups and helping them to scale and grow into major exporting companies, is key to what Enterprise Ireland does. In 2013 we supported 104 new high-potential start-up (HPSU) companies, the highest number yet in a single year. 2013 also saw a very encouraging and significant increase in female-led projects, with over 40 projects led by women achieving investment through either HPSU funding or through the Competitive Start Fund, up from 16 in 2012. On the wider entrepreneurship agenda, work continued to ensure the successful establishment of the Local Enterprise Offices in early 2014, bringing together the skills, experience and resources of Enterprise Ireland, the former County Enterprise Boards and the Local Authorities to micro and small businesses.
Under the Government’s Action Plan for Jobs 2013 Enterprise Ireland was directly responsible for delivering 77 of a total of 333 actions across a wide number of activities. These included areas such as regional entrepreneurship through a number of Competitive Feasibility Funds, capability enhancement within client companies via a number of management capability programmes and the establishment of a central technology transfer office, Knowledge Transfer Ireland, within Enterprise Ireland, linking college expertise with client companies.
Enterprise Ireland Annual Report and Accounts 2013
Where we invested and outputs achieved:
Enterprise Ireland client companies recorded the highest overall rise in employment levels in the last decade, with 5,442 net new jobs at the end of 2013.
Exports by Enterprise Ireland client companies continued on an upward trend, reaching €17.1bn for the year.
More than 1,000 client companies took part in the 18 minister-led missions and a further 67 international events in major target markets in North America, Europe, Asia, the Middle East and Latin America.
We brought over 1,100 international buyers from across the globe to Ireland to meet with our client companies on their home territory.
Responding to evolving market opportunities, we opened new offices in Istanbul, Turkey, and Austin, Texas, USA, growing our overseas network to 30 international offices.
We have established a dedicated new Global Sourcing team, who are working closely with counterparts in IDA Ireland to identify opportunities for our clients to gain a greater share of the procurement spend by multinationals based in Ireland.
In the research and technology arena, technology-related aspects of the ‘Disruptive Reforms’ introduced in the Government’s 2013 Action Plan for Jobs, such as data analytics, cloud computing and health innovation, were high on our agenda.
139 of our client companies were engaged in substantial R&D projects of above €1m spend pa, and 858 Enterprise Ireland client companies were engaged in significant R&D projects of above €100k spend pa.
We launched the €23m Technology Gateways programme as a nationwide network to connect the research and innovation capabilities of the institutes of technology to companies that need novel technology solutions.
With the support of our Technology Transfer Strengthening Initiative, 34 companies were spun out from Ireland’s colleges, and 119 commercially valuable packages of technologies and intellectual property were transferred to companies.
We have established a central technology transfer office (Knowledge Transfer Ireland) within Enterprise Ireland to provide companies, for the first time ever, with a comprehensive overview of the research capabilities of all Irish universities, institutes of technologies and specialist research centres.
Two major new Technology Centres were approved and established as public private-research centres of excellence at the interface between industry and academia. The lead team for the Technology Centre for Data Analytics, CeADAR, is based at NexusUCD, while the Pharmaceutical Manufacturing Technology Centre is being hosted by the University of Limerick.
The Food for Health Ireland Technology Centre entered its second phase, backed by an investment of €21m, and geared towards validating the health benefits of novel bioactive molecules identified through ‘mining’ of milk in phase one.
Our work with the main dairy industry players focused on deriving maximum gains from the projected growth in milk volumes with the abolition of quotas post-2015. Highlights included plans announced by Glanbia Ingredients Ireland Limited to develop a world-class dairy facility in Belview on the Kilkenny/Waterford border and the announcement by Dairygold Co-Operative Society Limited of a €33 million investment in its milk processing facilities at Mitchelstown, County Cork.
During 2013, Enterprise Ireland supported a total of 42 significant food and drinks industry investment projects, which are set to create over 966 direct new jobs.
We supported 104 high potential start-up (HPSU) companies – the highest number yet in a single year. Of these, 13 were led by overseas entrepreneurs and 10 were spinouts from research.
A total of 85 early-stage companies were supported through the Competitive Start Fund.
2013 saw a significant increase in female-led projects, with the highest ever level of new investments by Enterprise Ireland in start-ups led by female promoters. Some 41 projects led by women won investments through either HPSU funding (14) or support through the Competitive Start Fund.
SPRINT was launched as an intensive six-month management development programme for start-ups in the internet sector.
We launched Access Silicon Valley to fast-track early stage, Irish tech companies targeting Silicon Valley and San Francisco.
Some 248 executives from client companies participated in significant management development programmes, while 845 executives took part in short programmes, both exceeding targets for 2013.
A total of 143 lean projects were supported during the year, including 20 significant LeanTransform projects, which focused on large-scale, extensive and holistic company transformations.
We funded 194 established companies’ expansion projects to create employment and grow sales in international markets to a value of €90.97m.
Supporting the venture capital environment in Ireland, Enterprise Ireland has committed €175m to a new Seed & Venture Capital Scheme (2013 - 2018), with funds of €700m over its lifetime available for investment in high-growth, early-stage companies.
Funds of €440m are now available through the Development Capital Scheme for investment in established mid-sized, indigenous companies, addressing what had been a critical funding gap in this area.
To date, five international venture capital fund managers have been attracted to Ireland through the €500m Innovation Fund Ireland scheme, following investment from Enterprise Ireland and the National Pensions Reserve Fund.