We're still open for business
Yesterday's announcement of 1,000 new jobs at online payments network PayPal demonstrates that, despite all of the bad news of the past few years, Ireland is still open for business. For many US multinationals, Ireland still remains an extremely attractive location in which to do business.
And the PayPal jobs announcement may be followed by others in the near future. While it is still early days, the IDA is already well positioned to at least match last year's excellent performance, which resulted in a net 6,000 new jobs created at IDA-supported companies in 2011.
The PayPal announcement wasn't the only piece of good news to come from Ireland Inc yesterday. Kerry Group, Ireland's largest indigenous food company, announced superb 2011 results with trading profits jumping by 7pc to €501m. From small beginnings chief executive Stan McCarthy and his predecessors Denis Brosnan and Hugh Friel have created a genuine Irish food multinational in the space of just 40 years.
The growth and development of Kerry Group since its foundation in Listowel, Co Kerry, in 1972 represents one of the most remarkable success stories in the history of Irish business. Everyone connected with this magnificent achievement deserves our congratulations.
While Kerry may be the trailblazer, other Irish food companies, both foreign-owned and indigenous, are also enjoying considerable success with Irish food and drink exports increasing by 12pc to almost €9bn in 2011. As the vast bulk of the value of our food and drink exports are spent on Irish labour, goods and services, their contribution to the overall economy is much greater than even these impressive figures would suggest.
Our twin successes in attracting major foreign investment projects and in growing our food and drink exports demonstrate that, unlike Greece or Portugal, the Irish economy is not a complete basket case. Yes, we have our problems but, unlike some of the other peripheral eurozone countries, we possess a critical mass of internationally competitive companies, both foreign and domestically owned, who are more than a match for their overseas competitors.
As Irish costs retreat from the excessive levels of the late Celtic Tiger years, this cohort of internationally competitive Irish-based companies will act as the engine that will gradually pull us out of the economic mire.
It won't happen overnight but, as yesterday's announcement demonstrates, beneath all of the gloom generated by an insolvent exchequer and our bankrupt banks, lies a far more positive reality. When the gloom lifts we will be well positioned to take advantage of the recovery in the global economy. Ireland is still open for business.
Irish Independent
