19th January 2002
News
19th January 2002
News |
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 TECHNOLOGY News | Tractors | Machinery | Motoring
Machinery exports to the UK set to rise sharply
Exports of Irish agricultural machinery to the UK have shown a sharp increase in 2001.
According to the latest estimates from Enterprise Ireland - the trade development body funded by the Irish government - exports to the UK have risen by some 35 per cent over 2000 figures.
This increase is in line with the overall rising trend of total machinery exports out of Ireland.
Figures supplied by the Central Statistics Office (CSO) show total machinery exports from Ireland in 2000 at e40.5m, a rise of some e5m on 1999.
"CSO statistics for the first half of 2001 show a 16 per cent rise on the same period of the previous year," says Stephen Hughes, manager of the UK arm of Enterprise Ireland. "If this trend were to continue the year-end figure could be at least
These predictions are supported by the Irish Farm Tractor and Machinery Trade Association (FTMTA). "Indications from manufacturers and dealers are of significant improvements so far this year, despite problems associated with foot-and-mouth," says chief executive, Michael Moroney. "Business was certainly up on 2000 and the UK in particular has shown an increased demand for Irish products."
The reasons for the rise this year are clear-cut and have been triggered by the foot-and-mouth epidemic, explains Mr Moroney:
"Many farmers now have fewer stock but they have more money, which more often than not they want to invest in new machinery.
"Fewer stock or restrictions on the movement of stock also mean more grass, which needed to be cut and baled, and with affected farmers limited in their ability to use contractors on their farms they have had to do it themselves.
"More recently we have noticed an increase in the number of UK farmers coming across to Ireland to look at machinery first hand."
Looking at the longer term Mr Moroney believes the trend will continue upwards. "Irish companies have made more and more investment in production and technology, which will demand that more products have to be sold.
"But with their reputation for quality and the fact that the exchange rate makes Irish machinery real value for money, there is a lot to build on for the future."
Some manufacturers have experienced increased UK sales of 30 per cent and more.
Co. Mayo-based McHale Engineering confirms that sales of some products have been unexpectedly strong. "At the start of the foot-and-mouth outbreak business was hit very hard," says managing director Martin McHale. "Since then, however, we have recorded some of our best ever export figures to the UK, with bale wrappers selling particularly well. Compensation payments made to affected farmers, and restrictions on the use of contractors at the height of the outbreak are the most likely cause."
Cashels Engineering, from Co Mayo, has managed to increase sales over the year by 15 per cent. "Like many Irish exporters, we've had to face up to very difficult market conditions. By developing our product range - launching eight new products in the past 12 months - and focusing on value, we've maintained and built on our market share," says the managing director, Peter Cunnane.
The UK market has been the best ever for Conor Engineering of Co. Clare. "The market was an artificial one created by the foot-and-mouth situation and it will not be repeated easily.
"The problems of contractors in the UK meant more balewrappers and toppers were sold compared to previous years," said the managing director, Enda O'Connor.
Mr Hughes is extremely encouraged by the upward trend in exports of Irish machinery and believes it will continue for some time. "While it's true that the figures need to be looked at in the context of foot-and-mouth, the long-term trend shows ongoing increases in Irish exports to the UK.
"And that has to be due, in no small way, to the quality and value for money which Irish manufacturers are providing."
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Copyright © : The Irish Farmers Journal 2002 |
