Comment: As a regional economic development agency, Shannon Development is keenly aware that low-cost carriers have proven to be one of the key instruments of regional development, particularly in continental Europe, writes Kevin Thompstone
In the case of the Shannon region and the west of Ireland, air access is critically important if we are to achieve our vision of developing it as a world class centre for living, working, learning and leisure. This is why we warmly welcome the opening of Ryanair's 12th major European base at Shannon Airport.
It is a hugely significant regional economic development initiative for the west of Ireland.
The 14 Ryanair routes to mainland Europe and the UK will create enormous linkage opportunities between new regions and markets, with the potential to create strong growth in tourism and industry in the Atlantic corridor.
While tourism will benefit in particular, Ryanair's new network will also help stimulate investment in industry, research, education and international services. Access to international markets is a key priority for exporting companies, not just for products and services, but also for the movement of company executives and customers.
Ryanair's new connections to major UK and European business destinations will enable companies in this region to carry out their marketing activities more cost effectively and will encourage industrial investment in the Shannon region.
Ryanair will be joining global corporations like Dell, Intel and GE, in establishing a base in the Shannon region. Similarly, their decision is a huge vote of confidence in the region. It's a confidence Shannon Development shares.
We know that, provided the region grasps this opportunity to develop strong business and tourism linkages to these destinations, it will bring real results for everyone.
This development and other developments at Shannon can make a real difference in delivering on the national strategic objective of achieving better balanced spatial development.
It also builds on the Government's "New Horizons for Irish Tourism" strategy of increasing tourism numbers and bringing about greater competitive access into Ireland.There is a worldwide trend toward shorter break holidays.
This means that regions that can be easily reached, at good value fares, have a strong competitive advantage, provided their product offering is good.
While not being in any way complacent, our customers tell us that the Shannon region and the west of Ireland are generally providing an excellent holiday experience. The Ryanair development will help stimulate significant new tourism business for the west of Ireland, on a year-round basis, and help us send away happy holidaymakers as new tourism ambassadors for the area.
The new Shannon flights will link the west of Ireland to a potential market of over 120 million people living in the densely populated catchment areas served by Ryanair's Shannon route network.
Shannon Development will now put a major effort into maximising the returns from Ryanair's investment, and we will work with our partners in the tourism trade in the Shannon region and the west of Ireland, with the Shannon Airport Authority, Ryanair, Fáilte Ireland and Tourism Ireland, to maximise the economic benefits by developing creative sales and marketing initiatives.
While the Ryanair announcement is enormous in terms of its significance, it is imperative that Shannon Airport continues to build on this, attracting in more airlines and developing more east and west bound routes with competitive fares widely available.
The Ryanair flights meet a critical need for more UK and European services. However, with the strong US investment in the region (the greatest investment outside of Dublin), and the importance of year-round American tourism to the western regions' of Ireland, it is also important that we continue to grow North American services into the future.
The new Shannon Airport Authority, in its very short time in existence, has enjoyed considerable success in attracting a number of airlines. Shannon Development, working with a broad range of interests, will continue to support their efforts, and will both provide and promote the reasons to visit and invest in a special part of Ireland, thereby helping to stimulate the traffic that can underpin and grow future services.
The hub development is the result of engagement between Ryanair and the new Shannon Airport Authority. It is no surprise to Shannon Development that it should have come about so quickly.
It is precisely the type of initiative we envisaged over two years ago when we called for Shannon Airport to be run by an independent public body based in the region. It just shows what can be achieved when regions are empowered to take responsibility for their own future, and we congratulate the Shannon Airport Authority board and management not just on securing this investment for Shannon Airport, but on the opportunity it affords us all to advance business and economic development in the Shannon region.
Kevin Thompstone is chief executive of Shannon Development, Ireland's only dedicated regional development company.
