The Government launched a review of its Asian trade strategy yesterday and said it would focus more on the Japanese market.
China and South Korea will also remain key focus areas for the Republic, which launched its first "Asia Strategy" in 1998 in an attempt to boost foreign trade.
Total exports from Enterprise Ireland clients grew to €322 million in 2003, up from €280 million in 1997. Exports to China more than tripled during this period to €48.1 million while exports to South Korea doubled.
However, exports from Enterprise Ireland clients to the world's second biggest economy, Japan, fell to €100 million in 2003, down from €115 million in 1997.
At a briefing yesterday, Mr Gerry Murphy of Enterprise Ireland said this fall in exports reflected the "very difficult time" experienced by the Japanese economy over the last few years.
But he said this was going to be the century of Asia and there was a need to increase the awareness of Ireland within Asia and of Asia among small Irish companies.
He said the number of Irish companies with a base in Asia had doubled since the start of the Asia Strategy from 46 in 1997 to 93 in 2003. Most of the bases are sales offices although some companies have set up manufacturing plants, added Mr Murphy.
He said Irish firms investing in Asia needed to be selective and take a long-term view of their investment. It could take two to three years before significant sales are made and the start-up costs are high, about €250,000 for each sales person in the field.
Mr Murphy said there were more opportunities in Japan as it began to deregulate and reform its economy. It also was investing heavily in the Chinese market.
But he defended Enterprise Ireland's decision to base its Asian headquarters in Shanghai rather than Tokyo due to the positive relationship that has been developed with the Chinese Government over the past few years.
Mr Alan Buckley, the Enterprise Ireland executive responsible for the Indian market, also dismissed suggestions that focusing more on Asia would increase the risk to Irish jobs.
"Our core strength is our range of language skills which India doesn't have."
