Ireland continues to experience an export boom according to the latest data from the Central Statistics Office (CSO).
Preliminary figures for August show total exports of £5.9 billion (€7.5 billion) on a seasonally adjusted basis, with imports of £3.7 billion, leading to a surplus of almost £2.2 billion, the highest on record.
The Minister of State at the Department of Enterprise, Trade and Employment, Mr Tom Kitt, welcomed the figures and pointed out that the value of exports for the first seven months of this year exceeded the total value of exports in 1997. "This highlights the progress that Irish exporters have made over a very short period of time and the continuing competitiveness of the export sector."
According to Dr Dan McLaughlin, chief economist at ABN Amro, the figures confirm the export boom is accelerating and the economy is growing by around 13 per cent a year.
He said a growth rate of this magnitude should be confirmed by figures to be released today by the CSO. The figures also underline the ongoing competitiveness of the economy. The low level of the euro has added sharply to the cost of imports, three quarters of which come from outside the euro zone. However, importers have not passed on the bulk of these additional costs because they are being offset by increased competitiveness. Detailed figures for August have yet to be released. In July, on a seasonally adjusted basis, the value of exports declined to £5.14 billion from the high of £5.75 million in June. Imports reached a high of £3.8 billion - a surplus of £1.94 billion.
The July export figure was up 24 per cent on the same month in 1999, with prices up 3.8 per cent. Imports, which rose 20 per cent, showed price rises of 8.9 per cent. Indigenous firms appear to be doing very well. Multinational exports are up about 28 per cent but indigenous firms are exporting 17 per cent more than a year ago.
Continued strong growth in sales of Viagra meant that exports of organic chemicals increased by 44 per cent to £7.31 billion, while computer equipment was up 24 per cent and electrical machinery 37 per cent.
Other manufacturing, which largely reflects Irish firms, was up 17 per cent; food was up 9 per cent and diary products up more than 20 per cent, again reflecting the performance of domestic firms.
Exports to the US were up 54 per cent to £6.76 billion, still slightly behind the UK which was up 21 per cent to £6.96 billion. There were also large increases in exports to Japan, Italy and the Netherlands.
