IDA-supported firms to invest €53m in R&D

Five multinational companies are to start research and development projects in Ireland requiring a an investment of €53 million…

Five multinational companies are to start research and development projects in Ireland requiring a an investment of €53 million as part of an IDA-supported programme.

The money will go towards the research and development centres of Pfizer Inc, Citygroup, Genzyme Corporation, Xilinx Inc and Bristol Myers Squibb Company.

Announcing the investments, the Minister for Enterprise, Trade and Investment Micheal Martin said: "Today's groundbreaking research and development initiatives are hugely significant for Ireland's future competitiveness."

The minister said that Government policy and IDA Ireland's strategy over the last few year has been focused on Ireland's involvement to a knowledge-based economy with advanced RND capability.

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"The fact that five of the world's leading multinational corporations have chosen Ireland over global competition for their cutting-edge research activities is a serious achievement and shows our ability to compete vigorously and win these highly sought-after investments," he said.

Mr Martin noted that Ireland currently has the highest per capita number of science and engineering graduates between the ages of 24 to 34 in the world. However, he admitted there were problems in attracting primary and secondary school students to these subjects and that work needed to be done in this area.

Asked what were the key attractions for these companies when considering research and development, Mr Martin said a key point was the track record of the existing Irish operations of the five companies involved.

This had translated into a confidence that Irish staff could deliver, he said. He also admitted that Ireland's corporation tax rate of 12.5 per cent coupled with Ireland being an English-speaking country in the European Union.

Xilinx, which produces microchips, is investing €7.5 million in setting up its first research lab outside its US base at its European HQ in Dublin.

Drug firm, Bristol Myers Squibb Company will establish joint researchprogrammes worth 9.6m euro with academics in DCU and UCG.

Pharmaceutical giant, Pfizer is investing €20 million in a development facility at its existing plant at Ringaskiddy, Co Cork.

Pfizer already has nine operations in Ireland and employs 2,200 people. The world's largest financial services company, Citigroup will set up a €10 million euro R&D centre of excellence at its Dublin HQ in the IFSC. Biotech firm, Genzyme is investing €6.11 million to expand its R&D facility in Co Waterford.

Sean Dorgan, chief executive of IDA, said although the number of jobs (approximately fifty) was relatively small, the number was not the important point. He said attention had to be paid to the quality of these jobs and the likely downstream benefits.

Mr Dorgan said there was a pipeline of such developments and that there would be further investment announcements later in the year.