Access to larger markets under the Nice Treaty could boost trade by 30 per cent, according to the Irish Business and Employers' Confederation. IBEC launches its campaign for a "Yes" vote on the treaty today.
The director general of IBEC, Mr Turlough O'Sullivan, said yesterday Irish companies and employees had nothing to fear from an enlarged market. "Irish employees have no reason to fear for their jobs as a result of immigration from new EU states: jobs are under far greater threat from labour rigidities, excessive pay claims and the rise in public spending."
He added that "exaggerated fears" of the No lobby could isolate Ireland in an expanding and evolving Europe. "The simple fact is that when we entered a larger market in 1973, we were far behind the rest of Europe, with GDP at 60 per cent of the European average," he said. "Now we are ahead, with GDP at 120 per cent of the European average.
"We made this transformation as we moved from selling our goods primarily in these islands to selling them across an increasingly accessible European market. This has given us the strength to sell across the globe. The issue on Thursday week is whether we want to potentially increase the size of this single European market from 375 million to 500 million people.
"There is not the slightest doubt this little economy has flourished as markets have opened up. We have competed, we have succeeded. There is every reason to believe that, as the pitch becomes bigger, we will continue to do so. "We can almost quantify how much trade could be achieved. We currently do €67 billion per annum trade with the existing 375 million EU population, in contrast to a mere €2 billion or so with the 125 million population in the applicant states. If we increased our trade pro rata with these new states it would be over €22 billion. This suggests a potential opportunity to increase our trade by 30 per cent.
"For those who see a direct link between free trade and Irish prosperity, surely this is the clearest possible indication of the potential that will open to Irish business."
Mr O'Sullivan described the No campaign as "wrong". This vote was not about losing our voice in Europe. An enlarged EU involved reforming its institutions. "The changes in these institutions are being made so that the system will be workable while still being democratic."