Business of Sport/Daire Whelan: This column has been critical of some of the Department of Sport's policies, from tax-free stud breeding to questionable granting of sports funds. And we're sick of their prattling on about the millions being spent on sport in the lifetime of this Government - what else were they going to do at the height of the Celtic Tiger we wonder?Daire Whelan

But with tail firmly between legs, it seems this administration needs some congratulations as pioneers in the field of sports sponsorship.

Sports sponsorship is a multi-billion euro industry - and is growing exponentially as business seeks a more integrated association with key products - but it is not an area that one associates with State involvement. This, however, is where the Irish Government has stepped in.

In the last 10 years, the Irish Government has been the largest sponsor of Irish sport, outstripping the heavyweights of Guinness, Bank of Ireland and Vodafone. This remarkable fact has barely raised an eyebrow in Ireland but has grabbed the attention of the UK and Scandinavian countries especially.

According to Ken Schofield of the PGA European Tour, Ireland's state sponsorship is "miles ahead of all other European countries".

So how did we get to such a progressive point in this field? Promotion of the stud industry and its tax-free incentives is a controversial and well known initiative that hasn't been welcomed in many circles, but it is the relentless push of Ireland as a golf destination that has other governments sitting up and taking notice of how state sponsorship of sport can be used as an economic generator.

Taking Spain and the success of Valderrama as the initial model, the Irish Government decided to extend it to push Ireland to the forefront of golf destinations.

With infrastructure and excellent golf facilities already in place in 1996, the time was ripe for marketing and promotion via Bord Fáilte to the tune of €2million a year. And now in 2004, the successes are clear to see: two top European tour events each year as well as the AmEx World Golf Championship and of course a Ryder Cup in 2006.

The facts speak for themselves and through Government sponsorship of golf, Ireland is hosting more and more of the sport's top events and has been voted number one international golf destination.

So what has the Government/investor been getting for its €2 million annual investment?

In 2003, there were 200,000 golf tourists from abroad generating an estimated 150 million in the economy, while facility-wise Ireland can boast one third of the world's links courses and three of the top 12 golf courses in the world (second only to the United States of America).

As much as it grates those who are critical of much of the Government's sports policies (this column included), the cold facts make for sobering reading. Our state's sponsorship of golf has produced remarkable results - and all for minimum investment.

Part of the problem with sports sponsorship is gauging the tangible results to be had - quantitative analysis is difficult while qualitative analysis lends more to marketing research and surveys.

Taking the example of Spain, we have refined the model of Government sports sponsorship and produced an even more successful example of this innovative sector; how far we have progressed can be taken from the fact that Wales are only due to host the Ryder Cup in 2010 while Scotland won't get the event until 2014.

Streaking ahead of the sports world is not something we're very accustomed to - especially when there's government involvement - but for once we're leading the way and using ingenuity and creativity by taking a private sector business and adapting it for our own ends has shown that sometimes we can get it right and leave our cynicism to one side.

For one week at least.

This week . . .

The Irish Sports Council announce grants of 3.5m to the IRFU aimed at increasing participation in rugby.

The GAA launch Gaelic Telecom, which will provide fixed line telephone services to GAA members and supporters, with customers able to donate 10 per cent of fees for calls made to their local club and 5 per cent to their local county players' training fund, or to donate the full 15 per cent to either their club or county.

Manchester United will no longer be dealing with Alex Ferguson's son, Jason, or his agency Elite. The club are also reviewing their agents' fees and transfer dealings, all in light of Cubic Expression's inquiries into the club's affairs back in February.

Malcolm Glazer is reported to be lining up a takeover bid for United. The US tycoon and owner of the Tampa Bay Buccaneers is said to be in talks with Dermot Desmond to buy out his 1.5 per cent stake and would then be looking at John Magnier's and JP McManus's shareholding.

RTÉ's head of sport, Niall Cogley, steps down from his position to join sports broadcaster Setanta, fuelling rumours the company is looking to bid for terrestrial GAA games.

Attheraces is set to broadcast again, transmitting races in Britain again from June 11th.

Vodafone, the communications giant and sponsors of Manchester United, have increased their profits by 19 per cent to £10 billion.

The IRFU's 2004-2008 Strategic Plan targets an increase in revenue from 37.35 million to 46.35m with final elimination of its operating deficit by 2008.

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