‘Medical devices jobs essential’

THE jobs of 22,000 workers in the production of medical devices depend on the sector keeping ahead of lower-cost manufacturing locations.

Yesterday, the Irish Medical Devices Association (IMDA) launched a blueprint for development from 2004 to 2007.

Speaking at the launch, IMDA director Sharon Higgins praised the Budget announcement of an R&D tax credit, but more is needed to secure the necessary vigour to ensure the development of the medical devices and diagnostics sector.

"The sector is hugely important to the economy, directly employing 22,000 people 10% of total manufacturing employment with over 600 already employed in R&D. It exports over 3.7 billion worth of products a year.

"The future of these jobs in Ireland lies in the sector's ability to develop, manufacture and market innovative customer-orientated products efficiently and effectively and most importantly, ahead of the lower-cost competitor locations biting at our heels," she added.

The IMDA's strategy statement identifies key measures required to secure and sustain the long-term development and growth of the sector.

The IMDA believes that a 3% volume-based tax relief should be introduced in conjunction with the 20% tax relief for new R&D.

"It is most unrealistic and unfair to discriminate against those companies who had already committed to employment in R&D. If these companies are to continue to be profitable and thus stay in Ireland the Government must deliver on its commitment to a 2% inflation target.

"The Government must urgently address the inadequate resourcing of the Irish Medicine's Board," she said.