Exporting companies facing ‘ruin’

MANY Irish exporting companies are facing potential ruin as they find it harder to get credit insurance cover, according to the Irish Exporters’ Association (IEA).

Approximately €9 billion worth of Irish exports are covered by credit insurance on a rolling six-month basis, with a further €10bn worth of home-based trading covered.

The IEA says that exporters have now reached crisis point in their cashflow management as credit insurance underwriters have cancelled or reduced cover to companies and the move is adversely affecting the supply of locally produced goods and services to exporting companies.