Pharma drives record exports but food firms 'face challenges'

Ireland's exports topped €16bn in December — up half a billion on the previous month, and €3bn more than in December 2021

Ringaskiddy in the Port of Cork is playing a part in Ireland's export boom. Another trend highlighted by the CSO figures is the surge in cross-border trade with the North, up 31% year on year. 

Exports of goods by the companies making pharma products continued a winning run in December, suggesting foreign-owned multinationals will again drive economic growth this year.

The Central Statistics Office figures show that all types of companies exported €16.4bn of goods in December, an increase of €575m from November, and up sharply from the €13.8bn of goods exported in December 2021. 

Total exports of goods in 2022 hit a record €208bn, which includes €16.8bn in exports of food and beverages.

Trade expert John Whelan said the figures point to another strong performance this year for the pharma multinationals, which he described as one of the three “blockbusters” of Irish exports, but warned that the outlook for food and drink exports, dominated by Irish-owned firms, was more challenging.

Trade expert and Irish Examiner Business columnist John Whelan warns against complacency, especially in light of fresh challenges facing Irish food firms exporting into Britain. File picture

Pharma exports by companies such as Pfizer were likely to be immune from the global economic slowdown, but food companies selling into Britain, their single largest market, face a consumer recession there, and also face the challenge of the UK government starting to implement full checks on imports coming into that country under the Brexit deal, Mr Whelan said.

The 2022 figures also suggest a further huge increase in interactions in the all-Ireland economy, with cross-border trade in goods up sharply between the Republic and the North.

Exports of goods to the North from the Republic rose 31% to over €4.9bn, while imports from the North rose 32% to over €5.3bn, according to the CSO.

Trade across the Irish Sea appears to be normalising after the huge Brexit disruptions. Exports from the Republic to Britain for the full year climbed 19% to €17.1bn, while imports from Britain surged 55% to €24bn.