|Output, intermediate consumption and value added, 2011||€ million|
|Note: output and value added are given at basic prices.|
This release presents Gross Domestic Product (GDP) for 2011 as estimated using the Output Method (also known as the Production Approach). The estimates conform to the new ESA2010 framework and hence are comparable to those outlined in the National Income and Expenditure (NIE) and Quarterly National Accounts publications which are produced using the Income and Expenditure Methods. The sectoral classification used is NACE Rev. 2 in terms of 64 industry groups.
In line with EU recommendations, it is planned to integrate this approach into the Income and Expenditure compilation process. Pending this integration however, the estimates of GDP using the Output Method should be considered as transitional.
For 2011, output (the value of all goods and services) at basic prices for the total economy was €331.6 billion. Intermediate consumption totalled €175.1 billion which, when deducted from output, resulted in value added at basic prices (GDP) of €156.5 billion.
The main constituents of output at basic prices in 2011 were service industries at €210.0 billion (63.3% of the total), production industries at €104.6 billion (31.5%), construction at €9.6 billion (2.9%) and agriculture, forestry & fishing at €7.5 billion (2.2%). Within the services and production industries, information and communications (€44.8 billion) and pharmaceuticals (€38.7 billion) respectively were the chief contributors.
ESA 2010, which became operational this year, is the European version of the current UN mandated international standards for national accounts statistics, the System of National Accounts (SNA) 2008. For Ireland, the ESA 2010 change with the greatest impact on gross domestic product (GDP) is the new treatment of research and development (R&D) expenditure which is no longer treated as an ancillary cost to the main production of an enterprise, but instead is recognised as capital investment. This is reflected in the Output Method estimates through lower intermediate consumption and increased gross value added relative to output, as calculated under ESA95. Care is required therefore in comparing the present results for 2011 with the estimates previously published for past years.