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International Sourcing
- Moving Irish Business Activity Abroad


The CSO released a new publication on International Sourcing in Ireland for the period 2001 - 2006. The purpose of the survey was to establish data on the movement of Irish business activity abroad during the reference period 2001-2006 and to further establish enterprises’ future plans for the period 2007-2009. It provides evidence and information on the level, patterns and impacts of international sourcing for the Irish economy.


Level of International Sourcing – Highest in Europe

The results show that between 2001-2006, 38% of large Irish enterprises engaged in international sourcing. This level of international sourcing is higher than reported by other European countries who conducted a similar survey. The level of international sourcing of Irish business activity is highest in the manufacturing sector (57%) and transport,
storage & communication sector (54%).

The results show 30% of all large Irish enterprises sourced core business internationally. Furthermore, 29% of enterprises sourced non-core support business functions internationally. The support business functions most likely to be sourced internationally by Irish enterprises are distribution (16%), marketing and sales (13%) and engineering

23% of Enterprises report job losses as a result of International Sourcing

Amongst those enterprises engaged in international sourcing 23% of those enterprises engaged in international sourcing reported that jobs were lost as a direct result of international sourcing, with 15% of these enterprises reporting the loss of high skilled jobs. The results show that 15% reported that jobs were created as a direct result of
international sourcing. Furthermore 9% of these enterprises reported the creation of high skilled jobs due to international sourcing.

Improved competitiveness – major benefit of International Sourcing

Enterprises reported that international sourcing has had a positive impact on the enterprise, with improved competitiveness being the most significant outcome. Over half of Irish enterprises reported that international sourcing improved their competitiveness. Other prominent positive impacts are the reduction of labour costs and the reduction other costs.


EU 15 - Most popular destination for International Sourcing

By far the most popular destination for Irish international sourcing activity was the other member states of the EU15. Of those Irish enterprises engaged in international sourcing during the reference period 79% sourced some business functions within the EU15.

For further information contact Patrick Foley 021 453 5012 or Alan Finlay on 021 453 5211.
Fax 021 453 5299. E-mail

11 December 2008

- ENDS -