A Chathaoirligh agus a chomhaltaí. Táimid an bhuíoch díbh faoi chuireadh a thabhairt don Údarás plé a dhéanamh libh ar an gceist thábhachtach seo “Feamainn a cheadúnú agus a bhaint in Éirinn”. Ba mhaith liom achoimre a dhéanamh ar na príomhphointí atá inár n-aighneacht, atá ar fáil díbh. Údarás na Gaeltachta Údarás na Gaeltachta has spent more than 30 years successfully implementing an integrated development programme and creating new sources of sustainable employment for the Gaeltacht community. It has done this through the effective management of grant-aid schemes and the administration of other development, investment and advisory supports which serve to underwrite the sustainability of the local community through identifying and exploiting new development opportunities. The organisation’s strategy is built upon an integrated approach which addresses the economic, cultural, linguistic and social requirements of the Gaeltacht community. Údarás na Gaeltachta’s executive is well placed to deliver on the agency’s statutory objectives. These objectives include the development of indigenous enterprises and the attraction of external investment, including FDI, and the implementation of a language and cultural development programme which lies at the heart of the organisation’s development strategy for the Gaeltacht. Economic Impact Annual surveys undertaken by Forfás demonstrate the significant influence of the Údarás na Gaeltachta strategy not only on the Gaeltacht economy but also on the national economy. According to ABSEI/Forfás research, Údarás na Gaeltachta’s activities illustrate an economic return of €1.62 billion through the trading activity of its client companies. The following key 1 economic indicators demonstrate a significant return on State investment through the implementation of Údarás na Gaeltachta’s strategy.1, 2 There are 7,000 people employed in Údarás na Gaeltachta assisted enterprises (90% of which are located in the coastal zone) with an overall economic impact of €907.5m. In terms of export sales, Údarás client companies contribute €464m through export sales which amounts to some 59% of the overall contribution. These companies also contribute some €71m in tax returns to the exchequer on an annual basis and spend an estimated €410m within the Irish economy on payroll services and Irish economy sourced materials. Our current development strategy seeks to exploit the enterprise potential in key sectors including the marine, tourism and sectors based on natural resources. Developments in the Irish Coastal Area The Gaeltacht coastline extends over some 2,500km from Donegal in the north to Ring in Co. Waterford. In spatial terms it constitutes some 25% of the overall Irish coastline and includes the 6 offshore Gaeltacht Islands. The coastal zone has a population of some 71,367 people which reside within a 10km radius from the coast. Within this zone, 6,500 jobs are sustained by Údarás client companies. The geographically dispersed nature of these coastal districts, along with the significant deficits in the physical and telecommunications infrastructure, create a very challenging environment for the creation of new enterprise development opportunities and employment. On the other hand, these districts have demonstrated real competitive advantage as attractive locations for developing and maintaining successful enterprises. The advantages include: The valuable coastal resource – Mariculture, Seaweed, Food, Energy and Tourism The availability of a highly skilled workforce with an extensive range of available skills relevant to the requirements of a mixed enterprise base 1 2 Indecon, 2014 ABSEI 2 Access to the research capability of third-level education institutes which include the Letterkenny Institute of Technology, The National University of Ireland, Galway, The Galway/Mayo Institute of Technology in Castlebar and Galway, The Institute of Technology Tralee, the Marine Institute at University College Cork, and the Institute of Technology in Waterford A strong co-operative network with development and investment agencies which include BIM, Foras na Mara, SmartBay, IFI, EI, IDA, The Western Development Commission, SOLAS, and the local authorities (the Gaeltacht is served by 7 County Councils which discharge a statutory mandate for development in the Gaeltacht). Údarás na Gaeltachta has benefitted from a longstanding, effective and productive co-operative relationship with BIM and has representatives on a number of their sectoral committees. In the current challenging environment, Údarás has targeted a number of development objectives which includes supporting the creation of strong innovative enterprises which have the capacity to contribute to wealth-creation and employment in the Gaeltacht. This objective is achieved through supporting new start-ups and through an extensive programme of aftercare support for the existing enterprise-base which focuses on the maintenance of the existing employment base and the identification and encouragement of new investment. In order to realise these objectives, action and investment will be required in a number of initiatives over the next three years. These actions will include the: Establishment of Coastal Innovation Centres which will target these sectors: Seaweed Mariculture Food Tourism Support for our client base in undertaking new developments building on the latent coastal resource and support for enterprises which are involved in sub-supply and servicing of the sectors mentioned above 3 Support for Gaeltacht companies in these sectors by means of financial incentives and other supports Development of further strategic partnerships and alliances through networking with key stakeholders who share responsibility for delivering on a common agenda to develop the coastal resource in the Gaeltacht As part of our Corporate Strategy we have identified a number of growth sectors where seaweed is a key component including: Life Sciences – medical devices, medical technologies and Nutraceuticals Mariculture – fish farming and shellfish and the development of new species Food – with a particular emphasis on niche products in the seafood sector Údarás na Gaeltachta’s role in the context of the Seaweed Sector There is a significant and expanding global market for seaweed with a total output of almost 16 million tonnes, valued at $7.4billion. 3 The Irish seaweed industry is following international trends and is expanding, albeit at a slower rate. The sector employs nearly 200 people, exports 85-90% of seaweed products and has a turnover of €18 million per annum.4 The Irish seaweed resource and industry is based primarily on inter-tidal harvesting. The main geographical focus is on the coastal areas of the Connemara, Mayo and Donegal, much of which is in the Gaeltacht. The seaweed sector has been one of the key drivers of the coastal economy in the Gaeltacht over many years. This is true in terms of employment for harvesters and processors but also for onshore employment for those who provide facilities and logistical supports including transport services. In addition to this, the raw materials generic to the sector are of particular importance to the processing companies within the Gaeltacht. The area where the resource is relatively abundant would be regarded as fíor Ghaeltacht (especially in 3 FOA- Fisheries and Aquaculture Department of the Food and Agriculture Organisation of the United Nations, The State of World Fisheries and Aquaculture, 2010, 4 Socio-Economic Marine Research Unit, NUI Galway, Irelands Ocean Economy, 2011. 4 Connemara) and the harvesters as daily speakers of Irish as their first language. We recognise the importance of conserving this traditional way of life and its role in preserving and developing the language as a community language in this area. Despite the apparent availability of an abundant, sustainable, natural resource, the potential of the industry is not realised. The seaweed resource being used is limited in the main to high-volume, low value products (such as animal feeds, plants supplements and agricultural products). A smaller proportion goes into higher value products such as foods, cosmetics and therapies. There is a need to assess biomass to explore options for the various uses and by-products which can be extracted from available species. Additionally, the licencing regime presents very specific challenges for the development of the coastal districts. In 2008, Údarás na Gaeltachta commissioned the Coastal and Marine Research Centre (CMRC), University College Cork, to conduct a review and prepare a strategy for the development of the Gaeltacht coastal zone5 . The seaweed resource was singled out for particular focus in this review. A number of actions were identified under a series of broad objectives, namely: - Promoting the implementation of acceptable, efficient and sustainable seaweed harvesting - Enhancing the competiveness of the sector - Developing a knowledge-based entrepreneurial sector Across all objectives the clear message was that action was required on regulations and sustainable resource management. Development of the Seaweed Sector Although there is a strong and emerging interest in the potential of the wild seaweed industry, it faces a number of significant constraints most notably the lack of data on total and harvestable biomass and species distribution; the absence of a sustainable 5 CMRC, UCC, Resource Development Strategy for the Gaeltacht Coastal Zone, 2008 5 management plan and regulatory framework for the Irish seaweed resource; and the absence of significant R&D in the sector. While the development opportunities for the seaweed sector are substantial growth and development can only be achieved by identifying the resources available, addressing the management of that resource and then adding value by expanding the product range. Our current portfolio of companies are involved in an extensive research programme focussing on the seaweed resource with a view to developing a broad range of new products and projects. While Ascophyllum Nodosum is the species mostly processed currently, there are many other species available (up to 500 species with the potential to commercialise at least 20). Interest in seaweed based enterprise is increasing with entrepreneurs keen to develop businesses using this resource. For these businesses to develop they require investment, which is currently difficult to attract given the lack of licences issued. In our view there is a need for a comprehensive appraisal of the seaweed resource to determine its potential contribution to the coastal economy. It is on the basis of such research that the State can prepare detailed future plans and take a proactive approach to developing the sector. The State regulatory structure in its present guise has and will continue to create a blockage in the development of the sector. The current lack of resources within the Department of Environment, Community and Local Government and other state organisations means that the consultation process for licensing applications can be quite time consuming and thereby causes delays. Speeding up this process would allow commercial enterprises to plan more effectively. In light of the work of the Joint sub-committee on Fisheries and the input of this committee on its review and recommendations on the ‘Maritime Area & Foreshore (Amendment) Bill (2013) members will know that An tÚdarás is of the view that commercial, competitive harvesting can only be managed through a regulated environment where full exploitation on an ecological, environmental and economically sustainable basis can be optimised. 6 The pending amendments to the regulatory framework are to be welcomed therefore, if they can be applied in a timely manner and achieve, as set out, an alignment of the foreshore consent system and provide a coherent mechanism to facilitate and sustainably manage development activity in the coastal zone. It should be noted, however, that it is our view that the regulatory process would have a more strategic impact under the stewardship of the Department of Agriculture, Food and the Marine. Conclusion Traditionally, the coastal Gaeltacht communities have been dependent on the marine resource and this resource has been integral to the overall economic, social and cultural development of the Gaeltacht. It is imperative that every support and development opportunity is provided to these vulnerable and marginal coastal communities so as to ensure their on-going viability. Such supports can be delivered in an integrated fashion through financial and development measures which will create employment and local added value. We believe that An tÚdarás possesses the required expertise and experience in local economic regeneration, in enterprise development and in delivering community based and sectoral initiatives which support such communities. We would be very happy to expand on any aspect of this presentation and to respond to any questions which the members might wish to submit to us. Le mór mheas, _________________ Steve Ó Cúláin Chief Executive 1 July 2014 7