Evolve UK – Food and Drink Manufacturing Report
The UK Food and Drink sector is the largest manufacturing industry in the UK and is worth an estimated £31.1bn to the economy according to the Food and Drink Federation.
This Evolve UK report provides an
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overview of the UK Food and Drink Manufacturing sector
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analysis of the key trends affecting the sector
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profiles of relevant sub-sectors and regional manufacturing clusters
We also published a sectoral webinar with expert insights provided by Fintan O’Leary, Managing Director, Levercliff. Watch the webinar here.
Pricing Excellence – Pricing Study 2021 Webinar
This Pricing Study was conducted by Enterprise Ireland in collaboration with Simon-Kucher & Partners.
The study recorded nearly 500 responses with strong representation across all sectors demonstrating that the topic remains a high priority for businesses.
This webinar presents the results of the survey along with guidance on how to develop and implement a price increase process.
Gain key business insights with our on-demand UK webinar series
Emerging Through Covid-19: The future of work
In partnership with Voltedge, Enterprise Ireland hosted the webinar ‘Emerging Through Covid-19: The future of work’ and developed a guide of the same name.
The webinar aims to assist companies as they prepare to embark on a new era of work post-Covid-19 and examines:
- What the future of work look like for your business.
- How Covid-19 has impacted the world of work.
- How the introduction of hybrid or fully remote teams might change the way you do business.
- What new skills will you need to attract, motivate and engage your employees.
Speakers:
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- Karen Hernandez, Senior Executive, Client Management Development, Enterprise Ireland
- Fredericka Sheppard, Joint Managing Director, Voltedge Management Ltd.
- Joyce Rigby Jones, Joint Managing Director, Voltedge Management Ltd.
Both the guide and webinar slides are availabe to download; Guide / Webinar slides.
Stryve makes strides in Poland
Poland has made huge progress in recent years to become a regional ICT powerhouse. Its economy has been growing for decades, even after the financial crisis, and large educated population attracted investments in new sectors such as global business services that in turn drove growth of ICT skills and infrastructure. Exports of ICT services have been steadily increasing from €3.2bn 2014 to€7.7bn EUR in 2019.
Growth of the ICT sector will be accelerated even more with news from Google and Microsoft announcing that they will build hyperscale data centres in Poland, their first in CEE region. Microsoft’s $1bn investment in the data centre in Poland will also cover creating critical skills and learning opportunities for an estimated 150,000 employees, partners and students. The skills development program will include training, e-learning programs, workshops and hackathons on cloud computing, developing with AI and machine learning technologies, big data and the Internet of Things (IoT). Since Google is planning similar scale of activity in utilizing its data centre, this creates huge opportunities for Irish companies such as Stryve, which as certified experts in Cloud Computing & Data Security has the expertise and products in cloud technologies and cybersecurity that will be essential for the digital transformation of Polish and international businesses operating in the region.
International Expansion
While Stryve already had a presence in Poland, the company availed of support from Enterprise Ireland, leveraging their market expertise and local network to gain introductions to enterprise customers and ICT decision makers to drive opportunities for their cloud and cybersecurity products.
“Poland has established itself as a significant centre for science and technology”. says Andrew Tobin, CEO of Stryve
“It is a known hub of research and development in the EU, with many companies engaged in information technology and business process outsourcing. Poland in recent years has had one of the fastest growing economies in Europe and has increased demand for cloud services. It is the digital heart of CEE. ”
Tobin adds “With this in mind, Poland makes an ideal strategic location for Stryve to continue our international expansion.”
Digital Transformation
2021 is a time of challenge and opportunity for small businesses who want to prioritize their digital transformation journeys. Fortunately, tools that weren’t seen as feasible for small businesses due to costs and resources are now becoming the norm for SMEs, integration of their workflows with cybersecurity is certainly one of them.
Stryve understands that protecting data is more important than ever with backup literally becoming recognised as the last line of defence for data protection, especially given the increase in ransomware and hack attacks. The company also recognises and communicates the importance of having a disaster recovery solution in place. Disaster recovery is often mistaken for something that is needed only in the most exceptional circumstances, when something goes wrong or misfortune strikes. In reality, a disaster recovery solution needs to be implemented during ordinary times so that when you truly need it, it can step up to the task and ensure that in the midst of a high pressure situation, losing data is one less thing you and your organisation need to worry about.
For more information about doing business in Poland download our Going Global guide for Poland.
Med in Ireland: Showcasing Ireland’s strength in the global medtech industry
Ireland has long been known as one of the epicentres of the medtech world. Not only has our country been chosen as a base for many of the biggest medtech companies in the world, thanks to our excellent talent base and reputation for timely research and development, but we have also been responsible for producing our own ground-breaking companies, some of which have made a real impact on a global scale.
In fact, Ireland is now one of the top five global medtech hubs and home to up to 350 companies in the sector, including 14 of the world’s top 15 medtech companies. We are also the largest medtech employer per capita in Europe, with 45,000 people employed in the sector. Our medtech industry exports over €13 billion to over 100 countries every year, positioning Ireland as the second-largest exporter of medtech products in Europe.
Over 200 of those medtech companies are Irish, and one in five of those working in the sector are employed directly by Irish-owned medtech companies. The impact of these companies on the economy is significant – in 2020, Enterprise Ireland life sciences clients achieved exports of €1.9 billion.
“Ireland has long been a leader in the medtech world,” says Deirdre Glenn, Director, Life Sciences Sector at Enterprise Ireland.
“Our success is down to a combination of track record and forward thinking and a deep pool of experience and highly trained talent. This is boosted by a fertile ecosystem that integrates industry, research and the clinical community to promote high-quality innovation.”
Never has our strength in medtech been so needed than over the last 18 months, when the world found itself in the grips of the Covid-19 pandemic. Numerous Irish companies reacted quickly to the crisis, pivoting their offerings to create valuable solutions to aspects of the pandemic or ramping up production to supply essential devices to hospitals around the world. In fact, Ireland is currently ranked fifth in the world for Covid-19 related goods, with companies such as, Aerogen, patientMPower and PMD Solutions leading the way in medtech innovation.
Med in Ireland
Now, however, we are moving into a post-pandemic world, a world where healthcare needs have changed significantly and medtech innovations are needed more than ever before. And once again, Irish innovators are responding quickly with some great innovations.
“Irish medtech companies proved how agile and flexible they were during the pandemic,” says Deirdre. “Our focus has now turned to the post-Covid world, and how the pandemic has changed healthcare, both in terms of how we access it and in terms of how it is delivered. A lot of eyes are on Irish innovators, some of whom have already come up with exciting solutions.”
Many of these were showcased in Med in Ireland, which took place virtually on 3-4 November 2021. A biennial event, Med in Ireland is a high-profile national showcase for the entire spectrum of the Irish medtech sector, encompassing medical devices, medical sub-supply, diagnostics, digital health, healthcare providers, clinicians and research professionals. This year, 81 Irish manufacturing and healthcare solution providers took part in the event, meeting with international healthcare buyers in a series of virtual one-to-one meetings arranged by Enterprise Ireland. Ireland’s collaborative supports that drive company innovation were also a key focus of the event, while the Innovation Zone showcased some truly exciting start-ups of the future.
“The focus at this year’s Med in Ireland is very much on the themes shaping the post-pandemic healthcare world,” says Deirdre. “These include industry changes such as the move to preventative care, the role of digitalisation in the shift to healthcare outside of hospital settings, the emergence of technologies that reduce environmental impact and improve competitiveness, and the development of new distribution and inventory management models to supply chain weaknesses.”
These themes were at the forefront of the event from the very start, with a special conference featuring a keynote speech from Lorna Ross, Chief Innovation Officer at VHI Health & Wellbeing, and a panel discussion on the future of global healthcare.
Participants could then enjoy example after example of how Irish innovators are responding the needs of healthcare in the post-Covid world. “We have a number of really impressive client companies producing solutions that are required on a global scale,” says Deirdre. “These include LetsGetChecked, a virtual care company that offers over 30 different at-home tests that act as an alternative to traditional in-person medical visits; Swiftqueue, a company offering a self-service portal that allows patients to manage medical appointments across multiple clinic settings; and Vitalograph, a global leader in respiratory diagnostics and clinical trials that offers remote monitoring of lung function and disorders.”
Once again, Med in Ireland attracted leading healthcare providers from all over the world, all of whom look to Ireland for solutions, with the hope of co-developing and commercialising new medical technologies with Irish innovation at its core. Ireland has clearly played a huge role in shaping global healthcare – and that role looks to be growing even further as we move through this period of recovery.
Visit www.medinireland.ie or watch the conference below.
2021 virtual trade mission – Reaching a global audience
In the not-too-distant past, companies wishing to establish a successful business relationship with firms overseas, would have relied heavily on international travel and perhaps an office or ‘boots-on-the-ground’ in the country in question.
But these days, there is also another option as there are many international companies located across Ireland who are more than willing to do business with local businesses – and Gerard, Fenner, Senior Executive of Global Sourcing for Enterprise Ireland, says his team can help to bring Irish SMEs and multinational firms together.
“The combination of modern technology and accessible travel has made the world a much smaller place and opened up a myriad of global opportunities for Irish businesses,” he says.
Enterprise Ireland and IDA Ireland collaboration
“But travelling to or even selling out of this country isn’t the only means for companies at home to expand into the international market as there are hundreds of multinationals right here in Ireland, which are willing and able to engage with indigenous firms. Since its formation in 2012, the Enterprise Ireland Global Sourcing team has been working with colleagues in IDA Ireland to introduce Irish owned businesses to international firms to respond to their specific requirements.
“Working with companies across every sector, including pharma, medtech, ICT, engineering, financial services and energy, our team helps to develop relationships between Irish companies who are seeking to sell their product or service and multinational firms who wish to purchase same – so our particular focus is on providing sales opportunities and partnerships between Enterprise Ireland client companies and Ireland-based multinationals, predominantly IDA firms.”
According to Fenner, there are many benefits to both the seller and the buyer in these business relationships and apart from supporting industry at home, it can also lead to opportunities in export markets – and winning a contract with a multinational gives a scaling Irish company a valuable reference site for its move into export markets.
“We have found that one of the most productive means of securing relationships between Irish firms and multinationals based here is by means of events where introductions can be made, and sellers can have pre-arranged face to face meetings with potential buyers,” he says.
Developing international relationships
“In 2014 we organised the first Trade Mission in Ireland. The event was minister led and took place in various regional locations across the country over the course of a couple of days – and since then, it has taken place every year, apart from 2020, due to lockdown restrictions. It has always garnered a lot of interest and helped to develop contracts and future relationships.”
So it seems that trade missions have long been an effective means of introducing businesses to prospective clients, but since the onset of the pandemic, industry across every sector has had to pivot online and learn how to do business in a virtual world.
Online introductions and meetings
As current guidelines continue to prevent physical events of this nature taking place, this year, on May 12th, the first ever virtual Global Sourcing Trade Mission became the alternative.
Launched by the Tánaiste and Minister for Enterprise, Trade and Employment, Leo Varadkar, the event proved as popular as ever with 65 multinationals and 240 Irish companies registered with over 350 meetings. And according to Gerard Fenner, the online system was popular with both the variety of different international firms and indigenous companies looking to set up new business relationships.
“When the Enterprise Ireland companies registered on the event platform, they provided some company information about what they do and what their offer is, and this allowed suppliers to search through this information and put in a request for a meeting,” says the international trade expert. “Similarly, the supplier was also able to request a meeting with a buyer in order to pitch a product or service.
“Although these 15-minute meeting slots were different to how things normally work at a physical trade mission, it proved to be very successful with feedback from both sides indicating their positivity – and early signs show the possibility of new business relationships and further revenue to add to the €32 million in contracts which have been secured from these trade missions.”
The Global Sourcing Team lead says there was also the added positive bonus of no travel, which meant that the multinational could bring in individuals from different areas of their business to meet potential suppliers – so rather than just one representative attending the event, firms could bring in someone from finance or with technical expertise to liaise directly with companies pitching a particular service.
“Overall it was a great success and we have run smaller online events similar to this over the past year and many multinational firms have come back to us to say they were impressed with the fact that they got to meet so many different businesses,” he says.
“So, the trade mission, whether it takes place at a venue or online, is an important platform for raising awareness about the capabilities of innovative Irish SMEs and helping them to establish future business relationships. And given the interest in this year’s event, despite the difficulties surrounding the current global situation, the future looks bright.”
International Markets Week 2021: Green agenda and digitalisation key areas for growth
It’s been said many times that exports are crucial to Ireland’s recovery in the post-pandemic world – and Enterprise Ireland is committed to ensuring that Irish companies take advantage of the many opportunities around the world to increase their business and bolster our economy as a result.
A crucial event in the Enterprise Ireland year is International Markets Week, and this year, for the second year running, it was held as a virtual event over five busy days in October 2021.
“When Covid hit, we decided that the event was too important to miss, particularly in the context of a global pandemic,” explains Anne Lanigan, Regional Director, Eurozone, at Enterprise Ireland. “This is a time when it’s even more important for our clients to keep their exports going, so we decided to go onto a virtual platform, with our market advisors available for a full week.
“The market advisors are the boots on the floor, the people who can introduce client companies to potential buyers, so it’s a very practical week for people who want to do business.”
This year, the theme of the event was Global Recovery. Irish Opportunity, recognising that the global economy is experiencing significant disruption – but while this disruption brings challenges, there are also significant opportunities.
“Enterprise Ireland client companies enjoyed excellent overall export growth in 2019 of 8%, with particularly strong growth in the Eurozone and North America of 15% and 16% respectively,” says Anne
“In 2020, these figures stabilised, which was a very good result in the context of a global pandemic, but now we need to get back to 2019 levels of growth.”
Opportunities for Irish companies lie in many areas, including the green agenda and digitisation. Throughout the world, companies are investing in green and digital strategies and governments are putting stimulus packages in place to drive a recovery based on a green and digital future. This investment represents huge opportunity for innovative Irish companies.
“The current disruption in global supply chains also poses significant opportunity,” says Anne. “The drive by manufacturers in developed economies, in particular, to strengthen the reliability of their supply chains so that they are more easily accessed from a geographic and an administrative perspective, creates the opportunity for Ireland to embed themselves in these new supply chains. Ireland’s location on the edge of Europe puts us in a key position to capitalise on this move towards regionalisation of supply chains.”
Finding opportunities
It’s clear from this year’s International Markets Week that Enterprise Ireland client companies have recognised the importance of building a robust strategy to take advantage of these growth opportunities. A total of 710 Enterprise Ireland client companies registered for the event, booking a total of 1,663 meetings with market advisors from across the world.
To get an indication of how companies were faring as the world’s economy recovers from the challenges of Brexit and the Covid-19 pandemic, Enterprise Ireland conducted a survey of the participants ahead of the event. The results were positive: 56% of businesses indicated that they have seen an increase in exports in 2021 compared to 2020, with only 11% reporting a decrease. And, 91% of companies expect sales to increase again in 2022. In terms of trends, the survey revealed that 80% of businesses viewed digitalisation as vital over the next 12 months, while 63% said that advancing their sustainability agenda was a priority.
These results proved accurate throughout the event, which was officially launched by Tánaiste and Minister for Enterprise, Trade and Employment, Leo Varadkar, and Enterprise Ireland CEO Leo Clancy. Lydia Rogers, country manager for Enterprise Ireland in Canada, reported a real hunger in Irish companies to take advantage of the many opportunities out there. “I met many client companies at various stages of their export journey, from those accelerating their international growth and diversifying into new global markets to ambitious start-ups keen to explore the export opportunities in Canada. The week proved that Canada is a very attractive market for Irish companies in many sectors, including cleantech, consumer retail, engineering, life sciences, fintech and BPO, and a large proportion of digital technologies companies.
“In addition, Canada was also identified by many client companies as an entry point and as a lower-cost gateway into the wider North America market.”
And, as predicted, the green agenda and digitalisation opportunities were noted by Lydia as strong trends for Irish companies looking to Canada for growth. “Our team met many companies with innovative digitalisation solutions across travel tech, retail tech, ed tech, digital health, fintech, HR & talent tech, and IoT. There were also many SMEs with innovative solutions in areas including cleantech, mobility, smart energy and environment. Consumer retail was also a significant area of interest – a sector that experienced growth in 2020 despite the challenges of Covid-19. All in all, it was clear from this year’s International Markets Week that Irish companies have recognised Ireland and Canada make great business partners and are ready to reap the rewards from this vibrant and welcoming country.”
View the virtual launch event from Enterprise Ireland’s International Markets Week 2021 below:
The Climate Enterprise Action Fund: helping firms to boost low-carbon agendas
The Climate Enterprise Action Fund is a new initiative that was recently launched by Tánaiste Leo Varadkar and Minister Eamon Ryan with an initial allocation of €10m. The fund, which will be administered by Enterprise Ireland, is designed to help businesses take action to drive down their emissions and embed sustainability in how they work.
Aidan McKenna, manager of the Climate Enterprise Action Fund at Enterprise Ireland, says the fund is one of a number of actions underway to ensure that Ireland reaches its ambition of reducing emissions by 51% by the end of this decade.
“The fund builds on work Enterprise Ireland is already carrying out with companies throughout Ireland,” says Aidan. “We know the initiatives that work well and embed change in companies.”
Low-carbon future
“Reducing emissions will contribute to a more sustainable future for us all. However, along with the moral and political imperative, there is a very strong business case for Irish companies to adopt a low-carbon, sustainable agenda. One of the most important emerging market demands today is the need for companies to demonstrate their commitment to low-carbon production and sustainable business processes. It is vital that these companies are responsive to emerging market conditions.”
“Many Irish companies sell products and services to larger, international companies at home and abroad. Increasingly, these companies are requiring suppliers to have sustainability at the core of their operations. A failure to show real progress can lock you out of the market.
“Likewise, many consumers are placing environmental standards at a premium when making purchasing decisions. Issues such as using recyclable packaging, adhering to international sustainability standards and having transparent supply chains are now important factors for more and more consumers. Those that don’t change will miss out on the significant opportunities emerging from the low-carbon transition and risk being left behind.”
Aidan McKenna says another important factor is that investors and capital funds – which are critical to start-up and growing companies – increasingly factor in environmental impact into their investment decisions. “What is termed ‘green finance’ is now a reality and will shape investment decisions into the future,” explains Aidan.
Climate Enterprise Action Fund
Enterprise Ireland’s new Climate Enterprise Action Fund is designed to assist companies at various stages of engagement with this agenda. It comprises of three main offers:
- Climate Action Voucher – a €1,800 grant to engage consultants to develop plans in areas such as resource efficiency and renewable energy.
- GreenStart – up to €5,000 to measure carbon footprint and identify ways to reduce emissions and operate more sustainably.
- GreenPlus – a fund of up to 50% to develop a multi-annual climate change plan aligned to international standards and frameworks.
“The first two offers are driven by the principle of ‘what gets measured gets done’,” explains Aidan. “Establishing a baseline of current resource consumption and emissions profile is essential to begin a change process. These offers will be particularly attractive to companies beginning their low-carbon journey. The third offer, Green Plus, is aimed at companies further along the journey align to international standards and frameworks.”
The Local Enterprise Offices (LEO) network has also recently launched a new scheme, called Green For Micro, designed to help smaller companies prepare for a low-carbon, sustainable future. With the help of a Green Consultant, small businesses with up to ten employees can get free advice and technical support on resource efficiency, how to better understand their carbon footprint and how to implement an environmental management system to reduce costs and lower greenhouse gas emissions.
Driving change
“We are acutely aware of the pressure that companies have been under facing up to the impact of the Covid-19 pandemic and our fundamentally changed trading relationship with the UK. While companies see the value in adopting more sustainable processes in principle, finding the time and resources to dedicate to that mission can be difficult. That is why our new initiative is designed to provide companies with tangible baseline information and a route map of what a low-carbon, sustainable future looks like for them. Having the low-carbon concept broken down into achievable actions makes the journey all that more realistic and the business wins all that more attainable.”
“The global trading environment is tough and competitive,” says Aidan. “To succeed, companies need to think not just about the next order, but about how their sector will develop in the next five to ten years. Environmental sustainability and responsible production will be key drivers of business success into the future. Now is the time for all Irish businesses to prepare for that future.”
To get your business ready for a green future visit Climate Enterprise Action Fund or contact the Climate Action Team
Offshore wind offers fertile market for Irish firms in Germany, France and Italy
Summary
- EU member states are united in the push for a carbon-neutral Europe by 2050, which requires huge investment in clean energy such as offshore wind.
- Click or scroll down for more information about the offshore wind market in:
Renewable energy is the single most critical factor for Europe when it comes to achieving its Green Deal zero carbon target by 2050. While climate change has provided huge impetus for the sector, the war in Ukraine has underscored the
importance of independent, safe, reliable, affordable sources of energy.
Offshore wind is a key and growing element in the drive for carbon neutrality and energy security. Wind already meets 15% of Europe’s electricity demand, according to Wind Europe, and that figure should top 50% by 2050. It’s already as high as 31% in Ireland and 44% in Denmark.
Most existing wind capacity is onshore, but governments and industry across Europe are now investing billions to develop and expedite scores of offshore wind projects, which are seen as key to large-scale renewable electricity generation in future.
Furthermore, the European Union is pushing for smart, green innovation and development across Europe through the €806.9 billion Recovery and Resiliency Facility (RRF). Distributed through national plans, this funding aims to help Europe recover from the pandemic and future-proof its economy and society, with sustainable, clean energy a key goal.
An unmissable opportunity for Irish companies
The huge surge in planning and construction in the industry is causing massive demand, serious supply chain bottlenecks and skills shortages. Furthermore, port infrastructure across the region needs upgrading to facilitate the transport, storage and preassembly of the huge components needed to build offshore wind farms.
While challenging for the sector, these issues mean there are significant opportunities for Irish firms with digital, engineering and marine expertise.
“The large developers, Tier 1 contractors and OEMs in offshore wind are looking for innovation, sustainable solutions, flexibility and a strong safety culture,” says Liam Curran, Senior Technologist with Enterprise Ireland. “Irish companies can find opportunities across the windfarm lifecycle, from initial feasibility studies and planning applications right through to construction/installation and subsequent operation and maintenance over decades.
How to support the offshore wind sector
Curran says companies should seek to offer services or solutions that maximise efficiency and safety or cut costs or risk. Being open to collaboration is critical, as these complex projects involve multiple stakeholders.
Enterprise Ireland sees particular opportunity for Ireland and Irish firms to lead when it comes to digital and data services. “The further projects go offshore, the more vital high-tech solutions become,” he explains.
“We want everyone involved in offshore wind in Europe to know the Irish are the people to go to when IoT, connectivity, communication systems or cyber security is needed,” he said, “and we want Irish firms with expertise in these areas to consider developing an offering for offshore wind if they haven’t already.”
In particular, the industry has significant need for support in the following areas:
- data collection and analysis
- cybersecurity
- remote condition monitoring
- telecoms and connectivity
- artificial intelligence, machine learning and IoT (internet of things)
- automation and robotics.
He adds that offshore wind also offers clear opportunities for:
- engineering companies
- contractors experienced in oil, gas, electricity and civil projects.
- specialists in energy infrastructure, power generation and grid management
- marine and ports services companies.
Irish firms already leading the way
Many Irish companies already service the offshore wind market. These include Gavin & Doherty Geosolutions, for example, a specialist offshore and marine engineering firm operating in 15 international markets, high tech surveying companies such as XOCEAN and Green Rebel Marine, and marine services specialists such as Alpha Marine and Fastnet Marine.
Digital and connectivity specialists meeting the needs of offshore wind clients in Ireland and overseas include Vilicom, Druid Software, TechWorks Marine, BrightWind Analysis, Exceedence and EMR Integrated Solutions.
Other firms such as Combilift and Qubus Systems are also catering to the offshore wind sector in Europe.
Take the first steps
Companies keen to join the offshore wind supply chain should first work to get up (and stay up) to speed on market intelligence. Attend industry events to build both knowledge and networks, and consider joining clusters such as the Gael Offshore Network. This is a cluster of more than 85 Irish companies with relevant digital, engineering and other expertise.
Expert advisors in Enterprise Ireland’s network of offices across Europe, together with its Market Research Centre in Dublin can support you as you examine the offshore wind opportunity. This can include help with market research, market visits, making local introductions and tendering.
Market snapshots
France
Having been slow to start, France is strongly committed to offshore wind and offers a welcoming market for Irish specialist firms.
Germany
Within eight years, Germany has become a global leader in offshore wind and welcomes collaboration and partnership with innovative suppliers.
Italy
Italy has been relatively slow to develop offshore wind, but interest is growing rapidly in the market, with urgent geopolitical and climate reasons to drive action.
Eurozone Recovery, Irish Opportunity: New EU funding and national initiatives drive healthcare digitalisation
Summary
- NextGenerationEU represents an opportunity for Irish companies to break into new markets or scale their presence in existing markets
- EU member states are seeking to digitalise their healthcare systems as rapidly as possible, with hundreds of projects set to kick off over the next couple of years
- The Enterprise Ireland Eurozone team can help you find the right healthcare digitalisation projects to target
- Click or scroll down for more information about the healthcare digitalisation market in:
Estimated article reading time: 12 minutes
New EU funding
Across Europe, EU member states are seeking to digitalise their healthcare systems as rapidly as possible over the next three years. This is not only spurred by the pandemic, but also by an extraordinary increase in funding under the €750 billion NextGenerationEU plan, which seeks to build a more resilient Europe.
Two key goals of this plan are to make Europe digital and to make it healthy, with the development of digital healthcare an engine driving both of those. France, for example, is dedicating €2 billion to digital health alone in its national recovery and resilience plan.
“This unprecedented public funding across the EU represents an extraordinary opportunity for Irish businesses,” says Anne Lanigan, regional director, Eurozone at Enterprise Ireland. “Digitalising healthcare is now a core focus across the region, with hundreds of projects set to kick off over the next couple of years.”
Enabling 21st century healthcare
Within the digital goal, the EU wants to see artificial intelligence (AI) being used to improve healthcare and for public services to become digital where possible, taking advantage of 5G and EU-wide ultra-fast broadband.
The EU is also keen for member states to modernise their health systems with better access to new technology and medical supplies, and to invest more in research and innovation to develop vaccines and treatments.
Expanding digital health exports
With significant tranches of funding dedicated to both of these goals in individual member state recovery and resilience plans, this clearly presents a huge opportunity for Irish companies who produce or develop digital health products and services. That’s true whether they want to start exporting or diversify their export markets.
“The opportunities can differ from market to market and there are challenges to overcome,” says Lanigan, “but the message is clear from our offices around the region – strong Irish healthcare players with disruptive, niche or market-leading products, services or components can thrive while taking advantage of NextGenerationEU-funded opportunities.”
Given the need to pursue a market diversification strategy post-Brexit, she adds that it makes sense for companies that want to export or to expand their export activities to look to EU markets and try to take advantage of this huge increase in funded projects.
Priority areas of funding
Telemedicine
Everywhere in Europe, the pandemic has seen a huge surge in telemedicine, remote care and remote monitoring, as both citizens seek to protect themselves and healthcare providers look to maximise resources. This sector is expanding rapidly, meaning that opportunities abound for businesses keen to export.
Optimising data and processes
Across the region, governments are also seeking to optimise processes in healthcare, making the most of software and apps, and aiming for a high level of interoperability and better co-ordination between all the different strands of healthcare systems.
They want to make better use of data, with most countries seeking to introduce or improve digital health profiles, which offer a single source of truth to each citizen and all their healthcare providers.
Other priorities
In most markets, both preventative and personalised medicine, including the use of AI in medicine, are also beginning to boom. As ever, any innovation in medical devices and device components is also going to be of interest to European customers, especially in Germany and Italy.
Innovation in medical imaging is also highly sought after, particularly in France, where it is a core focus. Medical areas in particular focus include: cardiac health; diabetes; oncology; and respiratory diseases.
In some less mature markets, such as Italy, there are also opportunities for companies that can provide innovative solutions around connectivity for healthcare locations and digital skills across the health and medical workforce.
Understanding the challenges
National healthcare systems are never straightforward, and the level and nature of the complexity involved varies from market to market. Most have both public and private healthcare systems running in parallel, although the public/private split varies significantly.
In some countries, such as Germany and Spain, private hospital chains and large insurance companies that offer branded clinics and digital products are significant actors.
While the increase in EU funding is primarily focused on public healthcare, it is worth bearing in mind that a private healthcare company can often make faster decisions and be less hamstrung by legacy and regulatory processes.
Where healthcare is concerned, localisation is important in every market, even in those with a high degree of fluency in English.
The value of local partnership
Those seeking to sell into the public healthcare system in any EU market typically need to work with a local systems integrator, who is used to navigating the complexity of the national system and national tender processes.
“Whether your company is focusing on securing public or private customers, you will need a local partner who understands the healthcare system and you may need a local office or representative,” says Lanigan.
“Part of Enterprise Ireland’s remit is to make introductions locally and to enable Irish companies set up the partnerships they need to succeed. Talk to us and we can help you.”
Digital healthcare: The Irish Advantage
While any Irish company operating in the digital healthcare space needs to offer a standout product or service to gain traction in export markets, the good news is that Irish firms are typically keeping pace with local competitors and can garner market share fast when their offering has the edge over those developed in-market.
Market snapshots
Belgium
Digitalisation of the healthcare system is a huge priority in Belgium, but language and regulatory complexity pose a challenge to exporters.
France
Determined to lead the region in digital healthcare, France has introduced numerous eHealth initiatives, backed by substantial funding.
Germany
With an approvals fast track in place, Germany is committed to digital health but the competitive local scene is hard to crack.
Italy
While it has lagged on the digital front, Italy is committed to modernising its healthcare system and is open to external innovation.
Netherlands
The Netherlands has not yet submitted a national recovery and resilience plan – the only EU member state not to do so.
With one of the most advanced healthcare systems in the world, the Netherlands has a strong focus on digital health innovation.
Spain
While Spain is a fragmented market due to strong regional government, opportunity abounds as digital healthcare is less advanced than elsewhere.
Key questions to ask at your Italian Market Advisor meeting
Italy is the third-largest economy in the Eurozone and the fifth largest market in Europe for Irish exports.
To help you prepare, take a look at our suggestions of questions to ask your Market Advisor.
- What is the awareness of Ireland in Italy and how is Ireland perceived?
- What are the core sectors and what sectors should I avoid?
- Will I need a local partner company?
- Will I need one or more distributors/dealers if I want to cover the whole of Italy?
- What kind of obstacles should I expect when entering this market?
- What is the business culture in Italy? Is it different from Ireland and if so, in what ways?
- How easy is it to communicate in English? Do I need to speak/understand Italian? Do I need to have an Italian speaker in the company?
- What local competitors are active in this market?
- What social norms should I be cognizant of when engaging in meetings with local people?
- Will I need to set up an office in the region? Will I need the help of a local expert to follow all the procedures?
- Will I need to hire local staff? If so, how flexible is the labour market?
- Can I relocate Irish staff in this region?
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