The Irish Food Processing Industry.

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The Irish Food Processing Industry

Competitiveness of the prepared consumer foods sector

The competitive performance of the prepared consumer foods sector has already been outlined. A Porter analysis was also carried out to analyze the factors leading to the emergence and growth of the sector over the past decade. A survey of firms in the sector was carried out in order to assess company strategies, company performance and factors that facilitated and inhibited growth. The impact of future policy and industry changes on competitiveness was also evaluated and the needs of the sector identified.

Factor conditions

1. Raw materials: Ireland has a reasonable endowment of high-quality, indigenous raw materials (such as dairy ingredients, meat, poultry and fish) which forms the basis for the prepared consumer food sector. The processed meat sector has benefited from Ireland's traditional strength in meat production, along with historically high per capita consumption of meat products in the home market.

2. Peripherality: Ireland is at a disadvantage with regard to its peripheral location and low population density. Higher energy, natural gas and transport costs in relation to the UK are a source of competitive disadvantage (Forfás, 1998). Higher costs have