export opportunities for northern ireland companies in spain

Your Global Partner

OPPORTUNITIES FOR NORTHERN IRISH COMPANIES IN SPAIN

2www.mcneice-export.com

PRESENTATION OVERVIEW

OBJECTIVE

Highlight the export opportunities that exist for Northern Irish companies in Spain.

STRUCTURE

Section A – Competitive overview of the Northern Irish economy.

Section B – General overview of the Spanish economy and its principal imports.

Section C – Review of the opportunities that exist for Northern Irish companies in each of Spain’s 17 autonomous regions.

Section D – Overview of McNeice Export Consulting Services in Spain.

“Almost anything made in the UK is likely to sell well in Spain”

UK Trade & Investment web

3

SECTION A - NORTHERN IRELAND:

COMPETITIVE OVERVIEW


NORTHERN IRELAND’S ASSETS

SUPERIORINFRASTRUCTURE

HIGHLY SKILLED &EDUCATED

WORKFORCE

Europe’s youngest population.

2 Internationally renowned universities & a comprehensive network of training colleges.

Proud industrial heritage & work ethic.

Highly respected education system.

100% Broadband coverage.

Excellent road network.

4 International ports.

3 International airports.

COMPETITIVE COST STRUCTURE

Salary levels are up to 30% lower than similar EU locations.

Low levels of corporate taxation.

Low property costs –compared to similar international locations.

CULTURE & CHARACTER

Perhaps our greatest asset!

As many visitors to Northern Ireland are won over by it’s people, history, natural beauty.


NORTHERN IRELAND – WHAT WE DO WELL

Financial services

Life Sciences Telecoms & Electronics

Connected Health

Technical SupportSoftware

Manufacturing

Business Services


N. IRELAND: 2009 WHAT WE EXPORTED

WE EXPORT 36% OF ALL WE PRODUCE. LOOKS IMPRESSIVE, BUT IS IT REALLY?

Source: Dept. of Enterprise, Trade & Investment 2009 Export Survey.


N. IRELAND: EXPORT DESTINATIONS

WE EXPORT

26.6% OF OUR INDUSTRIAL GOODS TO EUROPE.

28.6% TO EIRE

44.7% TO THE REST OF THE WORLD (North America 19%)

Sources: Dept. of Enterprise, Trade & Investment 2009 Export Survey & Irish Trade Statistics: www.cso.ie/statistics/botrade.htm

EXPORTS TO SPAIN: 0.6%

http://www.cso.ie/statistics/botrade.htm


N. IRELAND: PRINCIPAL EXPORT DESTINATIONS

LOST OPPORTUNITIES

UK EXPORTS - SPAIN: 14 BILLION EUROS

IRISH EXPORTS - SPAIN: 4 BILLION EUROS

N. IRELANDS EXPORTS - SPAIN: 40 MILLION EUROS (35 M£)

HOW IS IT POSSIBLE THAT WE ONLY EXPORT 35M £ TO THE WORLD’S

12TH LARGEST IMPORTER, &

9TH LARGEST ECONOMY

Sources: Dept. of Enterprise, Trade & Investment 2009 Export Survey & Irish Trade Statistics: www.cso.ie/statistics/botrade.htm

http://www.cso.ie/statistics/botrade.htm

9

SECTION B – OVERVIEW OF THE SPANISH ECONOMY


THE REAL SPAIN – OVERVIEW

State Structure: Constitutional Monarchy divided into 17 autonomous regions

Population: 46 Million

GDP 2009: 1.2 Trillion Euros

Exports 2009*: 214B Euros

Imports 2009*: 285B Euros

Principal Imports: Machinery & Equipment Energy Chemicals Semi finished goods Food Consumer goods Measuring & control instruments

Source: www.ine.es - These numbers are an estimated based on Jan-Nov. actual + estimation for Dec. 2009.

THE FACTS THE OPPORTUNITY

9th Largest economy in the world

12th Largest importer in the world

5th Largest supplier to the UK.

Gateway to North Africa & Latin.

16.5M British & Irish tourist visit Spain each year.

Excellent road, rail , air and maritime connections

Second most favorable fiscal system for SME’s in Europe


OR

SPAIN – COMMON MISCONCEPTIONS

FOOTBALL TOURISM BULL FIGHTS

World’s 3rd largest bank.

UK Assets: Abbey (Ex - Alliance & Leicester and Bradford & Bingley)

Profit 2009: 9 Billion Euros

World’s 3rd largest Telco.

UK Assets: O2

Sales 2009: 58 Billion Euros

World leading infrastructure company

UK Assets: British Airports Authority i.e. Heathrow, Stansted etc.

Sales 2009: 14 Billion Euros


TABLE 1: SPAIN’S 2009 IMPORTS + % From UK & Eire


Spain’s main trading partners in 2009 were:

France: 35B € Germany: 20B € Italy: 17B € Portugal: 16B € UK: 14B €

In 2009* Spain imported 190.7 Billion Euro worth of goods from around the world.

The United Kingdom was responsible for 14 Billion Euros of this total i.e. 7%

Ireland exported 4 Billion Euros worth of products and service to Spain i.e. 2%.

*January to November data only – source: Spanish National Statistics Institute - www.ine.es

The numbers sound reasonable until we look at the percentage export penetration by sector:

United Kingdom - > 5% export share in 10 sectors1 - 5% export share in 9 sectors< 1% export share in 3 sectors

Ireland>5% export share in 3 sectors1 - 5% export share in 6 sectors< 1% export share in 13 sectors

TABLE 1 ANALYSIS

FACTS


CAPITAL GOODS20.6% - 38 B €

ENERGY PRODUCTS16.5% - 30B €

CHEMICAL PRODUCTS15.5% - 28B €

AUTOMOBILE INDUSTRY12.5% - 23B €

FOOD11.2% - 21B €

CONSUMER GOODS11% - 21B €

SEMI MANUFACTURED6.8% - 13B €

DURABLE CONSUMER GOODS3% - 6B€

RAW MATERIALS2.5% - 3.8B €

SPAIN’S IMPORTS = OPPORTUNITIES FOR OUR COMPANIES

Source: www.ine.eswww.nibusinessinfo.co.uk

http://www.ine.es/

http://www.nibusinessinfo.co.uk/


SPAIN’S PRINCIPAL IMPORTS FROM THE UK & EIRE

Source: Spain Business web: http://www.spainbusiness.com

16

SECTION C – OPPORTUNITIES BY REGION IN SPAIN

www.mcneice-export.com

SPAIN - OVERVIEW

BASIC FACTS

Spain is comprised of:

15 regions 2 island groups 2 African protectorates

Each region has a devolved government with varying degrees of independence from the central government in Madrid.


COMPARISON - N. IRELAND & SPAIN

Northern Ireland & Spain share many similarities, especial at a regional level.

For example:

Regional population size

Regional GDP growth

Average regional GDP per person

Cultural links also exist with the Celtic regions of Galicia, Asturias, Extremadura & Cantabria.


CANTABRIA

KEY NUMBERS

Capital: Santander Total population: 582,138 GDP: € 14,052 M GDP growth: 1.3 % Exports: € 2,410 M Imports: € 2,632 M Foreign investment: € 46 M

Historic

Developing

Logistics Agri-Food Automotive Components Chemicals

Biotechnology New Technologies Environment/Renewable

Energies

BUSINESS SECTORS OPPORTUNITIES

INVESTMENT SUPPORT

Direct Aid for Investment Financing for Investments Aid for R&D Aid for Training, etc.

Chemicals – represents 15% of industrial output.

Automotive – Cantabria is a centre for tier 1, 2 & 3 suppliers of the European car industry.

Agri-Food: National leader in canned fish and dairy products.

HQ of the Environmental Hydraulics Institute – international leader in wave energy – Cantabria is about to build a high tech tidal energy park.


ANDALUCÍA

KEY NUMBERS

Capital: SevillaTotal population: 8,202,220GDP: € 149,910 MGDP growth: 0.8 %Exports: € 16,810 MImports: € 27,234 MForeign investment: € 545.

Historic

Developing

Agro-industrial sector Metallurgical-mechanical Aeronautical

Biotechnology Renewable energies IT & Communications


INVESTMENT SUPPORT

Direct Aid for Investment Financing for Investments Aid for Training

Aeronautical - 850M€ industry – Part builds the Airbus A380 & 400M

Agro – Industry : 13.B € industry - over 20000 companies in the sector.

Renewables - National leader in Biomass, Solar and wind energy – Currently building a component sector to service these sectors.ICT – 4.5B€ Industry – 15% growth –

30000+ people working in the sector - 93 tech parks and 10 R&D centers


ARAGÓN

KEY NUMBERS

Capital: ZaragozaTotal population: 1.3 MGDP: € 34,000 MGDP growth: 1.1 %Exports: € 8,480 MImports: € 8,010 MForeign investment: € 99 M

Historic

Developing

Agri food-industrial sector Motor vehicles Aeronautics Logistics

Biotechnology Environmental Renewable energies &

recycling Information and communication tech.


INVESTMENT SUPPORT

R&D incentives Start-up incentives Financial Training

Agri -food - 471M€ are being invested by Spain’s Rural Development Program to help maintain leadership in this sector.

Motor vehicles – largest General Motor production plant in Europe, supports 350 suppliers.

Industrial & Logistics – Aragón is in the heart of the Ebro Valley which is one of Spain’s key manufacturing hubs for construction machinery, agricultural machinery, paper, iron and steel, electronics, chemicals and agri-food.


ASTURIAS

KEY NUMBERS

Capital: OviedoTotal population: 1.1 MGDP: € 23,877 MGDP growth: 1.2 %Exports: € 3,187 MImports: € 4,786 MForeign investment: € 7 M

Historic

Developing

Agri-food Capital Goods

Technology & Communications Renewable Energy


INVESTMENT SUPPORT

Non refundable subsidies Loan subsidies

Capital Goods – leading national and international player in the manufacture of capital goods for mining, construction, defense, transport & renewable energy.

Agri – Food: Extremely strong national player in the production of dairy products and meat.

Renewable energy & Gas: Asturias already produces 53% more energy than it requires, with enormous potential remaining. Heavy investment in Liquefied Natural Gas is also in progress.


BASQUE COUNTRY

KEY NUMBERS

Capital: VitoriaTotal population: 2.1 MGDP: € 68,699 MGDP growth: 2.1 %Exports: € 19,888 MImports: € 20,844 MForeign investment: € 334 M

Historic

Developing

Industrial Petro – chemicals Electronics

Tourism Aeronautics Software


INVESTMENT SUPPORT

Financial Support Multiple SME programs

Tourism – Eco tourism is an industry that the Basque regional government has earmarked for development.

Industrial: Few regions in Europe has fought as hard as the Basque Country to maintain its industrial base. Today this region is heavily industrialized and a major national and international producer of capital goods, steel, machine tools, household appliances.


CASTILLA & LEÓN

KEY NUMBERS

Capital: ValladolidTotal population: 2.6 MGDP: € 58,515 MGDP growth: 0.9 %Exports: € 9,599 MImports: € 8,884 MForeign investment: € 76 M

Historic

Developing

Agri-food Automotive Logistics sector

Biotechnology and Chemicals/Pharmaceuticals

Security Energy Aerospace


INVESTMENT SUPPORT

Non refundable subsidies Loan subsidies

Automotive: Fiat, Nissan, & Renault have 4 major automotive plants in this region.

Aerospace – Currently using its strength in composite development to leverage access to the aerospace industry.

Renewable energy: One of Spain’s largest producers of renewable energy – massive potential still exists in wind, solar and biomass – 500 companies are already working in this sector.

Agi-food: Annual sales of 11.2 Billion Euros with 3500 companies in the sector.

Information and Communications Technology


CASTILLA LA MANCHA

KEY NUMBERS

Capital: ToledoTotal population: 2 MGDP: € 36,949 MGDP growth: 0.7 %Exports: € 3,104 MImports: € 6,678 MForeign investment: € 89 M

Historic

Developing

Agri – food Logistics

Aircraft ITC Tourism


INVESTMENT SUPPORT

Yes, but depends on the scope of the project.

Agi- food: This region excels in wine, cheese and olive oil production with over 2500 companies playing a role.

Renewables: Currently investing almost 4000 M€ in the development of its renewable energy sector.

Aeronautical: Apart from helping to build the Eurocopter this region is investing heavily in the aeronautical sector with the opening of carbon fiber plants and the development of regional airports.


CATALUÑA

KEY NUMBERS

Capital: BarcelonaTotal population: 7.4 MGDP: € 204,128 MGDP growth: 0.7 %Exports: € 50,314MImports: € 76,233 MForeign investment: € 3,360 M

Historic

Developing

Food & Beverages Industrial Chemicals Shared services centre


INVESTMENT SUPPORT

Training Capital Investment Renewable & Energy

Food & Beverage: Represents 22% of Spain’s total food and beverage production – 4000 companies – opportunities for ingredient suppliers, packaging and processing tech.

ICT - Over 155 research agencies and 1700 ICT companies makes Cataluña one of Europe’s largest innovation centers.

Bio-pharmaceuticals: Over 50% of all Spanish laboratories, 60% of all production and 66% of all fine chemical companies are based in Cataluña.

Bio-pharmaceuticals Information and Communication Tech. Renewable Energies Aerospace


VALENCIAN COMMUNITY

KEY NUMBERS

Capital: ValenciaTotal population: 5 MGDP: € 106,209 MGDP growth: 0.5 %Exports: € 19,361 MImports: € 22,966 MForeign investment: € 1,821 M

Historic

Developing

Automotive Tourism Food & Beverages Textiles & Fashion


INVESTMENT SUPPORT

Training and job creation Environmental projects

Chemical: Spain’s second largest exporter of rubber and plastics.

Food & Beverages: This region is Spain’s most important exporter of citrus fruits.

Audiovisual: This region has invested heavily in this sector by building “The City of the Light”, Europe’s most advanced film studio . This is expected to create excellent national and international investment opportunities.

AudiovisualMarble & Natural StoneHospital Equipment

Industrial: Over 1.400 M€ of machinery are exported from Valencia.


EXTREMADURA

KEY NUMBERS

Capital: MéridaTotal population: 1.0 MGDP: € 18,158 MGDP growth: 1.8 %Exports: € 1,235MImports: € 1,375 MForeign investment: € 5 M

Historic

Developing

Packaging & Wrapping industries Agri-food

Tourism Renewable energy


INVESTMENT SUPPORT

Publicly funded Venture Capital company that offers funding support of up to 49%.

Special R&D funding project.

Extremadura's is one of the poorest regions in Spain with a historically low level of economic development compared to other regions.

However, this region does have enormous potential for tourism due to it’s rich cultural heritage.

Extremadura also has a potentially bright future as a major producer of solar energy.


GALICIA

KEY NUMBERS

Capital: Santiago de CompostelaTotal population: 2.8 MGDP: € 56,419 MGDP growth: 1.8 %Exports: € 15,613 MImports: € 15,461 MForeign investment: € 22 M

Historic

Developing

Automotive Textile Naval Construction Mining Fishing


INVESTMENT SUPPORT

Grants for up to 30% of the total investment are available.

Loans at 0% over 15 years (Renewable energy only)

Mining: Over 70% of the world’s roofing slate comes from Galicia. The region is also rich in natural granite deposits.

Fishing: Galicia is the centre of Spain’s fishing industry which has resulted in the creation of a large canning industry.

Renewable Energy: In recent years Galicia has begun to invest heavily into Wind and Solar energy. Leading to an investment surge in this region.

TIC Biotech Renewable energy


LA RIOJA

KEY NUMBERS

Capital: LogroñoTotal population: 0.3 MGDP: € 8,120 MGDP growth: 1.5 %Exports: € 1,259 MImports: € 980 MForeign investment: € 0.4 M

Historic

Developing

Agr-food Footware Automotive

BUSINESS SECTORS

OPPORTUNITIES

INVESTMENT SUPPORT

Investment and R& D subsidies are available.

Agri- food: The wine and sausage industries are both major employers.

Renewables: The largest bio-diesel plant in Europe has just been built in La Rioja. The region has also invested heavily in wind energy.

Automotive: Mercedes-Benz, Nissan, Opel, Seat and Volkswagen all have factories in this region and this has lead to many opportunities for component suppliers.

Renewable energy Aerospace

Aerospace: La Rioja is actively trying to develop this sector after the success of the company MAZA in gaining contracts with EADS etc.


MURCIA

KEY NUMBERS

Capital: MurciaTotal population: 1.4 MGDP: € 184.463 MGDP growth: 1.5 %Exports: € 4.570 MImports: € 10.400 MForeign investment: € 189 M

Historic

Developing

Agri-Food Tourism Construction


INVESTMENT SUPPORT

Large number of incentive available in:

R&D Loans etc.

Agri-Food: Murcia is one of Spain key agricultural regions, however a lack of water has forced this region to invest in other sectors.

High Tech: The region has a long-term plan aimed at developing it’s technological infrastructure.

Renewables: Murcia is currently building up a electronic components segment aimed at supporting the regions solar energy plan. As with over 3000 hours of sun per year the region has enormous potential.

Renewable energy Plastics ITC


MADRID

KEY NUMBERS

Capital: MadridTotal population: 6.3 MGDP: € 194,184 MGDP growth: 1.6 %Exports: € 21,564MImports: € 61,328 MForeign investment: € 29,294 M

Historic

Developing

Logistics Banking Services

BUSINESS SECTORSOPPORTUNITIES

INVESTMENT SUPPORT

Subsides and financial support are available.

Environmental: This sector in Spain comprises over 2000 companies and has sales of 11B€.

Renewable Energy: Like many other regions in Spain, Madrid is investing in and leveraging its climatic advantages to help grow its renewable energy sector.

Health- Science: One quarter of all Spain’s biotech companies are based in Madrid, accounting for 60% of the sectors turnover.

ITC: Madrid has over 12000 ICT companies accounting for 25% of the national total.

Health Science ICT Clean Tech


NAVARRA

KEY NUMBERS

Capital: PamplonaTotal population: 0.6 MGDP: € 18,674 MGDP growth: 1.9 %Exports: € 6,382 MImports: € 4,959 MForeign investment: € 116 M

Historic

Developing

Industrial Automotive Plastics & Rubber

Renewable energies Health science

BUSINESS SECTORSOPPORTUNITIES

INVESTMENT SUPPORT

R&D Training Capital investment

Health Science: Through The University of Navara the government of Navarra is looking to build a vibrant health sciences sector.

Renewables: Navarra is leveraging its industrial heritage and natural advantages to invest heavily in this sector.

Automotive: The region has a thriving car components sector that supports the huge Volkswagen car factory.


CANARY & BALEARIC ISLANDS

KEY NUMBERS

Capital: Palma de MallorcaTotal population: 1.1 MGDP: € 27,473 MGDP growth: 1.8 %Exports: € 1,506 MImports: € 1,863 MForeign investment: € 137 M

OPPORTUNITIES

Capital: Palmas Gran Canaria / Santa Cruz de TenerifeTotal population: 2 MGDP: € 43,480 MGDP growth: 1.3 %Exports: € 2,275MImports: € 5,506 MForeign investment: € 52 M

The economies of the Canary and Balearic Island groups are almost entirely focused on tourism.

However , efforts are being made to develop both the Health Science and ITC industries on both island groups in order to help support their long term development and to offer an alternative to tourism.

35

SECTION D – MCNEICE EXPORT CONSULTING


What does McNeice Export Consulting do?

We help companies to sell and source suppliers in Spain.

How do we achieve this?

By offering a complete range of consulting services that help companies achieve their objectives.

What services do we offer?

Our principal services are:

Market research Finding , selecting and managing distributors and Sales Agents. Marketing – adapting our customer’s message to the Spanish market. Internet – optimizing webs for the Spanish market. Sourcing and managing suppliers. Strategic & Operational Planning – for those companies that wish to establish a permanent presence in Spain.

Where can I find more information?

www.mcneice-export.com www.miagentecomercial.es/eng Give us a call: 00 34 942 22 97 08

MCNEICE EXPORT CONSULTING

http://www.mcneice-export.com/

http://www.miagentecomercial.es/eng


Paseso Menéndez Pelayo, 10Santander, Spain

T.: + 34 942 04 95 75M.: + 34 687 624 217

[email protected]

mailto:[email protected]

export opportunities for northern ireland companies in spain

Business

euros export

export share

b ireland

export opportunities

b source

exportedwe export

section b overview

uk exports spain