Kilkenny `failing to attract investors'

It's popular with tourists, it's a highly desirable place to live and it's ideally located to attract economic investment.

It's popular with tourists, it's a highly desirable place to live and it's ideally located to attract economic investment.

But a major study of the industrial landscape in Kilkenny finds it is losing badly, not only in national terms, but compared to other counties in the south-east. Only one enterprise in the city or county, Glanbia, has more than 200 employees.

The study, published yesterday, suggests the level of inward investment in the county is on a par with the most disadvantaged areas of the west of Ireland and the Border region.

Carried out by Mr Kevin Bonner, a consultant with Business Insight and former secretary general of the Department of Enterprise and Employment, the analysis is the most comprehensive overview of industry in Kilkenny ever undertaken. Mr Bonner is the chairman of the review committee recently established to examine allegations of a cartel in the beef industry.

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His report, "Investing in Kilkenny", will be explained in detail to elected representatives at a joint meeting of Kilkenny's county council and corporation on February 21st.

The study paints a positive picture of the potential that exists for the city and county to attract sustainable jobs in high-tech, "clean" industry, but a negative picture of the efforts to attract such investment to date.

"As regards foreign direct investment for industrial development, Kilkenny has not done well when compared with other counties in the south-east region or indeed nationally," it states. "Kilkenny has not got even one high-technology company of reasonable size as a result of the efforts by the IDA to attract foreign investment.

"Tipperary South, for instance, with a similar population percentage, has seen investment of over 21/2 times the level of investment in Kilkenny."

It recommends immediate steps to redress the situation. Many of these will be the responsibility of the Kilkenny Industrial Development Company, which commissioned the study. KIDCo was established four years ago by Kilkenny's business community and the local authorities.

The measures recommended include drawing up a county industrial development plan and establishing 1,000 undergraduate places at outreach centres in the county, which does not have a third-level college.

The chairman of KIDCo, Mr Fergus Cronin, said the study had been commissioned with a view to preparing Kilkenny for any future downturn in the economy. The county was benefiting from the boom just like everywhere else, but the key to the future was sustainable, long-term jobs. "Kilkenny does not have an industrial infrastructure which gives any kind of security for the future. This report is about putting that in place."

Mr Tony Walsh, the director of community and enterprise in Kilkenny, said the report set out a number of clear challenges. "Hopefully, if the agencies at local level respond in a positive way we'll get a matching response from agencies at national level, but I believe we will once we get our own act together on the ground."

The report touches on the topical issue of the proposed Dublin-Waterford motorway or dual-carriageway, and says it is essential the National Roads Authority selects a route through Kilkenny rather than the east coast.

This could be a highway through Carlow-Kilkenny or a main route connection from Waterford to Durrow, linking up from there with the Cork-Dublin road. A decision on the issue is expected from the NRA next week.

Even with current access, however, it says the county is well placed to attract foreign investment. It has a 27,000 sq. ft advance factory, built by KIDCo on an IDA technology park outside Kilkenny city, "world class" telecommunications infrastructure, an adequate supply of labour and one of the best deep-water ports, at Belview. Topping that off is the quality of life offered by "one of the most attractive counties in Ireland" and a city which combines "the joys of country living with a sophisticated, cosmopolitan atmosphere".

Copies of the report were presented this week to the chairman of Kilkenny County Council, Mr Jimmy Brett, and senior officials from the council and corporation.

The county secretary, Mr Philip O'Neill, said publication of the report was "a major development" as it was the first time a full marketing strategy had been developed to help both city and county attract inward investment.

Chris Dooley

Chris Dooley

Chris Dooley is Foreign Editor of The Irish Times