21 hours ago
Taoiseach embarks on four-day visit to Japan, with focus on investment
Taoiseach
Micheál Martin
arrives in Tokyo on Tuesday at the start of a four-day visit to
Japan
that will focus on an economic relationship that has doubled in size over the past decade.
After meeting prime minister Shigeru Ishiba on Wednesday, the Taoiseach will open Ireland House in Tokyo, which at more than €20 million is the largest capital project overseas since the foundation of the State.
'In an increasingly complex geopolitical environment, Japan is an important strategic partner for Ireland on the global stage,' the Taoiseach said ahead of the visit.
'Ireland and Japan are very like-minded on the major issues facing the world.'
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He said he looked forward to exchanging views with Mr Ishiba and discussing how to strengthen the ties between the two countries.
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After two days in Tokyo, the Taoiseach will travel to Osaka to visit the Irish pavilion at Expo 2025, an international exposition that is expected to attract more than 28 million people.
He will end his visit on Friday with a visit to Hiroshima, where he will lay a wreath at the cenotaph commemorating those who died after the United States dropped an atomic bomb on the city in 1945.
Much of the Taoiseach's time in Japan will be spent meeting representatives of companies the
IDA
hopes to attract to Ireland, or which already have a presence in the State.
Japan is an increasingly important source of foreign direct investment, and the footprint of Japanese companies in Ireland has doubled in the past decade, in terms of operations and jobs.
Derek Fitzgerald, who heads the IDA in Japan, identified the key sectors as technology, life sciences, financial services and engineering.
Ireland's tax regime is not such a significant factor for Japanese companies, partly because of domestic tax rules that can oblige those who invest in low-tax countries to pay more at home.
'One thing that does come up all the time is talent. We start the story about, Ireland's population is growing,' said Mr Fitzgerald.
'We have a very young population, with 50 per cent under the age of 35. We have a very international, cosmopolitan population, with a well-respected education system and one of the largest graduation rates in Europe.'
Mr Fitzgerald said the IDA promoted Ireland 'as a small but open, progressive, stable environment' and that, regardless of the party in power at home, Ireland is regarded as having 'a pro-business government' and as 'a steadfast, committed member of the EU and an English-speaking common law country within the EU'.
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A partnership agreement in 2019 created an effective free trade area between the
European Union
and Japan, eliminating almost all tariffs and removing many other barriers.
Irish food producers had been exporting to Japan for decades.
Bord Bia
's Joe Moore said the agreement accelerated growth, with exports almost doubling since then.
'Because Japan is a big food importer, they import over 50 per cent of the calories that are consumed here, they have a macro demand for those same products – beef, pork, cheese, and the like,' he said.
Enterprise Ireland
represents many Irish companies operating in Japan, but the Ireland Japan Chamber of Commerce is another source of support and networks for those entering the market.
The chamber's president, Sarah Hickey, who has been a brand marketeer in the drinks industry for 12 years, said investing in Japan requires patience and resilience.
'You can't just expect to launch your business here or launch a product here and that it's going to be happening in six months [or] in one year,' she said.
'It's all about investing long-term in Japan and building relationships and getting that trust, and being consistent as well.
'If they can see that you're committed to a long-term investment in the market, then they will also return that investment, and you'll be seen to be credible as well.'
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Another member of the chamber's board is Pat Ryan, an angel investor and entrepreneur who supports Irish start-ups and small- and medium-sized enterprises entering the Japanese market.
He first moved to Japan on a Fás scheme after graduating as an engineer, and immediately immersed himself in Japanese corporate culture.
'I lived in a dormitory, wore a uniform, cleaned my own dorm once a week in the mornings at five o'clock with the rest of them. You're brought into a very groupthink culture,' he said.
'But you really learned respect. You learn how to navigate and understand that you never get a direct 'no'. The word 'no' is never used by the Japanese.
'Some Irish companies coming here could have five or six meetings and then think: 'Brilliant, I'll go home now, I'll send out a quote and I'll get the business'. The Japanese are at a totally different stage. But if you get business then, it could be forever.'
