The body which represents Irish exporters says the value of goods exported dropped by almost 5% in the first half of this year. But the Irish Exporters Association's half-year review said exports of services showed growth of almost 5%.
The value of goods exports was €43.4 billion, while service exports were €33.1 billion. In total, export sales were down 1% on the same period last year.
But the IEA warned that goods exporters believed there was worse to come this year, as many of the higher fuel and material costs had not yet been factored into their prices. It is forecasting a fall of 7.5% in goods exports for the full year, with services exports up 2.5%, giving a total drop of 3% in the value of exports.
The association added that the outlook for the second half was heavily dependent on whether there would be a recovery in the value of the US dollar and sterling.
A breakdown showed that the value of Irish exports fell in all but two of the top ten markets. Exports to the US fell by almost 3%, while UK exports were down 1.2%. But exports to China jumped by 33%, while there was also strong growth to other Asian markets such as India and Malaysia.
It was a tough six months for the food sector, down 5%, and the drinks sector, which saw a fall of 19%. Computer hardware exports dropped 16%, but medical devices showed growth of almost 9%.
In the service sector, exports of computer services were up 12% to €11.9 billion. This sector now accounts for more than a third of service exports. Business services - including areas such as aircraft leasing, legal, accountancy and consultancy services - grew by 11% to €8.6 billion. But the value of tourism fell 17%, while transport services were down 14%.
