Irish Government agency Enterprise Ireland has announced the creation of the Emerald Aero Group, a new aerospace and aviation Cluster which is forecast to rocket precision engineering, composite, plastics and metal fabrication companies’ turnover by at least 25%.
Formed from 15 indigenous manufacturing companies, the aim of the company is to increase aerospace manufacturing revenues and employment, developing opportunities for Irish aerospace companies in the UK and further afield.
Based on the average sector turnover, the goal of this new Sub Con Alliance is to increase collective aerospace exports from £13.2 million in 2016 to £30.1m in three years. This will also lead to the creation of 200 new jobs across individual members by 2019.
The Emerald Aero Group will act as a catalyst in allowing these smaller industry companies to join forces, forming clusters and sharing widespread industry knowledge and technical expertise in a bid to win greater contracts against contending larger companies across the aerospace sector.
Valued at €4.1bn, Ireland’s aerospace and aviation industry is soaring faster than ever demonstrating a growing need for increased business collaboration, so smaller, more niche companies can benefit; propelling growth in the UK and further afield.
The creation of the Emerald Aero Group will also give these newly formed alliances a competitive advantage when contending with larger players, while helping mitigate risk.
Members, located throughout Ireland, are all owner-managed indigenous SMEs, with expertise in sectors such as precision engineering, metal treatments, plastic injection moulding and thermoforming, 3D printing, composites and fabrication.
Increased ‘cluster’ mentality and business collaboration is vital in enabling these groups to collectively reach new heights and secure these larger contracts through shared skillset as well as industry and technical expertise.
Sean Long, Senior Market Adviser Engineering, Electronics at Enterprise Ireland, said: “With over 50% of the industry’s aviation global spend managed by aircraft leasing companies headquartered in Ireland, and a growing aerospace sub supply capability Ireland is in a prime position to help drive the industry’s innovation forward. The creation of the Emerald Aero Group will provide increased opportunities for small companies looking to expand their presence internationally.
Gerry Reynolds of Takumi Precision, chairman of Emerald Aero Group, said: “This initiative affords the member companies a unique opportunity to collaborate and work together to compete for business on the global Aerospace market. Over time as the volume of business increases and the number of companies participating grows, we will be able to reflect back on the formation of this group as being a key moment in the development of a thriving aerospace sub supply sector in Ireland.”
To mark the formation of the Emerald Aero Group, 28 Enterprise Ireland supply chain companies gathered at Enterprise Ireland headquarters in Dublin on Wednesday 29th November to introduce the Group and highlight the industry benefits.