Gulf Remains Essential Trade Partner For Ireland

Many Irish exporters, including small businesses, are already paying the price for the far-reaching and costly consequences of conflict in the Arab World, according to the Arab Irish Chamber of Commerce (AICC).

Ahmad Younis, CEO of the AICC, cautioned the Irish government and business community against underestimating the cost to the economy, noting that Irish businesses exporting to the Arab region need support from them now more than ever.

Mr. Younis said. “The ongoing rise in fuel prices alone indicates just how much costs have surged in recent weeks: the supply chains that once moved smoothly between Ireland and the Gulf are dealing with significant transport delays and attacks. The stakes are too high to ignore.”

High Stakes

Irish merchandise exports to the Arab world were valued at more than €3 billion in 2025, while services exports reached €16.2 billion in 2024. Mr Younis said this illustrates just how vital the region has become for Irish enterprise.

“Arab markets have long valued Irish products for their quality, reliability and innovation, and Irish companies have built strong reputations across the Gulf,” Mr. Younis said. “But maritime traffic has slowed dramatically. The strain on the Strait of Hormuz, a vital shipping routes for oil, gas, and fertilisers, cannot, and should not, be understated at this stage.”

Cost of War

In Ireland, the agriculture industry is just one of the many sectors feeling the economic cost of war: Irish farmers are facing a fertiliser shortage as shipments from Iran, Qatar and Saudi Arabia are impacted and the cost of diverting them is expensive.  “These factors all exert more pressure on businesses already navigating an ever-changing, international market,” said Mr Younis.

Despite the ongoing volatility in the region, the Gulf remains one of the most promising opportunities for Irish business. The region imports nearly 90% of the goods it consumes, including Irish butter, powered milk, meat and chocolates, which have become supermarket staples.

For example, in countries like Egypt, Irish technology and pharmaceutical products are widely used, while our engineering and construction expertise can be found embedded in the major infrastructure projects shaping major cities like Dubai.

Strategic Gateway

The Gulf also plays a critically strategic role as a gateway to wider global markets, according to the AICC, and many Irish exporters frequently use hubs such as Dubai, Doha and Abu Dhabi to reach customers across Asia.

“These hubs are invaluable for Irish businesses looking to expand,” Mr. Younis explained. “Currently an estimated 400 Irish-owned companies export to the Arab region spanning sectors from healthcare, education and aviation to fintech, agri-food and pharmaceuticals.”

“Many of the companies impacted are small and medium-sized enterprises, and unlike the major multinational corporations, most don’t have the same financial resilience to function during delays and disruptions like this. Without trade support, it could result in them losing ground in key markets that has taken them years to build up,” explained Mr. Younis.

Vital Partner for Irish Enterprise

“We have to commit to maintaining strong commercial ties with the Gulf,” said Mr. Younis. “Backing off now damages both our economic prospects and our strong reputation as a reliable trading partner. Trust is earned in this region: it takes time, commitment, and dedication – it doesn’t just appear.”

Ireland’s export markets have never been more important, and Mr. Younis urges government officials and the business community not to underestimate the importance of the Gulf, in terms of Irish exports, Irish jobs and Ireland’s long-term economic future. The Arab world will remain a vital partner for Irish enterprise.