Written answer
Public Procurement Contracts
137. Deputy Tony McCormack asked the Minister for Defence the measures being taken to maximise opportunities for Irish companies and manufacturers to participate in future Defence procurement projects; and if she will make a statement on the matter. [54052/26]
Comment on this
Thank you Deputy for the question. Ensuring that the Defence Forces have access to reliable, sustainable and strategically important capabilities remains a core priority for both myself as Minister for Defence and for this Government. In an increasingly complex security environment, considerations such as security of supply, supply-chain resilience and the long-term maintainability of critical equipment are central to defence capability planning. Defence procurement is therefore not solely focused on the acquisition of platforms or systems, but equally on ensuring that those capabilities remain serviceable and mission-ready throughout their full lifecycle.
My Department continues to keep all aspects of defence procurement policy under ongoing review, including how best to facilitate appropriate engagement with Irish SMEs where this can support capability delivery. This includes exploring opportunities in areas such as maintenance, training, support and specialist technical services, where domestic expertise can complement major procurement programmes. Any future developments in this space will be guided by operational requirements, value for money considerations, and the need to ensure the continued timely provision and sustainment of Defence Forces capabilities.
In addition, legislative changes being advanced by the Department of Enterprise, Tourism and Employment will help ensure that Irish companies are not placed at a competitive disadvantage in the growing defence and dual-use sectors. By enabling enterprise agencies to provide investment and market access supports to these firms, Irish companies will be better positioned to scale and develop competitive technologies, strengthening their ability to compete successfully for domestic and international contract opportunities.
All procurement undertaken by the Department of Defence is conducted in accordance with national and EU procurement rules. Competitive tendering is used in line with national guidelines, the EU Defence and Security Procurement Directive, and the Office of Government Procurement procedures where relevant. In accordance with Circular 05/2023 from the Department of Public Expenditure, NDP Delivery and Reform, all contracts above €50,000 (ex VAT) are advertised on the eTenders platform. Contracts exceeding EU thresholds, currently €140,000 for goods and services, and €432,000 for defence and security are published in the Official Journal of the European Union. These processes ensure transparency, open competition and opportunities for Irish SMEs to participate fully in the Department’s ongoing procurement activities.
My Department continues to place a strong emphasis on supporting SMEs by promoting their participation in, and access to, EU funding programmes and major European defence initiatives, including the European Defence Fund (EDF). Through close collaboration with the Department of Enterprise, Tourism and Employment; Enterprise Ireland; industry stakeholders; and EU partners, I am committed to ensuring that Irish SMEs are well positioned to access EU funding opportunities and participate in cross-border research, innovation and industrial partnerships. To strengthen this engagement, the Department established the EU Industry Engagement Unit in 2024. The Unit works in close partnership with colleagues in the Research, Technology and Innovation, Capability Development, and Procurement and Acquisition branches. Together, these interconnected functions form an integrated capability ecosystem, providing a coherent end-to-end approach that supports defence capability development, innovation, procurement and industry engagement for both the Department and the Defence Forces.