Chemicals and related products accounted for 58 per cent of the value of Irish exports in 2014, underscoring the role played by big pharma in the Irish economy.

Figures from the Central Statistics Office (CSO) show the value of Irish exports rose 2 per cent to €89 billion last year, while imports increased by 7 per cent to €53.6 billion - the highest level since 2008.

The combined effect saw the State’s trade surplus fall by 4 per cent to €35.5 billion.

A breakdown of the figures showed exports medical and pharmaceutical products increased by €973 million or 5 per cent to €22.2 billion last year while exports of organic chemicals decreased by €423 million or 2 per cent to €18.1 billion.

Ireland's main export markets were the US (22 per cent), Britain (13 per cent), Belgium (13 per cent) and Germany (7 per cent).

These states together accounted for 55 per cent of the value of Irish exports.

Imports of machinery and transport equipment increased by €2.1 billion or 17 per cent to €14.5 billion. Imports of miscellaneous manufactured articles also jumped by €715 million or 12 per cent to €6.8 billion.

Machinery and transport equipment (27 per cent) and chemicals and related products (21 per cent) were the main import sectors in 2014.

Britain accounted for 30 per cent of imports, the US (11 per cent), Germany (8 per cent) and China (6 per cent).

Davy analyst Conall Mac Coille said the numbers showed a “volatile” 3.1 per cent rise in goods export volumes in December, with nominal goods exports rising to €7.7 billion.

However, the bigger picture is that Ireland’s trade performance improved markedly in 2014, he said.

Nonetheless, he cautioned that official national accounts data, suggesting that Ireland recorded 12 per cent export growth last year, have been artificially inflated by "contract manufacturing".

This occurs when the local Irish branch of pharmaceutical multinational companies contract foreign companies to manufacture products on their behalf to be sold in a third country.

“That this activity is counted as an Irish exports seems highly dubious,” he said.

Minister for Jobs, Enterprise and Innovation, Richard Bruton noted goods exports were up 18 per cent last year, with notable increases to China, Japan, US and France.

“The exporting parts of the economy have seen some challenges in recent years, with the pharmaceutical patent cliff and international moves on corporation tax, but in Ireland all the indications have shown that the underlying performance has remained strong,” he said.