Irish consumers pay higher prices than their European Union counterparts for many goods and services despite the creation of Single European Market 18 years ago.
This is one of the conclusions of a Forfás study, published today, on the impact of the Single Market on Ireland.
Although the Single Market has been important both the growth and diversification of Irish trade, the gap in certain internationally branded products between Ireland and other EU states is not easy to justify, the report says.
Although the high costs faced by Irish businesses may contribute to this, "the perception of an unexplained gap is reinforced by the fact that Ireland does not rank highest for many business costs".
There appears to be room for the Single Market to deliver more to Irish consumers in areas such as financial services and the motor industry and services generally, the study concludes.
One way of redressing the price disparities, the report says, is to exploit the opportunities associated with online shopping and e-commerce. The study says that e-commerce is not fully utilised, despite increased access to the internet and rapid development in internet shopping.
The Government and the EU should introduce an action plan to improve consumer confidence in e-commerce as a method of doing business, it said.
Dr Eoin Gahan of Forfás said: "While there have been clear benefits for Irish businesses and consumers, the study reinforces the view emerging at EU Commission level that some obstacles to trade do persist, and that the Single Market can be enhanced by looking more closely at the practical application of EU measures on the ground."
