Food Enterprise Zone Leitrim; incorporating The Food Hub, Drumshanbo

By project LOTTI

Published on 14 January 2025

Ireland

Northern and Western

About this good practice

Food Enterprise Zone Leitrim is Ireland’s first food enterprise zone, a visionary concept and innovative approach, to act as a premium location magnet for new food start-ups and relocating food businesses to a centre of excellence.
As part of the initiative, The Food Hub is a best practice food production and education facility based in Drumshanbo. Co. Leitrim in the northwest region of Ireland. Since it opened in 2007 as a non-profit social enterprise by Drumshanbo Community Council, it has become Ireland’s premier artisan multi-tenant food production enterprise centre.
A collaborative approach between the local community, authorities and institutions, the initiative emerged following the closure of prominent, but traditional/primary food manufacturing businesses (jams, bakery etc.) which resulted in significant job losses.
Synonymous for agri-food production, as a very rural area, there was over reliance on primary agriculture, agri-food and other traditional sectors, with out-migration of the local population in search of higher value jobs and opportunities.
Following significant local and regional effort,
At policy level, it is included in the Local Economic and Community Plan and the North-West Regional Enterprise Plan, with the food sector categorised as a regional area of strength, transforming a sector that was losing jobs due to dependence on primary processing.
It’s success provides learning for other regions of Ireland as well as across Europe.

Expert opinion

Food Enterprise Zone Leitrim is Ireland’s first dedicated food enterprise zone, attracting start-ups and relocating food businesses. At its core, The Food Hub in Drumshanbo, established in 2007 as a non-profit social enterprise, has become Ireland’s leading multi-tenant artisan food production centre. The initiative emerged following the decline of traditional food manufacturing, aiming to revitalise the local economy and create sustainable jobs. With €2.5 million invested and an additional €700,000 approved, it hosts 14 fully occupied food units, employs 110 people, and serves as a hub for 80 food and drink businesses. Recognised as a Region of Food Development, it demonstrates how rural areas can drive economic growth through the agri-food sector. The development of such food hubs is particularly relevant for regions with a strong agri-food sector seeking to add value through artisan food production or promote food tourism. Collaboration with food research centres and universities could further enhance innovation and sectoral growth.

Arnault Morisson

Works at Interreg Europe Policy Learning Platform

Resources needed

Vision from local community, and prioritised by local and regional authorities.
Infrastructure and capital costs – e.g. €2m refurb of 35,000sq ft premises. Plan to renovate 22,000 sq ft, in nearby buildings, with clustering effect.
Operational costs for mgt and operations (one FTE manager in place).

Evidence of success

In a region suffering rural decline, Food Enterprise Zone Leitrim with its established food hub is excellent example of the success that can be achieved through a targeted effort:

• €2.5m invested, with €700k now approved for additional infrastructure.
• 35,000 sq.ft of food infrastructure in place, another 22,000 sq.ft planned
• 14 food units fully occupied
• 110 jobs on site
• HQ for network of 80 food and drink businesses
• Culinary & product training/R&D centre for the regional food sector

Potential for learning or transfer

Drumshanbo and surrounding area is now well recognised nationally as a Region of Food Development, with strong food enterprise and jobs located there, which is now a key part of the local identity and place-making.
It is a town within a largely rural area that has come from crippling unemployment blackspot status to a position of leadership in regional economic development that has specialised in the food sector to transform its prospects.

This provides potential for learning, for those with similar challenges that wish to adapt this model.