That Flat feeling.

Byline: JOE CALLAGHAN

THE Irish horse-racing industry is facing its toughest challenge for almost two decades after yesterdays confirmation of the crippling effect the economic downturn has had on the sport here.

Horse Racing Irelands (HRI) annual industry statistics for last year made for eye-watering reading as, across the board, key indicators showed sharp declines.

Attendances fell significantly by nearly 10 per cent, betting returns plummeted, sponsorship suddenly dried up, new owners were conspicuous by their absence and, away from the course, bloodstock sales almost halved as the industry saw an entire contraction for the first time in 15 years. Significantly, sponsorship was also down by 5.4 per cent.

HRI chief executive Brian Kavanagh suggested things could get a lot worse before they get a little better.

With the swingeing cuts of Brian Lenihans last budget yet to be truly felt by the industry the Minister chopped the Governments donations to racing in the form of the Horse and Greyhound Racing Fund by almost 10 per cent from ?76.3 million to ?69.7m 2009 shapes up to be an even more challenging year.

With a range of cutbacks already in place for 2009 due to the reduction in our Government funding, owners, trainers, breeders, and all of the 16,500 people who rely on the industry for their employment, will need to brace themselves for the tough times that lie ahead, said Kavanagh.

We need to deliver high quality, competitive racing at appealing venues that offer good value for money.

Yet that very need to provide appealing venues simply cannot be met in the current climate, as evidenced by the Turf Clubs decision late last year to postpone the much-heralded ?100m facelift for the Curragh, while other course upgrades at Tramore, among others are unlikely to go ahead any time soon.

Kavanagh was quick to point out that, in spite of the chronic struggles at the turnstiles, the Tote window or in the betting ring, there were no such difficulties in the winners enclosure.

Aidan OBriens all-conquering fleet played a major part in a stellar year on the Flat for Irish runners.

Irish-trained horses won a staggering 29 of the 44 Group One Flat races held in Britain and Ireland, while three of the top five horses in the world in 2008 were bred in Ireland, and two of these were trained here, added Kavanagh.

This level of consistent success showcases our industry at the highest international level. Our challenge now is to protect our enviable record and to focus on building upon the achievements of recent years.

However, the danger would surely be that that very success on the track would become one of the next victims of the credit crunch.

With that in mind, the lack of fresh investment in racing last year was of major concern.

The number of new horse owners plummeted from 1,449 in 2007 to 1,237 last year a drop of almost 15 per cent. Allied to that was a drop in total race sponsorship here from 9.2m to ?8.7m.

Kavanaghs wish to see the racing industry become less reliant on Government support is admirable, calling for a levy on internet betting to aid their push.

Such a charge could provide a viable long-term solution but the more immediate future, like that of the Celtic Tiger, looks grim.

23 Group One Flat wins recorded by trainer Aidan OBrien.