Ireland's production for manufacturing industries for July 2014 was 12.8 percent higher than in June 2014, according to official figures on Friday.
The figures from the Central Statistics Office (CSO) showed that on an annual basis, production for July 2014 increased by 19.9 percent when compared with July 2013.
The "modern" sector, comprising a number of high-technology and chemical sectors, showed a monthly increase in production for July 2014 of 11.4 percent.
There was a monthly increase of 4.7 percent in the "traditional" sector, according to the CSO figures.
Irish economists attributed the increase to the improvements in the British economy and a recovery in sterling.
With the global economy set to gather speed, demand for Irish goods in general should start to pick up, they said.
Meanwhile, the latest Irish manufacturing purchasing managers' index (PMI), compiled by Investec, indicated that the sector grew at its fastest pace since 1999.
Investec is a leading international, specialist-banking group with headquarters in Johannesburg, South Africa.