Irish rugby is managing to defy the country's broken economy to become the latest serious threat to New Zealand's player base. The offers made to John Afoa and Jared Payne to join Ulster were at never-before-seen remuneration levels.
It is thought both deals were in excess of €400,000 ($750,000) a season and the New Zealand Rugby Union is nervous there will be more defections to Ireland in coming weeks.
Matt Berquist has already signed a deal with Leinster and speculation is strong that Cory Jane could yet end up at Ulster as well. Sam Tuitupou is unexpectedly leaving Munster and they are in the market for a midfield replacement. Benson Stanley has been touted as a possibility.
The NZRU is long used to foreign predators shopping for talent but the threat now posed by Ireland has taken them by surprise. Ireland had to accept an €85 billion bail-out late last year to keep the country solvent as the entire banking system was on the verge of collapse.
Irish administrators have also given the impression in recent months that they have shared New Zealand's concerns about the increasing power of French clubs. Without a salary cap, French clubs have been able to pay enormous sums.
In the last two years, they have not only successfully recruited high - profile All Blacks, they have lured the best players from South Africa, Australia, England, Scotland and Wales - and have been aggressive in their attempts to buy Irish internationals.
The NZRU sensed there was a solidarity between them and the Irish, which is why there is some concern and disappointment that Ulster have been able to find close to €1 million to recruit Afoa and Payne.
Those deals have been done with the blessing and possibly even the financial support of the Irish Rugby Union, which is why NZRU chief executive Steve Tewis not pleased.
"The disappointing thing is that if the numbers we are led to believe that have been put on the table by Ulster and therefore the Irish Rugby Union are accurate, it is a shame. The Irish are certainly one union we have talked to previously about the way the French system corrupts the market.
"Now we find in our situation the Irish are out-pricing us.
"Losing Jared Payne is annoying, as is losing Johnny. He [Afoa] is a world class player and would continue to make an incredibly valuable contribution to Blues and New Zealand rugby for a long time. But he's at a junction of
his life and he's made his decision and
he goes with our blessing.
"Our sense of it is that the international market is not as strong as it was. That's why it [Ulster's recruitment] is a wee bit annoying. We have been talking with the Irish and when they were out here in June last year, it was 'woe is me because the French are buggering up Irish rugby'."
While Tew and the rest of New Zealand rugby may not like the new threat of Ireland, the attraction for the players, particularly those on the fringes of national selection, is easy to see.
Few, if any, players not considered regular All Blacks earn in excess of $180,000. For the likes of Payne, the money on offer from Ulster will be life changing; exceptionally hard to turn down.
Ireland has also become a heavyweight rugby performer in recent seasons.
The national team won a Grand Slam in 2009 and showed, in defeating England in this year's Six Nations, they still have the capacity to knock over the best teams in the world. That ambition has filtered to their provinces, where Ulster, Munster and Leinster all made the quarter-finals of the Heineken Cup this year, with the latter two progressing to the semis.
All three provinces are loaded with quality Irishmen and foreign internationals, with the likes of Ruan Pienaar and Pedrie Wannenburg at Ulster, Isa Nacewa, Brian O'Driscoll and Jamie Heaslip at Leinster, and Doug Howlett, Tuitupou, David Wallace and Paul O'Connell at Munster.
Not only have Irish teams done well in the Heineken Cup, they dominate the Magners League as well - a competition that is less physically demanding and has fewer games than the Aviva Premiership in England and one which tends to produce more open, running rugby.
Rugby bosses are braced for a mixed month on the recruitment front, with Cory Jane and Ben Smith likely to confirm they are leaving and Richie McCaw and Keven Mealamu set to stay on.
The loss of Jane, one of the best performed All Blacks of recent seasons and who is only 28, will be a major blow for the New Zealand Rugby Union. They have fought hard to persuade the fullback- cum-wing to sign on beyond the World Cup and have made a financial offer that reflects the esteem in which he is held.
But, with Jane no longer certain of his All Black place having lost it to Isaia Toeava at the end of last year and with his wife having just given birth to their third child, the lure of financial security and spending more time with his family has pushed him towards departing.
The Herald on Sunday understands that Jane had all but agreed terms with Ulster only to change his mind at the last moment.
He then looked at shifting to Japan and again was ready to sign when the earthquake and tsunami struck last month. That forced another rethink and it is possible he could yet end up in Belfast playing with Ulster.
When Jane turned them down, Ulster then recruited Jared Payne.
While they have already spent enormous sums on Payne and his Blues team-mate John Afoa, there is a growing belief the Irish province might still manage to raise the money to offer Jane a contract as well.
If Ulster are not able to make an offer, it is thought Jane will still end up offshore after the World Cup. The market remains fluid as players who were expected to stay at a specific club decide to move on, freeing up money to bring in new blood.
The same is true in New Zealand and Smith could be the beneficiary of an improved deal if Jane does indeed depart. The NZRU made a number of budgetary assumptions earlier this year about players they thought would stay on. So, while there is disappointment that John Afoa and Payne have confirmed they are leaving and that Jane could join them, it does free up money to offer to other players.
Smith, a one test All Black who has been in superb form for the Highlanders this year, is a player the NZRU are determined to keep. Mils Muliaina has hinted strongly he will be leaving after the World Cup and should Jane leave, too, New Zealand will be light at fullback-wing next year.
Still only 24, Smith has the potential to become a regular All Black but is thought to be interested in living and playing abroad at this stage of his career rather than when he is older.
"At the end of the day, we will lose some players we wanted to keep," says NZRU chief executive Steve Tew on the battle to tie players in. "We always have and we always will.
"Because the New Zealand dollar is so high, we are not getting as many dollars out of our existing commercial arrangements as we predicted - so that is putting more pressure on at our end.
"Over the last two or three years, we have had a reasonable amount of success around player retention. But ultimately there are cycles where the pressure becomes a bit greater."
Tew admits that it is the likes of Smith and Jane - players not quite considered in the top tier - who are most vulnerable to offshore predators. They can double, possibly even triple their income by heading offshore.
These players also find their earning power in New Zealand is limited as the priority is to lock in senior All Blacks - who tend to earn significantly more than everyone else.
On that front, there is some confidence that McCaw is now just weeks away from putting pen to paper, while Mealamu could commit his future to New Zealand in the next couple of weeks.
McCaw has hinted for months now that he wants to stay but Mealamu has never been such a certainty. He's been in the form of his life over the last 12 months and has grown into one of the better captains in Super Rugby.
Offshore offers have been made and considered but he is believed to have made his mind up and wants to stay in New Zealand.
Rugby: Irish jig is up
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