£6m grant helps firms aim for overseas success
Sep 29 2009 By The Journal
MORE than 1,300 businesses across the North East will be helped to sell overseas for the first time with a £6m grant from the European Union.
The cash won by business support groups in the region is seen as a massive boost to attempts to step up North East exports and help companies beat the recession.
The region already punches above its weight in overseas sales as it accounts for 4% of the UK’s exports despite only contributing around 3% of the nation’s GDP.
It is hoped the £6m secured from the European Union by regional development agency One North East, together with £3m from the Government’s export agency UK Trade & Investment, will enable hundreds of businesses to be added to the list of 1,600 successful exporters.
Ian Williams, director of business and industry at ONE, said: "This new programme will add great value to the North East economy by helping businesses succeed internationally.
"With substantial backing from the European Union, we’re determined to increase the capability of regional companies to internationalise and break into overseas markets."
The investment will be used to help companies develop a strategy to sell internationally. Each will be given a trade advisor and many will receive cash support to promote the work under one of two initiatives, Global Routes and Investment Service.
Global Routes will see 450 firms advised to match their export potential with relevant distribution networks in their target markets while 810 firms will get money to develop their export action plan with marketing material or foreign travel and another 60 firms will have an experienced exporter working with them to improve their sales strategy.
UKTI international trade director, David Coppock, said the £6m investment came at a good time for businesses looking to export. He said: "With the exchange rate favourable to North East exporters, we urge companies to take advantage of the opportunities in overseas markets."
The initiatives are another boost for The Journal and North East Chamber of Commerce’s Go Global campaign to increase the region’s exports.
Andrew Sugden, NECC membership and policy director, described the investment by ONE and UKTI as an "excellent initiative".
He said: "This latest assistance will further help businesses as they seek to win new contracts outside of the UK."
