Take the export route

Oct 22 2009 By The Journal

Mapping a route to recovery is much easier if businesses take a global perspective, says James Ramsbotham.

THE health of the North East economy has suffered greatly in recent months and as politicians and journalists alike start tentatively to murmur words like recovery, it is important not to disregard the demanding work still to be done to ensure this becomes a reality.

We face a road to recovery that will be slow, hard and long unless we proactively look for opportunities beyond our shores.

By relying too heavily on economic growth and improvement in domestic markets, companies risk stagnating in a sluggish market. Instead they should be capitalising on the weakness of the pound and the resulting appeal of British goods overseas.

The Go Global campaign initiated by the North East Chamber of Commerce (NECC) and The Journal aimed not only to highlight those companies already successfully trading in foreign markets, but also the opportunities available for all North East companies to expand their markets.

North East companies have a wealth of knowledge and experience in their respective sectors but many need to look to trade more widely on the international stage.

There are a number of networks and support bodies that can help them break into these new markets, not least NECC which has links with chambers of commerce around the world and an international trade team with detailed expertise on requirements for trading in different parts of the world.

In part the campaign has been aiming to take the fear out of trading at a global level and demonstrate to our regional businesses the opportunities out there and the support available to help them.

The North East has long had a proud history of exporting but it is important for the recovery of our regional economy as well as the success of individual businesses that we continue this history and do not become inward looking in our approach to business.

As one of the only net exporting regions in the UK, the North East has not suffered as severely at the hands of the recession as it could have done.

That being said, NECC’s latest quarterly economic survey, the North East Business Barometer, shows that the region is still in the grip of recession.

But while domestic orders for the coming three months remain sluggish for many companies, exporters are reporting demand for goods and services are up for the next quarter.

Go Global has been about giving regional businesses the confidence to look to trade abroad but also about highlighting the myriad opportunities and the support available to get them there.

While the thought of trading overseas may seem daunting, I have been encouraged by the overwhelmingly positive response there has been to the campaign, a strong indication of the strength, potential and confidence of North East businesses today.

James Ramsbotham is chief executive of the North East Chamber of Commerce