Featuring 70 events in several places across the country, more than 300 companies took part in the 5th edition of Export Week, from 7-11 April. During the week, a range of seminars and workshops with market experts and experienced traders helped businesses of all sizes and sorts to develop strategies for opportunities overseas.
One of the target markets is the group of emerging countries that consists of Brazil, Russia, China, India and South Africa, also known as BRICs.
Steps into the BRICs was an event of #ExportWeek that brought an excellent opportunity of understanding these international markets, exchange business experience and help more companies to grow abroad.
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China: As one of the fastest-growing importers of high-tech goods, China invests massively in innovation and technology. And in 2012, high-tech goods accounted for 40% of total exports in the country. Manufacturing is also another sector that may increase merchandise exports by 30% over the next few years in China.
Based in Birmingham, BSA Machine Tools, supplies its products to the Chinese market. Oil and gas exploration and machineries in the drilling industry are some of those products. Currently, 90% of the company’s business is for exporting to countries such as Mexico, the US, China and Pakistan.
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Brazil: It’s still a challenging market for exporters. Brazil is considered a highly diversified economy that is still relatively close to foreign trade.
However, The UK and Brazil have strong partnerships in academic research that include interaction with industry in both countries. The University of Birmingham is investing £4 million in the South American country over the last three years. Some of those projects are related to Oil and Gas industry. Projects that include huge investment in Oil & Gas Science from BG Group.
Other areas that may interesting for exporters:
“40% of Brazil’s imports come from Europe, followed by 16% from the US and China.”- Export Britain:Brazil Market Snapshot
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Russia: As a potential market of over 140 million people, Russia is the largest country in the world in both total area and geographic extent. A huge target for exporters with also huge barriers for those companies.
“Oil and gas are at the heart of the Russian economy,responsible for around 25% of GDP, 50% of Federal budget revenues and 80% of exports. Russia is the second largest oil producing country in the world, with up to 14% of global proven oil reserves.” – Doing Business in Russia
Delcam Plc designs software solutions exported to all over 80 countries. Their business relations with Russia go back to 1989 when they have offices also outside the Moscow area, in regions that cross the Trans-Siberia railway. Attending the energy, automotive, aerospace and several other industries.
“Industry in Russia now is changing. They used to make everything. Now they are more and more dependent of subcontractors. So they are going to be interest to contact British companies for tool making or supplying components, for examples.”- Hugh Humphreys, Delcam Plc.
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India: The Real GDP growth in India is expected to accelerate from 4.7% in 2013 to 5% in 2014. The automobile industry in India is one of the fastest-growing worldwide and other sectors with opportunities for UK companies are: agribusiness, biotechnology, pharmaceuticals and healthcare.
StadiArena develops stadiums and arenas around the world and India has been a great experience for the company. Their projects are examples of a strong and continuous investment in the country. Some important tips for exporters thinking about approaching any of the BRICs countries were also highlighted by Ian Strokes, COO of StadiArena.
” Expect multiple visits and keep developing the relationships in the country. You’re not going to sign out there in your first visit. If you do, you’re very lucky and should by a lottery ticket in the same week. You’re not going to get a partnership in one single or a couple of visits. Expect extended negotiation.”
Really interesting event. Glad that the UKTI promoted that, it was great to hear the experience with Brazil and the other countries.
Thanks Melissa. Hope to see other events such this one soon.