SUMMER / AUTUMN 2009
WORLD OF OPPORTUNITY
MAINTAINING INTERNATIONAL TRADE LINKS HAS NEVER BEEN MORE IMPORTANT
INWARD INVESTMENT RECORD NUMBER OF PROJECTS SECURED IN THE NORTH WEST
THINK CHINA EMERGING OPPORTUNITIES IN CHINA’S REGIONAL CITIES
THE BALTICS LITHUANIA, LATVIA AND ESTONIA ARE AMONG THE FASTEST DEVELOPING COUNTRIES IN EUROPE
FLYING HIGH MANCHESTER AIRPORT’S COMMERCIAL DIRECTOR,ANDREW HARRISON, EXPLAINS THE ROLE OF THE AIRPORT IN SUPPORTING NORTH WEST BUSINESSES... Think of any airport and holidays immediately spring to mind. But for local businesses, Manchester Airport is so much more than two weeks in the sun. With a catchment area stretching from the Midlands to the Scottish borders, the airport provides business people with direct access to 190 global destinations including key trading cities such as New York, Dubai, Brussels and Chicago. A comprehensive range of airlines flying to key global business destinations are crucial if Manchester Airport is going to be able to truly serve the business community. That’s why a huge part of my role here is to encourage airlines to introduce new routes and additional frequencies to those important destinations. In the medium term, we aim to launch direct services to the West Coast of the USA, the Indian sub-continent and the Far East.
In the last twelve months alone, we’ve invested over £80 million in redeveloping our three Terminals. As a result, passengers experience an efficient security process because the search areas have doubled in size with the latest x-ray technologies installed, virtually eliminating long queues. The departure areas also offer business travellers Wi-Fi zones, quiet seating and executive lounges.
We have also invested over £75 million in ground transport links. Trains run between Manchester Airport, the city centre and the wider North of England 24 hours a day, seven days a week. Car journeys are also well served with a wide range of car parking options.
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Manchester Airport has a strong track record in supporting fledgling local businesses. For example, in the last twelve months we have introduced a Wythenshawe-based catering company, Brodericks, to Terminal 2 and we are helping them understand the specialist requirements of operating in an airport, sharing our knowledge of passenger profiles and establishing an on-going partnership to develop their business.
On-airport business accommodation is also proving an attractive proposition for international companies looking for a local home, and Manchester airport offers five self-contained, high quality office buildings located close to the main terminals, hotels and ground transport links. Bespoke developments for industrial businesses are available through the airport’s property and estate management arm, MAG Developments, which offers flexibility in terms of space and leases, as well as offering exclusive design and build opportunities for potential occupiers. The World Freight Terminal is a major logistics hub offering a range of flexible transit shed and warehouse facilities with some units having direct airside access. Cargo and freight airlines operate from Manchester Airport to a network of global destinations, making the World Freight Terminal a critical access point for goods moving between the North of England and the rest of the world.
Recently, we opened a new consolidation centre next to the airport built specifically for logistics experts Norbert Dentressangle.
The facility now consolidates deliveries from 20 retailers and caterers. All goods are security screened by two specialist x-ray machines, and products are delivered five times a day to airside locations by security-cleared drivers, with up to 16000 units handled weekly.
Manchester Airport is key to enabling the region’s businesses to trade globally. We know that our future development is intrinsically linked to the success of the region and that ‘s why we’re committed to developing our role as an economic driver by delivering real benefits to the business community that we serve at home and abroad.
To find out more about how Manchester Airport could help your business, visit our websites: www.manchesterairport.co.uk (look for “doing business with us” in the “about us” section) www.mag-developments.com for property opportunities Or contact me directly on 0161 489 3690 or via email at andrew.harrison@manairport.co.uk.
THINK CHINA – ACT REGIONAL North West businesses are urged to make the most of emerging opportunities in China’s regional cities in a new report from UK Trade & Investment (UKTI) and the China Britain Business Council (CBBC). China is well established as a priority high-growth market, but traditionally UK companies have focused on a small number of large, established cities such as Beijing, Shanghai, Shenzhen and Guangzhou, overlooking the potential elsewhere. These established cities are now extremely competitive and medium and small companies may find it hard to break into the markets there.
However, a detailed research project undertaken by UKTI and CBBC in conjunction with the Centre for International Business at the University of Leeds, has identified 35 regional
cities in China offering great prospects for UK companies. This research looked at the 274 municipalities in China which have a population over 1 million and using factors such as economic size, growth rate and population reduced this to a list of 35 “regional “ cities, which were then further ranked in terms of their attractiveness for business activity and sector opportunities.
The cities range from Chengdu and Hangzhou, to Qingdao and Wuhan. The results show the regional cities all share rapid economic growth, low input costs, large and developing consumer and industrial markets, strong local government support and policy momentum in regional economic development.
The information can assist companies to target their efforts in China more effectively – and UKTI will be using the regional civic links we have
with cities such as Chengdu and Wuhan to build on this work and help companies do business in these regional cities.
The report outlines many specific opportunities for UK companies and contains 35 City Profiles and 7 Sector Profiles. It is available to download free of charge to customers who have registered on the UKTI website www.uktradeinvest.gov.uk select export, then China and choose “Opportunities in China’s Regional Cities”.
If you would like to talk to our specialist Asia Pacific team on doing business in China please call on 0845 603 7053 or e-mail to info@uktinorthwest.gov.uk.
EDM ARE FLYING HIGH WITH CHINESE AIRLINE CONTRACTS A Manchester company specialising in training and simulation equipment for the transport industry is proof that you can succeed in China’s regional cities, having recently established a successful partnership with the Xi’an Feibao Airport Equipment Company Ltd.
Thanks to the collaboration EDM Ltd, based in Newton Heath, have recently received orders worth over £500,000 to supply cabin and flight crew training equipment to China Southern, Xiamen Airlines and the Civil Aviation Administration of China Flight Training Centre. Feibao is based in Xi’an, in Shaanxi Province, rather than one of China’s traditional commercial centres, but is the country’s
market leader in the design and manufacture of flight crew simulators, giving EDM access to a major growth market.
EDM is one of only two companies worldwide with an agreement from Boeing to manufacture the new B787 simulators, so it made sense for Feibao and EDM to co-operate. The two companies have since signed a Memorandum of Understanding and, after consultations with the Feibao design team in China, EDM are now delivering the first orders for the trainers for both the Boeing B737, and B787 and also the Airbus A330.
Mike Bonney, Head of Sales and Business Development for EDM says, “We believe this is the start of an ongoing productive relationship with Feibao, and are now working with UKTI to investigate the possibility of setting up a joint venture in the future.”
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CHECK OUT CENTRAL EASTERN EUROPE Austria, the Czech Republic, Hungary, Poland and Slovakia form the heart of Europe and are all members of the EU. UK Trade and Investment has offices in each of the capital cities and their geographical closeness means that the staff all work together to form a unique team covering 5 countries, over 71 million people and 5 different languages. Younger generations in all the countries speak English, and there is easy and inexpensive access from the UK. Business visitors can easily cover the whole market in one trip, saving precious time and money. This Central Eastern Europe (CEE) region offers opportunities in all sectors but British quality
CZECH REPUBLIC
• Combined trade with the UK is £4.9 billion (2008) • There are over 500 UK companies already in the Czech republic. Amongst others there are opportunities in engineering, education and training, food and drink, ICT, science & innovation and technical textiles, environment and power • Companies like Rolls Royce, Mott Macdonald, BAE, Crown Relocations and Logica have based their Central European HQs here Email: tradeinvest.pragc@fco.gov.uk Website: www.ukinczechrepublic.fco.gov.uk
products and services are particularly welcomed and are highly thought of. In past years co-operation between the five country offices has resulted in events covering “British Eveningwear, Cocktail dresses and Ballgowns”, “British Ethnic and Convenience Foods” and “British Providers of Education and Corporate Training Services”, enabling many UK companies to showcase their products and services to a wide audience of interested companies in Central Europe all at one time.
HUNGARY
• Combined trade with the UK is £3.4 billion (2008) • UK companies already active in Hungary include Tesco, Vodafone, GSK, Astra Zeneca, BAT, CP Holdings, Provident Financial, Shell, BT, Aviva, Ernst and Young, HSBC Credit, Diageo and Unilever • The main business opportunities lie in the automotive, education, environment & green energy, food & drink, life sciences, railway infrastructure development and urban regeneration sectors Email: Commercial.Budapest@fco.gov.uk Website: www.ukinhungary.fco.gov.uk
POLAND
• Combined trade between the UK and Poland in 2008 was £7bn, with exports from the UK 24% up on 2007 • There are sector opportunities in construction, engineering, transport infrastructure, rail, consumer goods, power, food and drink, water, environment, financial services, education and training, security and many more • Infrastructure development is underpinned by EUR 67bn in European funding in the current round of programmes. Good business opportunities also arise from Poland's hosting of the Euro 2012 football championships • Tesco is Poland's biggest UK investor by value but there are many other big UK names including HSBC, Cadbury, GSK, Pilkingtons, Provident, Aviva (Commercial Union), Castorama (B&Q), BP, Shell, and Unilever Email: warsaw.commercialsection@fco.gov.uk Website: www.ukinpoland.fco.gov.uk
SLOVAKIA AUSTRIA
• Combined UK trade with Austria is over £3.6 billion (2008) • Sector opportunities: clothing and footwear, food and drink, automotive, environmental, biotech and life sciences, financial services, aid funded business and education • Vienna is home to the following International Organisations (UN/UNIDO/IAEA/CTBTO) • There are over 100 UK companies in Austria including BP, Reed Messe, AstraZeneca, GSK, Bodycote, CSM, HSBC and RBS • Vienna also has the CEE HQs of some 350 international companies Email: commerce@britishembassy.at Website: www.ukinaustria.fco.gov.uk
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• Combined trade with the UK over £2 billion (2008) • UK companies in Slovakia include Tesco and many companies that are not known as being British-owned: Piestany spa, Aquacity in Poprad, Air Slovakia, the publisher of Pravda, the Profesia job portal and Provident Financial • Others include BAE Systems, AMEC, GlaxoSmithKline, HSBC, Next, Marks & Spencer, Allen & Overy, Linklaters and Tate & Lyle • Opportunities for UK companies exist in the automotive sector, business services and also electronics, ICT, nano-technologies and research & development Email: commercial2@fco.gov.uk Website: www.ukinslovakia.fco.gov.uk For advice on accessing all of the markets, contact the North West International Trade Team on 0845 603 7053
THE BALTICS -YOUR NEXT EXPORT MARKET? The three Baltic States – Lithuania, Latvia and Estonia are located on the Eastern border of the European Union, and in recent years have been among the fastest developing countries in Europe. Economic growth was approximately three times higher than the EU average – the three Baltic Tigers roared. Naturally, the recent economic slowdown has had an impact, yet open and flexible economies and membership of the EU, WTO and NATO still makes the Baltics an attractive destination for business. The Baltics are also more manageable for smaller companies not yet ready to pursue opportunities in countries such as the USA or China.
A major stimulus to the Baltic economies has been EU structural funds. EUR 10.6 billion will be channelled to businesses in Lithuania, Latvia and Estonia by 2013, and there are opportunities in several sectors. Some of them – such as ICT – are fast growing. Others, like public-private partnerships, need further exploration, but offer attractive opportunities for the future.
HIGHLIGHTS OF BUSINESS OPPORTUNITIES IN THE BALTICS
TIPS FOR LEADS TO THE BALTIC MARKET
• Reconstruction and expansion of the Riga Airport in Latvia (projected investments of EUR 270m) • Closure of the Nuclear Power Plant in Lithuania and planned construction of a new one (projected investments of EUR 58bn) • Funding priorities for waste management, energy from waste, and energy efficiency projects • Strong emphasis on life-long learning – EU financial support for Lithuanian, Latvian and Estonian companies to train their employees will amount to EUR 212m by 2013 • UK universities, colleges and other higher education institutions are desired partners in joint projects due to their excellent reputation and quality • Support for innovative and R&D companies - EUR 233m will be allocated for businesses directly related to R&D in all three Baltic states by 2013 • Regeneration of industrial zones • Development of ICT infrastructure
LANGUAGE. English language is considered the business language in the Baltics E-MAIL. This is the best way to approach the companies in the Baltics
ACTION. Companies in Lithuania, Latvia and Estonia are often slow in responding, thus follow-up by e-mail or telephone is essential DRESS. Business is conducted in a fairly formal manner and smart appearance is important
SCHEDULE. Business appointments should be made in advance and specific proposals with details are expected
For more information, please contact: Laura Lescinskiene (laura.lescinskiene@fco.gov.uk), Senior Market Adviser, UK Trade & Investment (British Embassy) in Vilnius
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MARKETING SCHOLARSHIP MAKES DREAMS COME TRUE IN THE STATES With a population of over 300 million, a GDP in excess of $12,500 billion, and an export market worth approximately £57bn to the UK in 2007, North America holds obvious attractions for exporters. North America is also the leading overseas destination for British investment, and British firms hoping to do business in the USA face fewer language and cultural barriers than in many markets.
The US economy is integrated and largely self-contained, with every major industry represented, and British goods have traditionally enjoyed a good reputation for quality there. And companies and individuals can maximise their opportunities in America with the US Marketing Scholarship Programme. UK Trade & Investment jointly funds up to 20 places a year on the two-week North American Marketing Programme at the prestigious J L Kellogg School of Management, Chicago.
Over the last three years 60 UK companies have attended the Kellogg School, representing a wide range of sectors from civil engineering software, blood transfusion products, digital software and bespoke surgery solutions through to manufacturers of environmentally friendly coffins.
UK Trade & Investment is one of three sponsors of the programme, along with The Ellis Goodman Foundation, based in Chicago, and British Airways plc.
The programme pays for senior executives from UK SME’s to attend a week-long marketing course at the Kellogg School. The five-day course is followed by a one-week attachment to an American firm to see how US companies market their goods first hand.
This innovative scheme helps British businesses understand the importance of effective marketing in the USA, enabling them to improve their business there by developing a realistic strategy.
This year alone UKTI has committed £80,000 to ensuring as many students as possible can take advantage of this unique opportunity. The remaining costs are generously subsidised by the Ellis Goodman Foundation, and British Airways provides the return Business Class flights from London to Chicago.
Fred Bassnett, North America International Market Adviser for UKTI North West has chaired the selection committee for the programme and has personally interviewed hundreds of UK applicants.
He says, “In my opinion the business programmes at Kellogg are among the finest on offer in the world today. I have not met a single UK delegate who has not been enthused and inspired by their experience on the programme. “Not only did they learn about effective marketing, but they also had the chance to meet and network with the North American delegates many of whom work with huge global companies, and are undoubtedly the business stars and captains of industry of the future. “As well as demonstrating the need for marketing in a dynamic environment such as the USA, the course helps delegates identify the key issues that need to be addressed and helps them form strategies to enable their companies to succeed.” The course is run twice a year in Spring and Autumn – one course for applicants whose companies have a Business to Business focus, and one for companies with a Business to Consumer focus. Although the content is broadly similar the subtle changes ensure that the delegate understands clearly how to position their company to achieve a competitive advantage. To find out more about the Marketing Scholarship Programme and how to apply for it, please contact: 0845 603 7053
“I WOULD RECOMMEND IT TO ANYONE” One North West company that has benefited recently from the programme is Primasonics International Limited based in Penrith, Cumbria. Primasonics is a world leader in cutting edge Audio Acoustic Technologies used in the cleaning processes of large-scale industrial manufacturing plants. The company already successfully exports to over 40 counties Primasonics Marketing Manager, Heather Massey, has just returned from the Business to Business module which covers such topics as Customer Value Management, Market Segmentation, Positioning and Brand Management. Heather found the course extremely beneficial and believes the programme will help her implement a successful market entry strategy for the USA. She says,
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“I found the content really helpful for the work I am doing with Primasonics and have returned equipped with tools and methodologies to put my knowledge into practice. On a personal level this was an invaluable opportunity for me to meet and learn from world -renowned Professors and Tutors in such an impressive environment, and has given me a great insight into American business culture. I would recommend it to anyone.” Another business that was delighted with the support offered by the US Marketing Scholarship Programme is Optimum Training Limited. The Chester-based company, founded in 1994, provides first aid training to a range of high profile clients, and company founder and CEO Amanda Clarke thoroughly recommends the Kellogg programme.
She says, “When I read the outline for the Kellogg’s School of Management Marketing Scholarship I had second thoughts! As an entrepreneur I enjoy learning but have never been a fan of academic programmes. The outline appeared to be so academic that I began to question its value to me and if it would be worth my time and energy. However, from the very first session, I realised the content was practical, well researched, useful and eye opening. Some of the examples provided were not applicable to small businesses, but the underlying message is clear - you have to be creative. For anyone willing to keep an open mind, it’s very worthwhile investment, especially in these turbulent economic times. It has helped me reinvent my UK business as well as provided me with the knowledge, skills and confidence to launch our US business.”
MUSIC EVENT GOES DOWN A STORM IN THE USA The North American music industry is the largest in the world, accounting for 33% of global sales – which is why UK Trade & Investment is proud to work with a consortium of funding partners and organisers including AIM (Association of Independent Music), Merseyside ACME, NWDA, Arts Council NW, NW Vision and Media, Visit Liverpool and others to help the region’s bands and creative businesses visit this vibrant market. This year, UKTI was able to take 17 companies to North America to participate in showcases and organised business meetings in Canada at Canadian Music Week (CMW). 2009 also saw the introduction of an optional programme to take in two days of intensive meetings in New York before moving on to Austin, Texas for SXSW (South By South West), the most prestigious music industry event in the USA.
With showcase project manager David Pichilingi at the helm again, the cream of the region’s music talent were able to perform under the growing and collective brand of “Liverpool Sound City – best of the North West” to a packed showcase audience at the British Music Embassy at Latitude 30 just off Austin’s famous 6th Street hub. This collective of talent including The Whip, The Hot Melts. Wave Machines, The Lost Brothers and Polly Mackey & The Pleasure Principle, delivered another fantastic event which is becoming one of the main attractions of the British programme at SXSW.
UKTI involvement from the North West team has been very hands on, with Karen Holden, Sector Lead for the Creative Industries, working closely on all aspects of the mission. All businesses attending have found this to be an excellent way of meeting and doing business, not only with US based contacts, but with companies from all corners of the globe. Robin Houseman from Amplisound studio said “The experience was fantastic some great contacts were made and further negotiations are taking place.”
Oisin Leech from “The Lost Brothers” said “We are most grateful to UKTI, Dave Pichilingi and Merseyside ACME for the support given. From the SXSW mission we have made very valuable contacts. The Liverpool showcase at the British Music Embassy was excellent because that is where we met with key industry players.” Karen Holden adds, “It is wonderful to be able to work with all the different creative industry organisations in the North West who supported this mission and provided real business opportunities for independent record labels and music studios in the region. This mission – as well as being fantastic fun – has helped generate many thousands of pounds worth of new business, all adding to the vibrancy of the North West Economy.” For more information please contact Karen Holden, Sector Lead for the Creative Industries Karen.Holden@uktinorthwest.co.uk
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One Piccadilly, Manchester
INWARD INVESTMENT BRINGS OPPORTUNITIES FOR THE NORTH WEST THE NORTH WEST REMAINS A LEADING REGION FOR FOREIGN DIRECT INVESTMENT INTO THE UK Figures released nationally in June by UK Trade and Investment (UKTI) and regionally by The Northwest Regional Development Agency (NWDA) show that the number of inward investment projects secured in the North West over the last financial year has risen to the highest recorded number for the region, despite the difficult economic conditions. The North West has attracted 176 investment projects during 2008/09, an increase of 21 projects on last year and an increase of 64 projects on 2006/07.
The number of jobs created/safeguarded remains strong too, with significantly higher figures achieved compared to 2006 and 2007 levels, although a lower total compared to the record achieved last year. Despite securing more foreign direct investment projects this year, there has been a trend for these projects to be smaller in size. Overall the figures far exceeded expectations.
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From the 176 investment projects, 11,436 jobs have been created or safeguarded, an increase of 4,000 on the 2006/07 totals, but 3,000 less than the record breaking figures achieved during the buoyant economic landscape in 2007/08.
Foreign Direct Investment (FDI) plays a very important part in the North West economy. A study by DTZ for the NWDA in 2008 highlighted the value and significance that FDI has in our region. The report found that over 17% of regional gross value added (GVA) is accounted for by foreign owned companies operating in the North West and that economic output per worker is almost 50% higher in foreign owned companies compared to the regional average. Steven Broomhead, NWDA Chief Executive, said:
“These figures are a real lift from the gloomy stories that have filled our media during this difficult global economic downturn. FDI remains a fierce competition and we should be proud of the work of our investment teams across the North West and promote this good news as much as we can to encourage a culture of business optimism for the year ahead.
“The NWDA continues to work with UKTI and partners across the region and overseas to develop the international competitiveness of the North West and we shall continue to focus our efforts on good quality foreign investment. “We are delighted at the figures this year, particularly given the economic conditions, but we are remaining realistic and we know that the year ahead will be challenging and we should be prepared for this. However, I am confident that we are seeing some seeds of growth and we should all remain optimistic and prepare for the upturn now.” The collaboration between UKTI, the NWDA and sub-regional partners, including The Mersey Partnership, MIDAS, Lancashire Economic Partnership, Cheshire & Warrington Economic Alliance and Invest in Cumbria, has contributed to the impressive figures.
The NWDA continues to play a crucial role in response to the current economic downturn, with a number of actions being taken to meet the needs of businesses during these challenging times. To keep updated on the range of support being offered by the NWDA visit: www.nwda.co.uk/supportingbusiness
NATIONAL PICTURE
Nationally, over the last financial year (2008-09), foreign direct investment in the UK has risen, with 1,744 investment projects locating and expanding here. Every day, five new foreign direct investment projects make the decision to locate in the UK. Despite some of the most difficult economic conditions for generations, the UK maintains its position as the number one destination for foreign investors in Europe, and second in the world. Business Secretary Lord Mandelson, said: “What the UK has to offer is one of the best and most productive investment climates in the world. At a time when companies across the world are tightening their belts and focusing their investment in the sectors and countries where it will bring the most benefit, these results are testament to the fundamental strengths of the UK’s economy and will prove our ability to come through this downturn stronger, and ready for success.”
Old Hall Street, Liverpool
Minister for Trade, Investment and Business Lord Davies, said: “International trade and investment is vital to the long term economic health of the UK. Today's results illustrate strong international confidence in the UK economy and the contribution of this investment will be critical to our ability to compete and succeed as a country in the future.” Sir Andrew Cahn, Chief Executive of UKTI said: “Investment is a significant, expensive and long-term decision for every company. UKTI plays a key role in supporting the best international companies to invest in the UK and the economy is reaping the rewards. “True, the climate remains tough and the competition remains strong. We need to work even harder to stay a global destination of choice. We are committed to ensuring the UK remains the best place to start and grow your international business – both for foreign investors, and our home grown businesses.”
The UK is seen as an attractive commercial destination by more nations than ever before. This year 53 countries have invested in the UK, with investment projects from India increasing by 44% in the past year to become the UK's second largest source - 108 FDI projects. The USA remains the first source of investment which this year rose by 30% to 621 projects. Other nations providing increased investment into the UK this year were Italy (up 45%), France (up 15%), Canada (up 25%) and The Gulf (up 25%). Investments this year created over 35,000 new jobs in the UK (over 78,000 jobs created or safeguarded). In the past six years over 215,000 new jobs have been created due to inward investment projects (almost 500,000 jobs created or safeguarded). Investment increased across a range of sectors such as advanced engineering, the creative industries, software computer and other business services - and the financial services.
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PRACTICAL SUPPORT AND OPPORTUNITIES IN THE ENVIRONMENT SECTOR AT LEAST A TENTH OF THE UK ENVIRONMENTAL INDUSTRY’S £25BN ANNUAL TURNOVER IS THROUGH EXPORTS
ENVIRONMENTAL INDUSTRIES SECTOR UNIT
The Environmental Industries Sector Unit (EISU) is the UK Trade & Investment unit responsible for promoting the UK environmental industry overseas. Businesses can visit our website www.uktradeinvest.gov.uk and register with our database of UK suppliers of environmental goods and services to: - help promote their company capabilities overseas. - view opportunities in the environment sector, including a series of major reviews of opportunities for goods and services, renewable energy, carbon finance and CATs (excluding nuclear) for Australia, Brazil, China, India, South Africa, Turkey and the USA
THE LOW CARBON FUTURE
While environmental impact is driving a shift in our energy consumption practices, business and governments worldwide are also realising major economic benefit from adopting low carbon business practice.
Demand for climate change solutions is growing thanks to continued political support for emission targets and a demand for smarter, more sustainable development solutions.
The UK is at the forefront of this low carbon thinking, providing ground-breaking technical expertise on environmental and carbon reduction projects worldwide. Our combination of industrial expertise, scientific excellence and innovation is ensuring UK companies have a competitive advantage in the global marketplace.
To capitalise on our credentials, UKTI is developing a UK Low Carbon International Marketing Strategy that aims to position the UK as a global hub for low carbon expertise. The strategy takes a holistic view of low carbon and the UK’s application of leading practice throughout the economy – from the way energy is generated, transported and consumed.
CLIMATE CHANGE PROJECTS OFFICE – HOW IT CAN HELP YOUR BUSINESS
The UK Climate Change Projects Office (CCPO), working in partnership with UKTI, promotes UK private sector involvement in projects under the Kyoto Protocol and wider carbon market services. CCPO runs a programme of trade missions to help businesses keep up to date with the development of climate change projects worldwide. It also disseminates information on projects and opportunities in the carbon market to an extensive mailing list in the UK. CCPO has recently helped Wirral-based Viridian Systems, a specialist environmental engineering company working in the landfill sector, to enter the carbon market by advising on the Clean Development Mechanism (CDM) project financing and carbon trading. Viridian has recently identified a number of landfill project opportunities under the CDM in Latin America. CCPO’s Annual Report 2008/09, which outlines the work of the office and contains forthcoming events, can be downloaded at www.berr.gov.uk/files/file51686.pdf If you think CCPO can help your business or to request mailings then please contact: Vicky Elliott, Head of CCPO - 0207 215 1608 or Oliver Sinclair, Business Engagement Manager - 0207 215 1837 ccpo.enquiries@berr.gsi.gov.uk www.berr.gov.uk/whatwedo/sectors/ccpo
FOR FORTHCOMING NORTH WEST EVENTS IN THE ENVIRONMENT SECTOR PLEASE REFER TO THE LIST ON THE BACK PAGE 10
Z-PARK REPRESENTATIVES EXPERIENCE THE BEST OF THE NORTH WEST The Northwest Regional Development Agency (NWDA) recently hosted a week-long visit of two representatives of Zhongguancun Science Park (Z-Park), Beijing, bolstering the business relationship between the North West and China. Tom Zhu Ziqi and his colleague Ann Hongli (pictured) made the trip to find out more about the North West, visiting all five sub-regional partners, MediaCityUK and Daresbury Science and Innovation Campus. Z-Park originated from ‘Electronics Street’ in Beijing in the early 1980’s and grew, with approval of the Chinese Government, into the first national science park in China. Now with nearly 20,000 high-tech enterprises and approximately £60bn in revenue, Z-park has become China’s Silicon Valley. The NWDA has entered into a contract with an affiliate of Z-Park to make the most of his links with major high-tech companies in China. Historically, the North West has been successful in attracting investment projects from China, and the relationships built during the visit will help secure higher quality business leads and investment.
Mark Hughes, Executive Director, of Economic Development for the NWDA, said: “The NWDA has selected Tom and Ann to develop leads for the North West and to work closely with the Agency’s Country Manager for China, Jing Chen. Jing has been “embedded” into UKTI’s China Team to further build on the strong links that exist there. The aim of this work is to ensure we develop more high-tech projects from China for the region.” The visit follows the announcement of Liverpool’s commitment to host a dedicated pavilion at The Shanghai World Expo in China in 2010. The Shanghai World Expo runs between May 1 and October 31, 2010, and will attract around 90 million visitors. It is regarded as a once-in-a-generation opportunity to consolidate existing relationships and forge new ones in the world’s most important emerging economy, and is predicted to deliver up to £50m in benefits to Liverpool and the North West over the next decade.
Tom Zhu Ziqi, said: “This visit has added an extra dimension to our knowledge of the North West. We already knew the basics about what was on offer to potential investors, but coming over and seeing the high quality of the potential investment locations, business support and quality of life that is on offer has really impressed us. We will be taking this all back to Z-Park. I am excited about presenting the North West to companies in Beijing and hopefully generating some exciting projects for the NWDA and the region.” The trip is part of a long term strategy developed by the NWDA and UKTI to further develop both inward investment and trade links. It follows a recent review of services by the two bodies aimed at improving services and making their overseas operations more efficient. Though largely positive, the review also concluded that more could be done to strengthen existing arrangements and improve coordination between the two bodies. As a result UKTI will now lead the integrated overseas network.
Liverpool is the only UK city which has committed to a dedicated pavilion at the event. Its presence, funded by £1.25m from the NWDA, is being managed by a partnership led by Liverpool City Council and the Liverpool-Shanghai Partnership, supported by Liverpool Vision and the NWDA.
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MARKET VISIT OPPORTUNITIES While diligent research and long distance communications can get you so far, there is no real substitute for visiting your chosen market in person. In particular, taking part in market visits is an effective way for you to test markets, explore customers, appoint agents or distributors and even make sales.
UK Trade & Investment in the North West offers a wide range of supported market visits, helping the region’s businesses continue to build knowledge, contacts and sales in key growth markets. As well as many sector-specific market visits e.g. the visit to Medica (Thailand) in September 2009, there are several major multi-sector opportunities coming up in Autumn / Winter – including a visit to Hong Kong and Southern China in October 2009, Dubai and Qatar in November 2009 and India in February 2010 (exact dates to be confirmed).
DUBAI AND QATAR, UAE – NOVEMBER 2009 The United Arab Emirates (UAE) is the UK’s 9th largest export market in the world, and over 85% of UK-UAE trade is conducted through Dubai and the Northern Emirates.
HONG KONG AND SOUTHERN CHINA – OCTOBER 2009 Whilst the size and growth rate of the Mainland China market offers excellent opportunities for UK businesses looking to internationalise, approaching this market directly can be a daunting prospect. Hong Kong provides an attractive alternative as an indirect route into Mainland China.
This visit will continue to build on the success of previous market visits, and will also be timed to coincide with the Eco Expo Asia in Hong Kong. The visit is an excellent opportunity for companies from all sectors to explore new opportunities in the region, building upon the existing links developed between the North West and China.
Building on the high levels of interest shown by companies in this market both through previous multi sector missions and through sector specific activity such as Arab Health, Gitex and Gulfood, this multi-sector mission will be timed to coincide with the Big 5 Construction exhibition the largest trade show for the construction industry in the Arabian Gulf. (www.thebig5exhibition.com) Also based on company interest there is a potential for the visit to be extended to include Qatar. Contact : Sandra.Thornber@uktinorthwest.co.uk
MEET THE BUYER – CHEMICALS, MARCH 2010
The chemicals sector is by far the biggest exporter in the region, accounting for nearly £8bn last year. As such it is fitting that the current programme of Meet the Buyer events should finish on a high note with a major event in March 2010 focused on that industry and aiming to attract buyers from across Europe as well as a range of markets elsewhere including India, Brazil and the Middle East. The last Meet the
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India is the UK’s 18th largest export market, and its second largest export market in the developing world after China. India’s economy is one of the fastest expanding in the world, with a rapidly expanding consumer class. The UK has strong ties with India, and UK companies are well positioned to take advantage of this growing export and investment market. This mission to India in February 2010 will continue to build on the success of previous multi sector market visits and sector focused events. As in recent years, the North West International Trade Team will aim to co-ordinate with other UK regions, giving a much larger impact for UK companies.
Contact : Philomena.Chen@uktinorthwest.co.uk
...AND IN THE UK
INDIA – FEBRUARY 2010
Contact : Barbara.Singleton@uktinorthwest.co.uk
Buyer event held in this sector 3 years ago attracted nearly 30 overseas buyers and generated some £1.5m business for North West companies. The industry is one that is holding up well in the current economic climate and we are very optimistic that the March event will provide a valuable opportunity for similar success. The exact date and venue are to be confirmed, but the event will take place in March 2010. To register an early interest or to request details when available, please contact Trisha.Francis@uktinorthwest.co.uk
SPEAKING THE SAME LANGUAGE? EXPORT COMMUNICATIONS REVIEWS CAN HELP GET YOUR BUSINESS MESSAGE ACROSS Are you about to tackle a new and unfamiliar market? Are you launching a new product overseas? Are you thinking of updating your website or marketing literature?
In these situations, exporters almost certainly come up against language and cultural challenges, and tackling them properly could make the difference between success and failure. Fortunately, help is at hand. Nearly 2,000 companies across the UK (177 in the North West) have benefited from UK Trade & Investment’s Export Communications Review (ECR), a service that helps companies review how they communicate with overseas clients. So far businesses that have undertaken the ECR have reported an average increase in business of £90,000*`.
Exporters know it is important to get the right message across in the right way, whether to their overseas customers, agents or distributors. The challenge they face is not only to make themselves understood, but also to act and to think in a way that overseas customers will respond to positively. This is equally important for English-speaking countries as well as for non-English speaking markets. Drawing upon years of practical experience, an export communications consultant will conduct an in-depth discussion of a company’s current export activities and experiences in order to identify the occasions where language and cultural barriers might arise. Companies then receive a report, tailored to their individual needs and capabilities, highlighting the strengths and weaknesses of their current communications – whether on websites or in marketing literature, printed instructions or labelling. They can even advise on employing bilingual staff or training reception staff in how to handle overseas calls.
The report includes practical recommendations to overcome any weaknesses both now and in the future and suggests organisations that can provide the solutions.
Participants say that the Export Communications Review has increased confidence not only to build relationships with existing overseas customers and international business partners, but also to tackle new markets once considered too difficult. They say the review has provided them with the wherewithal to meet local competition on their own terms and helped improve export sales and profits.
The Export Communications Review costs £500 + Vat, however companies with fewer than 250 employees may be eligible for a UK Trade & Investment subsidy of £350 towards the cost of the review.
Contact the British Chambers of Commerce on email ecr@britishchambers.org.uk, phone 024 7669 4484 or visit our website at www.britishchambers.org.uk/ecr *UKTI PIMS survey (2008-2009)
ECR WINS NEW BUSINESS FOR W. HOWARD & CO.
Family firm W. Howard & Co., based in Astley, has benefited from an Export Communications Review, which helped it to successfully internationalise it’s website, translating it into French, German, Spanish, Polish, Russian and Dutch. Despite being established over 50 years, the company’s approach to exporting was reactive, and overseas sales formed a very small part of the company’s turnover. The company, who makes MDF mouldings such as architraves and cornices, was introduced to UK Trade & Investment by the Manchester Chambers of Commerce and signed up for the flagship scheme for inexperienced exporters, Passport to Export. As a result it decided to undertake an Export Communications Review to help it communicate effectively with it’s chosen markets. It worked closely with ECR adviser Alexandra Parker, looking at every aspect of their overseas communications operation. W.Howard & Co. has since visited Belgium, where the company secured an exclusivity deal with one major customer, and the firm has also won significant business in Holland. Director of Operations Graham Williams says, “We are slowly growing our export business and hope that it will eventually make up 5% of turnover. We found the ECR useful as we had not previously given much consideration to our overseas communications, and translating the website has given it a much more international appeal.”
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CELEBRATING SUCCESS IN THE NORTH WEST MEET THE REGION’S WINNERS PASSPORT TO EXPORT SUCCESS More worthy winners took to the stage at the annual Passport to Export Awards in February. Five county accolades are awarded to North West companies celebrating overseas success following on from participation in the UKTI Passport to Export Programme.
Lytham company Performance Springs Ltd won the Lancashire trophy, while manufacturers of quality catering counters, Counterline, was the victor in Merseyside.
The Cheshire award went to stewarding and training company ESTC, which has achieved a massive increase in overseas trade, winning contracts for two FIFA competitions - the 2009 Confederation Cup and the 2010 World Cup in South Africa. Kendal company K2 Media – specialists in mobile phone entertainment - won the prestigious Cumbria Award and the Greater Manchester Award went to Leighs Paints, who was also crowned overall winner for the North West. Leighs Paints worked closely with International Trade Adviser Charles Jacobson and used the Passport programme, as well as further UKTI help with research and communications,
CHEMICAL AWARDS SPARK EXCITEMENT FOR HOCKLEY INTERNATIONAL
Over 270 chemical industry professionals convened at the Manchester Hilton in May to celebrate the inaugural Chemicals Northwest Awards.
Despite the current economic climate, the chemical industry has sustained its rank as the North West's number one exporter, making the region top in the country for chemical exports. and UKTI sponsored the evening’s prestigious award for International Trade.
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to develop comprehensive entry strategies for traditionally difficult markets like Germany and Canada. Handing out the awards at the ceremony, UKTI’s International Trade Director for the North West, Clive Drinkwater, said, “All our winners represent great success stories, but Leighs Paints is a worthy overall winner of the Passport to Export Awards, and shows how, with determination and the right help, a company can go from being passive exporters, responding to occasional demand, to a highly focussed global operation, able to take advantage of the many opportunities that international markets offer.”
Hockley International of Poynton, which manufactures pesticides for agricultural, veterinary use and environmental health scooped the award. Hockley exports to over 90 countries worldwide, and beat off stiff competition due to it’s dedication to product quality and adherance to stringent regulations. It also employs multilingual staff to gain access to markets such as South America and Africa.
MD and founder, Frank Howard says, "In such challenging times, we are extremely proud of winning the International Trade Award. It is a testament to what we have achieved and I am delighted to be celebrating our 30th anniversary this year."
HAPPY NEW YEAR FOR THE CHINA AWARD WINNERS The winners of the Greater China Business and Recognition Awards were announced at the North West of England Chinese New Year Dinner, held at Haydock Park Racecourse, Merseyside on Thursday, 5th February 2009. The awards were also supported by Finnair, which provided flights as a prize for the winning companies.
The overall Recognition award was won by Manchester Metropolitan University, who has developed strong links with mainland China via the EU China Management Exchange and Training programme at MMU Business School and which has successfully implemented a number of other initiatives.
Blackburn firm Tensar International Ltd, (pictured) which provide soil reinforcement and ground stabilising solutions for the civil engineering industry, won The Greater China Business Award. The company has gone from zero sales in China in 2006 to sales of over £10 million last year, thanks to it’s commitment to joint research and development solutions and management exchange visits with China. Philomena Chen, Head of Asia Pacific Development for UKTI said,
“There was an outstanding level of entries for the awards, and the winners are the companies who have showed the most evidence of a commitment to the market and who have successfully expanded their business in, or forged links with, mainland China, Hong Kong or Taiwan.”
ENCOURS MAKES THE MOST OF OPPORTUNITIES IN DUBAI Management training company EnCours is enjoying success in Dubai having followed up an opportunity advertised on the UK Trade & Investment website. EnCours provides management development training and business consultancy services to SMEs in the UK and abroad, designing each course according to its clients’ needs, with popular workshop topics, which include project management, leadership skills, and sales and marketing. EnCours founder Mike Shea says,
“We signed up on the UKTI website for e-mail notification of requests from abroad for our type of services. Quite soon afterwards a request was posted for management training consultants wanted by a telecommunications company in Dubai, Etisalat.
“The contact at the British Embassy told us to e-mail the Director in Etisalat with our proposition, which we did. We then had second thoughts about the day rate we quoted, and the Embassy advised us to phone the Director of the company ourselves. We did this and established what their expectations of fees were. Later we were asked to submit an example of work we had done, and some programmes for a couple of courses.
“We were then asked to run two courses, which we did in November, and we hope to get more business from Etisalat this year. The icing on the cake was that I established a good contact with a fellow passenger on the plane with whom there is a chance of doing more business in the UK and Dubai. We owe this success entirely to UKTI, it’s e-mail alert service, and the helpful staff in the Embassy.”
A SECOND WIN FOR EVANS VANODINE AT THE BIBAS Preston-based Evans Vanodine celebrated it’s second triumph in the International category at the prestigious Be Inspired Business Awards (BIBAs) in Blackpool. It previously picked up the award in 2007, and it’s successes have kept on coming. Evans Vanodine now exports to over 60 countries worldwide, and is riding out the recession thanks to a robust international trade strategy, which allows it continue expanding despite the economic climate. The company has longstanding links with UKTI, commissioning on average two Overseas Market Introduction Service (OMIS) reports each year to further it’s overseas ambitions.
REGISTER AT WWW.UKTRADEINVEST.GOV.UK TO RECEIVE DAILY SALES LEADS DIRECT TO YOUR INBOX
If you haven’t already registered on UKTI’s website, register your UK-based business now at www.uktradeinvest.gov.uk to receive timely free Business Opportunities, across all sectors and in over 100 markets in your email inbox. Once registered, set up your profile and be alerted on a daily, weekly or monthly basis when new business opportunities are published. Over 400 Business Opportunities are published each month and range from market pointers to private sector opportunities, multilateral aid agency tenders to public sector leads. There are the 5 types of opportunity: 1. Specific Private Sector Opportunities Non-UK buyers in the private sector looking to source goods/services from the UK 2. Joint Venture, Invest, Co-operative Partnering Opportunities Companies seeking opportunities for manufacture under licence, contracting, licensing of intellectual rights, patents, trademarks, joint ventures, sales of businesses and franchises 3. Tenders/Public Sector Opportunities Public and private tender opportunities, including invitations to prequalify 4. Multilateral Aid Opportunities Aid projects being funded by organisations such as the World Bank, Asian Development Bank and the EU 5. Market Pointers Early notification of potential opportunities, eg a major construction site Next steps Contact details are available on each published Business Opportunity and our in-market staff can provide advice and guidance to help you win that contract!
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CALENDAR OF EVENTS, EXHIBITIONS & MARKET VISITS SEPTEMBER/OCTOBER 2009
18-22 OCTOBER 2009
25-28 JANUARY 2010
NORTH WEST MARKET VISIT (FINANCIAL & PROFESSIONAL SECTOR) Czech Republic
NWDA DIGITAL SECTOR MISSION TO GITEX Dubai, UAE
NWDA SECTOR MISSION TO ARAB HEALTH Dubai, UAE
SEPTEMBER 2009
27-30 OCTOBER 2009
FEBRUARY
TRADE VISIT TO MEDICA (THAILAND)
ENTSORGA-ENTECO, ENVIROLINK NORTHWEST STAND AND NWDA SECTOR MISSION Cologne, Germany
NORTH WEST MARKET VISIT (MULTI-SECTOR) India
SEPTEMBER 2009 (TBC) ENVIROLINK NORTHWEST TRADE VISIT TO ISTANBUL Turkey
9TH SEPTEMBER 2009 AID FUNDED BUSINESS SEMINAR Manchester United Football Club, Manchester
17-18 SEPTEMBER 2009 INWARD FOOD BUYERS/COMMERCIAL OFFICER FROM BELGIUM Manchester
23 SEPTEMBER 2009 BALTICS EVENT - MEET 3 COMMERCIAL OFFICERS FROM ESTONIA, LATVIA AND LITHUANIA St Helens Chamber of Commerce, Merseyside
28-31 OCTOBER 2009 ECO EXPO – UKTI TAP FUNDED EXHIBITION ENVIRONMENT, WATER, POLLUTION Hong Kong
NOVEMBER 2009 UKTI ENVIRONMENT & WATER TRADE VISIT Romania
NOVEMBER 2009 NORTH WEST MARKET VISIT (MULTI-SECTOR) Dubai & Qatar, UAE
4-6 NOVEMBER 2009 FIMAI Sao Paolo, Brazil
23-24 SEPTEMBER 2009
8-13 NOVEMBER 2009
NORTH WEST STAND AT MRO EUROPE (MAINTENANCE, REPAIR AND OVERHAUL) (AEROSPACE SECTOR) Hamburg, Germany
NORTH WEST MARKET VISIT (CHEMICAL SECTOR) Brazil
24-25 SEPTEMBER 2009
AERO ENGINEERING BUSINESS SUMMIT & EXHIBITION Manchester Central Convention Complex
ASIA PACIFIC ICT CLINIC WITH COMMERCIAL OFFICERS Daresbury, Warrington
28-30 SEPTEMBER 2009 TRADE VISIT TO SHOP EXPO (FOOD & DRINK SECTOR) Dublin
10-11 NOVEMBER 2009
18-21 NOVEMBER 2009
INFORMEX USA. UKTI TAP FUNDED CHEMICALS SECTOR San Francisco, USA
16-19 FEBRUARY 2010 NWDA DIGITAL SECTOR MISSION TO MWC Barcelona, Spain
21-24 FEBRUARY 2010 NORTH WEST STAND AT THE GULFOOD EXHIBITION Dubai, UAE
MARCH 2010 MEET THE BUYER, CHEMICALS North West Venue to be confirmed
2-5 MARCH 2010 SMAGUA Zaragoza, Spain
12-16 MARCH 2010 NWDA MUSIC SECTOR MISSION TO SXSW Austin, Texas, USA
23-27 MARCH 2010 GAMES DEVELOPERS CONFERENCE San Francisco, USA
NWDA SECTOR MISSION TO MEDICA Dusseldorf, Germany
22-25 NOVEMBER 2009
UAE ROADSHOW North West venue to be confirmed
BRITISH STAND AT THE NATIONAL BEER WHOLESALERS ASSOCIATION ANNUAL CONVENTION & TRADE SHOW Las Vegas, USA
OCTOBER/NOVEMBER 2009
DECEMBER 2009
NORTH WEST MARKET VISIT (MULTI-SECTOR) Hong Kong and Southern China
NORTH WEST STAND AT AEROMART (ENGINEERING SECTOR) Bordeaux, France
10-14 OCTOBER 2009
1-4 DECEMBER 2009
TRADE VISIT TO ANUGA (FOOD SECTOR) Cologne, Germany
NWDA SECTOR MISSION TO POLLUTEC, - POLLUTION TECHNOLOGIES Paris, France
30 SEPTEMBER 2009
16-19 FEBRUARY 2010
POWER-GEN Las Vegas, USA
FOR MORE INFORMATION AND TO ACCESS A COMPLETE PACKAGE OF PROFESSIONAL INTERNATIONAL TRADE SUPPORT SERVICES FROM UKTI CALL:
13-18 OCTOBER 2009
18-21 JANUARY 2010
THE NORTH WEST INTERNATIONAL TRADE TEAM
NWDA AUTO SECTOR MISSION TO EQUI-PART - SMMT LEAD Paris, France
NWDA SECTOR MISSION TO WORLD FUTURE ENERGY SUMMIT Abu Dhabi, UAE
0845 603 7053 info@uktinorthwest.co.uk www.uktradeinvest.gov.uk
13-15 OCTOBER 2009 CPHI WORLDWIDE. UKTI TAP FUNDED CHEMICALS Madrid, Spain
8-10 DECEMBER 2009