Government looks to grow export business for SMEs
1 min read
The government has outline proposals to help SME manufacturers grow export business as part of a trade and investment white paper.
Plans include improving and expanding the trade finance and insurance products on offer to firms.
Ministers will also look to increase the UK Trade and Investment's focus on emerging markets through a new online service offering access to sales leads around the world.
And the government vowed to lobby European partners to radically improve the regulatory environment in the Single Market for SMEs. Targets include exempting SMEs from unnecessary EU regulation such as certain accounting requirements.
The paper also sets out a programme of EU Free Trade Agreements with key trading partners including India, Canada, Singapore, the South American Mercosur countries (Argentina, Brazil, Paraguay, Uruguay) and hopefully also Japan; ;
Business Secretary Vince Cable said: "Trade and inward investment are key drivers of growth – they are fundamental to rebuilding and rebalancing our economy. Improving the finance and insurance products that oil the wheels of trade, exempting SMEs from unnecessary EU regulation, an ambitious programme of Free Trade Agreements, finalising the Doha round – these are practical measures to help drive growth."
The EEF backed the white paper proposals. EEF Director of Policy, Steve Radley, said: "An export driven recovery will need improved access to finance, particularly for those companies looking to make greater inroads to faster growing and ultimately riskier, markets. If the private sector is going to generate the right type of growth through exporting, companies going after new contracts must have confidence that the finance and support to meet those orders is available."
John Cridland, CBI Director-General, said the measures will help UK firms compete with international rivals. He said: "The new Export Enterprise Finance Guarantee Scheme and other new forms of financial support are good news for business, and long overdue. They will help UK companies step up export activity which is vital to deliver private sector growth and drive the economic recovery."
