The message is clear. In the global economy,
increased trade means more jobs, higher incomes
and greater commercial opportunities for Atlantic
Canadians.
Did you know that exporting accounts for
one in three new jobs, and that each $1
million worth of exports sustains 8 to
11 full-time positions in our region?
Today, trade accounts for more
than 30 per cent of Atlantic
GDP. In fact, exports from our
region have more than
doubled in value since 1992 -from
$6.7 billion a year to
$13.5 billion.
This year alone, Atlantic
exports are expected to grow
by as much as 10 per cent.
While it's true that most of our
export commodities tend to fall
within the traditional resource
sectors, rapid growth is occurring
in the services sector.
Trade in financial services, computer and
information services, engineering, R&D; and
technical services has increased by more than 150
per cent since 1990.
What's more, Atlantic Canada's "global" presence is
steadily spreading.
The United States - particularly the Northeastern
region - remains our primary export market,
accounting for roughly 78 per cent of Atlantic
exports.
However our region's exports to markets outside
the United States have risen by 28 per cent in just
the past six years. Our businesses now sell, with
increasing confidence, around the world.
So, are we a region of traders?
Not quite. The fact remains that a few large
companies in Atlantic Canada dominate the trade
record: less than one per cent of firms account for
two-thirds of our total exports.
Yet, nearly two-thirds of all commercial enterprises
in our region are small- and medium-sized
businesses - of which only three per cent are
involved in exporting.
Atlantic Exports Atlantic Exports
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For many small- and medium-sized businesses,
the concerns about exporting seem intractable.
“It's too risky.” “It's too complicated.” “It's too
time-consuming.” “I'm happy where I am.”
Did you know that export-oriented firms,
according to research, are more productive, more
innovative and, therefore, more secure than their
non-export-oriented counterparts?
In fact, exporting brings many concrete, bottom-line
benefits to small- and medium-sized
businesses, such as increased sales, higher profits
and less dependence on traditional markets.
Then, of course, there's access to diversified
markets, new knowledge, experience and domestic
competitiveness, and global competitiveness.
But, perhaps most importantly in this day and
age of steadily expanding global opportunities,
the option to “stay at home” is rapidly becoming
no option at all.
Our region's comparatively small population
limits the quantity and quality of commercial
opportunities, which domestic markets can
produce. Quite simply, we need to export.
It's not as challenging as you may think. Just
remember, you are not alone. Help is not only
available - it's plentiful.
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successful exporting is something that should concern all small- and
medium-sized businesses in Atlantic Canada. In this global economy,
a strong and growing presence in international markets is a necessity
and has a direct and measurable impact on the bottom line.”
- Tommy Holmer, President
Profile: Located in Dartmouth, Nova Scotia, Swedwood manufactures
furniture for markets across Canada and the United States.
Percentage of revenue derived from exports: 75-80%.
Annual revenue range: $40-45 million (CDN).
Projected annual revenue range within two years: $60-70 million.
Projected percentage of export revenue within two years: 85%.
Total workforce: 185.
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For years now, the Atlantic Canada Opportunities Agency has been helping
small- and medium-sized business owners answer this very question.
You may be surprised to learn that four in ten ACOA clients are now selling
to export markets.
A full one-third of all our clients say they intend to increase exports as part of
their overall business strategies. Another 18 per cent say they plan to start.
Interestingly, the majority of companies in Atlantic Canada’s emerging
knowledge-based economy sectors, such as biotechnology and information
technology, are exporters.
Gauge your export readiness.
While there are exceptions to every rule, export veterans know that certain
factors make access to international markets easier, faster and less risky.
So start with an honest assessment of your firm’s export ability. Ask some key
questions to help frame your next move. Questions, such as:
- Is your product or service already available in the foreign markets you are targeting?
- Does your product or service possess a distinct competitive advantage?
- Have you undertaken any foreign market research?
- Are you committed to sustaining an export effort?
- Do any of your employees have experience in export markets?
Better yet, go online to www.exportsource.gc.ca for a free copy of A Step-by-Step
Guide to Exporting.
It’s a Team Canada Inc publication, endorsed by the Department of Foreign
Affairs and International Trade and only one of many information resources
available to you.
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The amount of information, tools and services available to exporters is
growing every day. By accessing the right services at the right time, you will
be in a better position to make your export venture a success.
If you are just starting out — or, in fact, are an experienced exporter
looking to expand — and need basic information and/or directions, the
following sources of export information will help:
If you are looking for information and intelligence about specific market
conditions and opportunities, go to:
For information about export financing, contact:
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Terra Nova Shoes Limited
our business really took off. Export markets provided us with a whole
range of benefits: flexibility, financial stability, job security and, of
course, a recognized track record. Without the ability to sell
internationally, we might never have developed certain niche product
markets that are now very important to us.”
- David Gill, General Manager
Profile: Located in Harbour Grace, Newfoundland, Terra Nova Shoes manufactures
footwear for markets across North America and Europe.
Percentage of revenue derived from exports: 95%.
Annual revenue range: $35-40 million (CDN).
Projected annual revenue range within two years: $50-60 million.
Projected percentage of export revenue within two years: 95%.
Total workforce: 200.
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opens up a whole new world of possibilities. With
the U.S. just next door, I can’t imagine companies
not considering an export program. However, it’s
still important to remember that the U.S. is a
different marketplace – with different rules,
regulations and cultures. To maximize your ability
to exploit the U.S. market, I would highly
recommend becoming involved in ACOA’s export
programs. They’ve helped us get a toehold in the
market and every advantage helps.”
- Catherine Karnes Munn
Profile: Headquartered in Fredericton, NB, the Catherine Karnes Munn Collection
markets the well-known artist's framed limited edition prints and other collectibles
to over 1,500 retail stores and manufacturers across North America.
Percentage of revenue derived from exports: 15%.
Projected percentage of export revenue within two years: 25%.
Total workforce: 35+ contracted sales rep network.
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