AGENDA ITEM NO 10
1.
REPORT TO:
Executive Board
REPORT NO:
CEDO/29/04
DATE:
30 November 2004
LEAD OFFICER:
Chief Economic Development Officer
CONTACT OFFICER:
Liz Rowlands, Business Advisor
(Tel: 01978 366366)
SUBJECT:
International Business Programme
WARD:
N/A
PURPOSE OF THE REPORT
The purpose of this report is to keep Members informed of progress on the Economic
Development Department’s International Business Programme that began in 2004 and
is designed to support competitiveness and diversification of local companies through
international co-operation and the development of the growing export markets.
2.
INFORMATION
(a)
Executive Summary
2.1
One of the substantial economic challenges facing the Wrexham area is to diversify the
local business base. This can be done by attracting different types of businesses to the
area, that would supplement and complement the businesses already based here. In
addition, to help local businesses to become more competitive and to diversify, the
Economic Development Department tries to encourage local firms to innovate in many
areas of their activities, including product design, development, production and sales. A
key area of this work is to encourage companies to explore and develop export markets.
2.2
The Economic Development Department’s International Business Programme aims to
attract investment and to support local firms interested in exploring export markets.
The programme involves the following six elements:
i)
ii)
iii)
iv)
an exhibition programme;
officer visits;
trade missions;
provision of business information;
v) providing facilities/accommodation; and
vi) participation in a EU Interreg IIIC project entitled Innofire - looking at medical
clustering.
2.3
This programme is a key element of the Economic Development Department Strategy
2004-2007 approval by Executive Board on 21 September 2004. It also helps the
Council to address the corporate priority of “Prosperous Business, a Skilled Workforce
and Regenerated Communities”.
2.4
The cost of the International Business Programme is estimated to be £60,000 over 4
years. The cost will be met from within the Economic Development Department’s cash
limited budget (supplemented from surpluses on contracts, sponsorship and/or grants
where possible).
Year
2004-2005
Comments
Officer visits and company trade
mission, travel, flights and
accommodation.
2005-2006
Exhibition in MK, stand rental,
flights, travel and accommodation,
officer visits, exhibition support
budget,
export
forum
development,
inward
trade
mission
2006-2007
UK exhibition for MK companies,
MK exhibition for UK companies,
stand rental, flights, travel and
accommodation, export forum
development, officer visits
2007-2008
MK exhibition for UK companies,
stand rental, flights, travel and
accommodation,
inward
and
outward trade missions, export
forum development, officer visits
MK = Markischer Kreis
Costs
£5,850
16,050
28,000
£10,500
(b)
Background Information
2.5
During the past 12 months, the Economic Development Department has worked closely
with existing agencies such as Wales Trading International, to raise awareness amongst
local businesses of potential export markets. In addition, it has developed economic
links with the Council’s partners in its twin town Markischer Kreis (and has also had
tentative discussions with partners in Racibôrz) to facilitate the internationalisation of
local businesses.
2.6
The International Business Programme, is a continuation and development of these
activities supplemented by participation in an EU-backed INTERREG IIIC project
called ‘Innofire’ - looking at medical clustering.
2.7
The strengthening of economic links with Markischer Kreis was sought by both
partners as a means of building on the extensive cultural and social links which already
exist. This was reported to Members at the meeting of the Executive Board in June
2004 (CEDO/13/04). Action to date includes:
December
2003

January 2004

February
2004
Visit to Wrexham from GWS (the Economic Development
Agency for Markischer Kreis) to discuss the development of
economic links between Wrexham and Markischer Kreis. This
included finding a partner for a German company Loos Pur
Technik.
 Visit to Markischer Kreis by officers to meet three German
companies seeking UK business opportunities.
June 2004


September/
October 2004
2.8
Special edition of Wrexham Profile that includes a biography of 3
German companies.
Official opening of “GWS-Office” in Wrexham the by Mayor,
Councillor David Rogers.
Visit from a German company Loos Pur Technik to Wrexham to
demonstrate an innovative system of maintaining drains and
sewers and to research potential UK markets.

Joint exhibition at NEC, Birmingham – TEAM Show 2004
attended by 2 Wrexham companies and 1 from Markischer Kreis.
 GWS presentation at the launch of the Export Forum and
Wrexham Business Week.
Given the long lead in time required to develop and exploit new markets, the Economic
Development Department is proposing to continue to build upon this initial work for a
further three years (reviewed annually) in order to allow significant time to assess the
impact of the programme. The key elements will include:
(a) Twin Town – Planned Activity
It is recognised that attendance at exhibitions and participation in trade missions to
markets are valuable tools when considering entry into overseas markets. This is on the
basis that it allows companies to:




assess the marketplace and its potential for their products;
have assess to potential competition in terms of price, quality, times etc;
generate contacts; and
engage in direct sales.
(b) Business Information
A wide range of business information will be made available free of charge via
Wrexham Library’s Businessline service. The library has an extensive range of
materials including reports, monographs and periodicals which will be of assistance to
German companies considering the UK market.
(c) Accommodation and Facilities
To allow overseas businesses to have a presence in Wrexham with a local address it is
intended to offer, on a reciprocal basis, an accommodation address (at Bersham
Enterprise Centre) which will provide the following:
 accommodation address with a PO box number;
 postage etc and mail forwarding-on service for companies registered with our
scheme;
 telephone message taking; and
 use of rooms on a limited basis for individual companies of up to 20 days per
calendar year.
Companies taking advantage of this programme will be vetted and credit checked. All
liabilities will rest with the companies concerned and all activities will be monitored.
(d) Export Forum
The Export Forum will be involved in the promotion, marketing and awareness raising
events of opportunities within Wrexham and Markischer Kreis as well as other
international business opportunities as they occur. The aim is to increase the
membership of the forum to exchange knowledge and experience.
(e) INTERREG IIIC Project
Wrexham (through Economic Development Department) has joined Markischer Kreis
in a transnational partnership for a EU Interreg IIIc project to develop cluster policy on
the medical sector. The project will aim to encourage the development of regional
economies based on knowledge and technological innovation in the Medical Sector and
the development of a regional framework to encourage medical clustering, and a new
transnational database of medical companies called MediMap. The medical sector is
seen as a primary growth sector, and one that Wrexham has the potential to develop as
agreed in the Council’s adopted Economic Development Department Strategy 20042007.
The Economic Development Department has committed 0.5 of a full time position, to
the project as match funding with support from the WDA’s Wales Innovation Relay
Centre (IRC) in St Asaph.. The IRC is providing match funding for the project in terms
of time and research already completed.
The cost of the Council’s involvement in the project is set at £48,311.68 and will be
made up from in-kind contributions of staff time over 3 years (with the project coming
to a close in November 2007).
3.
RECOMMENDATION
Members are recommended to recognise the importance of the International Business
Programme in helping local companies to become more competitive and to note the
continuation of the programme, for a further three years.
4.
BACKGROUND PAPER
None
5.
WEBSITE INFORMATION
None