Exports to Africa and India have increased, according to a report compiled by Western Union Business Solutions. As small and medium enterprises look to move away from the uncertainty of the European countries, exports to Africa and India have risen.
According to the company’s monitor for international trade, exports to Africa by UK SMEs have increased by 6% in comparison with the previous three months. Exports to India have also increased, with a 4% rise. According to the chief operating officer at WUBS, David Sear, the report strongly indicates that UK SMEs are fighting against the effects of an uncertain Eurozone by moving away from the traditional markets. Sear added that SMEs appear to be moving towards past routes for trading, diversifying when presented with the European crisis.
Customers in other countries outside Europe also increased, with North American customers increasing by 4% and South America rising by 3%. The report may suggest that attempts by the government to encourage growth in exports are taking hold. According to Sear, the rise in exports outside of Europe is an indication of confidence in trading overseas. The Thames Valley Berkshire Local Enterprise Partnership chairman, Steve Lamb said:
“European markets have stagnated and show slow growth, so (companies should look) outside these countries towards places like India or Africa whose economies have grown despite the constrained conditions of the local economy.”
Businesses considering exporting to countries outside Europe may wish to consult with small business accountants for assistance in creating a financial strategy.