international update · 2020. 10. 13. · figap october 24 - 26, 2018 the ieda in conjunction with...
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INTERNATIONAL UPDATE
IOWA ECONOMIC DEVELOPMENT AUTHORITY — INTERNATIONAL NEWSLETTER SUMMER 2018
NEWS YOU CAN USENew ETAP and DTAP funding now availableThe International Trade Office (ITO) has state funds available through the Export Trade Assistance Program (ETAP) and Domestic Trade Assistance Program (DTAP). Both programs provide financial assistance to eligible Iowa companies to exhibit at foreign and domestic international trade shows for international marketing and secure international sales. ETAP may also be used when participating in an Iowa Economic Development Authority (IEDA) organized trade mission. Each approved grant may reimburse up to $4,000 with up to three grants in a funding period. Applications for events taking place July 2018 through June 2019, and applications must be received at least 45 days prior to the event. Details and application instructions available at iowaeconomicdevelopment.com/ifa. For questions or assistance, contact Lisa Longman at [email protected] or 515.348.6243.
NEW Iowa Exporter ID Exhibiting at an international trade show? There is a new Iowa Exporter ID graphic available at iowaeconomicdevelopment.com/ifa. All Iowa companies are invited to display the graphic in their booth at any international trade shows to help bring awareness to your company as an Iowa exporting company. Iowa companies receiving financial assistance through the ETAP or the DTAP are required to display the new Iowa Exporter ID graphic in the booth as part of the grant. Contact Lisa Longman at [email protected] or 515.348.6243 with questions or for more information.
International Education Calendar One calendar for export education! The ITO offers an online International Education Calendar. This is a compilation of known export/import education events in Iowa and surrounding areas to fulfill export education needs. This calendar is updated monthly to stay current on upcoming opportunities. Hosting an event applicable to the calendar? Please share details for review.
iowaeconomicdevelopment.com/Intlcalendar
Contact Andrea Smith at [email protected] or 515.348.6240 with questions or for additional information.
ITO – New Staff The ITO is happy to announce Andrea Smith has joined the trade team as a marketing manager for the Americas and sub-Saharan Africa, working with Iowa manufacturers and service exporters. Andrea holds an MBA focused on international marketing and has extensive experience in international trade, sales and marketing, and managing clients, events and projects. For over 12 years, she managed sales and business development for GeoEye and DigitalGlobe, focused primarily on the Middle East, Africa and India, but working globally. Contact Andrea at [email protected] or 515.348.6240 to discuss questions about doing business in the Americas and sub-Saharan Africa.
Through the Food Export Association of the Midwest’s Internship Program, Emma Muth has joined the ITO for the balance of 2018. Emma will support Mark Fischer assisting Iowa companies in the food, feed and specific wood products industries. Emma will be a senior at Drake University majoring in International Relations with minors in Economics and French. Contact Emma at [email protected] or 515.348.6268.
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EDUCATIONExporTech™August 14 – October 10, 2018
The Center for Industrial Research and Service (CIRAS) and partners will host ExporTech™ — An Export Acceleration System for Achieving Profitable Growth in the Des Moines area this summer. ExporTech is a structured export strategy development process that connects manufacturers with experts who help them develop plans to grow their businesses internationally. The process is geared toward small and medium-sized manufacturers with some exporting experience that are looking to grow export sales or beginning to export products. A small group of executives from each company attends three, one-day group workshops stretched over a three-month period. Workshop dates are August 14, September 11 and October 10. A fourth follow-up implementation session takes place on-site at each company’s home office. Strategy coaches are assigned to each company throughout the process to assist company leaders and connect them to individual subject matter experts. To learn more about ExporTech, contact Marc Schneider at [email protected] or 563.221.1596.
SAVE THE DATESInternational Finance for Sales – Practical Seminar September 19, 2018 Presented by Bankers Trust, Integrated Trade Finance, LLC and others. Topics include trade finance, credit insurance, retail finance and public finance. Learn to use finance with sales leads to better target marketing, better intelligence, better risk management and better results. The seminar will be held at the Greater Des Moines Partnership. Details and registration will be available at dsmpartnership.com/calendars/partnership-events.
Import 101: Import Basics Training October 11, 2018 Presented by Scarbrough University and held at the Greater Des Moines Partnership. Learn import best practices, the import shipping process, U.S. Customs Regulations, HTS numbers & classification, partner government agencies, the best Incoterms to buy on and more. Details and registration will be available at dsmpartnership.com/calendars/partnership-events.
Export Compliance Trainings November 7 – 8, 2018 Mark your calendars now for Mike Allocca’s return to Iowa. Mike is an internationally recognized trainer on topics of export operations, compliance and more. Specific details to be announced soon or contact Andrea Smith at [email protected] with questions in the meantime.
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UPCOMING EVENTSUPCOMING EVENTSInternational Trade Center at the Farm Progress ShowAugust 28 – 30, 2018
The IEDA along with the Ames Convention & Visitors Bureau, Boone County Chamber of Commerce and Convention & Visitors Bureau and Greater Des Moines Convention & Visitors Bureau, will sponsor an International Trade Center at the 2018 Farm Progress Show located in Boone, Iowa. The International Trade Center will be conveniently located in the Wallace’s Farmer Hospitality Tent.
The International Trade Center will offer international guests and exporting exhibitors a comfortable location to relax, network, hold meetings, obtain interpretation assistance, access the Internet and make phone calls. Visit www.farmprogressshow.com and www.visitcentraliowa.com/international-visitors.
Would you like to invite international delegations to tour your facilities and see your company’s latest agriculture products and technologies the week of August 27? Transportation is the responsibility of tour participants. Tours are limited to groups of 10 or more with pre-registration required. Propose your tour option to Crystal Davis, Ames Convention & Visitors Bureau at [email protected] or 515.956.4567 by providing the following:
· Company name and tour address
· Contact person and email/telephone
· Short description of tour including date/time option(s)
· Maximum number which can be accommodated
· Deadline for tour reservations
FIGAPOctober 24 - 26, 2018
The IEDA in conjunction with the Iowa Mexico Office (IMO) invite you to exhibit in an Iowa pavilion at Mexico’s premier trade show in Guadalajara for the livestock and animal feed industries.
FIGAP is among Latin America’s leading events for the livestock industry, featuring participation by the most important exhibitors in areas such as livestock equipment, animal feed manufacturing machinery, animal health, genetics, nutrition, livestock software, feed and seed bins and pet food, as well as aquaculture companies, ingredient and additive distributors, transport service providers and others. The show features approximately 240 exhibitors and attendees from over 50 countries. FIGAP also features a two-day series of workshops on feed production techniques and innovative technologies.
Iowa exhibitors at FIGAP receive support during the exhibitor from the IMO, discounted space in the Iowa pavilion, advance promotion and more.
For more information contact Andrea Smith at [email protected] or 515.348.6240.
Meet the Mexican Grain Buyers in IowaOctober 25 – 26, 2018
The IEDA, in cooperation with the U.S. Grains Council and Iowa Corn, are bringing a team of grain buyers from Mexico to Iowa in October. A “Meet the Buyers” session will be held for Iowa suppliers of corn products, animal feeds including DDGS, grain handling, storage and transportation equipment, and feed manufacturing equipment. Contact Mark Fischer at [email protected] 515.348.6241 or Andrea Smith at [email protected] or 515.348.6240 to discuss your interest and receive more information when available.
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UPCOMING EVENTS, CONTINUED
Korea Japan Meat MissionNovember 10 – 17, 2018
Japan is Iowa’s most important export market for Iowa meat suppliers. In 2017, Iowa exporters shipped $405 million in pork products and $150 million in beef products to Japan. High disposable income, embracement of technology, desire to improve the diet, and an appreciation for high quality, safe products creates demand for Iowa meat products in Japan. Iowa has strong recognition in Japan, but maintaining face is important. The Korea-USA FTA is creating additional opportunities for U.S. pork. In 2017, Iowa companies exported $100 million in pork products and $33 million in beef products to South Korea. Korea is an important market that will continue to grow with the refinement of the cold chain and expansion of U.S. chilled pork. IEDA will work with USMEF to organize a meat focused mission. The mission is open to Iowa pork and beef exporters and Iowa agriculture groups. For more information, contact Mark Fischer at [email protected] or 515.348.6241.
Iowa Trade Mission to Shanghai, Beijing & Hebei November 4 – 11, 2018
China’s economy is now larger than Japan, Germany and UK combined. In fact, China’s manufacturing economy is rapidly changing to consumption with the income and appetite to purchase high-quality products & services from overseas. China’s consumers are open to foreign-made goods and have an affinity for U.S. and western products; however, there are significant challenges too: complexities of the regulations, cultural and language differences all contribute the structural barriers to entering this market. The positive news is that a huge amount, nearly $150 billion, of U.S. goods were imported to China last year, which was a 13 percent growth, making China one of Iowa’s top export destinations. This has been an enormous opportunity for the Iowa companies who invested effort to tackling this market. Success in China is not automatic; successful exporters deploy necessary strategies to enter the market. Companies who delay China market cultivation lower the chance of success as European and Asian competitors move towards establishing market share first.
Join IEDA on this important trade mission — IEDA will perform a customized market research to assess your company’s opportunity in the market. Participants will receive a complete business itinerary, including meetings with prospective customers. Contact [email protected] or 515.348.6244 for more information or to reserve a spot on this trip.
JANUARY - JUNE 2019 PROPOSED EVENTSRC Show & Trade Mission – Toronto, Canada February 2019
Canada’s largest food service trade event, the annual RC Show www.rcshow.com, brings together the foodservice and hospitality industry to shop, taste, learn, connect and grow a business. This mini trade mission is available for participants from all industry sectors to have one-on-one, pre-qualified appointments whether seeking to develop or expand direct export sales, locate distributors or agents, conduct market research or have other goals. Contact Andrea Smith at [email protected] or 515.348.6240.
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Colombia Trade Mission – Colombia & Panama/EcuadorFebruary 2019
This will be a horizontal mission and open to all Iowa companies. Expand into the growing Colombia market with possibly two stops, plus a second country. The second country could be Ecuador to explore manufacturing or Panama for meat. Iowa companies exported $80 million in goods to Colombia in 2017 and exports increased 261 percent in the first quarter of 2018 to $47 million. In 2017, Iowa companies exported $13.7 million in pork products to Colombia and $2.2 million to Panama. For more information, manufacturing companies should contact Andrea Smith at [email protected] or 515.348.6240 and meat companies and agriculture groups contact Mark Fischer at [email protected] or 515.348.6241.
South East Asia Trade MissionMarch 2019
Vietnam and the Philippines are growing markets for American goods and services. IEDA’s ITO invites companies in all sectors to dive deeper into this opportunity during a trade mission next spring. Participating Iowa companies will meet one-on-one with prospective customers and partners, which is crucial to establishing business relationships in the region. An optional side-trip to Asia’s largest animal agriculture tradeshow, VIV Bangkok would be offered. IEDA will help companies meet business objectives by tailoring a custom itinerary. Why consider this trip?
· Vietnam & Philippines have a combined population of nearly 200 million people
· The south Asian markets are growing at over seven percent per year and are eager for quality products, innovative technologies and new business opportunities
For more information, manufacturing companies contact Joseph Rude at [email protected] or 515.348.6244 and meat companies and agriculture groups contact Mark Fischer at [email protected] or 515.348.6241.
ANTAD & Alimentaria Mexico – Guadalajara, Mexico March 2019
ANTAD and Alimentaria Mexico www.alimentaria-mexico.com/en/ - focused on the retail and food industry, including distribution to the foodservice sector with categories including national food products & beverages, international food products & beverages, general merchandises, furniture & equipment, health, wellness & personal care, and Technology & Solutions. Attendees include department stores, specialty stores, distributors, importers, brokers, food service professionals and distributors from North America, Central America and Latin America. Contact Andrea Smith at [email protected] or 515.348.6240.
Agro 2019 – Kiev, Ukraine June 2019
AGRO www.agro-expo.com is the largest agricultural exhibition of the CIS and Eastern Europe and the leading Ukrainian trade fair for agricultural machinery, animal farming, renewable and alternative energy and organic farming. The organizer of AGRO is the Ministry of Agrarian Policy and Food of Ukraine. Contact Peggy Kerr at [email protected] or 515.348.6242 to learn about a potential Iowa pavilion.
FIND MORE EVENTS AND EDUCATIONAL OPPORTUNITIES AT
iowaeconomicdevelopment.com/intlcalendar
PROPOSED EVENTS, CONTINUED
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International Dinner attracts a crowdThe ITO cooperated with Iowa’s corn, soybean, pork and beef producers in hosting a farm dinner for international teams that traveled to Iowa for the World Pork Expo. More than 150 guests, including visitors from 15 countries traveled to the Gordon Wassenaar and Will Cannon farm near Prairie City. Attendees learned about agriculture, took photos on farm equipment, heard from Iowa Secretary of Agriculture Mike Naig and enjoyed an Iowa meal.
Going Global? Resources Today - Sheldon, IowaMay 24, 2018
The one-day Going Global seminar was attended by 25 Iowa companies, as well as many community economic developers and service providers. The seminar focused on exporting basics and featured presentations by Staples, Cozen O’Connor, Trade Acceptance Group, Ltd. Scarbrough International, Iowa’s ITO and IEDA Director Debi Durham. The keynote address was presented by Iowa Lt. Governor Adam Gregg. Going Global was hosted by Northwest Iowa Development and IEDA.
Global Iowa Export Awards were presented to K2W Precision, Inc. in Orange City; Kooima Company in Rock Valley; and Nor-Am Cold Storage in LeMars. Global Iowa Export Awards are presented by the IEDA in recognition of companies expanding markets internationally.
Feed ingredient buyers source products from Iowa Buyers MissionSix international buyers intend to purchase $9.7 million in feed ingredient products during the next year after one-on-one business meetings with suppliers in Iowa. Buyers from Colombia, Mexico, Jamaica, Vietnam, South Korea and China, were in Iowa June 6-7, 2018. The IEDA’s ITO managed this activity for the Food Export Association of the Midwest. The buyers met with 13 different suppliers during two days of meetings. Meetings were held at the World Pork Expo so buyers also explored this world-class event and met with additional Iowa companies exhibiting at the show.
Iowa companies interested in other food and feed export programs can contact Mark Fischer at [email protected] or 515.348.6241.
RECENT HIGHLIGHTS
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GUEST ARTICLESNews from EuropeBy: Anke Goebel, Iowa European Office
Transatlantic DutiesAs of June 1, 2018, the United States has implemented a 25 percent duty on steel imports from the European Union (EU), and 10 percent on aluminum imports, to a total estimated value of 6.4 billion Euros. The European Union, as such, is contemplating to call on the World Trade Organization (WTO) to accept a list of U.S. products on which they plan, in return, to levy import duties, at this stage, to an estimated value of (only) 2.8 billion Euros; the majority does not want to permanently disrupt relations with the U.S., and hopefully avoid an escalation of the transatlantic commercial relationship.
Introduction of the General Data Protection Regulation - GDPRAs of May 25, 2018, the EU’s new General Data Protection Regulation went into effect. The objective was to create one set of data protection rules for all companies operating in the EU, wherever they are based. The Regulation (GDPR) was designed to harmonize data privacy laws across Europe, to protect and empower all EU citizens’ data privacy and to have organizations across the region review their approach to data privacy. It is intended to give people more control over their personal data, and have businesses benefit from a level playing field. “Regulation (EU) 2016/6791, the EU’s new General Data Protection Regulation (‘GDPR’), regulates the processing by an individual, a company or an organization of personal data relating to individuals in the EU”.
There is still a lot of confusion on all levels as the regulation leaves plenty of room for interpretation. Each EU business with more than 10 persons needs to nominate an official compliance officer to watch over the company’s (including business professions, such as doctor’s offices, law firms, handymen and the like) handling of internal and external personal data.
As those organizations in non-compliance may face heavy fines, it remains to be seen when the first lawsuits will occur, and more importantly the outcomes. For further information: ec.europa.eu/commission/priorities/justice-and-fundamental-rights/data-protection/2018-reform-eu-data-protection-rules_en
BREXITStarting March 30, 2019, the United Kingdom (UK) will most probably no longer be part of the EU and be considered a “third country”. While it is currently unclear how the UK will be leaving the EU (hard or soft exit), companies that do business in the UK and the EU 27 should carefully monitor the situation. For example, a U.S. manufacturer whose industrial products previously have received CE marking from a UK authority, may have to get a new CE marking from a EU27 authority if the company wants to sell products in one of the EU member countries. As the European Commission published in one of their recent ‘Notice to stakeholders’, “Union product legislation requires Notified Bodies to be established in a Member State …”. “Therefore, as from the withdrawal date, UK Notified Bodies will lose their status as EU Notified Bodies …”.
Regulations that may be affected include toy’s safety, electrical equipment, machinery, measuring instruments, medical devices and construction products among many others. ec.europa.eu/docsroom/documents/27241/attachments/1/translations/en/renditions/native
Import licenses for certain products may also be concerned: U.S. companies that have an authorized representative in the UK or work with a UK importer or distributor to sell products throughout the European Union, may have to obtain new or additional licenses for the EU member states. trade.ec.europa.eu/doclib/docs/2018/january/tradoc_156568.pdf
Regular updates about which rules and regulations may be affected can be found at ec.europa.eu/info/brexit/brexit-preparedness_en.
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ItalyAfter some initial quarrels, and in an attempt to end 11 weeks of political stalemate since Italy’s March 4 general elections, Italy’s Prime Minister-designate Giuseppe Conte has meanwhile formed a government supported by the coalition partners, i.e., the far-right League and the anti-establishment 5-Star Movement.
The Eurosceptic League/5-Star coalition had initially placed forward as head the Economy Department, an economist who has previously been a vocal critic of the Euro and the EU. He will now be replaced by a non-partisan liberal who is not openly questioning Italy’s remaining in the Euro currency zone – this has been at the heart of the previous struggles, whether or not Italy has a future in the eurozone. Several Italian voices argue that Italy, to resolve its financial debt crisis, should leave the Euro currency zone, get back its own currency and devalue substantially, to cut its financial obligations and make the economy more competitive; rather than implementing austerity measures that other Euro member countries introduced.
Export Financing Can Help Iowa Companies Boost Sales By Elizabeth Thomas, Director of Sales and Marketing, EXIM, [email protected]
Many small and medium-sized businesses are wary of the uncertainty of international sales and focus only on their home market. The problem with this is threefold:
· 95 percent of the world’s purchasing power is outside of the U.S.
· Relying on one country’s economy can be risky – remember 2008?
· You’re not maximizing your company’s revenue growth
Sure there are risks, especially if an international customer doesn’t pay. But, smart small business exporters know how to expand their sales base by finding customers in new markets while ensuring the receivables generated by foreign sales are protected against nonpayment.
Established in 1934, the Export-Import Bank of the United States (EXIM) is a U.S. federal government agency whose mission is to support U.S.-based jobs by facilitating the export of U.S.-produced goods and services. Here are a few examples of ways EXIM Bank supports small business exporters:
Export Credit InsuranceExport credit insurance is an insurance policy issued by a commercial broker underwritten with the full faith and credit of the United States government. The policy protects exporters’ account receivables and enables companies to increase competitiveness by offering open account credit terms to foreign buyers up front. With export credit insurance, an exporter can:
· Extend open account credit terms to foreign customers at very low risk
· Insure against nonpayment by international buyers
· Cover commercial (e.g., bankruptcy) and political (e.g., war or the inconvertibility of currency) risks
· Arrange financing through a lender by using insured receivables as additional collateral
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CONTACT INFORMATIONEUROPE, NORTHERN AFRICA & MIDDLE EAST Peggy Kerr, Team Leader +1.515.348.6242 | [email protected]
AMERICAS & SUB-SAHARAN AFRICA Andrea Smith, Marketing Manager +1.515.348.6240 | [email protected]
ASIA/PACIFIC Joseph Rude, Marketing Manager +1.515.348.6244 | [email protected]
AGRICULTURAL PRODUCTS - WORLDWIDE Mark Fischer, Marketing Manager +1.515.348.6241 | [email protected]
FINANCIAL ASSISTANCE Lisa Longman, Financial Assistance Administrator +1.515.348.6243 | [email protected]
IOWA ECONOMIC DEVELOPMENT AUTHORITY
200 East Grand Avenue Des Moines, IA 50309 USA
International: +1.515.348.6200 Domestic: 1.800.245.4692
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Working Capital Loan GuaranteeBuilding products or preparing proposals for international buyers often requires an infusion of cash. EXIM Bank’s Working Capital Loan Guarantee can unlock cash flow and provide funds to fuel international sales. Funds can be used to:
· Pay for materials, equipment, supplies, labor and other inputs to fulfill export orders
· Post standby letters of credit serving as bid bonds, performance bonds or payment guarantees
· Purchase finished products for export
EXIM doesn’t replace a commercial bank. EXIM works with lenders to provide a 90-percent loan guarantee that backs the debt and protects the lender from nonpayment.
EligibilityExport credit insurance and working capital loan guarantees are only two examples of ways EXIM supports small businesses that have been in business for at least one year and have financial statements or tax returns and a D&B DUNS number, and are exporting products that have greater than 50 percent U.S. content, including labor but excluding mark-up. EXIM products are generally not available for exports to foreign militaries and defense related industries, with some exceptions (e.g., some agriculture products).
Learn MoreEXIM has experts located throughout the country who can answer questions, provide education on products and services, and guide companies through the application process. Simply contact an EXIM Bank Representative for more information. Remember the old saying? Well, “EXIM is from the federal government, and they really are here to help!”