Australian SME exporters and China: A new report by Austrade and Sensis
20 August 2008
We are all cheering our Australian athletes at the Olympic Games in Beijing but Australian small businesses are also doing their bit to help China put on the greatest show on earth. During my trip to the Beijing Olympics I saw a bit of Australia everywhere I went in China.
From the more visible symbols like the water cube designed by PTW Architects, and the major venues (six of which are Australian designed), behind the scenes, Australian SME exporters have been helping China to put on the greatest show on earth. For example, the lighting control systems in the hotels and the Olympic venues have been manufactured by Sydney company Dynalite led by the irrepressible Jimmy Du, the smoke alarm systems by Xtralis, the artificial turf in the hockey field is engineered by Sports Technology International and Argus has provided the mobile phone antenna’s in another Olympic landmark, the ‘bird’s nest’ stadium. In addition, companies like Great Big Events and Major Event Planning are helping Beijing with event management and sports marketing. Even the Torch relay was organised by Australian company, Maxxam International, led by their energetic managing director Di Henry.
However, this is not just anecdotal evidence. According to a new report that I have just co-authored with Christena Singh, senior economist at Sensis, China is proving to be a happy hunting ground for Australian small and medium sized enterprises (SMEs). From the report, it is clear that the Sino-Australian trading relationship is not just about rocks and crops, but advanced manufactures, knowledge-based exports and professional services too. And you don’t need to be BHP Billiton or Rio Tinto to succeed in the Chinese market. As many SMEs export to China as to the whole of continental Europe now. Australian SMEs are to coin a phrase ‘hugging the panda’.
In addition, by exporting to China and other markets, Australian SMEs have been able to ride out the impact of lower confidence from the sub-prime crisis. According to the data, SMEs who export are performing better than those that don’t, and they have better growth prospects and are more confident of their financial prospects for the year ahead. Exporting can help businesses reach a larger which has been helping many SMEs that are currently feeling local slowing of the domestic economy.
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To download the report go to http://smallbusiness.sensis.com.au/default.aspx
For interviews contact the co-authors:
Tim Harcourt, Chief Economist, Austrade 61 408 485 479
Christena Singh, Senior Economist, Sensis 61 422 400 707 |