Figures show the proportion of Australian small-to-medium enterprises (SMEs) exporting has doubled in the past two years, with the rise of emerging economies like China and India driving the surge.

Austrade’s Chief Economist Tim Harcourt said it would normally take SMEs a decade or so to achieve the same result.

“The emerging economies such as Brazil, Russia, India and China (BRIC economies) are fast becoming destinations for Australian SME exports, which in turn is boosting exporter numbers,” Mr Harcourt said. 

“And, according to a new survey, the Grant Thornton International Business Report, more than a quarter of Australian SMEs increased their business through China over the past year.

“You don’t have to be a big fish like Rio Tinto or BHP Billiton to find export success in the Chinese market and other emerging economies such as India, Brazil and Russia,” he said. 

Mr Harcourt said new research also found 47 per cent of Australian enterprises see globalisation as a major opportunity for expanding their businesses. 

“Globalisation is here and Australian exporting SMEs are taking up the challenge to export,” he said. 

“Australia’s SMEs are at the forefront of ensuring the Australian economy is becoming more integrated with the rest of the world.”

Apart from increasing Australia’s SMEs exporter numbers, the new global economic engines such as the BRICs, will be hungry for resources, energy and the resource sector expertise, according to Mr Harcourt.

“Apart from China, India is showing great promise with the growing middle class and favourable demographics, whilst Russia’s energy sector is drawing increasingly on Australian skills and technology in mining and agribusiness.  Brazil is also drawing on Australian expertise in mining and transport infrastructure (aviation and railways) as well as agribusiness, telecommunications, tourism and education,” he said. 

“There’s also been a rise of Western Australia and Queensland in the globalisation stakes.  In WA, 36 per cent of SMEs are exporting to China, whilst in Queensland there is 32 per cent, with both seeing globalisation as a great opportunity. 

“These statistics are consistent with earlier Reserve Bank research showing WA, NT and QLD as the most export oriented states.  However, it’s not all about resources.  For instance, an Austrade survey about Women in Export also showed QLD and WA leading the way in terms of female entrepreneurship in education, tourism, and personal and professional services.”

In addition to providing export advice, Austrade, the Australian Government’s export promotion agency administers schemes and programs to assist Australian businesses succeed in exporting, including the New Exporter Development Program (NEDP).  The NEDP provides free services to exporters such as advice and information about getting into export, coaching and advice on exporting and on-ground assistance in overseas markets.

Exporters may also be eligible for assistance through the Austrade administered Export Market Development Grants (EMDG) scheme.  The EMDG provides partial reimbursement of export promotional costs to eligible SMEs. Eligible expenditure includes trade fairs, overseas representatives, marketing visits, free samples, advertising, communications, and overseas buyer visits.

For more information about exporting phone Austrade on 13 28 78.

ENDS

Media contact

Name:  Karla Davies
Tel:      +61 2 9390 2745
Mob:     0421 288 755
Email:   karla.davies@austrade.gov.au

For further news and information from the Australian Trade Commission (Austrade) visit www.austrade.gov.au//mediacentre.