Can the 2016 Olympics kick-start South American exports?

30 July 2015

While the EU and Eurozone remain crucial export markets for Britain, one benefit of their difficulties since the economic crisis, including the turmoil in Greece, has been encouraging UK companies to seek new markets further afield.

Chamber International director, Tim Bailey, says: “Sport is a huge global unifying force and Rio de Janeiro hosting the 2016 Olympics has helped many British exporters appreciate that South America is no longer a backwater and explore the potential for exporting there.

“Brazil, along with Russia, India, and China is a BRICs nation - a group of rapidly-growing economies forecast to be responsible for 50 per cent of the increase in global trade by 2020.

“We are recommending British medium-sized manufacturers to look carefully at markets such as Brazil and the wider South American continent where several countries have signed trade agreements with the UK.”

Chamber International says that several South American economies have been growing at an annual rate of around nine per cent for several years. Uruguay is said to be gaining worldwide recognition for its careful approach to financial management and recent years have seen Colombia make huge progress in investment ratings.

Tim Bailey adds: “With the right support and advice, which is now easily accessible as part of Government moves to re-balance the UK economy, many Latin American markets can prove well worth the effort for UK exporters prepared to invest the time, funds and patience in developing the right strategy.

“Many of the issues, such as market research, building contacts, closing deals, logistics and ensuring you get paid, are similar to overseas markets closer to home but, in the current climate, the long-term benefits may be greater. These are important emerging economies and the UK needs to be there.”

* Source: Business Quarter