DECs and the National Minority Export Program: 'partners in progress.' - District Export Councils

Business America, Oct 15, 1994

The National Minority Export Program has been developed as a partnership between the Commerce Department's U.S. and Foreign Commercial Service (US&FCS) and the Minority Business Development Agency (MBDA), with a strong role being played by the District Export Councils (DECs). The Small Business Administration (SBA), the Export-Import Bank of the United States (Eximbank), state governments, world trade associations, and local banks also participate in this program. Secretary of Commerce Ronald H. Brown hailed this new Commerce Department-led initiative as a "demonstration of the President's recognition that to insure inclusiveness, this Administration is willing to actively identify and assist firms that have untapped potential for success in foreign markets."

The National Minority Export Program is designed to increase the number of minority firms involved in international commerce by targeting minority companies that are ready to export but have not necessarily been exporting for a variety of reasons, including: inadequate access to financing, lack of knowledge about state and federal resources available to new exporters, and general inexperience in foreign markets. DEC members will be an integral part of this process, as mentors to the selected firms.

DEC Members As Mentors. DEC members represent the users and providers of export assistance services in the U.S. business community. Members are appointed by the Secretary of Commerce, and are recognized for their expertise in exporting. DEC members will take part in the National Minority Export Program by mentoring individual minority companies in their exporting efforts. The minority companies will learn from the DEC member mentor how to make initial contacts with private-sector partners, government organizations, and banks that provide export financing, as well as business groups that will assist minority companies in gaining access to a larger community of exporters. The DECs will provide guidance and direction to the firm as it prepares to become an active exporter. DEC members will work with US&FCS trade specialists and the minority firm to put together an export marketing plan and overall international market strategy in cooperation with the minority companies.

Success Story. The Baltimore Export Assistance Center (EAC) is one of the pilot locations selected to implement the National Minority Export Program. Firms participating in the Baltimore pilot program have already been recurited for several trade events. One firm that participated in a "Minority Matchmaker" in Canada last month ahs signed an agreement with a Canadian firm, as well as another agreement that expands its domestic business network with a U.S. company that also participated in the event. Three firms from the Baltimore pilot program and two from the Atlanta pilot program are participating in a "Made in the USA" show in South Africa.

Minority companies in the National Minority Export Program take part in a six-month to one-year training program where they develop an export marketing plan with trade and finance specialists from the private sector and federal and state governments. These companies take part in small seminars that focus on the nuts-and-bolts of exporting. Many of these seminars will be sponsored or co-sponsored by DECs. An important facet of these programs is the personalized counseling sessions from DEC members who have international trade finance and marketing expertise. The minority firms involved in this program are given the opportunity to take part in trade missions, matchmaker events, and other programs that will facilitate the sale of their products in international markets.