Trade promotion activities of the International Trade Administration

Business America, May 26, 1986 by Bruce Smart

Recently, we have strengthened our overseas market research capability to collect more timely product and subsector-specific information that serves the needs of U.S. exporters. To upgrade the quality and allow for more product-specific research, we have established the Manager of Research and Analysis Program (MRA). Under the program we have hired and trained staff in specific markets to oversee contracts and perform in-house product-specific research. Starting in FY 1986, all market research will be electronically transmitted to Washington, for use in the district offices.

Our new Comparison Shopping Service is a good example of how we are using our MRA program to meet the business community's need for product-specific information. Through this new service we are providing companies with key marketing facts about their specific product that will help them assess a market and develop an export plan. Commerce research specialists (MRAs) in the target country gather information on pricing, competition, and distribution practices of comparable products by interviewing importers and distributors, end-users, manufacturers, and government procurement officials.

Commercial News USA is another successful program designed to assist firms in the early stages of exporting. For a modest fee, we publish descriptions of products and services for export and distribute this publication to more than 80,000 overseas agents, distributors, government officials, and end-users. We assist almost 1,500 businesses per year to export their products and services. Participants in this program usually receive approximately 50 inquiries each from buyers, agents, and distributors interested in buying or promoting their

product or service overseas.

Consistent with GATT regulations, we are pursuing ways to reduce the costs small firms incur to promote their goods and services overseas. Our Foreign Buyer Program is a good example. Through this program, US&FCS is working with private domestic trade show organizers to offer their participants export counseling, export specific information on their products, and an opportunity to meet, face-to-face, with foreign buyers. In FY 1986, our Foreign Buyer Program will give over 1,600 new-to-market /new-to-export firms participating in eight domestic trade shows an opportunity to meet nearly 24,000 foreign attendees without incurring the high cost of overseas travel.

We will continue our highly successful, lowcost "matchmaker' events around the world. These events bring U.S. firms together with pre-identified potential representatives for their product lines. About 56 new-to-market U.S. firms participated in the most recent matchmarker event in London last November. All 56 firms report that they are now negotiating with potential candidates for representation.

The Trade Fair Certification program, in which the Department of Commerce designates select overseas trade fairs organized by the private sector as official "certified' events, is a good example of the benefits of close private and public sector cooperation. At virtually no cost to the U.S. government, this program has already supported seven major fairs in the People's Republic of China alone.