Member Article

Yorkshire export on the up but dependence on traditional markets is Achilles heel

Yorkshire and Humber exports rose in value in the third quarter of this year according to official figures, but accountancy firm Baker Tilly has warned of an over-reliance on traditional export markets.

In the three months to the end of September, the value of exports from Yorkshire companies rose 7% to £4.3 billion.

More than 44% were exports to the EU, while just under a quarter (24%) were exports to North America.

Paul Langhorn, international liaison partner at Baker Tilly in Leeds said: “The good news is that exports in Yorkshire and Humber have grown in the last quarter, but we should be wary of complacency.

“There is a continued dependence among Yorkshire businesses on markets in the EU and North America, and as the Chancellor noted in the Autumn Statement yesterday, a slowdown in traditional export markets brings risks.

“There are, of course, still good opportunities in the EU and North America for businesses with a well thought out and well developed export strategy, but Yorkshire firms may also need to broaden their horizons.

“Earlier this week, Antonio Horta-Osorio, the chief executive of Lloyds Banking Group said that UK SMEs need to become more ‘outward looking’ when seeking new export markets and we welcome yesterday’s announcement that the Government is to provide £45 million to help first time exporters in Britain to connect with emerging economies in Asia, Africa and South America.

“A recent YouGov survey found that more than two fifths of small businesses in Yorkshire are not interested in exploring overseas markets.

“This is a great shame. While it’s certainly true that exporting does incur some upfront cost and risks, there are also great opportunities for businesses prepared to take the plunge and lots of available support.”

This was posted in Bdaily's Members' News section by Clare Burnett .