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New Market Developer, September-October 2015

Michigan Dept of Agriculture & Rural Development sent this bulletin at 09/01/2015 09:32 AM EDT

Issue 5: September-October 2015

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Star of the West Milling Co. Named Ag Exporter of the Year

Pictured (left to right): Jamie Clover Adams, MDARD Director; Art Loeffler, President at Star of the West Milling Co.; Governor Rick Snyder; Jim Howe, VP of Elevator Operations at Star of the West Milling Co.; Rob Chandonnet, VP of Edible Bean Sales at Star of the West Milling Co.; and Jamie Zmitko-Somers, MDARD International Marketing Manager.

The Michigan Department of Agriculture and Rural Development (MDARD) selected Star of the West Milling Company as the "2015 Michigan Agriculture Exporter of the Year.” The company was honored by Governor Snyder and MDARD Director Jamie Clover Adams who presented Art Loeffler, President at Star of the West Milling Co. with the award.

The company has a rich Michigan history, established in 1870 and began exporting in the early 1970’s. The privately held corporation expanded over the years to include five flour mills and 13 grain and bean elevators. A major export for the company is dry beans, including black, navy, and small red varieties, as well as edible soybeans, and soft white and soft red winter wheat.

Star of the West Milling Co. achieved an impressive 27 percent growth in export sales from 2013-2014. The company exports to Canada, Mexico, Guatemala, Jamaica, Japan, Malta, and South Korea. Most recently they expanded export activity into Italy, South Africa, and Columbia.

“Star of the West is pleased to be recognized with the 2015 Michigan Agriculture Exporter of the Year award,” said Star of the West president Art Loeffler. “This award is a reflection of the Star’s commitment to partner with food producers and processors to provide quality flour, edible soybeans and dry edible bean products to help feed the world.”

The award review committee consisted of representatives from Foster, Swift, Collins & Smith P.C., Van Andel Global Trade Center, Comerica Bank, Michigan Farm Bureau and Michigan State University’s International Business Center. The decision was based upon several factors including marketing plans, ability to expand into new markets, alliances with other organizations, and exports sales growth over the last three years. To be eligible, the products must be more than 50 percent grown, processed or manufactured in Michigan.

For information on MDARD's International Marketing Program, contact Jamie Zmitko-Somers at 517-284-5738 or visit Michigan.gov/agexport.

Michigan Companies Explore Exporting at Seminar

Dennis Lynch discuesses the basics of exporting.

On August 13, the International Marketing Program held an export seminar called, "The Best Ways to Get Started in Exporting." The seminar, which was held in conjunction with the Food Export Association of the Midwest, focused on the necessary steps to becoming a successful exporting company. The featured speakers were Dennis Lynch and Paul Weiss from Food Export-Midwest and Jamie Zmitko-Somers from the MDARD International Marketing Program.

Lynch, a 33-year veteran of international trade, discussed how companies can develop export competence and confidence, and intermediaries and distribution channels. Zmitko-Somers discussed the many opportunities available through the MDARD International Marketing Program as well as required export documentation and procedures for requesting. Weiss introduced the attendees to Food Export–Midwest’s programs and services.

The seminar also featured Joe Lothamer, the International Sales Manager for LorAnn Oils of Lansing. Lothamer answered questions about the company’s export success. He provided advice on how Michigan companies can expand their export reach and better understand the details of exporting.

On February 9, 2016, the International Marketing Program will offer an export seminar at the Henry Center in East Lansing. The seminar will be held in conjunction with Michigan State University's International Business Center and will feature the 2015 Michigan Agriculture Exporter of the Year. Be sure to mark your calendars!

Success Story Features

Dozens of Michigan companies achieve exporting success every year with the assistance of the MDARD International Marketing Program and Food Export – Midwest. A variety of programs and services are available to Michigan companies who are trying to reach new export markets. Read below to learn more about how these Michigan businesses have found success with the help of the International Marketing Program and Food Export – Midwest’s programs.

Dr. John’s Candies: Dr. John Bruinsma, a dentist for over thirty years, and his wife Debra, a dental hygienist, are passionate about crafting innovative sugar free sweets with no artificial sweeteners that are good for you. In July of 2014 Dr. John's Candies participated in Food Export’s Midwest Buyers Mission. At the mission they met with international buyers from Latvia, Vietnam, Hong Kong, Brazil, Malaysia, India, Philippines, China, Canada, Mexico, the United Arab Emirates, Costa Rica, Colombia, Taiwan, and South Korea. Click here for the full story

Gluten Free Bar: In September 2014, The Gluten Free Bar, located in Grand Rapids, MI, attended the Focused Trade Mission to Canada for Specialty and Natural Products in Toronto, Canada. While there, they met with multiple buyers for their products and have since developed a broker relationship in Canada. Click here for the full story

LiveSmart Bar: Over the last two years, LiveSmart Bar, LLC located in Oak Park, Michigan has participated in more than 15 Food Export Midwest activities and programs. As a direct result, LiveSmart Bar, LLC has experienced a 10 percent increase in actual export sales. In order to accommodate this increase in export sales, they have hired 6 new employees in the last year alone. Click here for the full story

2016 Branded Program

Food Export-Midwest offers a one-of-a-kind program to exporters across the Midwest, called the Branded Program. This program supports the promotion of branded and private label food and agricultural products in foreign markets through a cost-share funding process. Exporting companies can receive up to 50% cost reimbursement for a variety of international marketing and promotional activities.

Eligible expenses include: travel to international trade shows, promotions & demonstrations, public relations & seminars, advertising & publications, country required package & label changes, and domestic trade shows with an international audience.

In order to be eligible for the Food Export-Midwest Branded Program, companies must meet the Small Business Administration’s guidelines and be incorporated in the United States. However, agricultural producer cooperatives of any size are eligible as well. Exported products must be value-added products and contain 50% or more of U.S. agricultural ingredients.

This service is a great way to improve your product’s marketability and help propel your company forward. To ensure fair and consistent funding, companies are required to complete an annual qualification application. The application for Food Export-Midwest’s 2016 Branded Program is available as of August 3rd.

The pre-qualification application is available at foodexport.org.

For more information about the program, read Food Export’s 2016 Branded Program Exporter Manual available here.

To learn more, contact the International Marketing Program at zmitkoj@michigan.gov or 517-284-5738.

Take Action on Your 2016 Exports

In 2016, there will be many events and opportunities to begin, build or expand exporting for Michigan food and agriculture based businesses.

The International Marketing Program works with the Food Export Association of the Midwest to provide Michigan companies with a wide range of programs, services and events to grow export sales, including Buyers Missions, Focused Trade Missions, and Food Show PLUS! services.

Buyers Missions allow companies to meet international buyers and promote their products without leaving the U.S. (In 2016, programs will be available for Convenience Store, Food Service, Frozen Food, Natural Products, Pet Foods, Specialty Foods, etc.) Click here for more information or to register.

Focused Trade Missions allow companies to travel and explore a foreign market. (In 2016, companies will have to opportunity to travel to Canada, Chile, China, Colombia, Costa Rica, Dubai, Japan, Korea, Mexico, India, Panama, Saudi Arabia, and Turkey.) Click here for more information or to register.

Food Show PLUS! services help companies to become a more confident international exhibitor with this tradeshow enhancement package. (Food Show PLUS! services at SIAL Middle East, Food & Hotel China, Int’l Food and Beverage Exhibition and more will be provided in 2016.) Click here for more information or to register.

To discuss your export plan for 2016, contact Jamie Zmitko-Somers with any questions at 517-284-5738 or zmiktoj@michigan.gov or Allie Fox at 517-284-5737 or foxa1@michigan.gov.

Connecting with International Buyers

Want to connect with international buyers? Check out these three resources that can help companies connect with trade leads from around the world!

MDARD’s International Marketing Program maintains an online directory that is used to connect international buyers with Michigan companies. If you haven’t already, be sure to register for the directory today so that you can begin receiving trade leads.

The USDA’s Foreign Agricultural Service (FAS) can also help companies build markets for their products around the globe with its new Trade Lead System (TLS). TLS provides real-time distribution of sales opportunities from foreign buyers to potential U.S. exporters of food and agricultural products. Exporters can search leads by product names or by Harmonized Tariff Schedule (HTS) codes and are able to contact foreign buyers through a wide range of options.

If you are interested in promoting your products to international buyers without leaving your desk, then Food Export’s Online Product Catalog is another great option for you. With this web-based catalog, overseas buyers can easily locate your company and learn about the products that you have to offer. All you have to do is upload your product information and photo into the product catalog, and buyers can begin to easily locate your company. Food Export’s International Marketing Representatives avidly promote the product catalog to qualified buyers and make it easy for them to contact your company.

These three resources are simple, free, and effective ways to help build a companies export business and expand their marketing reach. Register for the International Marketing Program’s online directory, FAS’s Trade Lead System, and Food Export’s Online Product Catalog to start connecting with international buyers today!

Export Service Providers

Is your business ready to export, but in need of assistance with financing, legal issues, or the logistics required to send food products across borders? Look no further!

The International Marketing Program has contact information for dozens of export service providers who are ready to assist you. Our database includes companies who specialize in due diligence, export management, freight & logistics, international finance, labeling, website service, translation, and export law & documentation.

While export success cannot be guaranteed through these service providers, each company offers a unique expertise in the export market. Whatever market you are trying to reach, the International Marketing Program is confident these service providers will provide great assistance to your company.

To receive a list of service providers, or to add your company to this list, please contact Jamie Zmitko-Somers at zmitkoj@michigan.gov or 517-284-5738 or Allie Fox at foxa1@michigan.gov or 517-284-5737.

Michigan Pavilion at the 2016 NRA Show

The International Marketing Program will again host a Michigan Pavilion at the National Restaurant Association (NRA) Show in Chicago, IL, May 21-24, 2016. The cost for a 10x10 booth in the Michigan Pavilion is $3,195. For more information please contact Jamie Zmitko-Somers at 517-284-5738 or zmitkoj@michigan.gov or visit michigan.gov/agexport.