The International Marketing Program hosted two export seminars in early 2015 for companies at all stages of the exporting
process. The “Why Export” seminar on January 13 focused on entry level
exporting information, while the second export seminar on February 10 was
directed at more experienced companies in need of technical export knowledge.
The “Why Export” seminar, hosted in conjunction with the Food Export Association of the Midwest,covered why
exporting is an excellent way for
companies to learn how to grow their business and how to get started. The
featured speakers were Dennis Lynch from Food Export-Midwest and Jamie
Zmitko-Somers from the International Marketing Program. Lynch discussed exporting basics including
market outlook, global consumer outlook, pricing and determining export
readiness. Zmitko-Somers introduced the
attendees to the many Food
Export programs and services available.
The seminar also featured a company panel of experienced
Michigan food exporters to offer first-hand knowledge of how to be successful.
Mary Safie from Safie’s Specialty
Products and Mike Marsh from Flatout
Bread represent two Michigan companies that export and gave advice to fellow
Michigan food and agriculture companies.
Michigan food and agriculture companies gathered to explore
advanced export subject matter at a seminar hosted with the Global Business Club of Mid-Michigan.
The keynote speaker was Steven Cooper from Continental Dairy Facilities, LLC—winner
of the 2014
Michigan Ag Exporter of the Year award.
Vandana Chojar-Bahl from Supply
Chain Solutions presented about logistics and the importance of
selecting the right freight forwarder. In the exporting process, freight
forwarders can provide assistance in, determining payment
terms and export certification, compliance and
documentation.
The seminar also provided valuable information about
insurance. Keith Mixter from MARSH discussed marine cargo insurance that
can cover all goods incidental to the exporters business when shipping products
worldwide. Cargo insurance may be
purchased through an insurance agent, through the internet or directly from a
freight forwarder. According to Mixter, the most important factors to consider
are the AM best rating, experience level, proper licensing, claims handling and
the extent of their global network.
Michael Wahl from PNC
Capital Markets covered foreign exchange considerations when exporting.
With the value of the US Dollar strengthening, Wahl recommended conducting
business in the local currency not USD. Exchanging in the local currency can
increase an exporter’s competitive advantage and help companies manage exchange
rate risk.
Other speakers included Dennis Marvin from Consumers Energy and Les Brand from
Supply Chain Solutions who presented on opportunities in the development of
Port Muskegon.
The final keynote speaker was Steven Cooper from Continental
Dairy Facilities, the 2014 Michigan Agriculture Exporter of the Year. Continental
Dairy Facilities experienced tremendous growth after beginning production in
2012. In 2013, five percent of all U.S. milk powder products were exported by
Continental Dairy. Cooper presented information on the global dairy industry
and gave exporting advice to the attending Michigan agriculture and food
companies.
Applications for the
2015 Michigan Ag Exporter of the Year are due by end of this
week, on March 6.
Michigan is known for its diversity of agricultural offerings, and the many high-quality food products that are grown and processed within the state. In fact, Michigan food and agricultural exports to China have increased more than 40 percent between 2012 and 2013, totaling over $52 million in revenue.
As China’s economy has moved from being agriculturally to industrially driven, the country relies heavily on imports to meet the growing popularity of western and international food items that Chinese consumers want. Unique shifts in demand in the Chinese market have created an increased opportunity for Michigan food and agriculture products to thrive in the Chinese marketplace. Specifically, dairy, fruits and vegetables are all exports that have experienced significant growth.
Currently, China is the fifth largest importer of Michigan products, a value that is only projected to increase.Michigan companies interested in taking advantage of this growing market have many resources available to help in accessing the Chinese market. The International Marketing Program at the Michigan Department of Agriculture and Rural Development (MDARD) along withFood Export Association offer resources to food and agriculture companies including export education, buyers missions, trade missions and reimbursement for international marketing costs. Specific to the Chinese market, the International Marketing Program at MDARD, in conjunction with Food Export, is offering a Focused Trade Mission to Northern China for food service products. This is an ideal way to make international contacts and develop relationships with Chinese importers. More information on exporting to China is available in the USDA Foreign Agriculture Service FAIRS Report.
Love
Your Health, LLC of Grand Rapids, Michigan, attributes its ability to achieve
export success in 2014 to the Michigan Department of
Agriculture and Rural Development’s
(MDARD) International Marketing Program for advice and connecting the
company with Food Export-Midwest’s Branded Program.
The
company first heard about the Branded Program from MDARD’s International
Marketing Program Manager, Jamie Zmitko-Somers. According to President, Peter
Assaly, “Jamie has been invaluable in explaining the opportunities and benefits
of Food Export programs and her recommendation of the Branded Program led me to
receive 50% reimbursement on costs associated with demonstrating my product in
Canada and shipping Soymix to Australia and the United Kingdom.”
When
further discussing the results of his participation in the Branded Program,
Assaly mentioned, “The Branded Program funding also played an important role in
my decision to exhibit at the Sweets & Snacks Expo and the Natural Products
Expo West Show.” The exhibition led to the company’s establishment of a
relationship with an export manager and repeated purchase orders of Soynuts to
Hong Kong and Canada. Additionally, Assaly said, “I am confident that more
opportunities will materialize in the future as a result of Food Export’s
continued support.”
Read the rest of the story here
This article was written
by Bill Patterson, Managing Director – USA, ibt partners; a team of experienced
and professional web-savvy European business developers, based in the USA, the
UK, Germany and France. If you would like to understand how to use the
internet, localized websites and marketing to grow your European business,
please visit www.ibtpartners.com, or contact Bill Patterson at
bp@ibtpartners.com
- What more can I do to develop my European sales?
- Who controls my sales/marketing in Europe: us or our
distributors?
- How can I get the best return from our existing efforts at trade
shows, country visits?
- Can I do this from my office?
- What support can I get?
These are questions that we deal with every week… and while
traditional ways of developing an export business (trade shows, distributors,
missions, etc.) remain important, smart companies are increasingly harnessing
the internet as a cost-effective tool to support and accelerate ROI on
traditional approaches, and to answer these questions.
A website is a default for almost any business, however the
majority don’t make the best use of their internet presence for international
business development. Most value search engine optimization, social media, and
online marketing to drive prospects to their site, but don’t think about how
this work needs to be replicated in each market/country they want to develop – for
example: SEO in the US does not provide traction for a European market.
European markets are web-centric, sophisticated, diverse,
mobile and competitive. Especially the big 3 - UK, Germany, France, then Italy,
Spain and Poland. Europeans prefer country specific websites with their
own language, content and design. Today, local websites are essential for a US
company to compete successfully in Europe, and using technology wisely
is essential to reach new markets and secure growth prospects. Use of the internet
to effectively build and develop businesses in international markets is now
recognized by Food Export Association of the Midwest which recently changed the
terms of its Branded Program to support web based initiatives.
ibt partners offers a free e-book “ecommerce in Europe”
click to download your copy now
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Every profession comes with a unique set of tools. As a food exporter your toolbox might be lacking if you aren't using all of the available resources. The following are links and articles to assist in making sales overseas:
Branded Program- help offset the costs of international marketing expenses with this reimbursement program.
United States Department of Agriculture FAS- get information about foreign markets from the USDA.
This post was written by Anjuli Doyle. Anjuli is an Associate with Entira, a
marketing strategy and business development firm that provides fresh and
unbiased views of customer needs to food and agribusiness companies. For more
information on Entira, contact Anjuli at adoyle@entira.net
Break Out the (Cuban) Cigars!
The news in mid-December of President Obama approving the United States’ move toward “normalizing relations” with Cuba was met with applause from seed groups, grain merchandisers, livestock organizations—probably every sector of agriculture. After a longstanding economic embargo dating back a half century that stifled any kind of relations with the socialist island nation, the United States is now looking at the possibility of a sizeable new market opening up that’s basically right next door. By mid-January, the U.S. Treasury Department already had loosened trade restrictions with companies wanting to export telephone, computer and Internet technologies, and also opened the door for companies wanting to make investments in small businesses there. Momentum is building.
- See more at: http://entira.net/news-insights/entira-insights/break-out-the-cuban-cigars/#sthash.I1XjZNiV.dpuf
Still looking for marketing opportunities in 2015? A proven method of reaching international and domestic buyers is through trade shows, and there are only a few spots left in the Michigan Pavilion at the National Restaurant Association (NRA) Show and Food Marketing Institute (FMI) Connect.
There will be a Michigan pavilion at the American Food Fair Showcase at the NRA Show on May 16-19, 2015 in Chicago. The NRA Show emphasizes food service and HRI and participants in the 2014 Michigan Pavilion expect sales of $730,000. FMI Connect also offers great opportunities and takes place in Chicago on June 9-11, 2015 and will feature a Michigan Pavilion. This trade show focuses on retail food sales and last year’s participants in the Michigan Pavilion projected $2.1 million in sales.
Space is limited in the Michigan Pavilions. For more information about the Michigan Pavilions and to download the space applications, please visit the website. For questions and to register, please contact Jamie Zmitko-Somers at zmitkoj@michigan.gov with completed space applications.
The Food Export Association of the Midwest will host buyers missions at the NRA Show and FMI Connect. The buyers missions are an opportunity to meet one on one with international buyers and promote your products. For more information and to register for the buyers missions, visit the Food Export website.
Upcoming Events
Michigan Pavilion at the National Restaurant Association Show
May 16-19 | Chicago, IL
Michigan Pavilion at the Food Marketing Institute Connect Show
June 9-11 | Chicago, IL
Anuga Food Fair
October 10-14 | Cologne, Germany
Michigan Pavilion at Americas Food and Beverage Show
October 26-27 | Miami Beach, FL
Follow us on Twitter for valuable insider information about upcoming events, links, and news.
Become a Fan of MI Department of Agriculture and Rural Development on Facebook
Get in touch and stay informed with program updates at LinkedIn
Jamie Zmitko-Somers
zmitkoj@michigan.gov
517-284-5736
Hannah Bollinger
bollingerh@michigan.gov
517-284-5737
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