Memorandum submitted by Made in Scotland
Ltd
Who is Made in Scotland Ltd?
Made in Scotland Ltd is a private limited company
based in Beauly some 15 miles north of Inverness. Set up in 1991,
its main commercial activity is the organisation of two major
trade fairs promoting and marketing the gift, textile, jewellery
and craft industries.
The Highland Trade Fair which is held in Aviemore
each October attracts 800 companies and more than 5,000 buyers
and visitors, while the 1998 Glasgow Trade Fair held in the SECC
in January had 430 companies represented and was attended by more
than 3,000 buyes and visitors.
The Glasgow Trade Fair is becoming Scotland's
first International Trade Fair in January 1999 and more than 600
companies are expected to be exhibiting with 5,000 buyers and
visitors attending. Scotland's International Trade Fair aims to
expand to include a Scottish food fair.
Made in Scotland also operates a highly successful
gift and craft shop at its headquarters in Beauly.
Made in Scotland operates a free sourcing service
for buyers.
These combined activities give Made in Scotland
a unique overview of Scottish indigenous industries by knowing
the companies, the products and the market.
Who exhibits at Made in Scotland trade fairs?
A wide variety of companies from the small single
person business to large concerns such as Walkers Shortbread employing
over 600 people. Whatever the size they all represent economic
activity and provide employment. The majority of the companies
exhibiting are Scottish. Even if we wished to, current legislation
prevents us from making the trade fairs exclusively Scottish.
The economic benefits of the trade fairs
The Highland Trade Fair is long established
with this year's fair being the 28th. Independent surveys of both
exhibitors and buyers suggest that orders generated by the fair
amount to over £13 million.
The Glasgow Trade Fair was launched in January
1995 and already we estimate that the 1998 event generated between
£7 million to £8 million in sales, of which £3
million were exports. The public sector input in achieving the
£3 million in export sales was £12,000 from Scottish
Trade International.
We anticipate that the first Scotland's International
Trade Fair in January 1999 will result in more than £10 million
of sales.
Both these trade fairs are annual events.
In addition to the orders placed with companies
exhibiting, the local economy in both Aviemore and Glasgow benefit
from the money spent by those attending the fair. An independent
study done in 1995 suggested that this was in excess of £1
million annually at Aviemore.
Inward Investment v Indigenous Enterprise
Made in Scotland believes that greater investment
in indigenous industries would benefit Scottish manufacturing
and the Scottish economy. While realising the value of inward
investment in Scotland, Made in Scotland believes that development
of existing indigenous industries would increase Scotland's manufacturing
base, not just in the Central Belt, but in rural areas. The key
element, however, must be that control of the companies and their
economic performance will be controlled in Scotland by Scotland
and not be subject to the "branch" economy syndrome.
Made in Scotland would like to see an assessment
of the industry undertaken and have recently been in talks with
Dr Andrew McAuley of Stirling University. In particular they have
asked that the assessment should include a survey of the indigenous
industries in Orkney where these industries have been actively
encouraged and unemployment is below the Scottish/UK average.
From this survey it should be possible to estimate the effect
on the Scottish economy of similar investment throughout Scotland.
An application for funds from Dr McAuley to
do this survey was turned down by the Scottish Office.
Size of the Industry/importance to the Scottish
economy
No complete survey of the indigenous industries
has been undertaken within the last 10 years. From the figures
available it would suggest that the turnover is around £200
million per annum and employs around 15,000 to 16,000 people.
SUMMARY
Made in Scotland believe that Scotland would
have much to gain from investment in its indigenous industries.
The results of our trade fairs and the interest shown in Scottish
products suggest that there is a market for these products.
The percentage of direct export sales can be
impressive with even fairly new companies exporting with others
exporting almost all they produce. Much more is exported indirectly
through the tourist industry.
We believe that in the first instance an assessment
of the industry should be made. We would like to see increased
public sector support to achieve even greater export sales at
our trade fairs.
We must show confidence in our own producers
and products—if we are not prepared to encourage and support
them we cannot expect anyone to buy them.
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