Annex 2
INTERNATIONAL TRADE AND FOREIGN DIRECT INVESTMENT
The Welsh Assembly Government's International
Trade Strategy "A World of Opportunity" was launched
in March 2003. It illustrates how we can all work in partnership
to create a culture of internationalisation in the Welsh economy.
Its vision is "To increase the prosperity of the people of
Wales, by developing a culture of internationalisation within
the business community of Wales, thereby developing new opportunities
in the global market". The Strategy is focussing on the following
six strategic objectives:
— Developing the capacity and capability
of existing Welsh companies to trade internationally, as well
as supporting the creation of new exporters.
— Increasing the value of Welsh international
trade with overseas markets.
— Promoting key sectors of the Welsh
economy in priority overseas markets.
— Creating and maintaining effective
partnerships with other business support agencies in Wales and
the UK—"Jointed-Up-Delivery".
— Developing and maintaining a customer
focused approach to service delivery ie; demand led.
— Monitor the effectiveness of services
and programmes, and in conjunction with partners, review the Strategy
and make any necessary changes in direction or approach.
WTI RELATIONSHIP
WITH UK GOVERNMENT
Trade Partners UK is the UK Government Department
charged with the task of international trade promotion activities
on a UK-wide basis. In England, the services are generally made
available through the Business Link/RDA network. As far as Wales
is concerned, the services of Trade Partners UK are available
to Welsh companies and WTI are usually the commissioning point.
Trade Partners UK does not have a physical presence in Wales.
Although WTI are the lead service provider in
Wales, WTI and Trade Partners UK work closely together on a number
of fronts as part of the task of increasing Wales export performance.
FOREIGN DIRECT
INVESTMENT
Invest-UK (formerly the Invest in Britain Bureau)
was established in 1977 to assist firms with all aspects of locating
or relocating a business in the United Kingdom or expanding existing
facilities. It is the Government's sole inward investment agency,
representing the whole of the United Kingdom. It provides a single
point of entry for advice and assistance and works with partner
agencies across the UK to find the most appropriate locations
and solutions to meet investors requirements. (Later this year,
Invest-K will merge with British Trade International and Trade
Partners UK to form one organisation called UK Trade and Investment.)
In Wales the partner agency in the Welsh Development
Agency (WDA). Their role is to help investors assess their needs,
show them what Wales has to offer and how that can be made to
work for them. They employ specialists from across all sectors
to work with investors before, during and after they establish
their operation in Wales and co-operate with other "Team
Wales" partners to ensure that they receive the support they
need to put their plans into action. "Team Wales" embraces
local authorities, education bodies, the private sector and the
Welsh Assembly Government. Between them they can tailor a package
of support that might include grant support, loans, business advice,
training, supply chain sourcing, land and property development
or personal relocation advice.
In a tough global economic climate, during 2002-03,
UK remained Europe's top inward investment location, while Wales'
share of FDI projects—together with the levels of jobs and
investment—increased. The overall number of investment projects
coming to Wales remained largely unchanged at 60 projects compared
with 61 the previous year. The UK figure was 709 projects in 2002-03
compared with 764 in 2001-02.
More than 14% of total jobs coming to the UK
in 2002-03 came to Wales compared with 12.6% in the previous financial
year. Wales attracted 7,779 new or safeguarded jobs compared with
7,317 jobs during the previous period—representing an increase
of 6% against an overall decline of 6% in the comparable figure
for the UK as a whole. In terms of safeguarded jobs—which
represent re-investment by overseas companies—Wales captured
18.6% of the UK total and climbed to first place in the regional
rankings.
The market remains difficult and competitive.
Against the backdrop of an economic recession and a huge decline
in mergers and acquisition activity, the volume of leads has declined
and the speed with which FDI opportunities can be converted has
been delayed.
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