Export Advice

For companies making initial plans to export or to export

in new areas, considerable advice and assistance are

available at little or no cost.  It is easy, through lack

of experience, to overestimate the problems involved in

exporting or to get embroiled in difficulties that can be

avoided. For these and other good reasons, it is important

to get expert counseling and assistance from the

beginning.

This chapter gives a brief overview of sources of

assistance available through federal, state, and local

government agencies and in the private sector. Other

chapters in this guide give more information on the

specialized services of these organizations and how to use

them.  Information on where to find these organizations can

be found in the appendixes.

Some readers may feel overwhelmed at first by the number of

sources of advice available. Although it is not necessary

to go to all of these resources, it is valuable to know at

least a little about each of them and to get to know

several personally. Each individual or organization

contacted can contribute different perspectives based on

different experience and skills.

While having many sources to choose from can be

advantageous, deciding where to begin can also be

difficult. Some advice from experienced exporters may be

helpful in this regard. Recognizing this point, President

George Bush created the Trade Promotion Coordinating

Committee (TPCC) and charged it with harnessing all the

resources of the federal government to serve American

exporting business. The TPCC conducts export conferences,

coordinates trade events and missions that cross-cut

federal agencies, and operates an export information center

that can help exporters find the right federal program to

suit their needs (telephone 1-800-USA-TRADE).

In general, however, the best place to start is the nearest

U.S.  Department of Commerce district office, which can not

only provide export counseling in its own right but also

direct companies toward other government and private sector

export services.

DEPARTMENT OF COMMERCE

The scope of services provided by the Department of

Commerce to exporters is vast, but it is often overlooked

by many companies. Most of the information and programs of

interest to U.S. exporters are concentrated in the

department's International Trade Administration (ITA), of

which the subdivision called the U.S. and Foreign

Commercial Service (US&FCS) maintains a network of

international trade specialists in the United States and

commercial officers in foreign cities to help American

companies do business abroad. By contacting the nearest

Department of Commerce district office, the U.S. exporter

can tap into all assistance programs available from ITA and

all trade information gathered by U.S. embassies and

consulates worldwide. Addresses and phone numbers for all

district offices, listed by state, are given in appendix

III. The following sections detail the kinds of assistance

offered.

Export assistance available in the United States

Department of Commerce District Offices:  Sixty-eight

Department of Commerce district and branch offices in

cities throughout the United States and Puerto Rico provide

information and professional export counseling to business

people. Each district office is headed by a director and

supported by trade specialists and other staff. Branch

offices usually consist of one trade specialist. These

professionals can counsel companies on the steps involved

in exporting, help them assess the export potential of

their products, target markets, and locate and check out

potential overseas partners. In fact, because Commerce has

a worldwide network of international business experts,

district offices can answer almost any question exporters

are likely to ask -- or put them in touch with someone who

can.

Each district office can offer information about

* international trade opportunities abroad,

* foreign markets for U.S. products and services,

* services to locate and evaluate overseas buyers

and representatives,

* financial aid to exporters,

* international trade exhibitions,

* export documentation requirements,

* foreign economic statistics,

* U.S. export licensing and foreign nation

import requirements, and

* export seminars and conferences.

Most district offices also maintain business libraries

containing Commerce's latest reports as well as other

publications of interest to U.S. exporters. Important data

bases, such as the NTDB, are also available through many

district offices that provide trade leads, foreign business

contacts, in-depth country market research, export-import

trade statistics, and other valuable information.

District Export Councils

Besides the immediate services of its district offices, the

Department of Commerce gives the exporter direct contact

with seasoned exporters experienced in all phases of export

trade. The district offices work closely with 51 district

export councils (DECs) comprising nearly 1,800 business and

trade experts who volunteer to help U.S. firms develop

solid export strategies.

These DECs assist in many of the workshops and seminars on

exporting arranged by the district offices (see below) or

sponsor their own. DEC members may also provide direct,

personal counseling to less experienced exporters,

suggesting marketing strategies, trade contacts, and ways

to maximize success in overseas markets.

Assistance from DECs may be obtained through the Department

of Commerce district offices with which they are

affiliated.

Export Seminars and Educational Programming

In addition to individual counseling sessions, an effective

method of informing local business communities of the

various aspects of international trade is through the

conference and seminar program. Each year, Commerce

district offices conduct approximately 5,000 conferences,

seminars, and workshops on topics such as export

documentation and licensing procedures, country-specific

market opportunities, export trading companies, and U.S.

trade promotion and trade policy initiatives. The seminars

are usually held in conjunction with DECs, local chambers

of commerce, state agencies, and world trade clubs. For

information on scheduled seminars across the country, or

for educational programming assistance, contact the nearest

district office.

Assistance Available From Department of Commerce

Specialists in Washington, D.C.:  Among the most valuable

resources available to U.S. exporters are the hundreds of

trade specialists, expert in various areas of international

business, that the Department of Commerce has assembled in

its Washington headquarters.

Country counseling.  Every country in the world is assigned

a country desk officer.  These desk officers in

Commerce's International Economic Policy (IEP) area,

look at the needs of an individual U.S. firm wishing

to sell in a particular country, taking into account

that country's overall economy, trade policies,

political situation, and other relevant factors. Each

desk officer collects up-to-date information on the

country's trade regulations, tariffs and value-added

taxes, business practices, economic and political

developments, trade data and trends, market size and

growth, and so on.  Desk officers also participate in

preparing Commerce's country-specific market research

reports, such as Foreign Economic Trends and Overseas

Business Reports, available from the U.S. Government

Printing Office.  The value of IEP's market data may

be gauged from the fact that this agency develops much

of the country-specific background for negotiating

positions of the U.S. trade representative.

Product and service sector counseling.  Complementing IEP's

country desks are the industry desk officers of

Commerce's Trade Development area. They are grouped in

units (with telephone numbers):

*    Aerospace, 202-377-2835.

*    Automotive Affairs and Consumer Goods, 202-377-0823.

*    Basic Industries, 202-377-0614.

*    Capital Goods and International Construction, 202-377-5023.

*    Science and Electronics, 202-377-3548.

*    Services, 202-377-5261.

*    Textiles and Apparel,  202-377-3737.

The industry desk officers participate in preparing reports

on the competitive strength of selected U.S.  industries in

domestic and international markets for the publication U.S.

Industrial Outlook (available from the U.S. Government

Printing Office). They also promote exports for their

industry sectors through marketing seminars, trade missions

and trade fairs, foreign buyer groups, business counseling,

and information on market opportunities.

Export counseling and international market analysis.  The

Market Analysis Division provides U.S. firms with

assistance in market research efforts and export

counseling on market research.  Many of the research

reports described in this chapter are planned and

prepared by the Office of Product Development and

Distribution, Market Analysis Division (202-377-5037).

Major projects.  For major projects abroad, the

International Construction unit works with American

planning, engineering, and construction firms to win

bid contracts. The Major Projects Reference Room in

Commerce's Washington headquarters keeps detailed

project documents on multilateral development bank and

U.S. foreign assistance projects. Companies able to

bid on major overseas projects can reach the Major

Projects Reference Room on 202-377-4876.

The Office of Telecommunications (202-377-4466) has major

projects information exclusively for that sector.

Other assistance.  Rounding out the Trade Development area

is a unit that cuts across industry sector issues.

Trade Information and Analysis gathers, analyzes, and

disseminates trade and investment data for use in

trade promotion and policy formulation. It also

includes specialists in technical areas of

international trade finance, such as countertrade and

barter, foreign sales corporations, export financing,

and the activities of multilateral development banks.

For more information, contact the nearest Department

of Commerce district office.

EXPORT MARKETING INFORMATION AND ASSISTANCE AVAILABLE

OVERSEAS

US&FCS Overseas Posts Much of the information about trends

and actual trade leads in foreign countries is gathered on

site by the commercial officers of the US&FCS.  About half

of the approximately 186 US&FCS American officers working

in 67 countries (with 127 offices) have been hired from the

private sector, many with international trade experience.

All understand firsthand the problems encountered by U.S.

companies in their efforts to trade abroad.  U.S.-based

regional directors for the US&FCS can be contacted at the

following telephone numbers:

*    Africa, Near East and South Asia, 202-377-4836.

*    East Asia and Pacific, 202-377-8422.

*    Europe, 202-377-1599.

*    Western Hemisphere, 202-377-2736.

*    Fax (Europe and Western Hemisphere), 202-377-3159.

*    Fax (all others), 202-377-5179.

In addition, a valued asset of the US&FCS is a group of

about 525 foreign nationals, usually natives of the foreign

country, who are employed in the U.S. embassy or consulate

and bring with them a wealth of personal understanding of

local market conditions and business practices. The US&FCS

staff overseas provides a range of services to help

companies sell abroad: background information on foreign

companies, agency-finding services, market research,

business counseling, assistance in making appointments with

key buyers and government officials, and representations on

behalf of companies adversely affected by trade barriers.

U.S. exporters usually tap into these services by

contacting the Department of Commerce district office in

their state. While exporters are strongly urged to contact

their district office before going overseas, U.S. business

travelers abroad can also contact U.S. embassies and

consulates directly for help during their trips. District

offices can provide business travel facilitation assistance

before departure by arranging advance appointments with

embassy personnel, market briefings, and other assistance

in cities to be visited.  US&FCS posts also cooperate with

overseas representatives of individual states. Almost all

50 states have such representation in overseas markets, and

their efforts are closely coordinated with the resources of

the US&FCS.

Other Commerce export services

Besides ITA, a number of other Department of Commerce

agencies offer export services.

Export Administration

The under secretary for export administration is

responsible for U.S.  export controls. Assistance in

complying with export controls can be obtained directly

from local district offices or from the Exporter Counseling

Division within the Bureau of Export Administration (BXA)

Office of Export Licensing in Washington, DC

(202-377-4811). BXA also has four field offices that

specialize in counseling on export controls and

regulations: the Western Regional Office (714-660-0144),

the Northern California Branch Office (408-748-7450), the

Portland Branch Office (503-326-5159), and the Eastern

Regional Office (603-834-6300).

Trade Adjustment Assistance

Trade Adjustment Assistance, part of Commerce's

Economic Development Administration, helps firms that have

been adversely affected by imported products to adjust to

international competition. Companies eligible for trade

adjustment assistance may receive technical consulting to

upgrade operations such as product engineering, marketing,

information systems, export promotion, and energy

management. The federal government may assume up to 75

percent of the cost of these services.  For more

information call 202-377-3373.

Travel and Tourism

The U.S. Travel and Tourism Administration (USTTA)

promotes U.S. export earnings through trade in tourism.

USTTA stimulates foreign demand, helps to remove barriers,

increases the number of small and medium-sized travel

businesses participating in the export market, provides

timely data, and forms marketing partnerships with private

industry and with state and local governments.

To maintain its programs in international markets, USTTA

has offices in Toronto, Montreal, Vancouver, Mexico City,

Tokyo, London, Paris, Amsterdam, Milan, Frankfurt, Sydney,

and (serving South America) Miami.  Travel development

activities in countries without direct USTTA representation

are carried out under the direction of USTTA regional

directors, who cooperate with Visit USA committees composed

of representatives from the U.S. and foreign travel

industry in those countries, and also with the US&FCS. For

more information, U.S.  destinations and suppliers of

tourism services interested in the overseas promotion of

travel to the United States should call 202-377-4003.

Foreign Requirements for U.S. Products and Services

For information about foreign standards and certification

systems, write National Center for Standards and

Certificates Information, National Institute for Standards

and Technology (NIST), Administration Building, A629,

Gaithersburg, MD 20899; telephone 301-975-4040, 4038, or

4036.  NIST maintains a General Agreement on Tariffs and

Trade (GATT) hotline (301-975-4041) with a recording that

reports on the latest notifications of proposed foreign

regulations that may affect trade. Exporters can also get

information from the nongovernmental American National

Standards Institute (212-354-3300).

Minority Business Development Agency (MBDA)

The MBDA identifies minority business enterprises

(MBEs) in selected industries to increase their awareness

of their relative size and product advantages and to

aggressively take them through the advanced stages of

market development.  Through an interagency agreement with

the ITA, MBDA provides information on market and product

needs worldwide.  MBDA and ITA coordinate MBE participation

in Matchmaker and other trade delegations.  MBDA provides

counseling through the Minority Business Development Center

network to help MBEs prepare international marketing plans

and promotional materials and to identify financial

resources.  For general export information, the field

organizations of both MBDA and ITA provide information kits

and information on local seminars. Contact Minority

Business Development Agency, Office of Program Development,

U.S. Department of Commerce, Washington, DC 20230;

telephone 202-377-3237.

Foreign Metric Regulations

The Office of Metric Programs (202-377-0944) provides

exporters with guidance and assistance on matters relating

to U.S.  transition to the metric system. It can also give

referrals to metric contacts in state governments.

Fishery Products Exports

The National Oceanic and Atmospheric Administration

(NOAA) assists seafood exporters by facilitating access to

foreign markets. NOAA's National Marine Fisheries Service

provides inspection services for fishery exports and issues

official U.S. government certification attesting to the

findings. Contact Office of Trade and Industry Services,

National Marine Fisheries Service, Room 6490, 1335

East-West Highway, Silver Spring, MD 20910. Telephone

numbers are as follows:  Trade Matters, 301-427-2379 or

2383; Export Inspection, 301-427-2355; and Fisheries

Promotion, 301-427-2379.

Bureau of the Census

The Bureau of the Census is the primary source of trade

statistics that break down the quantity and dollar value of

U.S. exports and imports by commodity (product) and

country. Commerce district offices can help retrieve Census

export statistics for exporters who want to identify

potential export markets for their products. Firms

interested in more extensive statistical data can contact

the Bureau of the Census at 301-763-5140.

Census can also provide authoritative guidance on questions

concerning shippers' export declarations (see chapter 12).

Call 301-763-5310.

Department of State

The Department of State has a diverse staff capable of

providing U.S.  exporters with trade contacts. These staff

members include bureau commercial coordinators, country

desk officers, policy officers in the functional bureaus

(such as the Bureau of Economic and Business Affairs), and

all U.S. embassies and consular posts abroad. While the

Department of Commerce's US&FCS is present in 67 countries,

the Department of State provides commercial services in 84

embassies and numerous consular posts. Their addresses and

telephone numbers are published in the directory titled Key

Officers of Foreign Service Posts, available from the U.S.

Government Printing Office (202-783-3238).  The ambassador

takes the lead in promoting U.S. trade and investment

interests in every U.S. embassy.

Small Business Administration

Through its 107 field offices in cities throughout

the United States (see appendix III for addresses and

telephone numbers), the U.S. Small Business Administration

(SBA) provides counseling to potential and current small

business exporters. These no-cost services include the

following:

*    Legal advice. Through an arrangement with the Federal

Bar Association (FBA), exporters may receive initial export

legal assistance. Under this program, qualified attorneys

from the International Law Council of the FBA, working

through SBA field offices, provide free initial

consultations to small companies on the legal aspects of

exporting.

*    Export training. SBA field offices cosponsor export

training programs with the Department of Commerce, other

federal agencies, and various private sector international

trade organizations. These programs are conducted by

experienced international traders.

* Small Business Institute and small business development

centers.  Through the Small Business Institute, advanced

business students from more than 500 colleges and

universities provide in-depth, long-term counseling under

faculty supervision to small businesses. Additional export

counseling and assistance are offered through small

business development centers, which are located in some

colleges and universities. Students in these two programs

provide technical help by developing an export marketing

feasibility study and analysis for their client firms.

*    Export counseling. Export counseling services are also

furnished to potential and current small business exporters

by executives and professional consultants. Members of the

Service Corps of Retired Executives, with practical

experience in international trade, help small firms

evaluate their export potential and strengthen their

domestic operations by identifying financial, managerial,

or technical problems.  These advisers also can help small

firms develop and implement basic export marketing plans,

which show where and how to sell goods abroad.  For

information on any of the programs funded by SBA, contact

the nearest SBA field office.

Department of Agriculture

The U.S. Department of

Agriculture (USDA) export promotion efforts are centered in

the Foreign Agricultural Service (FAS).  A wide variety of

other valuable programs is offered, such as promotion of

U.S. farm products in foreign markets; services of

commodity and marketing specialists in Washington, D.C.;

trade fair exhibits; publications and information services;

and financing programs. For more information on programs

contact the director of the High-Value Product Services

Division, Foreign Agricultural Service, U.S. Department of

Agriculture, Washington, DC 20250; telephone 202-447-6343.

State governments

State economic development agencies,

departments of commerce, and other departments of state

governments often provide valuable assistance to exporters.

State export development programs are growing rapidly. In

many areas, county and city economic development agencies

also have export assistance programs.

Commercial banks

More than 300 U.S. banks have international banking

departments with specialists familiar with specific foreign

countries and various types of commodities and

transactions. These large banks, located in major U.S.

cities, maintain correspondent relationships with smaller

banks throughout the country. Larger banks also maintain

correspondent relationships with banks in most foreign

countries or operate their own overseas branches, providing

a direct channel to foreign customers.  International

banking specialists are generally well informed about

export matters, even in areas that fall outside the usual

limits of international banking. If they are unable to

provide direct guidance or assistance, they may be able to

refer inquirers to other specialists who can. Banks

frequently provide consultation and guidance free of charge

to their clients, since they derive income primarily from

loans to the exporter and from fees for special services.

Many banks also have publications available to help

exporters. These materials often cover particular countries

and their business practices and can be a valuable tool for

initial familiarization with foreign industry. Finally,

large banks frequently conduct seminars and workshops on

letters of credit, documentary collections, and other

banking subjects of concern to exporters.

Export intermediaries

Export intermediaries are of many different types, ranging

from giant international companies, many foreign owned, to

highly specialized, small operations. They provide a

multitude of services, such as performing market research,

appointing overseas distributors or commission

representatives, exhibiting a client's products at

international trade shows, advertising, shipping, and

arranging documentation. In short, the intermediary can

often take full responsibility for the export end of the

business, relieving the manufacturer of all the details

except filling orders.  Intermediaries may work

simultaneously for a number of exporters on the basis of

commissions, salary, or retainer plus commission. Some take

title to the goods they handle, buying and selling in their

own right.  Products of a trading company's clients are

often related, although the items usually are

noncompetitive. One advantage of using an intermediary is

that it can immediately make available marketing resources

that a smaller firm would need years to develop on its own.

Many export intermediaries also finance sales and extend

credit, facilitating prompt payment to the exporter.

World trade centers and international trade clubs

Local or regional world trade

centers and international trade clubs are composed of area

business people who represent firms engaged in

international trade and shipping, banks, forwarders,

customs brokers, government agencies, and other service

organizations involved in world trade. These organizations

conduct educational programs on international business and

organize promotional events to stimulate interest in world

trade. Some 80 world trade centers or affiliated

associations are located in major trading cities throughout

the world.  By participating in a local association, a

company can receive valuable and timely advice on world

markets and opportunities from business people who are

already knowledgeable on virtually any facet of

international business.

American chambers of commerce abroad

A valuable and reliable source of market information in any

foreign country is the local chapter of the American

chamber of commerce. These organizations are knowledgeable

about local trade opportunities, actual and potential

competition, periods of maximum trade activity, and similar

considerations.  American chambers of commerce abroad

usually handle inquiries from any U.S. business. Detailed

service, however, is ordinarily provided free of charge

only for members of affiliated organizations. Some chambers

have a set schedule of charges for services rendered to

nonmembers.

International trade consultants and other advisers

International trade consultants can advise and assist a

manufacturer on all aspects of foreign marketing. Trade

consultants do not normally deal specifically with one

product, although they may advise on product adaptation to

a foreign market. They research domestic and foreign

regulations and also assess commercial and political risk.

They conduct foreign market research and establish contacts

with foreign government agencies and other necessary

resources, such as advertising companies, product service

facilities, and local attorneys.

These consultants can locate and qualify foreign joint

venture partners as well as conduct feasibility studies for

the sale of manufacturing rights, the location and

construction of manufacturing facilities, and the

establishment of foreign branches. After sales agreements

are completed, trade consultants can also ensure that

follow-through is smooth and that any problems that arise

are dealt with effectively.  Trade consultants usually

specialize by subject matter and by global area or country.

For example, firms may specialize in high-technology

exports to the Far East. Their consultants can advise on

which agents or distributors are likely to be successful,

what kinds of promotion are needed, who the competitors

are, and how to deal with them. They are also knowledgeable

about foreign government regulations, contract laws, and

taxation. Some firms may be more specialized than others;

for example, some may be thoroughly knowledgeable on legal

aspects and taxation and less knowledgeable on marketing

strategies.  Many large accounting firms, law firms, and

specialized marketing firms provide international trade

consulting services. When selecting a consulting firm, the

exporter should pay particular attention to the experience

and knowledge of the consultant who is in charge of its

project. To find an appropriate firm, advice should be

sought from other exporters and some of the other resources

listed in this chapter, such as the Department of Commerce

district office or local chamber of commerce.

Consultants are of greatest value to a firm that knows

exactly what it wants. For this reason, and because private

consultants are expensive, it pays to take full advantage

of publicly funded sources of advice before hiring a

consultant.