Eastern Regional Conference ERC

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Eastern Regional Conference (ERC)
Québec CityAugust 12 through 15,
2007 _________________ Monday, August 13,
2007 12h00 13h00 pm - Québec City Hilton - Room
Bernières Eastern Trade Council
Meeting Presentation by Jean-Pierre
Coljon, Québec Department of Economic
Development, Innovation and Export Trade
Subject Québec strategy for promoting SMB
exports and trade missions
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Outline

• Volume of Québecs external trade
• Québec, an open economy
• Québec goods export destinations
• Québec government support to exporters
• Québecs worldwide network
• Trade missions
• Note All amounts are in Canadian dollars.

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Outline

• Volume of Québecs external trade
• Québec, an open economy
• Québec goods export destinations
• Québec government support to exporters
• Québecs worldwide network
• Trade missions
• Note All amounts are in Canadian dollars.

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Record business sales and purchases outside
Québec
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Exports of goods andservices abroad On the
increase in 2006 for thethird consecutive year
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Exports of goods andservices to other
provincesSteady increase from 2002 to 2006
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Exportsproportion ofgoods to services (2006)
Much higher proportion of goods exports
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Export share of GDP
Rose in 2006
58.6
53.8
52.6
52.7
53.3
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Trade balance
From surplus to deficit due to faster growth of
imports
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Exports generate jobs (2004)
Note It is estimated that every 120 000 of
exports creates one job. This is an average
figures vary greatly from one sector to another.
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Outline

• Volume of Québecs external trade
• Québec, an open economy
• Québec goods export destinations
• Québec government support to exporters
• Québecs worldwide network
• Trade missions
• Note All amounts are in Canadian dollars.

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Québec and Canada in favour of free trade

• Canada - United States Free Trade Agreement (FTA)
• In effect 01/01/1989
• North American Free Trade Agreement (NAFTA)
  Canada - United States - Mexico
• In effect 01/01/1994

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Québec and Canada in favour of free trade

• Canadas bilateral agreements with Israel, Chili
  and Costa Rica
• Canadas participation in the multilateral
  negotiations of the World Trade Organization
  (WTO)
• Possible negotiations on an economic partnership
  agreement with the European Union

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Québec, an open economy

• Exports as a percentage of GDP (2006) 53.3
• Added value of exports as a of GDP (2004) 33
• Imports as a of GDP (2006) 56.3
• Import content of exports (2004) 36

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Québec measures up favourably to OECD¹ member
countries with regard toeconomic openness
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Importing to export

• Example Bombardiers regional jet
• Engines United States
• Fuselage Northern Ireland, Mexico
• and Québec
• Avionics United States and France
• Air conditioning and
• pressurization France
• Landing gear Ontario
• Design, cockpit, wings, Québec
• tail, final assembly

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World rankings for Québec exports (2003)
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Outline

• Volume of Québecs external trade
• Québec, an open economy
• Québec goods export destinations
• Québec government support to exporters
• Québecs worldwide network
• Trade missions
• Note All amounts are in Canadian dollars.

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Goods export destinations distribution by world
region
U.S. is still Québecs main customer,but
The data do not include re-exports.
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Goods export destinations change by world region
marked increase in exports to other
destinations than U.S.A.
Annual average change 2006/2002

• ____________________________________________
• Change is calculated on the basis of compounded
  rates.The data do not include re-exports.

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Goods export destinations main countries (2006)

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Goods export destinationsU.S. regions (2006)
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Goods export destinationsU.S. states (2006)
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Goods import sourcesworld regionsU.S. is
Québecs main supplier of goods
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Are Québec exports diversified?

• About 80 of Québec exports are to U.S.A., but
• Québec sells throughout the world.
• A wide variety of products is exported.
• The number and proportion of exporters selling
  both to the United States and outside has
  increased since 2000.

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DiversificationThe MDEIE concentrates its
efforts on the following markets

• The United States
• The rest of Canada, especially Ontario
• Europe Germany, the United Kingdom, France,
  Italy, Spain and Belgium
• Asia and Oceania Japan, China and India
• Latin America Mexico, Brazil and Chile

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Outline

• Volume of Québecs external trade
• Québec, an open economy
• Québec goods export destinations
• Québec government support to exporters
• Québecs worldwide network
• Trade missions
• Note All amounts are in Canadian dollars.

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Québecs effortsto support its businesses

• Training
• Strategic watch and information
• Counsellor assistance services
• Welcoming foreign partners / buyers
• Financial assistance business plans and hiring
  of an export specialist
• Québecs worldwide network (see item 5)
• Trade missions and fairs, etc. (see item 6)

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Outline

• Volume of Québecs external trade
• Québec, an open economy
• Québec goods export destinations
• Québec government support to exporters
• Québecs worldwide network
• Trade missions
• Note All amounts are in Canadian dollars.

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Types of offices abroad

• General delegation
• Delegation
• Bureau
• Trade branch

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Locations of Québec offices

• Stand-alone offices
• Within Canadas representations
• Embassy
• Consulate general
• Consulate
• Chamber of commerce

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Québecs worldwide network
People on location who are aware of the business
opportunities and know the markets
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• The DGAEI (Direction générale des affaires
  économiques internationales) team of the MDEIE
  (ministre du Développement économique de
  lImportation et de lExportation)
• In Québec 92 persons
• Abroad 67 persons (including 6 Investissement
  Québec directors)

___ 159
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Outline

• Volume of Québecs external trade
• Québec, an open economy
• Québec goods export destinations
• Québec government support to exporters
• Québecs worldwide network
• Trade missions
• Note All amounts are in Canadian dollars.

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Types of trade missions

• Trade missions
• Ministers trade missions
• Departmental trade missions
• Government trade missions
• Note There are also trade fairs and welcoming
  services for foreign
  buyers

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1. Trade missions

• Delegation consists of
• businesses (SMBs)
• organizations
• Objectives
• contacts (distributors/partners)
• business programs (group and individual)
• Led by a government officer (civil servant)

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2. Ministers trade missions

• Trade mission (see preceding slide 1) led by a
  minister
• Special program for a minister with specific
  objectives
• Promoting Québec
• Attracting investors
• Representing a group of businesses from a given
  sector
• SMBs but also industry leaders

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3. Departmental trade missions

• Objectives
• Promoting Québec
• Attracting investors
• Promoting a sector

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4. Government trade missionsMission Québec

• Led by the Premier and ministers
• Several components
• Economic/commercial
• Education
• Scientific and technical research
• Culture
• etc.
• Accompanying delegations

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Any questions?