Tenn. seeks businesses for China, S. Korea trade trip

Small, midsize medical companies wanted

Committed to growing Tennessee’s export industry, state officials were in Memphis on Thursday to promote Gov. Bill Haslam’s Tntrade initiative that targets small and midsize companies.

Speaking to a couple dozen business leaders at the Greater Memphis Chamber offices, Will Alexander, a top official with the state Department of Economic and Community Development, touted an upcoming trade mission to China and South Korea as part of the statewide plan that was formally launched in Memphis last month by ECD Commissioner Bill Hagerty.

The trip, which will take place from April 15-21 and include stops in Beijing, Shenzhen and Seoul, is open to as many as 10 owners of small and midsize businesses whose companies specialize in medical devices or health care. Hagerty, along with a delegation of state officials, will accompany participants on the trip.

Costs of the trip — excluding airfare to and from China and some meals — will be covered by the program. Meetings with Chinese and South Korean businesses that are interested in Tennessee exports will be prearranged.

“We’re focusing on Tennessee’s strength as the second largest exporter of medical devices in the country and on markets with a particular draw for those products,” said Alexander, assistant ECD commissioner. “In Asia there’s an increasing appetite for medical devices and health care products from Tennessee and we want to see that continue.”

Growing Tennessee’s export industry is a key component in making the state more businessfriendly, Alexander added.

In 2010, Tennessee businesses exported $25.9 billion worth of goods. That figure topped $30 billion last year, but still only stems from a minuscule portion of state companies.

Only about 6,500 — or 1.5 percent — of the state’s businesses export products. Primary export categories are medical equipment, motor vehicles and parts, machinery, aircraft parts, cotton and synthetic fibers, and chemicals.

The top five nations Tennessee companies export to are Canada, Mexico, China, Japan and Germany.

“Tennessee is a strong exporting state and Memphis is a strong supporter of our trade mission, but we want to take it to a higher level,” said J. Edward “Ted” Townsend III, ECD regional director of the Greater Memphis Region.

“Obviously exporting is not appropriate for every company and it does require commitment and resources, but we believe that more than 1.5 percent of Tennessee businesses should be involved in this industry.”

Tntrade is funded by a $375,000 State Trade & Export Promotion grant from the U.S. Small Business Administration.

In addition to the trade mission plan, Tntrade features the “Market Access Program” that will get under way next week and offer reimbursements of as much as $5,000 to companies for export-related expenses. Funds will be offered on a first- come, first-serve basis.

To learn more, go to tn.gov/ecd/tntrade.

Learn more about small businesses and entrepreneurship in Memphis at The CA’S startupmemphis.com.

— James Dowd: (901) 529-2737