With a strong desire to travel and learn, Daiana Leandro moved to the U.S. from Brazil in 2013 as part of a one-year exchange program. Her goal was to familiarize herself with the English language, to better position herself for future travel plans.

When she went back to Brazil, she decided to enroll in university and wanted to incorporate her newly developed English speaking skills into her formal education as well. This prompted her to pursue a bachelor’s degree in international trade.

“I wanted to use language as well because I felt very good about my English language skills and decided to look for a course that would accommodate that skill.”

Beginning her international trade career and meeting her mentor

After moving back to Brazil, Daiana had a few months gap before starting university. She applied for a trainee job in international trade and was hired at Takata, a Japanese auto parts manufacturer. This is where she met Mario, who hired her and would go on to become her mentor. It was with his support and guidance that she transitioned from a trainee to an assistant, and eventually an analyst, towards the end of her four year tenure at Takata.

“I feel that it’s important to have gratitude for the people that support you and actually contribute positively to our growth.”

Once she left Takata, Daiana went on to work for various trade companies. During this time she had the chance to work in customs clearance, logistics management, and import/export operations. This experience gave her deeper insights and more visibility of international business as a whole.

“I was working with more products, and we also worked with customs which are very different, especially in Brazil, because it’s a very protective country. You need to understand lots of legislation to do that, and that was very interesting for me to understand from the inside.”

Switching sides – moving from production to transportation

Next, Daiana began a new role as logistics coordinator with freight forwarding company JAS.  This new role placed her on the opposite side of transactions she was used to in her previous roles. Now working on the transportation side, she was able to use the insights she’d gained as the importer/exporter to understand her customers’ challenges with carriers which allowed her to  empathize and ultimately better serve them.

“I knew people have limited budgets and I would go over their invoices with them checking every line item that was charged and walking them through how it was charged and why.”

Working in freight also familiarized Daiana with the strict processes and rules that are followed and all the people involved in different stages of these processes. Always with a mind to the possibilities of working abroad, she was pleased to build her know-how in the world of transportation since it’s a knowledge area that transfers well internationally.

Moving to Canada and becoming a certified professional

After having experienced so many great adventures during her stay in the U.S., Daiana and her husband were inspired to look for opportunities to travel and work abroad after completing university. They considered several options for relocation with a particular eye to countries where they would be welcomed and find decent professional opportunities.

Want to learn more about the Certified International Trade Professional (CITP®|FIBP®) designation? See why it’s the world’s most recognized designation for competency and credibility in global business.

During her research, Daiana discovered the FITTskills courses being offered through Nova Scotia Community College’s Advanced Diploma program for International Business, and realized that it lined up with her previous education. She was also attracted to the program by the opportunity to go on to apply for the CITP designation that FITT offers, after earning the FITT Diploma.

“One of my professors used to say that it’s not fair that lawyers study law and can call themselves lawyers. Like people who study medicine and become doctors. And for those of us who study international trade, there’s still too little recognition for us as professionals.”

“I think that having a professional designation is important to back you up. To show that you’re committed to what you’re doing.”

Ulitmately, Daiana has proven exactly that. The hard work she has put into her learning, both on the job and through her education, has helped her become a validated, competent and committed international trade professional.

“The FITTskills courses enhanced my education in international logistics by expanding my understanding of international trade. It provides thorough training in 15 competency areas, creating numerous opportunities for entering the job market or starting an international business.”

She shares that her favorite FITTskills course in was the Feasibility of International Trade course as it helped her pull together all the knowledge and skills she had gained in the past few years through both education and work, to conduct international trade research.

Doubling down on customs specialization and plans for the future

Today, Daiana is putting her skills and knowledge to work as Customer Success Specialist at Ocean Sonics – a manufacturer of hydrophones (microphones used to listen under the water). They have a large clientele worldwide and across a range of industries. Daiana’s role focuses on serving clients on the export side of the business.

“Day to day I don’t only deal with exporting items out, but with returns as well. I work with return naturalization of products that are under warranty. If I ship something to Tasmania and it needs to return to Canada I help customers to return this unit. And I work with customers to provide the best and cheapest option to save money and avoid expensive unexpected costs so that customers pay what’s fair.”

Daiana wants to learn everything that she can about customs processes as she believes that this knowledge is crucial for any business that does international trade. It allows them to smoothly navigate customs and take advantage of whatever’s available. This is why she wants to build on her CITP designation and international business training and become a Certified Customs Specialist.

“I’m in contact with the Canada Broker Association to do another course that’s going to lead me to another designation to become a Certified Customs Specialist. Building an understanding of the whole process will help me bring a lot of value.”

Daiana credits the FITTskills courses she took for providing her with crucial knowledge and hands-on experience to further her international trade career. She has plenty of ambitions for the future and becoming a Certified Customs Specialist and delving into procurement to widen supply options for Ocean Sonics are just the start.

“Many aspire to work in international trade for the travel opportunities, but the reality is that the field encompasses much more. As international trade professionals, we drive global commerce. I truly love my career it is dynamic, exciting and fulfilling.”

Her key piece of advice to anyone starting out in international trade:

“I’ll rephrase something that Mario used to tell me since day one. We never know everything. So that’s the exciting part of the job.”

The post CITP Spotlight: Daiana Leandro – Customer Success Specialist, Ocean Sonics Ltd. appeared first on Trade Ready.

Roberto Tiradentes de Lima was born in Brazil, and by the time he was a teenager, had begun learning English and Spanish in addition to his Portuguese native tongue. It was this experience with multiple languages that first sparked his interest in international cultures, communication, economies, and how they all intersect on the world stage. Roberto decided to parlay these interests as well as his trilingual abilities into a career and went on to study international business in post-secondary school.

Helping to facilitate trade from companies to countries

Roberto has since embarked on an impactful international career, taking him to many countries including the USA, England, Ireland, Spain, Italy and now Canada for his work. He has worked with an impressive array of global organizations on projects and policy affecting nations worldwide, including the United Nations Development Program (UNDP), Brazilian Ministry of Agrarian Development (MDA), Department of International Negotiations for the Trade Promotion International Advisory (Brazil), the World Trade Organization, and now Global Affairs Canada.

Roberto’s favorite career highlights all relate to assisting companies expanding internationally, working with governments to create beneficial international policies, and the personal growth that comes as a result of travelling internationally and living abroad.

“There is nothing compared to seeing a company’s growth in international market share as a result of our assistance, or participating in government high level group work to discuss commercial defence measures (including players like Canadian Bombardier and Brazilian Embraer),” says Roberto.

Developing agri-trade policies to improve food security in developing countries

One career highlight Roberto is particularly proud of is his work for the Brazilian government.

“I was hired as an international business consultant by the United Nations Development Program (UNDP), to work in the Brazilian Ministry of Agrarian Development (MDA).

I was a member of the Department of International Negotiations for the Trade Promotion International Advisory (AIPC) in the Minister’s Office where I provided consultancy in foreign trade and assisted Brazil in reviewing policies related to food security and anti-dumping measures in reference to commercial defense.

In addition to that, I was involved with Doha development round for agriculture, for the World Trade Organization. During this time, I participated in weekly meetings with diplomats in the Ministry of Foreign Affairs, briefed and debriefed the senior management team and participated in high level, confidential work with multiple internal and external stakeholders.”

One of my proudest professional accomplishments during this work was when I coordinated, in Spanish, the Brazilian delegation on ‘commerce facilitation negotiations’ in Uruguay for a Mercosur meeting.

I also drafted briefing notes and elaborated five technical documents on General System of Trade Preferences Among Developing Countries (food security), Commercial Defense Measures (anti-dumping measures) and on the Brazilian Foreign Trade Chamber. I think all of this has prepared me well for my career at GAC, which I’m really excited about.”

Career success comes down to continuous relationship building and professional development

Roberto took the FITTskills courses as a way of reviewing and updating his professional knowledge, with the ultimate goal of earning his CITP designation.

“Taking FITTskills courses was part of a great review process and learning through a lot of reading, videos and gleaning the lessons from many different case studies. This learning process helped me have a broader view of the international business environment.

My favourite FITTskills course was Global Value Chain. I have accumulated a lot of solid experience in imports and exports as a result of working for freight forwarding and trading companies, and I love this type of work.

During my work experience I have developed logistics plans, coordinated with brokers, cargo agents, and international insurance, and developed shipping plans to minimize freight spending and to optimize time. Even with all of that experience, the course on Global Value Chain covers all of the important aspects of this fascinating “universe,” which is always evolving. So, we’re always learning new things.”

Want to learn more about the Certified International Trade Professional (CITP®|FIBP®) designation? See why it’s the world’s most recognized designation for competency and credibility in global business.

Adding credibility to experience and expertise with the CITP designation

Joining the CITP|FIBP community was also a way of proving his credibility, improving his career prospects, and growing his network of established trade professionals.

“One thing I’ve learned during my career that I wish I had known when I started working in international business is to never underestimate the power of networking. I chose to apply for the CITP designation because it has a great reputation and is widely recognized. In addition to that, the Trade Commissioners at GAC are encouraged to earn their CITP designation in recognition of the international trade competencies it validates, and those who have it may increase their chances of internal promotions.”

“I felt rewarded when I got the email informing me that my application for the elite CITP-FIBP designation has been approved. The process of earning the CITP designation demand many hours of dedication and discipline, so I felt that a plan had been put in action and the result was obtained. I’m happy to part of this elite professional community.”

We’re looking forward to following Roberto’s already impressive career with Global Affairs Canada and beyond.

The post CITP Spotlight: Roberto Tiradentes de Lima, Project Services Office, Global Affairs Canada appeared first on Trade Ready.

What should you look out for or expect in the international business world in 2018? Let’s take a look and see what could be dominating the headlines you read over the next twelve months.

1. The CPTPP

Though President Trump withdrew the U.S. from the TPP in January, the remaining 11 countries are working to resurrect the deal as the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). This deal, if signed, would eliminate approximately 95% of tariffs on trade between these countries, who have a combined GDP of over $10 trillion USD.

In November, Canada surprised the other 10 countries by declining to sign the agreement, to the surprise of the negotiators and the Canadian international trade community. However, amid efforts to diversify exports beyond the American market, it seems unlikely that Canada will continue to drag its heels on an opportunity to gain preferential access to the Japanese market in particular. Expect any final issues to be resolved and the CPTPP to be signed sometime in 2018.

2. Ongoing, contentious Brexit talks

By December 2017, the UK has completed the first phase of Brexit negotiations with the EU, covering issues such as the Irish border, citizens’ rights and financial settlements. The second phase of negotiations will cover the UK’s transition period after formally leaving the EU in March 2019. Discussions over the long-term relationship between the UK and EU will be included in phase three.

This process was complicated on December 13, when several Conservative British MPs joined the opposition to vote for an amendment requiring British Parliament to debate and vote on any final deal with the EU before it can be approved.

The second phase of Brexit negotiations are planned for 2018, and are expected to present few greater challenges than the first phase. The final phase on the long-term relationship between the UK and EU, however, presents several important questions about economic integration and free trade that Britain’s politicians and citizens have not yet agreed upon.

With two sets of challenging negotiations, and the extra hurdle of parliamentary approval, the odds that talks will drag into the final three months before the UK leaves the EU on March 29, 2019 remain high.

3. Sustainable, cleantech exports

If you’re involved in the clean tech and sustainability sector, 2018 should be a strong year for you. Despite the U.S. withdrawal from the Paris Agreement, global regulations are still trending towards stricter environmental and emissions regulations, requiring businesses to invest in cleaner technology in order to meet those standards. According to EDC President and CEO Benoit Daignault, total global investment in cleantech has now exceeded $1 trillion and will reach $2.5 trillion by 2020.

Canada in particular is placing great emphasis on this industry. The Canadian government promised $1 billion towards clean tech in its 2017 budget for R&D. The Trade Commissioner Service is also hiring 15 new Trade Commissioners to focus specifically on cleantech.

4. India, Brazil, and New Zealand – the rising stars of global trade

If you’re looking for new markets over the next 12 months, Morgan Stanley recommends you take a hard look at India. They argue the country’s increased digitization, new tax laws and younger demographics present a bright future, and predict 7.5% GDP growth in 2018. Morgan Stanley also predicts that India will be the world’s fastest growing economy over the coming decade.

Brazil will also see a quick recession recovery, growing an expected by 3.1% in 2018, according to the Brazilian government.

If you’re more interested in fully developed markets, Forbes ranked New Zealand second on its 2018 Best Countries for Doing Business rankings, citing its 3.6% economic growth in 2017, among other factors. The country also ranked highly in several categories for ease of doing business, including first in IP rights, bureaucracy/red tape levels surrounding business, and Transparency International’s Corruption Perception Index.

5. Meaningful action to reduce oil dependency

As Venezuela continues to suffer through the collapse of its oil-dependent economy, and the U.S. plans to become a net exporter of oil within 10 years, several oil-dependent economies are taking steps to diversify their economies.

In Russia, Putin’s approval levels are dropping as the economy struggles through lower oil revenues. Despite making fiscal changes to reduce the national budget’s dependence on oil revenues, he may push for new measures to improve his chances in the country’s 2018 presidential elections.

Saudi Arabia has plans to sell about 5% of Saudi Aramco, the state-owned oil company, through an IPO in 2018 and expects to generate up to $100 billion for the country’s Vision 2030 program, designed to shift the Saudi economy away from oil dependency towards tech and entertainment services.

Nigeria and Angola, meanwhile, are looking to agriculture to reduce their oil dependency issues. Nigeria, dependent on oil for 70% of government revenues, has launched a new program to increase yam exports to Europe and the U.S., as the country produces 60% of the world’s yams. Angola are instead focused on a broader approach to tap into their agricultural potential, which includes producing more cereals, milk, chicken, cassava, and other products.

6. Banks taking on blockchain

It is practically impossible these days to tune into the business or financial news and not hear a story about the latest blockchain or cryptocurrency development. Blockchain technology, allowing multiple players to have access to a live, unalterable digital ledger, offers game-changing possibilities for international trade finance. In 2018 this buzzworthy fintech is moving beyond Silicon Valley start-ups, into the mainstream world of global financial institutions.

In March, 2017, we reported on how banks were working to bring the advantages of blockchain technology to their corporate clients. In May, the R3 Consortium, made up of of 70 of the world’s biggest financial institutions and created to research and develop blockchain adoption, announced it had secured its largest ever investment. Then in October 2017, seven major banks partnered with R3 and Finastra to develop a blockchain-based marketplace for syndicated loans. On December 6, Amazon joined the blockchain party, announcing a partnership with R3 to allow the Corda platform to be the first distributed ledger technology to operate on the Amazon Web Services Platform.

What will we see in 2018? Swiss global financial company UBS has led an initiative to create a “utility settlement coin” that would represent each major national currency. If this coin is launched, the Corda platform could be adapted to facilitate its use.

IBM is working on launching their own blockchain platform that would allow banks to rapidly clear global payment transactions. There are also several start-ups working on digitizing the bill of lading process.

2018 could be the year some of the blockchain-based payment initiatives move from development to adoption.

7. Adoption of futuristic supply chain technology

Machine learning, automation and robotics, self-driving vehicles, new tracking technology – all of these futuristic supply chain tools will see major developments and implementation in 2018.

The past year was a big one for self-driving vehicles, culminating with the reveal of Tesla’s new fully electric semi, gaining pre-orders from big players such as PepsiCo, UPS and Walmart. Companies invested over $1 billion into self-driving and other trucking technologies in 2017.

Speaking of investing in supply chain technology, over $4 billion was invested in AI by U.S. venture capitalists in the past year. One application that has seen immediate return for companies adopting machine learning capable AI is Multi-Echelon Inventory Optimization (MEIO), which has been shown to reduce inventories by 30% while maintaining or improving customer fill rates.

Robots will also continue to play more of a role in warehouses in 2018. While some are increasingly capable of working independently, replacing human workers on the floor, others are working alongside humans, or being controlled by humans using VR applications. There’s no doubt that the demand for the skills needed to work with robotics will continue to rise in the year ahead.

8. Planning for the possibility of a world without NAFTA

The sixth round of NAFTA talks is set to kick off in Montreal January 23. But as the negotiations near, there doesn’t seem to be a lot of positivity. The first five rounds reportedly saw very little progress, putting even more pressure on this next round.

What’s the problem? The U.S. is seemingly immovable on five issues that pose major problems for the agreement’s other two member countries, Canada and Mexico.

The five issues include:

• Removal of reciprocity in government procurement at the sub-national level
• Changes to the rules of origin in the auto sector
• Elimination of the independent dispute resolution clause
• End of Canadian supply management of the dairy, eggs and poultry industries
• Addition of a “sunset clause” on NAFTA itself

“NAFTA, by itself, will not collapse,” said Mexico’s Economy Minister ldefonso Guajardo in October, but even if Mr. Guajardo is right, it may change drastically from what we have in place today.

If this really does spell the end of NAFTA, the Canadian auto, pulp and paper, chemicals, mining, aerospace and oil and gas industries are likely to be most affected, according to BMO chief economist Douglas Porter.

Even without NAFTA, trade between the three nations is inevitable. Supply chains between Canada and Mexico criss-cross the U.S. How businesses adapt to the realities of a new – or non-existent – NAFTA, is something we’ll be watching closely in 2018.

9. Cyber threats and IP risks

As technology gets more sophisticated and ingrained in our work and personal lives, so too does the threat of cyber security breaches, which in turn compromises our intellectual property. Sixty-four percent of companies surveyed reported some experience of web-based attacks in the past year. Companies of all sizes are targeted and face the risk of cyber threats from simply being connected to the internet. And the costs are large – the average cost of a data breach in Canada is a jaw-dropping $6.03M.

So what types of threats are growing in 2018? Phishing, social engineering attacks, malicious code, botnets, denial of service attacks and ransomeware are all on the rise.

Ransomware in particular is growing in frequency, attacks rose an alarming 50% in 2016. Demonstrative of the damage a ransomeware attack can cause was the aftermath of the WannaCry attack in May 2017. Hundreds of thousands of individuals lost access to their data, compromising intellectual property, private customer information, and disrupting commercial processes.

As a business, it has never been more crucial to include cybersecurity programs directly in your strategy, and engage IT professionals to help cover all aspects of your web-based properties.

10. Demand for global trade skills higher than ever

Despite continuing turmoil and uncertainty on the global political stage, Canadian businesses still hold an optimistic outlook about their export opportunities. According to Export Development Canada’s Fall 2017 Survey, the majority of respondents believe that export sales will increase in 2018, citing new opportunities, growing demand, and expansion into new markets as stimulating factors.

As more businesses of all sizes get involved in international markets, the demand for talent skilled in global trade processes, is also growing.

“We hear from exporters all the time that knowledge is one of the most important tools for building international success,” said EDC Senior VP, Business Development Mairead Lavery.

In 2017, the FITTskills international trade training program underwent a major update, including the addition of 60% new content to reflect the changes we’ve seen in technology, ecommerce, trade agreements and more. In October, FITT also partnered with EDC to expand access to the available resources for businesses of all sizes looking to take advantage of international opportunities.

There’s no doubt that we all face an exciting year ahead, full of innovation, an ever-shifting global political environment, and risks, alongside ample new opportunities for business growth.

What trends will you be watching in 2018?

The post 10 global trade trends we’ll be watching in 2018 appeared first on Trade Ready.

I have a Master of Arts in International Relations. However, I wanted to understand how policies affect businesses, and how businesses make their sourcing and procurement decisions.

After discussing some of my ideas with my friends, mentors and colleagues in food technology, marketing, manufacturing and other industries, I set out to do two things:

First, I wanted to learn what’s involved in importing and exporting products.

Second, I wanted to build a niche business that offers unconventional and unique products to the Canadian market from socially responsible suppliers.

Starting my international trade business

In 2012, I created Linkus. We specialize in providing ingredients from the Amazon rainforest from renewable non-timber sources. Our manufacturers partner with local co-ops to obtain wild-harvested fruits and seeds, then process the raw material in first-class manufacturing facilities in Brazil to deliver the finest quality pulps, purees, powders, concentrates and oils.

In order to assist companies in finding unique and unconventional ingredients from quality manufacturers, I first developed a relationship with officials in Brazil who could help me find and meet with manufacturers interested in exporting to Canada. At the same time I reached out to a number of CITPs, who have taken the time to listen and mentor me.

Getting some help from a network of experts

Through this professional network, I was able to learn about processes for exporting goods into Canada, including the legal aspects of being an agent, regulatory compliance and tariffs. Through this legwork, I have also been able to liaise with manufacturers to provide them with an understanding of the regulatory environment in Canada.

The FITT community has been a really invaluable resource in my pursuit of a career in international trade.

CITPs have always found the time to guide me and help me find answers to my questions. They have helped me develop an understanding of where to be cautions when international transactions happen, what legal framework is necessary to operate successfully in Canada, and what to expect and be aware of during international trade round-table discussions.

In 2012 and 2013 I had the honour of being invited to participate in trade round-tables organized by Apex Brasil, an organization that has been instrumental in assisting my business partner and I find partners in Brazil. In 2012, I represented Linkus Global Inc., and was able to develop a good relationship with 100% Amazonia, who we are privileged to represent in Canada. In 2013, I represented OrganicaPure at trade round-tables in Manaus as we were looking to source a new product line.

FITT for the future

In the past two years, my business partner Antoine Kahn and I have incorporated Linkus, established excellent relationships with suppliers in the Amazon and participated in numerous food trade-shows in North America. It’s now that the rubber hits the road. My goal is to make our efforts visible through sales, and to establish Linkus as a serious player in the Canadian market.

I plan to enroll in the FITTskills International Trade Finance course and continue leveraging the exceptional FITT network to access food professionals and to help food and beverage businesses innovate and incorporate some of the unique ingredients my company has to offer.

While there are different certifications available for professionals in the trade and supply chain business, I do not think they have the same level of resources and reputation to start and grow a career in international trade in the ever-changing international markets: FITT “fits” the bill.

The post How joining a community of international trade professionals helped build my global business appeared first on Trade Ready.

With the new administration in action, have you become a bit nervous about the U.S. as an export destination? I’ve recently spoken with many companies from around the world. Most of them said that since President Trump’s inauguration, they are unsure of their future because the U.S. is their only or biggest export market, and they now consider themselves at risk.

The ironic thing is that, whether they realized it or not, they always were at risk.

It is essential to diversify your exports and not depend on one market, especially when that market is as big as the U.S.

Diversifying your export markets, and therefore spreading out the risks, should have been a priority right from the start; but now, the pressure is on.

The good news is, there are plenty of other interesting markets elsewhere, especially in Latin America, that offer the opportunity for growth. Like Canada and the U.S., Latin America is a continent of immigrants, and it offers the opportunity to create scale. This especially applies to Brazil, which has more than 200 million inhabitants. The continent has gone through some major changes in the past 15 years, politically, socially and economically.

For almost all of the LATAM countries, these changes have been for the better. This comes with the one exception of Venezuela, where things have gone from bad to worse to terrible. Unfortunately, that country should not be on your export destinations wish list.

Get involved in infrastructure in Brazil and Argentina

Let’s look at the two biggest economies in South America: Brazil and Argentina. Both countries have new administrations and offer more export opportunities than ever before.

The previous administrations were very protectionist, whereas the new ones recognize the importance of international trade (and not just their own exports) as important means to further develop their domestic industries and quality level. Both countries have experienced major crises, but are now on their way to recovery. It will be a bumpy ride, but definitely one with a positive outlook.

Don’t wait until these economies are fully back on track and growing fast – go there now.

Both Argentina and Brazil have indicated that developing their infrastructure is a top priority, and necessary to increase domestic economic activity and resume growth. This includes air and road transport, energy and cargo logistics. Agritech is another sector that offers plenty of opportunities for companies wanting to export there. In Brazil, luxury retail items and products related to health and cosmetics are also growing markets.

Both countries have a long way to go to improve food security, quality standards (especially for products meant for export), precision agriculture, and harvesting technologies with preference for sustainable techniques (i.e. Brazil’s poultry sector needs to reduce water consumption). In Argentina, there are opportunities to provide solutions for the underperforming dairy industry as well.

Brazil and Argentina are part of the Mercosur, South America’s biggest trade bloc. There is tariff-free trade between the member countries, but they currently do not have free trade agreements with any other nations. That can be considered a negative issue, and of course it poses a challenge, but the absence of a free trade agreement should not be a reason to overlook these two export markets. If anything, there may be more opportunities if you decide to seriously work in these markets. You will need to build strong export tactics and strategies, but will likely face less competition for your exports.

Time to say Hola to Mexico

Another country where your company can grow is Mexico, home to over 100 million people – the second largest economy in Latin America. Mexico is predicted to be the world’s seventh-largest economy in 2050. Typical of most countries in Latin America, and unlike many Western countries, Mexico has a growing middle class (now almost 50% of the population). This middle class likes to spend money on health and beauty products, food (especially convenience foods), home and kitchen appliances, clothing and footwear.

The current quarrels between Mexico and the U.S. may actually prove to be beneficial to Canadian exports. Mexico offers opportunities in (but not limited to) electrical engineering, infrastructure, healthcare (equipment, generic and over the counter drugs), energy, and agriculture.
Mexico is also looking to further develop its floriculture sector. They are seeking active collaboration with the Dutch, but there are opportunities for companies worldwide with activities related to greenhouse development.

Be prepared to make a commitment to LATAM

I would love to discuss each country in Latin America individually, since so many of them offer great potential. Unfortunately, there is no room for that here, but let me state that in general Latin America offers excellent export opportunities in healthcare, energy, infrastructure, retail, agriculture and construction. These countries need to diversify their own industries (beyond commodities) and are in need of technology, innovation, urban development and improved productivity. The growing middle class is prepared to pay premium prices for better products and services.

Exporting to Latin America is not for companies who like an easy ride.

It’s for the ones that are ready to take on the challenge and see the benefits of working with Latin American markets for a long period of time. The region offers many opportunities to companies willing to spend the time, effort and money. You may not find short-term ROI, but if you plan for ROI in two to three years and work the market as you are supposed to, you can profit from it immensely.

Preparation is essential if you want to have any chance of success. Market research and due diligence are your insurance against market entry failure, especially in Latin America.

But if you do it well, having a bit of salsa and samba in your exports can truly make a difference to your company. More diversification, more revenue, more global impact and more fun. Start now!

The post Here’s where you’ll find the biggest LATAM market entry opportunities in 2017 appeared first on Trade Ready.

First, let’s go back to basics: Latin America is a continent of at least 20 countries, but has two main languages: Portuguese and Spanish.

Brazil has over 200 million people, more than double the population of any country in Europe, and Brazilians speak Portuguese, not Spanish. So when you prepare presentations, marketing materials, technical brochures and so on, remember that what you need is Portuguese. It’s also important to note that you need Brazilian Portuguese, which is rather different from the Portuguese spoken in Portugal.

Do not ever assume that Brazilians speak Spanish just because Brazil is in South America and almost all its neighbours speak Spanish.

I am sure that a lot of Brazilians prefer promotional literature in English rather than in Spanish. Accents in Brazil vary enormously too, which is hardly a surprise for a country that size, and so does the degree of formality used when people speak.

As you can imagine, there are also many other languages spoken in Brazil, up to 200-250 according to some statistics.

Time to break out your Spanish dictionary

Apart from Brazil, you can get by in the rest of Latin America with Spanish, due to historical ties with the Spanish Crown rather than the Portuguese Crown. There are native languages too, but Spanish really dominates the scene. This is a huge advantage: you can communicate with 400 million people in just one language.

This is, again, Latin American Spanish and not Spanish from Spain. Pronunciation varies from country to country, as does the grammar. You should translate marketing and promotional materials into some form of broad Latin American Spanish. I know from experience this isn’t an easy task, but is doable, and much better than any mainland Spanish translation. If you have the budget for it, or if your business demands it, it’s also useful to have some localised versions that apply to individual countries.

If you grab a map, you’ll see that Latin America stretches from Mexico down to the south of Chile and Argentina. Note the deserts, rainforests, mountains and all sorts of geographical barriers throughout the region. Now you can start to understand why there are so many variations of Latin American Spanish.

In Latin America, we all understand each other and can all read your brochures (the more technical, the better, in my experience) but for consumer goods in particular, you can’t afford to make mistakes. Variations will be stronger in B2C vocabulary, so make sure that your translations are suitable for the specific market you are targeting.

Don’t let your message get lost in translation

For example, “Manteca” in Uruguay means butter, but in Colombia it means lard. Avocado is “palta” in Chile, but “aguacate” in Colombia. “Cacahuate” is peanut in Mexican Spanish but in Uruguay we call them “maní”.

I remember the first time I went to Colombia and at a restaurant they asked me if I wanted to cancel my dinner, after I had already had it! I realised a bit later on that to “cancel” in Colombian Spanish (“cancelar”), means to pay. In other words, to “cancel the bill”, not to cancel the meal!

Visiting these countries can be a shock to your communication skills, too. I find that Colombians, particularly those from Bogotá, speak very clearly. In Chile, on the other hand, people not only speak very fast (same in Uruguay and Argentina), but they also skip full syllables, which doesn’t help non-native speakers at all. We also have a tendency to speak over each other, all at the same time (and rather loudly), as waiting for turns is really not in our DNA.

Also expect a broad assortment of hand gestures and facial expressions. They say that communication is mainly non-verbal, and Latin Americans are brilliant at non-verbal cues. In some countries like Argentina, Chile or Uruguay, we can be fairly informal and also use humour, irony and sarcasm quite a bit, even in business. I can see why it’s hard for non-native speakers to work it all out.

So if you are not travelling with a native speaker, ask and ask again for clarity.

Apart from Portuguese and Spanish, remember there are a few countries in Latin America that speak French (Haiti and French Guiana, for example). They speak Dutch in Suriname and English in Guyana, but they are not technically part of “Latin” America though they are both part of South America and are often grouped in with the LAC region. This region is comprised of “Latin America and the Caribbean”, which also includes English-speaking countries such as Trinidad and Tobago and Jamaica.

When can you use English?

Many business people, particularly from the U.S., seem to think that everyone in Latin America can and will speak English for business. This is truly not the case in Latin America.

Some people will be very fluent, although they might lack enough “native English” to spot irony, sarcasm and some humour. Some will just about get by (they might read a technical brochure and understand it, for example, but not be able to explain things to you or ask you questions) and most will not really speak it at all.

Limiting yourself to English only will really reduce the level of business you can conduct. If there’s a non-English speaker that can add value to your business, see how you can bring them into the conversation. You can also try explaining things with gestures – YouTube can be a huge help. Keep some demos and other videos handy. Alternatively, consider hiring an interpreter or a local consultant, even if it’s just for the odd focus group, negotiation or conversation.

Especially when speaking to the decision maker, you don’t want to leave them out in the cold. They will appreciate the gesture. After all, it’s you who’s trying to do business in their country!

Use language to unlock the potential of the Latin American market

I don’t think you need to be a fluent Spanish or Portuguese speaker to do business in Latin America. But knowing where your limitations are, and how to overcome them, can be critical.

If you navigate a whole continent without reaching your business potential because of language, what would happen if your main competitor hired a perfectly fluent multilingual sales manager? And what would happen if you did? If you have local partners and you don’t really need to deal with clients, are you dealing effectively with those partners and distributors, or is a lack of linguistic and cultural awareness stopping you from making the most of that relationship?

In business, I believe languages are tools. They are not an end in themselves. Use your tool wisely and open up Latin America for your business.

The post How to communicate effectively and grow your business in Latin America appeared first on Trade Ready.

I was so proud of Brazil. They deserved the Games to be just truly amazing. Things haven’t been easy for the ordinary people behind the world-reaching crisis headlines.

Watching the opening ceremony, I realised that there’s so much about South America the world doesn’t know.

Hopefully the Games will bring our continent a bit closer to everyone, including those wanting to do business with us.

But how about global trade professionals? What can they learn about exporting to South America (all countries south of Panama) from these unforgettable days?

1. Understand and celebrate South American diversity

The first lesson is just how diverse the continent is. Even Brazil itself is so rich and varied, and this diversity was clearly celebrated at the Opening Ceremony.

If you also paid attention to the different South American delegations when parading, you would have seen this diversity in their faces (which can tell you a lot about ethnicity, for example, and immigration) or their names. Even looking at the sizes of different delegations will tell you a lot. Understanding the diversity within South America is key for doing business with the region.

2. Extreme wealth and poverty are part of most economies

It’s clear, too, that South America is a continent of contrasts, with some of the highest inequality levels in the world. Brazil is a prime example of this, but it’s not alone in the continent.

While there are billionaires in the region, there are also people starving. Rio shows it clearly, with its favelas overlooking the most amazing mansions of Leblon.

This means, for example, that there is potential for products and services for all market segments. Opportunities exist for everything from electronic payment methods that serve the most deprived, to super yachts and beyond.

3. Quick recent growth presents huge opportunity

The idea South America could host the Olympic Games wasn’t something everyone believed in 20 years ago. To watch those amazing (yet highly controversial) sporting venues being constructed and used in our own continent shows the level of growth achieved in the past 10 to 15 years and the confidence that this has brought to the region.

This growth has come with its pains, some of which exporters like you can help solve, in areas such as infrastructure, logistics, security, health, education, financial inclusion, energy, public governance and more.

I personally also hope that these Games have shown the world that South America isn’t really that far away, and that there’s talent here and business to be won.

4. Hard to think about exporting to South America without including Brazil

As a South American myself, as much as I’d like to see this as “our” Games, these were Brazil’s Games. Brazil not only represents most of South America’s GDP, but also dominates the region’s trade with the world.

It’s a difficult country to ignore in your export strategy, whether you go for it or not. Just looking at a map will show you the immensity of a country that, this time, delivered what it promised.

The post 4 things the Olympic Games can teach you about exporting to South America appeared first on Trade Ready.

Because today’s society does not have the time to delve further into each piece of information being fed to us, we listen, absorb and make decisions based on what we hear and see on CNN, “News at 6”, LinkedIn, daily newspapers, blogs and other handy sources of information.

These sources of instant information guide us through our daily lives. They provide us with hand-picked, often superficial opinions of what is happening at home and abroad, and we shape our business decisions accordingly.

A cry to action for international entrepreneurs

My “cri de guerre” to Canadian executives is to return to your entrepreneurial roots, where you made decisions based on a combination of gut-feel, self-belief and adventurous courage, rather than ONLY on measured facts and figures. (OMG!)

We know that the following situations will affect us all, but rather than wait and see how they turn out before reacting, I exhort business executives to make note of them and then make a move.

For example,

U.S. Election 2016

Americans will choose their next President in November 2016, and a leading candidate threatens the U.S.’ established trade agreements with other countries. With 80% of our exports going to NAFTA members, will the election affect our two-way trade figures? Should we wait for November 2016, or start seeking new markets to do business with now?

Instability in Brazil

Brazil, South America’s largest country and Canada’s leading trading partner in the region, is tottering under corruption and governmental changes. Will Canada’s $6 billion two-way trade in goods and services be affected? And if so, wouldn’t it be better to have other markets in the region already on our radar?

Brexit

Apparently copying Catalonia, Scotland and Quebec, the UK is now considering independence to leave the European Union in June 2016. Will this affect Canada’s most important trading relationship in Europe? And if it happens, wouldn’t it be wise for Canadians to start negotiating with other potential markets in case the UK leaves the EU?

Trade deal with China

Canada is forecasting 25,000 new jobs by 2030 resulting from a free trade agreement with China, our second largest trading partner. Will China’s current economic slowdown affect this optimistic plan? Should we follow in our new Prime Minister’s footsteps, creating the potential for new jobs by establishing ties with companies in Japan and Vietnam?

Here in Canada we read amusing business headlines such as “Bank of Canada uncertain about one thing: things are uncertain”. Nevertheless, if Canadian businesses just sit and wait, worried about events they cannot control, things will continue to be uncertain.

Businesses cannot postpone decisions – the time to act is now

Flustered and bewildered by the continuous changes and events happening around the world on a daily basis, many businesses are quietly postponing any decisive international move for fear of making a costly mistake.

While the IMF says that “Canada is solid, despite everything”, Canadian businesses must recognize that foreign markets will not automatically open up to their products; global economies will not easily become available to their service exports; world events will not “settle down” and allow Canadians the luxury of making decisions with calm, well-reasoned and precise forecasts.

Again I repeat my battle cry: make a move forward now! I urge Canadian executives to make a move now, and make an effort to look for new markets, instead of waiting for world events to tell us what to do.

The post Waiting is not an option for your global expansion plans appeared first on Trade Ready.

The nations were unified by their more recent industrialization process, rapid growth, large populations and the hope that they represented the future stars of the global economy.

While each of the five nations has had its ups and downs ever since, one of the aforementioned countries is currently going through a period of serious economic turmoil: Brazil.

After experiencing a GDP growth rate of 4.5% from 2006-2010, the country’s growth slowed to 2.1% from 2011-2014, dropping to an alarming 0.1% by the end of 2014 growth rate.

Unfortunately, it didn’t stop there.

Deficit, inflation and corruption

According to Bloomberg, analysts estimate that Brazil’s economy contracted by 3.71% in 2015, and will contract another 2.95%  in 2016. If this contraction occurs, it will mark the country’s first years of back-to-back contractions since 1930-31.

In the middle of its worst recession in 25 years, BBC also notes that Brazil is also suffering from a record public sector deficit, inflation of over 10%, and a fragile investor mindset amidst the scandal surrounding Petrobras, the country’s state-owned oil giant.

Politically, President Dilma Rousseff is facing potential impeachment from Congress, her Finance Minister quit in December, and the country’s debt has been reduced to junk rating by both Standard and Poor’s and Fitch Ratings.

What does this mean for importers and exporters?

These factors, along with several others, may lead many import-export professionals to act with caution when considering expanding their business into Brazil.

With Forbes reporting that Brazil shed nearly 900,000 jobs in 2015, unemployment expected to reach 12% in 2016, and cuts to subsidies for low-income families according to the IB Times, the number of potential consumers in the country continues to shrink.

However, with the world’s fifth-largest population – over 200 million people – the number of potential Brazilian consumers still remains much higher than many other countries, and could remain enticing to a business that can find the right fit in the market.

Companies looking to import from Brazil will also find difficulties, as, according to the Economist, the combination of a complex tax code, strict labour laws and economic protectionism, Brazil’s manufacturing base is the fourth-least productive amongst OECD countries.

Half of the country’s 2014 exports were raw products like oil, iron ore, soybean and corn, so the economy has been vulnerable to commodity price changes on those products.

These changes, Bloomberg argues, have further divided an already unequal society and decreased the number of middle class consumers.

Infrastructure issues and weaker foreign investment rates than other Latin American countries have also hurt Brazilian businesses looking to find customers abroad.

On the other hand, those companies able to navigate Brazilian manufacturing laws could find a large potential workforce and inexpensive materials to begin setting up factories and create their products to sell around the world at a profit.

Companies wanting to import raw products from Brazil may also be able to take advantage of the lower prices, and purchase from Brazil at competitive rates.

The Economist reports that as a result, consumer spending has decreased for the first time in over a decade, and with interest rates of 14%, it’s been difficult to add more loans to an already debt-laden economy to improve that spending.

More disposable income than ever before is needed to pay off existing loans, decreasing opportunities to make the kinds of sales necessary to succeed in the market.

With the Summer Olympics set for August 5-21 in Rio de Janeiro, companies could also find a tourism boom of those willing to spend while they visit the country to attend the events.

What do you think of Brazil’s economic outlook for 2016 and beyond? Would you consider it as a viable market for your business, or do the downturn and other factors dissuade your from doing business there?

The post Should you consider Brazil as an export market in 2016? appeared first on Trade Ready.

These markets remain an unprecedented source of economic growth across various industry sectors, and hundreds of millions of households will continue to join the ranks of the middle-class consumers in the years ahead.

According to the Monitor ICEF, while definitions and classifications of ‘emerging markets’ may vary, the general view is that the BRICS nations and a number of non-BRICS emerging markets (such as Indonesia, the Philippines, Vietnam, Mongolia, Myanmar, Nigeria, Ghana, Morocco, Turkey, and Mexico) will play a prominent role in shaping the new international trade environment.

Predicting future economic growth in emerging markets

Consider what the Monitor ICEF has to say about the growing economic power of the emerging markets:

• Between 2004 and 2013, the BRICS economies doubled in size and now collectively account for 21 percent of global GDP and 53 percent of emerging market GDP.
• Last year, emerging markets were home to 85 percent of the world’s population, and 90 percent of those under age 30. Their total population is expected to grow at three times the rate of developed economies between now and 2020.
• The BRICS countries are home to 268 million households with an income over US $10,000—a figure that is more than the US and Eurozone combined.
• Estimates from The Boston Consulting Group and the global consulting firm McKinsey & Company further predict that the middle class income group in the Association of Southeast Asian Nations (ASEAN) region will exceed 100 million people by 2020.
• McKinsey & Company has forecasted that 128 million African households will earn US $5,000 a year or more by 2020, enabling them to spend half their income on non-food items. Furthermore, Africa’s middle class families—those earning US $20,000 or more—outnumber India’s.

A shift in the central players in international trade

These powerful statistics help us better understand why the emerging markets are more important today than never before, for three main reasons:

1) Rising incomes is a real driver of emerging market economies

The Boston Consulting Group projects that in Turkey, an additional 6 million households will enter the middle and affluent classes in the next five years.

In Indonesia, they project that 68 million people—roughly equivalent to the entire population of the UK—will make a similar leap by 2020.

Thirty-seven percent of Brazil’s 60 million households will belong to the middle and affluent classes by 2020, compared with 29 percent now, and will represent a US$1.2 trillion market.

In China and India, such households will represent US$10 trillion in buying power.

2) Transformation of the emerging markets’ business ecosystems is directly affecting business models in developed countries

In most emerging markets, domestic companies with low cost structures and more advanced knowledge of local consumers are quickly improving their operations.

These young and dynamic companies are also becoming more aggressive in moving onto the world stage and in competing with the companies in the developed economies.

As emerging markets develop further, we should expect that companies based there will continue to expand their presence and compete with companies in developed countries with low-cost production.

They will be growing by invading the traditional territory of industrial countries and fine-tuning their capacity to manufacture increasingly sophisticated products and services.

3) Integration of the emerging markets’ financial institutions is reinforcing their status as central players in international trade

This new trend would allow developing countries to grow in a more financially integrated fashion and provide themselves with a competitive edge for conducting commercial operations by relying on their own financial centers and currencies.

The newly created New Development Bank operated by the BRICS states, for example, stands as an alternative to the existing US-dominated World Bank and International Monetary Fund.

How can businesses identify which emerging markets represent the best opportunities for their needs?

The post 3 ways emerging markets are aggressively re-shaping the international trade environment appeared first on Trade Ready.