Midlands export market to grow, says PwC
Being engaged in export activity is becoming a 'no-brainer' for Midlands companies, according to research by PwC.
As the BRIC (Brazil, Russia, India and China) economy forecasts accelerated growth, the Bank of England has cut its UK growth forecast to just 1.5 per cent for 2011. These figures are among the catalysts encouraging companies to export, said the accountancy firm.
A report published by PwC, entitled Economic Views – Global, has forecast that the BRIC economies will account for 40 per cent of world GDP growth during 2011 and 2012, up from just 17 per cent in 2010.
By contrast, the G7's (France, Germany, Italy, Japan, UK, USA and Canada) contribution to world GDP growth is forecast to settle at 34 per cent this year and next.
Phil Harrold, partner and overseas investment expert at PwC in the Midlands, said: "With economic growth forecasts soaring away in the BRIC economies and UK growth forecasts coming down, it is becoming a no-brainer for more Midlands businesses to focus on increasing their export activity.
"There will be some companies that are considering exporting their products and services to countries like China and India for the first time as the prospects for boosting sales in the domestic market and in more traditional export markets like Ireland and the US, dry up."
