Using Technology to Facilitate Trade

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Using Technology to Facilitate Trade

• Presented by
• Sue Welch
• Chief Executive Officer
• CrossStreetTrade, Inc.
• 2 Main Street, Gloucester, MA 01930, USA

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Building a Trade Platform that Unites

• Countries
• Associations
• Small and Medium Enterprises
• Global 2000 Organizations

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Developing Countries

• Are promoting traditional industries
• Are developing new industries to promote
• Seek to remove trade barriers through negotiation
  and trade agreements
• Seek to attract investment
• Need to modernize trade facilitation
  infrastructure

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Associations

• Promote a specific industry
• Are in business to add value for current members
• Want to expand membership
• Are exploring regional capacity building
• Have close relationships with government
• Are a key source of information and services to
  members

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Small and Medium Enterprises (SME)

• Are most concerned about legislative stability
  and obtaining market information
• Trade barriers inhibit entry to global markets
• Inexperience, lack of trade readiness
• Finding and developing new partnerships is
  expensive and time consuming
• Lack credibility in new markets
• No standard supply chain infrastructure

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Global 2000 Corporations (G2000)

• Tend to buy from who they know
• Paradoxically, seek new sources of goods and
  services
• Take 3 to 6 months to find and certify new
  suppliers
• Are competing against design-to-delivery cycles
  that have shrunk up to 90
• Are implementing regional capacity programs
• Value information as highly as products and
  services

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What is the Value of Information?

• The search and identification of qualified
  sources for goods and services absorbs about 53
  of the entire sourcing cycle
• 80 of the cost of product is built in the design
  and development phase when sourcing occurs
• Automating these processes through the use of
  Internet based technology and e-markets can
  reduce cycles by an average of 30
  Aberdeen Group

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Technology is a Competitive Differentiator

• The information created is a commodity that is as
  valuable as the goods and services being traded
• Trade partners are highly dependant upon each
  other for information that drives their
  organizations, reduces costs, speeds goods and
  services to market
• Failure to provide information, breaks down the
  processes and marginalizes the non provider

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Technology Role for Governments

• Provide an infrastructure that supports
• Information
• Timely, easily disseminated
• Consistent
• Complete
• Reflective of Actual Fees and Charges
• Readily Available and Easily Accessible
• Processes
• Transparent
• Globally Normalized, Non-isolationist
• Speed goods, raw materials, and services to
  market

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Create Bridges Over Trade Barriers

• Begin, today, to build a standardized trade
  platform that provides the tools, content,
  business infrastructure and contacts to unite
  associations, companies and governments
• Establish a transparent payment process for
  Customs duties and fees
• Centralized, Internet accessible national
  database for trade information
• Inexpensive access to hardware and software for
  associations and SMEs
• On-line testing for exporters
• Centralized site for international document
  creation

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Virtual Trade CenterTM one step at a time
Information CenterTrade Analysis Maps,
E-Learning Export CoursesStandard Codes, HTS
Schedules
Trade Tools Center Trade Readiness Audit,
Global Cost Calculator, International Trade
Documentation
Virtual Trade CenterTM
Community Center Registration, Virtual Trade
Missions,Video Conferencing, On-line Showrooms,
Partner Profiling, E-Links to Banks, Forwarders,
Government
Fulfillment Center Supply Chain Execution,
Buy/Sell on lineTrace Track,Invoicing,
Financing, Customs
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Who Can Benefit?

• SME
• Standardized help to be trade ready
• Participate in virtual trade missions
• Electronic showrooms for products and offerings
• Access global supply chain infrastructure
• Find and qualify certified Buyers/Markets
• Easy access to global data

• Governments
• Improve matchmaking with supplemental electronic
  Trade Mission
• Easily collect, standardize, disseminate,
  information
• Build a transparent trade process
• Ability to regionalize capacity to attract
  investment

• Associations
• Provide electronic showroom for offerings
• Provide web conference format to establish
  relationships before meetings
• Co-produce electronic trade missions to other
  countries or focused on specific corporations
• Provide standard supply chain infrastructure for
  members
• Assist members in becoming trade ready

• G2000
• Create private trade missions
• Work with potential sources to ensure compliance
  with requirements
• Find new sources at a fraction of the traditional
  cost and time
• Can more easily find new markets

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Next Steps

• Start small - select one process with high
  probability of success or easily implemented
• Provide one resource on line - HTS
• Connect one group to another, i.e. e-learning
• Explore alternatives to high cost equipment - get
  on line in the electronic economy
• Build on your success with another small, easy to
  implement, step
• Be competitive - share information

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Thank youCrossStreetTrade, Inc.2
Main Street, Gloucester, MA 01930,
USAinfo_at_crossstreettrade.comPhone -
1-978-281-3723