A n n u A l R e p o R t 2 0 1 3

o n p r o s p e r i t y

a g l o b a l v i e w

Virginia economic Development partnershipInteRnAtIonAl tRADe

p e r s p e c t i v e s

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Specifically, we guided:

71 trade mission participants to 11 countries, including Brazil, Canada, Costa Rica, India, Colombia, Australia, poland, Czech Republic, South Korea, united Kingdom, and France.

46 independent market visits to 19 countries, including Japan, China, Australia, Canada, Costa Rica, united Kingdom, Germany, South Africa, Colombia, Singapore, Chile, Saudi Arabia, united Arab emirates, Brazil, turkey, Russia, ukraine, Israel, and Indonesia.

Vedp’S ValeT program graduaTed:

11 companies in July 2012 with an average growth of 17 percent in international sales, and 14 companies in January 2013 with an average growth of 59 percent in international sales.

our reSearch SerViceS compleTed:

321 Global network projects and 97 Research projects.

our granT programS conSiSTed of:

the state trade export promotion (step) Grant, a federally funded export assistance program provided to states to help increase the number of small businesses that are exporting, helped 56 companies.

the appalachian reGional commission (arc), a multi-state economic development agency that represents a partnership of federal, state, and local governments. established by an act of Congress in 1965, VeDp’s ARC Grant is limited to companies in the region and provides funds for international travel and market research, helped 19 companies.

international business

opportunities are

everywhere

in our 2013 fiscal year, virGinia economicdevelopment partnership assisted hundredsof companies with their international sales.

ninety-six percent of the world’s population lives outside the united States. With the right combination of commitment, resources, and know-how, you can take your company’s products or services internationally. let Virginia economic Development partnership (VeDp)-International trade help you navigate an endless world of possibilities and potential sales. think of us as your Global Business positioning System. We identify international markets, qualify prospective distributors, resellers, partners, and suppliers, and develop a plan to take your business beyond u.S. borders. We assist both new and experienced exporters in entering new international markets. Whether you are looking to increase your international sales or just get started, our programs and resources help map out your next destination for sales.

VeDp-International trade can provide your company with research tailored to your product specifications and business goals, opportunities to meet face-to-face with qualified partners via trade missions and independent market visits, and programs including the award-winning Virginia leaders in export trade (VAlet) program. Since VAlet’s inception, over 200 Virginia companies have been accepted to participate in the program and 50 companies are currently active in the program. Graduates of the program experience, on average, a 54 percent increase in export sales over their two-year participation. Call today for a free consultation and find out how VeDp can help your company go global. Connect with your regional trade manager at 804-545-5750.

gatekeeper, inc.

gatekeeper Security (gatekeeper) is the only manufacturer of fully automated under vehicle inspection systems worldwide. gatekeeper’s technology automatically inspects the undercarriage of any vehicle that travels on road or rail and is installed in the extreme cold of northern russia, the punishing heat of the middle east, and the dripping humidity of South east asia.

the key to Gatekeeper’s success has been to globalize its business. Based in Sterling, Virginia, over the past nine years, Gatekeeper has established a global certified distributor network to support sales of its technology to 23 countries. Gatekeeper established a wholly owned subsidiary in Dubai and recently opened a branch office in Mexico City to service the high level of demand for Gatekeeper technologies.

the establishment of Gatekeeper’s office in Mexico City demonstrates the breadth of assistance provided by Virginia economic Development partnership-International trade. “Without VeDp’s support, we could easily have been looking at a very different and disappointing situation today, rather than at the tremendous results we’ve achieved,” stated Chris Millar, Ceo.

From the time Gatekeeper first ventured into the export market several years ago, VeDp has been its export advisor. Initially, Gatekeeper encountered VeDp by participating in a trade mission to the Middle east and in the Accessing International Markets (AIM) program. When entering a new market a company must understand the demand for the product; how purchasing decisions are made; how to manage and staff operations; how to promote product in the new market – the list is almost endless. For almost every challenge Gatekeeper faced, VeDp had answers.

Gatekeeper relied on VeDp’s guidance during its investigation of the Mexican market. VeDp’s in-country

representative conducted prep work and prepared Gatekeeper’s itinerary. Assurances of VeDp assistance and nightly calls to review each day’s agenda helped reassure Gatekeeper while it met with potential customers.

Gatekeeper decided to move ahead with business in Mexico and called upon VeDp once again for introductions, from lawyers to employment companies, etc. each introduction assisted Gatekeeper in getting first-class and reliable advice. these are some of the many services VeDp-International trade offers around the world. “We have come to know and respect the VeDp team,” stated Millar.

gatekeeper establisheD a globally certifieD Distributor network to support sales of its technology to 23 countries.

gatekeepersecurity.com

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4 | v i r g i n i a e c o n o m i c D e v e l o p m e n t p a r t n e r s h i p

pSI is an FDA Registered, DeA licensed, ISo 17025 accredited independent testing lab. Since 1987, pSI has been answering difficult questions regarding polymers, plastics, and composites. located in Blacksburg, Virginia, pSI serves clients from around the world to solve their most complex

polymer solutions

polymer Solutions (pSi) was named one of the 2013 Best places to work in Virginia. So what exactly makes pSi a great place to work? it’s a combination of tangible benefits, the intentional company culture, and a group of great people. as a team, pSi is dedicated to excellence, growth, and fun. as a company, learning how to be good global neighbors with other teams around the world has enhanced the team spirit at pSi.

problems through chemical analysis, physical testing, and consultation. pSI serves companies that utilize plastics, rubber, and metals in the medical, pharmaceutical, packaging, defense, and transportation industries, with clients ranging from the largest companies to innovative startups.

prior to working with Virginia economic Development partnership-International trade, pSI obtained international business reactively via referrals or web searches. In May 2011, pSI co-sponsored a medical device symposium in Costa Rica where it realized there were potential business opportunities. Shortly after, pSI became aware of VeDp’s first trade Mission to Costa Rica in october 2011 and signed up. During the trade mission, pSI gathered critical market intelligence that allowed it to formulate an entry strategy. pSI has since returned to Costa Rica three times and is successfully offering its laboratory services there. In January 2012, pSI joined the VAlet program and through its training events has learned what works and what doesn’t in international business. “Speaking with other VAlet participants about their experiences, who they use for international resources, and partaking of relevant training has added tremendous value

to our experience. I have described VAlet as a program that is able to open doors in other companies and in other countries that would otherwise not be an option,” states Cynthia Rancourt, Director of Business operations. Since enrolling in VAlet, pSI is now proactively seeking out international customers, is more aware of the various ways culture impacts business, and is tapping the resources available to help it do business internationally. pSI has also used VeDp-International trade to reach potential customers in Canada and Mexico.

pSI is now receiving more inquiries domestically and from around the world. “our participation in the VAlet program has made doing business internationally a proactive part of our marketing strategy. We now seek out opportunities to interact, rather than waiting for those opportunities to come to us,” stated Rancourt.

since enrolling in valet, psi is now proactively seeking out international customers…anD is tapping the resources available to help it Do business.

polymersolutions.com

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global business success

65th Grow your business lonG-term. What if you could find out how other businesses

succeed internationally? What if opportunities to

sell your product to Australia existed, but you didn’t

know about them? What if a free trade agreement

with South Korea removed barriers to selling,

opening up a brand new market for your company?

Networking that takes place at the conference

establishes connections that you can use to expand

your business internationally. Attend informative

workshops, hear compelling speakers, and walk

away with new ideas that can take your business to

global success.

Virginia Conference on World Trade | October 23–24The Williamsburg Lodge, Williamsburg, Virginia

Register online at www.vacwt.org

sixty-Five yearsof

129,361 jobs in Va are directly related to international trade?

top manufactureD gooDs exporteD

Virginia exports of goods and services totaled 32 billion u.S. dollars.

of that, exports of products equated to 57.4% of the total value while

service exports comprised the remaining 42.6%.

45,961 jobs are a resultof exporting Vamanufactured goods

83,400 jobs are a resultof exporting Va services

rank description export Value 2012 Top 3 destinations

Total Merchandise Export $18,280,677,429 Canada China UK

1 Industrial Machinery $2,547,344,485 Canada Germany Mexico

2 Electrical Machinery $1,909,135,820 Singapore Canada Taiwan

3 Vehicles (not railway) $1,361,026,784 Canada Australia Venezuela

4 Aircraft & Spacecraft $1,231,029,464 UK Brazil Germany

5 Plastics $1,095,163,514 Canada China UK

6 Paper & Paperboard $763,879,031 Mexico Canada China

7 Soybeans $722,160,255 China Cuba Turkey

8 Medical Instruments $593,210,363 Canada Netherlands UK

9 Mineral Fuels & Oils $533,244,278 Canada Brazil Slovakia

10 Food Industry Residues; Animal Feed

$480,867,728 Morocco Indonesia Saudi Arabia

DiD you know

massimo Zanetti beverage

since participating in the valet program, mZb has establisheD three new international Distributor partners who are actively placing orDers for their proDucts.

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MZB recently began utilizing the services of Virginia economic Development partnership-International trade. In 2012, MZB reached out to their VeDp International trade Manager for assistance with customs and licensing documents to facilitate the export of products to China. the VeDp-International trade’s representative in China was instrumental in helping MZB overcome cumbersome labeling and licensing issues across its portfolio of brands. With VeDp’s help, MZB now has 27 different products licensed for import into China.

later that year, MZB joined the VAlet program, whose research helped MZB to determine which international markets to target. that research showed that coffee consumption in Czech Republic, poland, and South Korea was growing significantly year over year and that other significant players in the industry had entered or were entering these markets in a big way, demonstrating that they also saw potential in these countries. MZB made the decision to participate in VeDp trade missions to travel to those markets in order to expand business.

mzb-usa.com

massimo Zanetti Beverage (mZB) is the world’s largest privately held, family- owned coffee company and has its north american operations headquartered in portsmouth and Suffolk. major brands produced and marketed by the company include: chock full ‘o nuts® coffee; hills Bros.® coffee; hills Bros. cappuccino®; mJB® coffee; and chase & Sanborn®. with coffee expertise that dates back to 1871, mZB has the expertise and capability to provide a world class coffee solution to all channels and segments of the coffee industry…literally, from their fields to your cup — they’re all about coffee!

VeDp’s network of in-country consultants “have been invaluable in breaking down the barriers to entry as well as skillfully putting together impactful trade missions that have resulted in incremental sales for us,” stated Mike Rakowski, Vp of Retail Sales. the guidance of VeDp-International trade, through the VAlet program, was a valuable part of MZB’s international expansion efforts. the resources and tools that VAlet have provided have “significantly enhanced our export strategy and tactics,” stated Rakowski. Since participating in the VAlet program, MZB has established three new international distributor partners who are actively placing orders for its products. “I can truly say that I have learned a great deal about exporting and how to overcome significant hurdles doing business overseas through our partnership with VeDp-International trade,” stated Rakowski.

massimo Zanetti beverage

trax, energy solutions

after graDuating from the valet program in july 2011,

trax reporteD that international sales haD DoubleD.

tRAX International has operations in the u.S., Central and South America, as well as in Beijing, China. tRAX energy Solutions is on the cutting edge of energy technology and is an acknowledged leader in development and implementation of software solutions for modeling and simulation that enhance the effectiveness of power plant operations, productivity, energy efficiency, and training. tRAX decided to focus on the “International” word in its name and joined the VAlet program in 2009. the company committed to learn what was necessary to make international growth a reality. “every company needs to take its first step in breaking the paradigm of the old, established ways of doing business. VAlet was ours and we all feel it was the right initial step,” stated John Kenney, president, tRAX, llC.

tRAX’s position in the energy field strengthened from its experiences in the VAlet program. tRAX participated in the VeDp trade Mission to Brazil in May 2012, which served as a launching pad for new projects in Brazil. tRAX’s technology was important to many segments of the energy markets in Brazil and, with continuing assistance from VeDp, tRAX is finalizing a Brazilian joint venture that is expected to yield tremendous growth results. “this likely would not have happened without our association with VeDp and participation in VAlet. It was our exposure to new aspects of export via VAlet that allowed us to completely revamp our corporate strategy for international business. We have since grown elements of the strategy to the entire corporation. It has been invaluable,” stated Kenney.

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energydev.traxintl.com

After graduating from the VAlet program in July 2011, tRAX reported that international sales had doubled.

looking to the future, tRAX knows that its international goals will continue to evolve out of its experiences and successes. For tRAX, the next step will be to establish

a greater presence in europe. “I know VeDp has all of the skills and resources to help us continue our international growth, regardless of the countries we focus on. We will start, as in the past, with the great research capability available through VeDp to help us focus our efforts,” stated Kenney.

when you sell overseas, it helps to have powerful support. TraX found that support at Virginia economic development partnership-international Trade. TraX, llc energy Solutions, a division of TraX international, is located in lynchburg, Virginia. TraX is a global company whose more than 2,200 employees deliver a broad spectrum of sophisticated technical services and products to government and commercial enterprise.

northern:John elink-SchuurmanJelink-Schuurman@yesvirginia.org703.506.1031michael howleyMHowley@yesvirginia.org703.506.1030

northwest:caitlin clarkCClark@yesvirginia.org540.213.0267

southwest:diane ThomasDthomas@yesvirginia.org276.623.1536

central:monica nicholsMnichols@yesvirginia.org804.545.5753

eastern:Jordan watkinsJAWatkins@yesvirginia.org757.314.2129

south central:roger porterRporter@yesvirginia.org540.772.3905

to take your company global, contact veDp’s international traDe managers:

abingDon

roanoke

fishersville

richmonD

norfolk

tyson’scorner

traDe office

veDp heaDquarters

to take your company global, contact veDp’s international traDe managers: