Trade Development. California Community Colleges. Advisory Committee (EDPAC)

Transcription

1 Centers for International Trade Development California Community Colleges Economic and Workforce Development Advisory Committee (EDPAC) February 2011

2 CITD Presentation Outline Mission and Purpose Global Environment Opportunity Economic Development and Trade Exports and jobs Response National and Regional Economic Strategies CITD Strategy CITD Resources and Service Mix Samples Business Assistance: Los Rios Community College District Community College Capacity Building: Southwestern College Conclusion

3 Mission and Purpose MISSION: to advance California's i economic development and global l competitiveness by providing quality training and services to small to medium sized enterprises that are potential or current exporters or importers, as described in California Education Code The CITDs offer the following value-added services: Individualized assistance to businesses and entreprenuers International business conferences, workshops and seminars Reference and referral services International matchmaking services Assistance to community colleges

4 GLOBAL ENVIRONMENT

5 Globalization In one generation a world of difference Markets dominated by State owned and operated industries Restricted market access Import substitution Currency non- convertibility Lack of cohesion in global trading system Independent regulatory bodies and systems Cold War 1970s and 1980s Multi-domestic markets Transformation (80s and 90s) Standardization & Harmonization Over 1/3 of world s population enters global trading arena Massive improvements in Communications, Transportation Infrastructure and Computing power Emergence of Common Markets and Common Currencies Free movement of people, resources, knowledge and capital Changes in the location of important economic activities Open access transparency and domestic treatment Global Customers - Convergence of Tastes, Lifestyles and behaviors (i.e. global teens ) Global Competition (resource mobility) capital, knowledge, systems and technology Global Platform Integrated finance, logistics and communication systems TODAY global markets!

6 Projections Nexus of global economic activity will shift away from U.S. and Europe to Asia and other developing markets China s GDP will surpass U.S. GDP in 15 years (Economist i t estimate) t Anecdote: General Motors sold more cars in China than in U.S. in 2010 India s GDP will surpass U.S. GDP in 30 years (Economist estimate) Global platform will increase competition at home and abroad Future business opportunities will increasingly come from global markets

7 OPPORTUNITY

8 Economic Development and Trade The world s most respected think tank:.the US economy is approximately $1 trillion richer each year owing to past globalization the payoff both from technological innovation and from policy liberalization and could gain another $500 billion annually from future liberalization. The Peterson Institute t of International ti Economics The President of the United States..A critical component of stimulating economic growth in the United States is increasing exports of goods, services. Improved export performance will, in turn, create good high-paying jobs. - President Obama Executive Order, National Export Initiative, March 2010

9 Exports and Jobs In 2008, U.S. exports supported 10 million jobs (source: U.S. Department of Commerce) Manufactured goods exports supported 7.5 million jobs Service exports supported 2.7 million jobs (finance, transportation, tourism, telecommunications, education, management, professional and scientific services) Exports Support 1 in 7 jobs in California! 95% of world s population is outside U.S., whose purchasing power is growing more rapidly.

10 RESPONSE

11 CITD Services Aligned with National Economic Strategy National Export Strategy (NEI) Goals: double exports ($1.2 to $2.4 Trillion) and create 2 million new jobs in next 5 years. Priority #1: Exports by Small and Medium Sized Enterprises (SMEs) identify SMEs that can begin to export; provide training to prepare them to export; connect them to potential buyers; provide access to financing to mitigate the risks. Strategy CITD Capability CITD Service Identify SMEs that can export Core competency Help desk, referrals, YEP program Train SMEs on Exporting Core- competency International Trade Seminars and workshops (CITD is largest network provider in California) Connect to potential buyers Core-competency In-bound trade missions (WUSATA); Governor s Trade missions, other events Provide Access to financing Core-competency Export/Import Bank City State partner product knowledge

12 6,000 visitors per month Fedex and UPS link to site as a reference resource for their customers international research needs Faculty and student resource Export guides, Export Readiness assessments

13 Alignment with State and Regional Economic Strategiest Global Trade is California s largest industry CITDs are a recognized component of the California International Trade and Investment Strategy (SB1513) CITDs have an MOA with the California i Department of Food and Agriculture to implement an Agricultural Export Plan (through MOA with CDFA)

14 CITD Strategic Plan Segment and focus Identify opportunities to create & deliver value Partner & integrate to obtain scale

15 Segment & Focus Total Universe: Estimate = 500,000 businesses in California dependent upon trade limited resources cannot serve all needs, value propositions would be too broad to attract interest, and unlikely to create any significant value. Select Segments based upon regional economy; industry clusters and pressures to globalize Define Segments Shared characteristics Ability to Reach Potential for outcomes Food & Ag, IT, Logistics, Scientific Instrumentation, Clean Energy.

16 Identify Opportunities to Create and ddeliver Value EXTERNAL Business owners and executives communicate needs through participation in CITD events, focus groups, and seeking consulting/assistance on specific needs. EXTERNAL Strategic Partners - joint development of events and outreach activities for targeted market segments (federal, state, college and business association partners) Acquire Resources to address Opportunities = grant applications INTERNAL Development of new products and services and address new market opportunities to achieve outcomes and acquire new sources of funding

17 Partner to Create Scale and Deliver Benefits Assemble and build channel to expand reach Increase # of access points (geographic coverage) Share delivery costs Coordinate follow-up and add-on services to create additional value (e.g. export financing) Survey and report

18 Strategic Partner Community Colleges & CCCCO U.S. Department of Commerce, ITA Strategic Partners & Outcomes Partner Contribution CITD Contribution Benefits/Outcomes/ Funding PRIMARY FUNDING AND SUPPORT NETWORK, network organization and access to multiple marketing channels Global network; international business services; clients; branding; national/global marketing channel Subject matter expertise; concept development; grant applications and project implementation services Subject matter expertise, training and consulting to provide qualified referrals; concepts and market reach PRIMARY FUNDING AND SUPPORT NETWORK; Department of Labor Logistics & Transportation (CATLI) grant - $2 million in federal funds; thousands trained; new logistics curriculum developed; State Dept CCI - $6.5 million in federal funds; colleges enhanced capacity to handle international students a Service Export Joint services; funding applications over $700K awarded to CITDs for market focused efforts (ETEC & GEEP) to serve more clients and generate outcomes over $40 million in collective exports supported over past 5 years Export Import Bank of the United States Export financing and export credit insurance products; clients; branding EXIM product knowledge, training and consulting to provide qualified referrals; market reach Over 30 new clients provided revolving credit lines and/or export credit insurance policies in the $millions of dollars exact figures not disclosed. BT&H (CA Business Governor Trade Missions, International business China, Mexico, Canada, Germany, Korea helped California Transportation & Legislative mandate; advisory Housing Agency) group; branding expertise, concept development, grant applications, market reach firms leverage California s branding assets to enhance brands and access new customers. Germany (CeBIT) assisted in over $2.5 million in new business for small exporters 99 California companies leveraged this platform in CDFA (California Farm bill; access to USDA Foreign International business Leverage branding and marketing channels to reach more clients; Department of Food Agricultural Service funding; expertise, training over $1,500,000 in federal funds leveraged to promote food and and Ag) branding programs, market reach Ag exports. Services delivered to 190+ food and Ag producers. GOED (Governor s Office of Economic Development) Client leads and referrals, marketing channel, branding International trade expertise CITD Statewide Director, serves as Assistant Deputy Director for International Trade (Executive Order, April 2010) SBA, Office of International Trade Export financing and export credit insurance products; clients; branding SBA product knowledge, training and consulting to provide qualified referrals; market reach Client referrals, export financing and marketing opportunities for CITD clients.

19 BUSINESS ASSISTANCE Los Rios Community College District Sacramento Regional Center for International Trade Development

20 Los Rios Community College District Economic and workforce development Center In HousePartners LRCCD Office of Economic Development Center for International Trade Development U.S. Export Assistance Center SBA Office of International Trade Small Business Development Center Center or Excellence Workplace Learning Resource Center Government Training Academy The Training Source Green force Initiative Health force Initiative Health and Human Service Consortium INDUSTRIES OF FOCUS 1. Agriculture and Processed Foods 2. Small Manufacturers 3. Green Technology (renewable energy, construction, scientific instrumentation) 4. IT Peripherals 5. Recreation/Tourism/Hospitality

21 Shilling Robotics, Inc.

22 CONGRESSIONAL RECORD IN RECOGNITION OF THE SACRAMENTO CENTER FOR INTERNATIONAL TRADE DEVELOPMENT HON. DORIS O. MATSUI OF CALIFORNIA IN THE HOUSE OF REPRESENTATIVES Wednesday, May 12, 2010 Ms. MATSUI. Madam Speaker, I rise today to recognize and congratulate the Sacramento Center for International Trade Development and the Los Rios Community College District for being awarded the President s E Award for Export Service. This prestigious award is being given to these institutions in recognition of their support to businesses seeking to export their products. The Sacramento Center for International Trade Development is part of a statewide program funded by the California Community College chancellor s office, and is part of the Workforce and Economic Development Program of the Los Rios Community College District. The center strives to advance northern California s global competitiveness by providing export and import services to businesses and organizations throughout the region. For more than 15 years, the Sacramento Center for International Trade Development has proven to be a highly successful provider of comprehensive, export services and programs that addresses the needs of northern California businesses. A full-range of export services is provided, from basic export training, to detailed market support, to trade mission preparation and participation. Of paramount importance is the unique connection to the U.S. Department of Commerce and the U.S. Commercial Service which have allowed businesses in northern California to begin exporting products and increase sales in the global marketplace. Madam Speaker, I am honored to recognize and congratulate the Sacramento Center for International Trade Development and the Los Rios Community College District for their outstanding work to increase exports of Californian products, and for being awarded the President s E Award for Export Service. Please join me in honoring them PRESIDENTIAL E-AWARD WINNING PROGRAM SACRAMENTO REGIONAL CENTER FOR INTERNATIONAL TRADE DEVELOPMENT A Los Rios Community College District Workforce and Economic Development Program Funded by the California Community College Chancellors Office EWD The Sacramento CITD has demonstrated a sustained commitment to export expansion. Particularly impressive are the trade education and promoting programs that Sacramento CITD conducts in cooperation with its partners to assist businesses in northern California. The Sacramento CITD s achievements have undoubtedly contributed to national export expansion efforts that support the U.S. economy and create American jobs. Gary Locke, U.S. Commerce Secretary In 2010, Sacramento CITD was one of only two organizations in the nation to receive E Award recognition as outstanding export service organization. The Presidential E Award was created by President John F. Kennedy in 1961 to recognize persons, firms or organizations that contribute significantly to increasing U.S. exports.

23 CAPACITY BUILDING PROGRAM AND CURRICULUM DEVELOPMENT Southwestern Community College San Diego Regional Center for International Trade Development

24 Southwestern College Center for International Trade Development (SWC CITD) Serving Region X San Diego and Imperial Counties SWC CITD provides counseling and training in international trade to targeted industries: California Lifestyle Logistics and Transportation (sports, apparel, and accessories) Food Processing Clean/Green Energy Maritime FY 2009 Outcomes: SWC CITD served 304 clients. 365 hours of one on one counseling services. SWC CITD clients generated $1,020,000 in international business transactions. SWC CITD Local Partners: San Diego State University CIBER San Diego and Imperial District Export Council San Diego World Trade Center Local and Regional Chambers of Commerce SWC CITD was nominated for the San Diego World Trade Center 2011 International Business Leadership Awards Service Provider of the Year. SWC CITD client CMF Distribution was a finalist for the San Diego World Trade Center 2011 International Business and Leadership Awards Exporter of the Year.

25 Internationalization of the Curriculum by SWC CITD SWC CITD contributes to the internationalization of the curriculum in multiple areas Specific impact on international business and vocational programs Educational missions have been conducted in Latin America Mexico, Brazil, Chile and along the U.S. Mexico Border Region SWC CITD has regional impact Collaborates on multiple l projects with other Colleges and partners Serves as a link with industry and international education programs This benefits the entire community: faculty, students and businesses Recently helped establish a Logistics and Transportation Certificate/A.S. Degree Program at Southwestern College. Obtained a grant to promote Logistics and Transportation program in July 2010 Aligns with U.S. Congressional policy, To increase global competitiveness, leading to an increase in jobs and economic development.

26 SWC CITD Responds to Regional Economic Needs San Diego County is the 3 rd largest provider of logistics services in California. The Otay Mesa community is the most important industrial and manufacturing area of South San Diego County. Transportation and Warehousing Wholesale Trade Otay Mesa is the nation s second busiest commercial ilborder crossing. All ground trade in the western U.S. with Mexico crosses through this major California Port of Entry. The highest payingindustriesareindustries are transportationandand warehousing, wholesale trade, and manufacturing. These three industries comprise over one third of all the jobs in the South San Diego Community. These are important high growth industries that drive growth in the South San Diego County. Geographic and economic factors motivated us to launch the Logistics and Transportation Certificate/A.S. Degree Program. Manufacturing Source: South County EDC and SANDAG

27 Southwestern College Logistics and Transportation Certificate/A.S. Degree Program The program includes: Certificate of Achievement Basic (19 units) Certificate of Achievement Intermediate (43 46 units ) Associate in Science Degree Logistics and Transportation (44 47 units) Requires completion of Basic and Intermediate Certificates Includes a transfer option. Currently there are 93 students enrolled in the program. The majority of the courses are offered online. Jobs and careers in international logistics and transportation include: Dispatcher Cargo and Freight Agents Material Moving Supervisor Production, Planning, Expediting Clerk Compliance Officer Logistician Distribution Manager Global Transportation Manager Freight Forwarders Export/Import Trade Specialist Warehouse/Inventory Clerk Warehouse/Inventory Manager Transportation Supervisor U.S. Customs Specialist Logistics Office Support Staff

28 SWC CITD Promotes the Logistics and Transportation Certificate/A.S. Degree Program The goals of this grant are: To institutionalize and enhance the SWC Logistics and Transportation Certificate/A.S. program To strengthen relationships with industry by training their employees To enhance the international skill set of students To provide new opportunities to students for internships and offer faculty professional development. In the first six months of the project, significant accomplishments have been made: Setting up an industry focused Advisory Committee with representatives from the SD Customs Brokers Association, Otay Mesa Chamber of Commerce, and freight forwarders and transportation companies, FEDEX, etc. Starting key partnerships such as Council of Supply Chain Management Professionals (CSCMP) Creating a new website bit logistics transportation.org t t for both students and employers Training faculty, counselors and administrators Ex: online logistics simulation offered by Holland International Distribution Council Outreaching to students Offering roundtables on new transportation and logistics trends Establishing cross border linkages with institutions of higher education, public and private sector organizations Marketing the program in local and industry publications and websites, and by performing site visits to targeted businesses

29 CONCLUSION

30 Invest in International Trade Development California s GDP (if measured as a country) would rank in the top 10 global economies To benchmark against other OECD (Organization for Economic Cooperation and Development) countries, California would spend $138 million on trade promotion (Source: California i International ti Trade and Investment t Study, 2007) California currently spends approximately $2 million dollars on international trade promotion Small investment handsome payoff Time Structures study calculates 34:1 Return on Investment for business assistance programs. $37 million in trade transactions ti supported in

31 Thank you (909)