          
                           EXPORT ADVICE
          
          
          For companies making initial plans to export or to export
          in new areas, considerable advice and assistance are
          available at little or no cost.  It is easy, through lack
          of experience, to overestimate the problems involved in
          exporting or to get embroiled in difficulties that can be
          avoided. For these and other good reasons, it is important
          to get expert counseling and assistance from the
          beginning.
          
          This chapter gives a brief overview of sources of
          assistance available through federal, state, and local
          government agencies and in the private sector. Other
          chapters in this guide give more information on the
          specialized services of these organizations and how to use
          them.  Information on where to find these organizations can
          be found in the appendixes.
          
          Some readers may feel overwhelmed at first by the number of
          sources of advice available. Although it is not necessary
          to go to all of these resources, it is valuable to know at
          least a little about each of them and to get to know
          several personally. Each individual or organization
          contacted can contribute different perspectives based on
          different experience and skills.
          
          While having many sources to choose from can be
          advantageous, deciding where to begin can also be
          difficult. Some advice from experienced exporters may be
          helpful in this regard. Recognizing this point, President
          George Bush created the Trade Promotion Coordinating
          Committee (TPCC) and charged it with harnessing all the
          resources of the federal government to serve American
          exporting business. The TPCC conducts export conferences,
          coordinates trade events and missions that cross-cut
          federal agencies, and operates an export information center
          that can help exporters find the right federal program to
          suit their needs (telephone 1-800-USA-TRADE).
          
          In general, however, the best place to start is the nearest
          U.S.  Department of Commerce district office, which can not
          only provide export counseling in its own right but also
          direct companies toward other government and private sector
          export services.
          
          DEPARTMENT OF COMMERCE
          
          The scope of services provided by the Department of
          Commerce to exporters is vast, but it is often overlooked
          by many companies. Most of the information and programs of
          interest to U.S. exporters are concentrated in the
          department's International Trade Administration (ITA), of
          which the subdivision called the U.S. and Foreign
          Commercial Service (US&FCS) maintains a network of
          international trade specialists in the United States and
          commercial officers in foreign cities to help American
          companies do business abroad. By contacting the nearest
          Department of Commerce district office, the U.S. exporter
          can tap into all assistance programs available from ITA and
          all trade information gathered by U.S. embassies and
          consulates worldwide. Addresses and phone numbers for all
          district offices, listed by state, are given in appendix
          III. The following sections detail the kinds of assistance
          offered.
          
          
          Export assistance available in the United States
          
          Department of Commerce District Offices:  Sixty-eight
          Department of Commerce district and branch offices in
          cities throughout the United States and Puerto Rico provide
          information and professional export counseling to business
          people. Each district office is headed by a director and
          supported by trade specialists and other staff. Branch
          offices usually consist of one trade specialist. These
          professionals can counsel companies on the steps involved
          in exporting, help them assess the export potential of
          their products, target markets, and locate and check out
          potential overseas partners. In fact, because Commerce has
          a worldwide network of international business experts,
          district offices can answer almost any question exporters
          are likely to ask -- or put them in touch with someone who
          can.
          
          Each district office can offer information about
               * international trade opportunities abroad,
               * foreign markets for U.S. products and services,
               * services to locate and evaluate overseas buyers
                 and representatives,
               * financial aid to exporters,
               * international trade exhibitions,
               * export documentation requirements,
               * foreign economic statistics,
               * U.S. export licensing and foreign nation
                 import requirements, and
               * export seminars and conferences.
          
          Most district offices also maintain business libraries
          containing Commerce's latest reports as well as other
          publications of interest to U.S. exporters. Important data
          bases, such as the NTDB, are also available through many
          district offices that provide trade leads, foreign business
          contacts, in-depth country market research, export-import
          trade statistics, and other valuable information.
          
          District Export Councils
          
          Besides the immediate services of its district offices, the
          Department of Commerce gives the exporter direct contact
          with seasoned exporters experienced in all phases of export
          trade. The district offices work closely with 51 district
          export councils (DECs) comprising nearly 1,800 business and
          trade experts who volunteer to help U.S. firms develop
          solid export strategies.
          
          These DECs assist in many of the workshops and seminars on
          exporting arranged by the district offices (see below) or
          sponsor their own. DEC members may also provide direct,
          personal counseling to less experienced exporters,
          suggesting marketing strategies, trade contacts, and ways
          to maximize success in overseas markets.
          
          Assistance from DECs may be obtained through the Department
          of Commerce district offices with which they are
          affiliated.
          
          Export Seminars and Educational Programming
          
          In addition to individual counseling sessions, an effective
          method of informing local business communities of the
          various aspects of international trade is through the
          conference and seminar program. Each year, Commerce
          district offices conduct approximately 5,000 conferences,
          seminars, and workshops on topics such as export
          documentation and licensing procedures, country-specific
          market opportunities, export trading companies, and U.S.
          trade promotion and trade policy initiatives. The seminars
          are usually held in conjunction with DECs, local chambers
          of commerce, state agencies, and world trade clubs. For
          information on scheduled seminars across the country, or
          for educational programming assistance, contact the nearest
          district office.
          
          Assistance Available From Department of Commerce
          Specialists in Washington, D.C.:  Among the most valuable
          resources available to U.S. exporters are the hundreds of
          trade specialists, expert in various areas of international
          business, that the Department of Commerce has assembled in
          its Washington headquarters.
          
          Country counseling.  Every country in the world is assigned 
               a country desk officer.  These desk officers in 
               Commerce's International Economic Policy (IEP) area, 
               look at the needs of an individual U.S. firm wishing 
               to sell in a particular country, taking into account 
               that country's overall economy, trade policies, 
               political situation, and other relevant factors. Each 
               desk officer collects up-to-date information on the 
               country's trade regulations, tariffs and value-added 
               taxes, business practices, economic and political 
               developments, trade data and trends, market size and 
               growth, and so on.  Desk officers also participate in 
               preparing Commerce's country-specific market research 
               reports, such as Foreign Economic Trends and Overseas 
               Business Reports, available from the U.S. Government 
               Printing Office.  The value of IEP's market data may 
               be gauged from the fact that this agency develops much 
               of the country-specific background for negotiating 
               positions of the U.S. trade representative.
          
          Product and service sector counseling.  Complementing IEP's
               country desks are the industry desk officers of
               Commerce's Trade Development area. They are grouped in
               units (with telephone numbers):
          
               *    Aerospace, 202-377-2835. 
               *    Automotive Affairs and Consumer Goods, 202-377-0823.
               *    Basic Industries, 202-377-0614.
               *    Capital Goods and International Construction, 202-377-5023.
               *    Science and Electronics, 202-377-3548.
               *    Services, 202-377-5261.
               *    Textiles and Apparel,  202-377-3737.
          
          The industry desk officers participate in preparing reports 
          on the competitive strength of selected U.S.  industries in 
          domestic and international markets for the publication U.S. 
          Industrial Outlook (available from the U.S. Government 
          Printing Office). They also promote exports for their 
          industry sectors through marketing seminars, trade missions 
          and trade fairs, foreign buyer groups, business counseling, 
          and information on market opportunities.
          
          Export counseling and international market analysis.  The
               Market Analysis Division provides U.S. firms with
               assistance in market research efforts and export
               counseling on market research.  Many of the research
               reports described in this chapter are planned and
               prepared by the Office of Product Development and
               Distribution, Market Analysis Division (202-377-5037).
          
          Major projects.  For major projects abroad, the
               International Construction unit works with American
               planning, engineering, and construction firms to win
               bid contracts. The Major Projects Reference Room in
               Commerce's Washington headquarters keeps detailed
               project documents on multilateral development bank and
               U.S. foreign assistance projects. Companies able to
               bid on major overseas projects can reach the Major
               Projects Reference Room on 202-377-4876.
          
          The Office of Telecommunications (202-377-4466) has major
          projects information exclusively for that sector.
          
          Other assistance.  Rounding out the Trade Development area
               is a unit that cuts across industry sector issues.
               Trade Information and Analysis gathers, analyzes, and
               disseminates trade and investment data for use in
               trade promotion and policy formulation. It also
               includes specialists in technical areas of
               international trade finance, such as countertrade and
               barter, foreign sales corporations, export financing,
               and the activities of multilateral development banks.
               For more information, contact the nearest Department
               of Commerce district office.
          
          EXPORT MARKETING INFORMATION AND ASSISTANCE AVAILABLE
               OVERSEAS
          
          US&FCS Overseas Posts Much of the information about trends
          and actual trade leads in foreign countries is gathered on
          site by the commercial officers of the US&FCS.  About half
          of the approximately 186 US&FCS American officers working
          in 67 countries (with 127 offices) have been hired from the
          private sector, many with international trade experience.
          All understand firsthand the problems encountered by U.S.
          companies in their efforts to trade abroad.  U.S.-based
          regional directors for the US&FCS can be contacted at the
          following telephone numbers: 
              *    Africa, Near East and South Asia, 202-377-4836.
              *    East Asia and Pacific, 202-377-8422. 
              *    Europe, 202-377-1599. 
              *    Western Hemisphere, 202-377-2736. 
              *    Fax (Europe and Western Hemisphere), 202-377-3159.
              *    Fax (all others), 202-377-5179. 
          
              In addition, a valued asset of the US&FCS is a group of 
          about 525 foreign nationals, usually natives of the foreign 
          country, who are employed in the U.S. embassy or consulate 
          and bring with them a wealth of personal understanding of 
          local market conditions and business practices. The US&FCS 
          staff overseas provides a range of services to help 
          companies sell abroad: background information on foreign 
          companies, agency-finding services, market research, 
          business counseling, assistance in making appointments with 
          key buyers and government officials, and representations on
          behalf of companies adversely affected by trade barriers. 
          U.S. exporters usually tap into these services by 
          contacting the Department of Commerce district office in 
          their state. While exporters are strongly urged to contact 
          their district office before going overseas, U.S. business 
          travelers abroad can also contact U.S. embassies and 
          consulates directly for help during their trips. District 
          offices can provide business travel facilitation assistance 
          before departure by arranging advance appointments with 
          embassy personnel, market briefings, and other assistance 
          in cities to be visited.  US&FCS posts also cooperate with 
          overseas representatives of individual states. Almost all 
          50 states have such representation in overseas markets, and 
          their efforts are closely coordinated with the resources of 
          the US&FCS.
          
          Other Commerce export services
          
          Besides ITA, a number of other Department of Commerce
          agencies offer export services.
          
          Export Administration
          
               The under secretary for export administration is 
          responsible for U.S.  export controls. Assistance in 
          complying with export controls can be obtained directly 
          from local district offices or from the Exporter Counseling 
          Division within the Bureau of Export Administration (BXA) 
          Office of Export Licensing in Washington, DC 
          (202-377-4811). BXA also has four field offices that 
          specialize in counseling on export controls and 
          regulations: the Western Regional Office (714-660-0144), 
          the Northern California Branch Office (408-748-7450), the 
          Portland Branch Office (503-326-5159), and the Eastern 
          Regional Office (603-834-6300). 
          
          Trade Adjustment Assistance
          
               Trade Adjustment Assistance, part of Commerce's 
          Economic Development Administration, helps firms that have 
          been adversely affected by imported products to adjust to 
          international competition. Companies eligible for trade 
          adjustment assistance may receive technical consulting to 
          upgrade operations such as product engineering, marketing, 
          information systems, export promotion, and energy 
          management. The federal government may assume up to 75 
          percent of the cost of these services.  For more 
          information call 202-377-3373.  
          
          Travel and Tourism
          
               The U.S. Travel and Tourism Administration (USTTA) 
          promotes U.S. export earnings through trade in tourism. 
          USTTA stimulates foreign demand, helps to remove barriers,
          increases the number of small and medium-sized travel 
          businesses participating in the export market, provides
          timely data, and forms marketing partnerships with private
          industry and with state and local governments.
          To maintain its programs in international markets, USTTA
          has offices in Toronto, Montreal, Vancouver, Mexico City,
          Tokyo, London, Paris, Amsterdam, Milan, Frankfurt, Sydney,
          and (serving South America) Miami.  Travel development
          activities in countries without direct USTTA representation
          are carried out under the direction of USTTA regional
          directors, who cooperate with Visit USA committees composed
          of representatives from the U.S. and foreign travel
          industry in those countries, and also with the US&FCS. For
          more information, U.S.  destinations and suppliers of
          tourism services interested in the overseas promotion of
          travel to the United States should call 202-377-4003.
          
          Foreign Requirements for U.S. Products and Services
          
               For information about foreign standards and certification
          systems, write National Center for Standards and
          Certificates Information, National Institute for Standards
          and Technology (NIST), Administration Building, A629,
          Gaithersburg, MD 20899; telephone 301-975-4040, 4038, or
          4036.  NIST maintains a General Agreement on Tariffs and
          Trade (GATT) hotline (301-975-4041) with a recording that
          reports on the latest notifications of proposed foreign
          regulations that may affect trade. Exporters can also get
          information from the nongovernmental American National
          Standards Institute (212-354-3300).
          
          Minority Business Development Agency (MBDA)
          
                The MBDA identifies minority business enterprises 
          (MBEs) in selected industries to increase their awareness 
          of their relative size and product advantages and to 
          aggressively take them through the advanced stages of 
          market development.  Through an interagency agreement with 
          the ITA, MBDA provides information on market and product 
          needs worldwide.  MBDA and ITA coordinate MBE participation 
          in Matchmaker and other trade delegations.  MBDA provides 
          counseling through the Minority Business Development Center 
          network to help MBEs prepare international marketing plans 
          and promotional materials and to identify financial 
          resources.  For general export information, the field 
          organizations of both MBDA and ITA provide information kits 
          and information on local seminars. Contact Minority 
          Business Development Agency, Office of Program Development, 
          U.S. Department of Commerce, Washington, DC 20230; 
          telephone 202-377-3237.
          
          Foreign Metric Regulations
          
                The Office of Metric Programs (202-377-0944) provides 
          exporters with guidance and assistance on matters relating 
          to U.S.  transition to the metric system. It can also give 
          referrals to metric contacts in state governments.
          
          Fishery Products Exports
          
               The National Oceanic and Atmospheric Administration 
          (NOAA) assists seafood exporters by facilitating access to 
          foreign markets. NOAA's National Marine Fisheries Service 
          provides inspection services for fishery exports and issues 
          official U.S. government certification attesting to the 
          findings. Contact Office of Trade and Industry Services, 
          National Marine Fisheries Service, Room 6490, 1335 
          East-West Highway, Silver Spring, MD 20910. Telephone 
          numbers are as follows:  Trade Matters, 301-427-2379 or 
          2383; Export Inspection, 301-427-2355; and Fisheries 
          Promotion, 301-427-2379.
          
          Bureau of the Census
          
          The Bureau of the Census is the primary source of trade
          statistics that break down the quantity and dollar value of
          U.S. exports and imports by commodity (product) and
          country. Commerce district offices can help retrieve Census
          export statistics for exporters who want to identify
          potential export markets for their products. Firms
          interested in more extensive statistical data can contact
          the Bureau of the Census at 301-763-5140.
          Census can also provide authoritative guidance on questions
          concerning shippers' export declarations (see chapter 12).
          Call 301-763-5310. 
          
          Department of State
          
          The Department of State has a diverse staff capable of
          providing U.S.  exporters with trade contacts. These staff
          members include bureau commercial coordinators, country
          desk officers, policy officers in the functional bureaus
          (such as the Bureau of Economic and Business Affairs), and
          all U.S. embassies and consular posts abroad. While the
          Department of Commerce's US&FCS is present in 67 countries,
          the Department of State provides commercial services in 84
          embassies and numerous consular posts. Their addresses and
          telephone numbers are published in the directory titled Key
          Officers of Foreign Service Posts, available from the U.S.
          Government Printing Office (202-783-3238).  The ambassador
          takes the lead in promoting U.S. trade and investment
          interests in every U.S. embassy. 
          
          Small Business Administration
          
                Through its 107 field offices in cities throughout 
          the United States (see appendix III for addresses and 
          telephone numbers), the U.S. Small Business Administration 
          (SBA) provides counseling to potential and current small 
          business exporters. These no-cost services include the 
          following:
          
          *    Legal advice. Through an arrangement with the Federal
          Bar Association (FBA), exporters may receive initial export
          legal assistance. Under this program, qualified attorneys
          from the International Law Council of the FBA, working
          through SBA field offices, provide free initial
          consultations to small companies on the legal aspects of
          exporting.
          
          *    Export training. SBA field offices cosponsor export 
          training programs with the Department of Commerce, other 
          federal agencies, and various private sector international 
          trade organizations. These programs are conducted by 
          experienced international traders. 
          
          * Small Business Institute and small business development
          centers.  Through the Small Business Institute, advanced
          business students from more than 500 colleges and
          universities provide in-depth, long-term counseling under
          faculty supervision to small businesses. Additional export
          counseling and assistance are offered through small
          business development centers, which are located in some
          colleges and universities. Students in these two programs
          provide technical help by developing an export marketing
          feasibility study and analysis for their client firms.
          
          *    Export counseling. Export counseling services are also
          furnished to potential and current small business exporters
          by executives and professional consultants. Members of the
          Service Corps of Retired Executives, with practical
          experience in international trade, help small firms
          evaluate their export potential and strengthen their
          domestic operations by identifying financial, managerial,
          or technical problems.  These advisers also can help small
          firms develop and implement basic export marketing plans,
          which show where and how to sell goods abroad.  For
          information on any of the programs funded by SBA, contact
          the nearest SBA field office.
          
          Department of Agriculture
          
                The U.S. Department of
          Agriculture (USDA) export promotion efforts are centered in
          the Foreign Agricultural Service (FAS).  A wide variety of
          other valuable programs is offered, such as promotion of
          U.S. farm products in foreign markets; services of
          commodity and marketing specialists in Washington, D.C.;
          trade fair exhibits; publications and information services;
          and financing programs. For more information on programs
          contact the director of the High-Value Product Services
          Division, Foreign Agricultural Service, U.S. Department of
          Agriculture, Washington, DC 20250; telephone 202-447-6343.
          
          State governments
          
                State economic development agencies,
          departments of commerce, and other departments of state
          governments often provide valuable assistance to exporters.
          State export development programs are growing rapidly. In
          many areas, county and city economic development agencies
          also have export assistance programs. 
          
          Commercial banks
          
               More than 300 U.S. banks have international banking 
          departments with specialists familiar with specific foreign 
          countries and various types of commodities and 
          transactions. These large banks, located in major U.S. 
          cities, maintain correspondent relationships with smaller 
          banks throughout the country. Larger banks also maintain 
          correspondent relationships with banks in most foreign 
          countries or operate their own overseas branches, providing 
          a direct channel to foreign customers.  International 
          banking specialists are generally well informed about 
          export matters, even in areas that fall outside the usual 
          limits of international banking. If they are unable to 
          provide direct guidance or assistance, they may be able to 
          refer inquirers to other specialists who can. Banks 
          frequently provide consultation and guidance free of charge 
          to their clients, since they derive income primarily from 
          loans to the exporter and from fees for special services. 
          Many banks also have publications available to help 
          exporters. These materials often cover particular countries 
          and their business practices and can be a valuable tool for 
          initial familiarization with foreign industry. Finally, 
          large banks frequently conduct seminars and workshops on 
          letters of credit, documentary collections, and other 
          banking subjects of concern to exporters. 
          
          Export intermediaries
          
          Export intermediaries are of many different types, ranging
          from giant international companies, many foreign owned, to
          highly specialized, small operations. They provide a
          multitude of services, such as performing market research,
          appointing overseas distributors or commission
          representatives, exhibiting a client's products at
          international trade shows, advertising, shipping, and
          arranging documentation. In short, the intermediary can
          often take full responsibility for the export end of the
          business, relieving the manufacturer of all the details
          except filling orders.  Intermediaries may work
          simultaneously for a number of exporters on the basis of
          commissions, salary, or retainer plus commission. Some take
          title to the goods they handle, buying and selling in their
          own right.  Products of a trading company's clients are
          often related, although the items usually are
          noncompetitive. One advantage of using an intermediary is
          that it can immediately make available marketing resources
          that a smaller firm would need years to develop on its own.
          Many export intermediaries also finance sales and extend
          credit, facilitating prompt payment to the exporter. 
          
          World trade centers and international trade clubs
          
                Local or regional world trade
          centers and international trade clubs are composed of area
          business people who represent firms engaged in
          international trade and shipping, banks, forwarders,
          customs brokers, government agencies, and other service
          organizations involved in world trade. These organizations
          conduct educational programs on international business and
          organize promotional events to stimulate interest in world
          trade. Some 80 world trade centers or affiliated
          associations are located in major trading cities throughout
          the world.  By participating in a local association, a
          company can receive valuable and timely advice on world
          markets and opportunities from business people who are
          already knowledgeable on virtually any facet of
          international business.
          
          American chambers of commerce abroad
          
          A valuable and reliable source of market information in any
          foreign country is the local chapter of the American
          chamber of commerce. These organizations are knowledgeable
          about local trade opportunities, actual and potential
          competition, periods of maximum trade activity, and similar
          considerations.  American chambers of commerce abroad
          usually handle inquiries from any U.S. business. Detailed
          service, however, is ordinarily provided free of charge
          only for members of affiliated organizations. Some chambers
          have a set schedule of charges for services rendered to
          nonmembers. 
          
          International trade consultants and other advisers
          
          International trade consultants can advise and assist a
          manufacturer on all aspects of foreign marketing. Trade
          consultants do not normally deal specifically with one
          product, although they may advise on product adaptation to
          a foreign market. They research domestic and foreign
          regulations and also assess commercial and political risk.
          They conduct foreign market research and establish contacts
          with foreign government agencies and other necessary
          resources, such as advertising companies, product service
          facilities, and local attorneys.
          
          These consultants can locate and qualify foreign joint 
          venture partners as well as conduct feasibility studies for 
          the sale of manufacturing rights, the location and 
          construction of manufacturing facilities, and the 
          establishment of foreign branches. After sales agreements 
          are completed, trade consultants can also ensure that 
          follow-through is smooth and that any problems that arise 
          are dealt with effectively.  Trade consultants usually 
          specialize by subject matter and by global area or country. 
          For example, firms may specialize in high-technology 
          exports to the Far East. Their consultants can advise on 
          which agents or distributors are likely to be successful, 
          what kinds of promotion are needed, who the competitors 
          are, and how to deal with them. They are also knowledgeable 
          about foreign government regulations, contract laws, and 
          taxation. Some firms may be more specialized than others; 
          for example, some may be thoroughly knowledgeable on legal 
          aspects and taxation and less knowledgeable on marketing 
          strategies.  Many large accounting firms, law firms, and 
          specialized marketing firms provide international trade 
          consulting services. When selecting a consulting firm, the 
          exporter should pay particular attention to the experience 
          and knowledge of the consultant who is in charge of its 
          project. To find an appropriate firm, advice should be 
          sought from other exporters and some of the other resources 
          listed in this chapter, such as the Department of Commerce 
          district office or local chamber of commerce.
          Consultants are of greatest value to a firm that knows 
          exactly what it wants. For this reason, and because private 
          consultants are expensive, it pays to take full advantage 
          of publicly funded sources of advice before hiring a 
          consultant.
          
