A new survey has left no doubt that driving exports is the key to growth for firms in Coventry and Warwickshire.
The Coventry and Warwickshire Chamber of Commerce’s Quarterly Economic Survey (QES) acts as a barometer to the local economy and also feeds into the British Chambers of Commerce’s national research.
In the latest survey for the third quarter of 2012, companies in both the services and manufacturing sectors have reported a stronger increase in sales on the international front compared with the domestic market.
In manufacturing, just 12 per cent of firms said they had seen an increase in advance orders in the UK yet 50 per cent said export orders were up.
In services, 36 per cent of Coventry and Warwickshire businesses said advanced sales and orders were up domestically while 67 per cent said bookings and orders were up on the export front.
Overall, it left 32 per cent of manufacturers predicting an upturn in turnover in the next 12 months with 40 per cent expecting a decline.
In services, 49 per cent say turnover is expected to grow in the next year with 15 per cent predicting a drop.
Louise Bennett, chief executive of the Coventry and Warwickshire Chamber of Commerce, said: “These figures bear out the reason why we have recently launched our ‘Exporting is Good for Coventry and Warwickshire’ – trading overseas is a great way to grow a business.
“The domestic figures are not as buoyant as we would have liked, particularly in manufacturing. That said, the figures on manufacturing had been much improved over recent quarters so we will need to look at the long term survey results to see if this is a trend or a blip.
“Hopefully, the fact that businesses are reporting improved sales overseas will inspire others to follow suit and look at new markets.”
On the employment front, 34 per cent of service sector firms said they would be looking to increase staffing levels with 10 per cent expecting to trim numbers,
In manufacturing, 38 per cent said they would be taking on new staff while 29 per cent were predicting a fall in staffing levels.
Louise added: “When you consider that we are in the middle of a double-dip recession, the figures are actually better than many could have anticipated.
“Of course, confidence is going to be fragile but there are certainly many firms in the region that are doing well at the moment – and we want to build on that.”