In an unprecedented move, the UK has launched its inaugural E-Commerce Trade Commission.
The initiative, which aspires to prompt 70,000 additional small British businesses to trade and export online, aims to augment the economy by an impressive £9.3bn.
Economic Lifeline for SMEs
The Commission, comprising leading industry luminaries, will provide crucial advisory services to the Department for Business and Trade (DBT).
The initiative targets UK small businesses, often seen as the engine of the economy, facilitating their capitalisation on e-commerce trade opportunities and the advantages of recently sealed trade deals.
The Institute of Export & International Trade (IOE&IT), a respected body for internationally trading businesses and individuals, has been instrumental in assembling the Commission.
At its helm is Director General Marco Forgione, under whose leadership the Commission seeks to bring tangible benefits to small British enterprises.
The Potential of E-Commerce for UK SMEs
Forgione views the E-commerce Trade Commission as a much-needed catalyst for effecting positive change that truly bolsters small British businesses.
He underlines the potential of e-commerce in the wake of recent trade agreements brokered by the UK government.
Forgione also stresses the evidence-backed benefits of international trade, including greater business sustainability, resilience, innovation, and profit margins.
Composition of the Commission
The Commission is a convergence of global e-commerce juggernauts. Board members comprise titans like Amazon, Alibaba, eBay, Google, and Shopify.
The Commission also includes representatives from the Federation of Small Businesses, Institute of Chartered Accountants in England and Wales (ICAEW), and Association of International Courier & Express Services (AICES).
Genesis of the Commission
The genesis of this unique, independent cross-body Commission lies in recommendations from a 2022 report by the Social Market Foundation.
Commissioned by Amazon and supported by the IOE&IT, the report unveiled an untapped potential that could see an additional 70,000 UK small businesses exporting.
It forecast a potential surge in output of £9.3 billion gross value added (GVA) across the economy.
The report also found that among retail businesses selling overseas through a website, e-commerce exports generate £100,000 a year in annual revenues on average.
Among firms with 10 or more employees, the average is about £950,000.
Summary
The E-Commerce Trade Commission signifies a monumental step forward for UK small businesses.
The Commission’s work is likely to provide an economic shot in the arm, stimulating business growth and profitability.
It offers a glimpse into an optimistic future where small British businesses tap into the vast potential of international trade, creating a stronger, more resilient economy.
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