GBI Business Intelligence
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Export Value Chain - Feeling the Pain, Searching for Remedies

While selling products globally creates tremendous financial benefits, those benefits come with significant challenges. Exporters, even experienced multinational corporations, struggle to coordinate internal business processes with freight, financial, and regulatory processes required to sustain successful international trade. Companies are under a greater level of scrutiny than ever before surrounding global trade practices. There are lots of people in the corporate world that understand intra company trade. Companies devote a big portion of their Treasury, Legal and Tax Departments to this flow. It can be very significant at large corporates.

The non related party trade flow, especially into emerging and developing markets, is where the real challenges come into play. We defined four levers banks can address on the export side:

Export Financial Value Chain - Feeling the Pain, Searching for Remedies", identifies four primary challenges to address better and best practice data:

  • Export Finance: for example, are exporters developing Buyer Finance programs as part of the sale terms?
  • Risk Mitigation: for example, how are exporters using trade insurance, confirmations and standbys?
  • Export Compliance and Document Preparation: what is their document and compliance business model?
  • Export Financial Data Management: what value added propositions do exporters seek from banks here?

This program is done biannually.