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Beyond Virginia
 
The Cossacks are Coming...to Buy U.S. Goods! Ukraine & Romania Trade Mission

Cossack Hat Eastern Europe is on the minds of many exporters due to perceived sales opportunities in industry and infrastructure. While the growth in these countries is high, their budgets are still relatively low compared to Western Europe. However, the people of this region want to fully capture the economic rewards now that they have switched to some form of democracy. Romania and the Ukraine are two republican nations with an ancient legacy of colonization and trading with a growing middle class. They should welcome U.S. companies on a VEDP trade mission to their region.

Kyiv is a leading industrial and commercial European city with many new buildings and businesses Ukraine – Cossacks have reason to dance:
Kyiv is the capital of modern Ukraine. This is a city flourishing with energy and excitement, opening its arms eagerly to the West to increase trade flows and mutual prosperity. Ukraine, tired of being the underdog to Russia, is finally finding its niche role of being able to court business opportunities both East and West of its borders. The Ukraine is more transparent than other countries in the region, making it an ideal and idyllic destination for American businesses and corporations, especially in power sector, petrochemical/fertilizers, energy efficiency, waste water technologies, among many others.

  • There are 46 million people including 17% of Russian heritage. Most Ukrainians are highly literate with about 70,000 scholars in 80 research institutes.
  • After Russia, its major trading partner even today, the Ukraine was by far the most powerful economic engine of the former Soviet Union.
  • The GDP for 2007 was over $321 billion, growing a robust 7%, but much higher in previous years. Unemployment registers at 2.5% although unofficially 7% is more realistic and still respectable.
  • Devaluation of the dollar against the Ukrainian hrvyrnia has been slight since 2003.
  • "Ukies" imported $1.3 billion in U.S. goods for 2007--almost double 2006 imports.
  • Virginia exports were $152 million for 2007--also nearly double 2006 to the Ukraine.
  • Major imports to the Ukraine include: Energy, mineral fuel & oil, machinery and parts, transportation equipment, chemicals, textiles, and paper.

Bucharest is considered one of Europe’s main industrial centers and transportation hubs Romania – Riding horses into the new age.
Only in 2007 were horse-drawn carts banned from the roads thus ending a proud history of Romania's partnership with horses. The nation is well-poised as a defense and NATO hub for the entire black sea region, second only to Turkey in terms of regional defense procurement opportunities. There are also many additional business opportunities now that the country has joined the EU and the infrastructure is still playing catch-up. There is investment in capital equipment and new product lines, which in turn need state-of-the-art technologies that lead to increased efficiency within the economy. Romania has been featured as "the country with which to do business" by the US Trade and Development Agency, as well as the US Small Business Administration.
  • Romania joined NATO in 2004 and the European Union in 2007.
  • GDP was $247 billion in 2007 having grown 6% with inflation at 6.6% over 2006 and unemployment of 4%.
  • There are 22 million people speaking a Romance language with Slavic influence. Sometimes referred to as the "Latin island in a Slavic sea".
  • Currency appreciation against the dollar has been slight since 2003. Romania plans to adopt the Euro by 2014.
  • Major imports include: machinery and equipment, fuels & minerals, chemicals, textiles, metals, and agricultural products.
  • Romania imports more from Germany and Italy than Russia followed by France, Turkey, and China.

Steps towards your visit to the Ukraine and Romania?

1) Ask for trade data on your product going into these countries. The VEDP's research staff can provide you market reports with more information. For assistance, contact your local International Trade Manager or email ITR@YesVirginia.org.

2) The VEDP offers a Global Network of Researchers to verify market information and survey prospects. The projects are primary research done by in-country consultants and the best part is that it is subsidized by the VEDP! For more details, click here: http://www.exportvirginia.org/services.htm

3) Join the Trade Mission to Kyiv, Ukraine & Bucharest, Romania, September 22 - 26, 2008. Let the VEDP international trade professionals coordinate your travel, pre-screen prospects, and schedule meetings so your venture is rewarding.

Who do you contact?
Jenee Andreev, our International Trade Manager for Northern Virginia, has traveled to the Ukraine and led other successful trade missions. Jenee will gladly offer more detailed information about VEDP Trade Missions. Feel free to contact her at: JAndreev@yesvirgina.org or call (703) 506-1031.

The Trade Mission flyer has more details.

You can Register online for this event before August 8, 2008.

Don't miss this opportunity – space is limited!

Need information on certain countries, issues, or exporting?
Click here to download VEDP Fast Facts: http://www.exportvirginia.org/FastFacts/

For more information on the VEDP, please visit our website at: www.ExportVirginia.org

Sources:
  1. World Trade Atlas. U.S. State Export Edition. Annual 2008. http://www.gtis.com/state
  2. Comtrade. Commodity Trade Statistics Database. Annual 2008. United Nations Statistics Division. http://unstats.un.org/unsd/comtrade/
  3. CIA World Fact Book: https://www.cia.gov/cia/publications/factbook/index.html