BCC/DHL: Confidence boost for exporters ahead of Article 50 trigger

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The British Chambers of Commerce (BCC), in partnership with DHL, today (Thursday) publishes its latest Quarterly International Trade Outlook, which shows that confidence among exporters that their turnover will improve jumped in Q4 2016, ahead of further moves towards Brexit.

Although the number of businesses reporting that their export sales and orders would improve remained largely constant in the last quarter of 2016, businesses in both manufacturing and services are increasingly confident that they will continue to improve turnover, and that profitability will increase or remain steady in the coming 12 months.

The BCC/DHL Trade Confidence Index, which measures the volume of trade documentation issued by accredited Chambers of Commerce, fell by 1.42% on the quarter – but remains nearly 5% up on the last quarter of 2015.

The results serve as a reminder that businesses are continuing to trade in spite of the uncertainty around Brexit. But to maintain this positivity, the government must focus on the fundamentals of the economy – helping exporters recruit to close a growing skills gap, and provide support for those seeking to navigate currency fluctuations.

Key findings from the report:

  • The BCC/DHL Trade Confidence Index, a measure of the volume of trade documentation issued nationally, fell by 1.42% on the quarter. The Index now stands at 119.96 – and is up 4.81% on Q4 2015
  • The balance of manufacturers reporting improved export sales fell slightly to +16, down one point from the previous quarter. Looking at services, the balance of firms reporting improved export sales remained constant at +8
  • The balance of manufacturers reporting improved export orders rose to +13 from +12 in Q3, while in services this rose one point to +6
  • Looking at expectations of turnover over the next 12 months, the balance of manufacturers confident of an increase rose nine points to +43 – in services this rose seven points to +35
  • Confidence that profitability would improve rose to +21 for services companies – up from the four-year low of +15 seen in Q3 2016. The balance of manufacturers remained constant at +22

Commenting on the findings, Dr Adam Marshall, BCC Director General, said:

“Many exporters remain confident, in spite of uncertainty over our relationship with the EU. Our findings serve as a reminder that it is businesses that trade with other businesses, not governments – but they need support if they are to continue to be positive.

“Our economic forecast suggests that inflation is going to rise above the 2% target this year, which will create pressure on many firms. In addition, the fluctuating currency markets are affecting our exporters and importers – so there are warning signs on the horizon.

“The government cannot give businesses much certainty around either Brexit or currency markets, but it can act closer to home. The Chancellor’s Budget must focus on cutting the up-front costs that government imposes on every business, and promote investment and exports.”

Ian Wilson, CEO DHL Express UK and Ireland, said:

“UK exporters continue to be undeterred in their ambition to take their products and services overseas, despite turbulent economic times.

“Whilst this confidence might come as a surprise during these uncertain times, the rapid evolution of e-commerce and technology means that more businesses than ever are realising the opportunity that exporting presents.

“With online technology in overseas markets advancing, UK exporters should remain confident that their products are now more accessible than ever.”

Ends

 

Notes to editors:

The Trade Confidence Index is a measure of trade documents issued by Accredited Chambers of Commerce for goods to overseas markets where documentation is required.

Spokespeople are available for interview and a full QITO report is available from the press office.

Balance figures are the percentage of firms that reported an increase minus the percentage that reported a decrease. If the figure is a plus it indicates expansion of activity and if the figure is a minus it indicates contraction of activity.  A figure above 0 indicates growth, while a figure below 0 indicates contraction.

The British Chambers of Commerce (BCC) sits at the heart of a powerful network of 52 Accredited Chambers of Commerce across the UK, representing thousands of businesses of all sizes and within all sectors. Our Global Business Network connects exporters with nearly 40 markets around the world. For more information, visit: www.britishchambers.org.uk

Media contacts:

Allan Williams – Senior Press Manager

020 7654 5812 / 07920583381

Orla Hennessy – Press and Communications Officer

0207654 5813 / 07825746812

Syria negotiations may not yield breakthrough, but momentum needs to be maintained – UN envoy

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22 February 2017 – A day before negotiations on the crisis in Syria kick off in Geneva, the United Nations Special Envoy for the war-torn country acknowledged that while he is “not expecting a breakthrough,” the proactive momentum needs to be sustained, and the top United Nations relief official told the Security Council that the country’s humanitarian needs would remain critical for a long time.

“As has been stated so many times already, there is no humanitarian or military solution to this conflict,” the UN Emergency Relief Coordinator and Under-Secretary-General for Humanitarian Affairs, Stephen O’Brien, told the Security Council today.

“A genuine political commitment to peace will be needed if 2017 is to offer any different prospect than the death and destruction of the past six years,” he added, emphasizing the need for fighting to stop.

The conflict, now into its sixth year, has left hundreds of thousands of women, men and children dead and millions more dependent on aid both within the country and beyond Syria’s borders.

However, humanitarian actors continue face myriad challenges in reaching those most in need.

In particular, Mr. O’Brien voiced serious concerns over continued attacks on civilians and civilian infrastructure, which have further limited humanitarian access to those areas, as well as leading to further displacements that in turn add to the humanitarian needs.

He also underlined that the conflict has taken its worst toll on children: thousands have been killed and maimed or have lost their parents to the violence. Many more have suffered physical and psychological trauma, forced into early marriages and lag years behind in school.

The formal education system has lost about 150,000 education personnel and one in three schools in the country have been damaged, destroyed or rendered inaccessible, and 5.82 million children and youth from pre-school to secondary school-age are in need of education assistance inside Syria.

Concluding his briefing, the UN relief chief urged: “The eyes of all of Syria, and the eyes of the world, are looking to Geneva [where intra-Syrian negotiations will be held].”

“Millions of battered and beleaguered women, men and children depend on meaningful action and the constructive engagement by the Syrian parties and their allies […] to assure Syrians that an end to the conflict may finally be within reach.”

I am not expecting a breakthrough, but I am determined to keep the momentum – UN envoy

Also today, speaking to the press in Geneva, the UN Special Envoy for Syria, Staffan de Mistura, said is critical that the momentum provided by the negotiations “outpace” those that wished to see the negotiations come to nothing.

“There are spoilers, we have seen it all the time during the last talks and perhaps they may even be attempting or tempted to [do] something before or during the talks to provoke one side or the other to walk out,” he warned.

“I am not expecting a breakthrough, but I am expecting and determined for keeping a very proactive momentum,” said Mr. de Mistura, highlighted the need to “outpace” those wished to “spoil” the negotiations and see that it come to nothing.

“There is a rush between us and the spoilers […] we have to outpace those few but clear spoilers with momentum on the political track,” he added.

On the eve of the UN-facilitated negotiations between the parties to the conflict in Syria, Mr. de Mistura said he would be continuing to push for a resolution to the conflict based on Security Council Resolution 2254 that endorsed a road map for peace process in war-battered Middle East nation, including non-sectarian governance, a new constitution and free and fair elections.

Also, the UN envoy said that while the ceasefire remained fragile, it was largely holding and noted that “we would not have been able to have these talks if there was a breakdown of the cease-fire.”

Mr. de Mistura added that the bottom line remains that it is “delicate moment” and that there are fragile incidents but these need to be controlled and need to be taken care of.

In conclusion, he noted that one should not focus too much on the rhetoric and even dismissive statements but instead to “look for the substance, for what would happen during the talks and at the end of the talks,” he said.

Central African Republic: Four UN peacekeepers wounded in ambush by armed group

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22 February 2017 – The United Nations peacekeeping mission in the Central African Republic has reported that its troops on patrol were ambushed yesterday outside of Ippy in Ouaka prefecture.

During the exchange of fire with the FPRC’s (Front Populaire pour la Renaissance de Centrafrique) coalition, four peacekeepers were wounded, including one severely, according to the Office of Spokesperson for the UN Secretary-General, which added that the attackers fled the scene after the incident.

Clashes between the mainly Muslim Séléka rebel coalition and anti-Balaka militia, which are mostly Christian, plunged the country of 4.5 million people into civil conflict in 2013.

In a news release issued earlier this month, the UN Multidimensional Integrated Stabilization Mission (MINUSCA) had stressed that two factions of the ex-Séléka armed group, namely the FPRC coalition and UPC Mouvement pour l’Unité et la Paix en Centrafrique, represent a threat for civilian populations and that UN peacekeepers will respond in case of violence.

The spokesperson’s office said that peacekeepers prevented a hostile crowd – including members of the FPRC – from entering a camp for internally displaced persons in Ippy, which is some 70 miles from the city of Bambari, earlier yesterday. Some people in the crowd fired at peacekeepers, who returned fire, killing two FPRC members.

MINUSCA reiterated its resolve to use force to protect civilians in accordance with its mandate and calls on all armed groups to immediately cease hostilities and to resolve any dispute through dialogue within the framework of the African Initiative for Peace and Reconciliation, the office added.

Meanwhile, the UPC leader, Ali Darassa, left Bambari yesterday following the Mission’s calls for him to leave the town, the office said. The Mission has reinforced its police presence in Bambari.

Speech: “This is only the meaningful path to long-term peace in Ukraine. And until this path is taken, sanctions against Russia must remain in place.”

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Thank you Mr President and I welcome Foreign Minister Kurz to the Security Council. I’m grateful for your briefing just now. Your chairmanship of the OSCE, together with Austria hosting the OSCE and parts of the United Nations, shows how central your country is to international cooperation and to the rules-based system.

Sadly, as we heard here yesterday, the rules-based system is under threat. It’s a threat that we talk about often in this chamber, but to the residents of cities like Marinka, this threat is a horrifying, daily reality. For the past three years, the people there have lived in fear, subject to the daily, unrelenting dangers that have become the norm on the front line in eastern Ukraine. Residents there speak of daily sniper fire, of daily shelling, the daily scramble for shelter. For nearly three years, they have survived without gas supplies, in the face of plummeting temperatures every winter.

These are the consequences of Russia’s violation of Ukraine’s sovereignty and territorial integrity. This is what happens when the rules based system is attacked. We cannot allow this to become the new normal. We must use all of the tools at our disposal in response.

The OSCE has a critical role to play – and I’d like to commend the role of the OSCE Special Monitoring Mission in particular, working tirelessly under the able direction of Chief Monitor Apakan. It’s thanks to the bravery of the OSCE’s monitors that we know what’s going on in places like Marinka. It’s thanks to them that we know that ceasefire violations this year have already reached record highs.

It is unacceptable that the Mission continues to be fired upon and to face restrictions on access. Such actions, so often perpetrated by the separatists, only fuels suspicion that the separatists are concealing activity at odds with the Minsk agreements.

So I hope that we can all be clear today that aggression towards monitors must stop and the Mission must be given unrestricted access to all of Ukraine, including the disengagement areas and those parts of the border with Russia not under Ukraine’s control.

As we heard yesterday, the long term solution to the situation in Eastern Ukraine requires Russia to end its destabilising activities in the region, comply with its commitments under the Minsk agreements, withdraw its weapons and personnel, use its considerable influence over the separatists to bring an end to the killing, and return Crimea to its rightful place as part of Ukraine. This is only the meaningful path to long-term peace in Ukraine. And until this path is taken, sanctions against Russia must remain in place.

Beyond Ukraine, we should not lose sight of this Council’s need to work closely with the Austrian OSCE chairmanship to resolve other issues affecting the region and help protect fundamental rights and freedoms. These include protracted conflicts in Akbhazia and South Ossetia, Transnistria and Nagorno-Karabkh.

We also value the vital role the OSCE plays in risk reduction in the region and we welcome the launch of the Structured Dialogue. We support your focus, Mr Foreign Minister, on youth and radicalisation, where the OSCE with its cross-dimensional approach to security can add real value.

If the OSCE is to respond to these and other challenges, we must also continue to strengthen the organisation. One way to do that is through strong appointments and I’m pleased that the UK has put forward an excellent candidate for the High Commissioner on National Minorities position in the OSCE as a sign of our continued commitment to the organisation.

We are also pleased that our Ambassador to the OSCE is chairing the OSCE Human Dimension Committee this year and working closely with the Austrian Chairmanship.

In conclusion, Mr President, events in Eastern Ukraine reinforce just how important the OSCE is to international cooperation. The work being done there is vital to the beleaguered residents of Marinka and to all Ukrainians in the East of the country. Sadly events in Ukraine highlight the threats that countries in the OSCE area, and the rules based system as a whole, continue to face. If we are to respond to them effectively, we must continue to strengthen the OSCE, and with it, this Council’s cooperation.

Thank you.