International Trade in Georgia Booms in 2011
ATLANTA, February 14, 2012 – Georgia's international trade in 2011 continued its upward trajectory of the past several years, with both exports and imports growing in numbers and value, according to U.S. Census Bureau statistics released last week. The state recorded its highest-ever total for the value of goods exported during a single year: $34.7 billion, up 20 percent, from $28.9 billion in 2010. Imports jumped 11 percent, totaling $67 billion.
'More and more companies in Georgia are discovering how trade can help them grow, and learning what the state can do to help them,' said Chris Cummiskey, commissioner of the Georgia Department of Economic Development. 'Job growth created through global trade is helping economic recovery not only in Georgia, but around the country.'
For the first time in Georgia's history, Asia outpaced traditional leader the Americas and other world regions as the top destination for the state's exporters, reflecting the region's growing dominance in global commerce. The percentage of exports headed to Asia jumped to 39 percent in 2011 from 33 percent last year. The Americas once again captured 36 percent of Georgia's exports, while 18 percent went to the European Union.
Georgia continues to rank as the nation's 12th leading U.S. state in dollar value of exports. Canada, China, and Mexico remained Georgia's top three export destinations, while Singapore nudged aside Japan to claim the fourth spot. Canada alone accounted for 18 percent of Georgia's exports. Rounding out the top 10 destinations were Germany, Brazil, the U.K., Hong Kong, and South Korea. Among Georgia's top 10 export destinations, the largest increases were in exports to Singapore (87%), South Korea (43%) and China (33%).
Aerospace exports up
Georgia's leading export industries ranked by dollar value were aircraft/spacecraft, non-electric machinery, non-railway vehicles, electrical machinery, and wood pulp. Georgia aerospace exports in 2011 grew 31 percent to an all-time high of $5.75 billion. Georgia led all other U.S. states in the export of wood pulp, poultry, minerals and ores (kaolin), textile floor coverings (carpet), and aluminum foil and wire. Georgia ranked second in the export of paper and paperboard and acrylic polymers; third in electric generators; fourth in the export of aircraft/spacecraft, gas turbines, tractors, non-carded cotton, and fiberboard; and fifth in the export of animal food preparations and harvest machinery.
South Korean imports increase
The state's imports outpaced exports by approximately $32.3 billion. Georgia's ninth-place ranking among U.S. states remained stable, and the state ranks second in the Southeast in dollar value of imports. Companies in Georgia imported $67 billion in goods in 2011, an increase of 11 percent. The top five countries – China, Germany, Mexico, South Korea and Japan – accounted for 57 percent of Georgia's total imports. Canada, the U.K., Chile, France and Italy comprise the remainder of Georgia's top 10 importer nations. Among them, the largest increase was from South Korea (43 percent), followed by Germany, with an increase of 38 percent. Among U.S. states, Georgia ranked first in dollar value of imports from Chile and Germany, fourth in imports from South Korea and Thailand, and fifth in imports from India and Malaysia.
State boosts Georgia exporters
Deals facilitated by Georgia's International Trade division during the state's fiscal year 2011 exceeded $47.6 million, and GDEcD's 10 international offices assisted with 54 percent of these. Over the past five fiscal years the number of deals assisted has increased from 153 to 265. According to the International Trade Administration, 83 percent of the more than 10,000 Georgia firms that export goods have fewer than 500 employees. In Georgia, companies that sell overseas grow an average of 18 percent faster than those that don't, and their workforces are typically 10 to 15 percent more productive.
'It's well-established that exporting creates twice as many jobs as domestic trade,' said Kathe Falls, director of GDEcD's award-winning International Trade division. 'We anticipate sustaining the current momentum this year, thanks to two federal grants we've won to implement new and discounted services to qualified small- and medium-sized companies around the state.'
GDEcD's Trade division received two grants last fall from the Small Business Administration (SBA) and the Appalachian Regional Commission. Small- and medium-sized businesses may be eligible for assistance with new export services or reduced fees for some existing export services. For information, visit http://trade.georgia.org or contact Ms. Taube Ponce at 404-962-4118 or [email protected]
Trade benefits Georgia economy
Exporting not only helps companies increase profits: it also helps companies diversify markets, and gain a competitive edge through global exposure to new technology, innovations and competition. Increased international sales volumes also lower overall production costs and lead to increased profitability. According to the Georgia Ports Authority, imports and exports through Georgia's deepwater ports and inland barge terminals support more than 295,000 jobs throughout the state annually and contribute $15.5 billion in income, $61.7 billion in revenue and $2.6 billion in state and local taxes to Georgia's economy. Exports alone account for more than 187,600 jobs annually created or retained in Georgia.
About GDEcD
The Georgia Department of Economic Development (GDEcD) plans, manages and mobilizes state resources to attract new business investment to Georgia, drive the expansion of existing industry and small business, locate new markets for Georgia products, inspire tourists to visit Georgia, and promote the state as a top destination for arts events and film, music and digital entertainment projects. Visit www.georgia.org.