The Estonian government discussed ways of strengthening Estonian business diplomacy in order to diversify Estonia’s export markets to boost economic growth.
“Estonia’s exports have been concentrated on the European Union market, which accounts for 70% of Estonia’s exports of goods and services. Entering more distant markets requires greater support from the state and a presence in the form of embassies,” Foreign Minister Margus Tsahkna said.
The aim of the Ministry of Foreign Affairs and Enterprise Estonia has been to support companies not only in the large markets of our neighbourhood, but also in the more distant and foreign ones. “Our goal is to focus business diplomacy on more distant markets in Asia, Africa, the Middle East and South America in order to expand export opportunities for companies,” said Minister Tsahkna.
“Entering new markets requires good local knowledge, which is why it is important that the network of Estonian foreign representations is up-to-date and relevant and covers all regions that support Estonian exports and bring in investments,” Tsahkna added.
The state supports companies in the target markets
According to Minister of Economy and Industry Erkki Keldo, entering new and more distant markets requires thorough preparation and knowledge of the local business environment. “The state can support companies in this process by ensuring a permanent presence of representatives in the target market, which will help to better understand the local entrepreneurial culture, laws and peculiarities of the supply chain,” said Keldo.
Through Estonian representations and export advisers, it is easier for Estonian companies to obtain reliable information about the opportunities and risks of the target market and to establish valuable contacts with local partners and customers.
“This is why we want to focus our business diplomacy on more distant markets, where it is more difficult for a company to enter alone. We have set the foci of our export activities together with professional associations, putting together an export action plan. To support professional associations, we have created a separate export subsidy by the state, which enables companies to jointly prepare for entering new markets in order to sell their products and services outside Estonia in larger volumes,” Keldo noted.
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