Linked to the main objective of the project aiming at upgrading the Medicinal and Aromatic Plants (MAP) sector in order to increase the competitiveness of Egyptian products in international markets, the goal of Export Consortia Programme is to facilitate the access of Small and Medium Enterprises (SMEs) to export markets through the creation of an export consortium. This is a voluntary alliance of enterprises with the objective of promoting the export of goods and services of its members through joint actions. An export consortium is a formal organization to promote medium- to long-term strategic cooperation among its members aiming at facilitating access to foreign markets.


Objectives

  • Risk reduction: By improving firms’ access to information on foreign markets and by leading to a greater diversification of exports
  • Cost reduction: Within export consortia, members share administrative and promotional costs and thus avoid the expenses of establishing their own export department
  • Access to larger markets: By joining together, member firms can provide a wider range of products as well as a larger quantity than any individual firm
  • Knowledge Accumulation: Firms participating in export consortia typically have limited export experience and are in the early stages of export market entry or expansion. By participating in an export consortium, members can improve their knowledge of how to operate in foreign markets, how to improve business operations in areas not related to exporting and how to participate in alliances


Implementation Mechanisms

  • Organize awareness building activities, on the consortia approach (including presentation of success stories in other countries) and the importance of adding value to traditional products of regional origin, for potential SME members of consortium: individual and group meetings, workshops
  • Identify and select a group of firms wishing to establish the consortium according to potential joint target export channels (fair trade, retail, industries, cosmetic/pharmaceutical laboratories, etc)
  • Assist the group in the establishment of the consortium, the choice of the legal form (for the consortium and/or a collective brand) the preparation of the collective export and/or branding plan, etc
  • Assist the consortium in the implementation of its first joint pilot activities such as implementation of joint marketing tools (website, brochure, etc.) and promotional activities (trade shows, business missions), label and packaging design, implementation of specifications and certification process, registration of collective brand, etc. Facilitate links of the consortium with support institutions for the co-funding of their joint activities


Expected Participation of Target Groups and Project Partners

  • Active participation of potential members by providing business related information and cooperation of selected members with consortia promoters
  • Supporting the exchange of knowledge and experience with relevant stakeholders