Thirty Colombian businessmen are traveling to Moscow to participate in Flowers Expo 2011, one of the leading international specialized trade fairs in order to open new business opportunities in Russia, Czech Republic, Kazakhstan and Poland.

Exporters will be in Moscow between August 30 and September 2 with the support of Proexport Colombia and the entrepreneurs registered in Bogota will also have the support of the District Department of Economic Development of the Mayor's Office.

This year the Colombian participation will be more robust and include a sample of roses, hydrangeas, mini coves, carnations, mini carnations, alstroemeria and some foliage.

In addition, the Colombian Association of Flower Exporters (Asocolflores) will also have a stand named 'Colombia, Land of Flowers', an exhibition which is also supported by Proexport.

Employers can not only offer their products, but also meet with the main buyers of Central Asia and Eastern Europe, as well as producers and sellers of live flowers and plants from other countries, developers, producers and sellers of machinery and technological equipment for the sector, as well as logistics service providers.

They will also get to know the current product development of the flower companies and attend master classes on floral arrangements, trends and new technologies.

As a novelty, Colombia's exhibition stand will, for the first time, boast the participation of a preserved flower company, a leader in the production of such products which, through a conservation process, maintain their natural appearance and extend their useful life through chemical processes.

The Colombian delegation's trip is part of the Colombian Support Plan led by Proexport for the exporters affected by the rains, the non-renewal of the ATPDEA with the United States, and the revaluation of the Colombian Peso. The strategy consists of over 50 events worldwide and 1,100 beneficiaries through December 2011.

"Unlike other markets, the Russian one requires flowers with very high quality standards and is willing to pay for them. It is a market that offers the best prices, good volume and advance payments," said Jose Luis Ardila, Inversiones Bellaflor, which will showcase rose varieties like freedom, topaz, latina and vendela.

On his part, Luis Fernando Rada, from the Group of Flower Exporters and Growers of Antioquia (GEFFA), will present what is known as novelties. "We will bring hydrangeas in several forms such as mini green, white, blue, green and antique or aged. We also carry purple and pink hydrangeas, orange, pink and chocolate colored mini coves; we have an interesting supply of exotic flowers," he said.

Rada also said that their participation in the fair is intended to start exporting to Russia. "It is one of the largest markets in the world. A disadvantage is the distance, but buyers appreciate quality and beauty."

This is precisely the goal of all participants, given that Russia, apart from being the platform of choice for entering the market in Eastern Europe, is the second destination for Colombian flowers after the United States.

In 2010, exports to this market grew 41.1 percent over 2009, with exports in the amount of $60.6 million compared to $42.9 million, according to the Ministry of Trade, Industry and Tourism, based on figures from DANE.

The positive export balance demonstrates the high popularity that Colombian flowers have among the Russians, who emphasize on their quality thanks to factors like altitude, temperature and soil where they are grown.

All of the above features make Colombian flowers unique, with large buds, fixed and intense colors, thick stems and green and clean foliage, plus the ability to have year-round production.

The top priority for the delegation of European entrepreneurs attending Colombiatex is to find quality products, but they also commented on Colombia's advantage in competing directly with Asia as a supplier.

The European Union is the guest of honor at this version of the Colombiatex business trade show. Volker Eikelmann, representative of German textiles giant Werner Eickelmann, represents several well-known brands, including Hugo Boss and Diesel. He came in search of a complete package of fabrics and patterns for the children's apparel industry. He pointed out that European community entrepreneurs are too dependent on Asian suppliers, and he feels that Colombia has a great opportunity to gain ground in this sector. 

"Suppliers are raising their prices in Asia and Pakistan, and Europe is seeking alternatives, but now with the trade agreement with Colombia we no longer have to pay tariffs, so this is a great opportunity we can leverage. Moreover, a container from Cartagena to Hamburg takes two weeks to arrive, but a container from China to Europe takes four weeks", added Eikelmann.

The businessman indicated that in the search for new suppliers Colombia tops the list, because European entrepreneurs know the country's strength is the quality of its products.

Proexport has identified at least 116 products in the apparel sector with potential for the European Union, which range from special occasion apparel, leather goods, women's pants, handbags and bathing suits, to synthetic fabric garments for men and boys.

But there are other factors that the business people have to take into consideration when they choose their suppliers. "In Germany and Switzerland, eco-fashion has gained an important place. Today, more consumers look for fabrics in their garments that are environmentally friendly, and they highly value apparel made with recycled material. And they go further, looking for products that use sustainable production processes and are made by people in good working conditions", indicated Proexport President Maria Claudia Lacouture.

One of the largest delegations of entrepreneurs at Colombiatex, organized by Inexmoda, is from the United States. Some of the participants underscored Colombia's advantages in terms of response time, deliveries, design originality, fabric quality, and the qualified manpower.

Delegations from 23 Countries 

Present at the event were over 591 people from 378 international companies, coming from 23 countries, of which 201 are newcomers to the Medellin exhibition. Some buyers, like Joenny Abrew, representative of Cierres y Accessorios of the Dominican Republic, are interested in buying zippers and buttons from Colombia. "We are interested in labels, buttons and clasps for jeans. We formed some partnerships with local companies to export these items. Peru and Mexico are on the list of Colombian competitors, but what we want is for Colombia to become our number one supplier" said the business person. 

Mexican business people also came looking for supplies to make underwear and suits. "Colombia is always on the cutting edge of fashion; they are very advanced in the design of underwear and many other things. We came to see the new trends, the new colors. There is always something new in the textile industry," commented Uri Osoviecki, representative of Diteelmex S.A.

Ecuador was also represented at the event, with entrepreneurs looking for new suppliers of raw materials. "Colombia is very advanced in the industry. We buy from Colombian suppliers, and with that raw material we sell apparel to Costa Rica" announced Diego Alfaro, of Lencería Fina de Ecuador. 

In 2013, Proexport will intensify its efforts to drive Colombian textiles to strategic markets abroad, and to encourage entrepreneurs to take advantage of the benefits derived from the trade agreements and free trade agreements with the United States, Canada, the Northern Triangle, Mercosur, and very soon with Europe, once that trade agreement goes into effect.

Colombiatex in Numbers:

• Ecuador (41), the United States (39) and Mexico (25) are the largest delegations of business people invited by Proexport this year. 
• United States increased its participation this year by more than 38%, while Canada recorded an 83% increase. 
• There are six buyers from Europe, recording an increase of 5% as compared to 2012. 
• First-time participants included companies from Spain, France, Portugal, Brazil and the Netherlands Antilles. 
• Foreign business people come in search of supplies and accessories for manufacturing and complete service packages for finished garments such as uniforms, sportswear, formal men's wear and underwear.

After successfully exporting their products and services to countries like Canada and the United States over the last few years, the leaders of the Colombian mobile technology industry have now set their eyes on the European market.

The Antioquenian company Kogi Mobile has developed 300 mobile phone applications in the last two years. "Ninety per cent of our production is for export. We have worked for Samsung, Google and McDonalds," explained their director, Nicholas Aldrige. He confirmed that the company's objectives for 2013 are the United Kingdom, France and Germany because "there is a high demand for applications there."

With export diversification in mind, the company will participate in the Mobile World Congress from February 25 to 28 in Barcelona (Spain). This is the central event for the global mobile applications industry, gathering around 60,000 industry workers each year and 1,500 exhibitors from 200 countries.

But it won't be Colombia's only representative given that 17 Colombian companies will be present at the event with the support of Proexport and the Ministry of Information Technology and Communications.

"Europe is a potential market. In Spain, we know there is a demand for games and leisure applications, as well as corporate services and applications," declared Proexport president María Claudia Lacouture. "We also identified openings in the United Kingdom, particularly to develop social networks, virtual communities, advertising and games for the web and for cell phones."

With the support of Proexport, some Colombian companies have already managed to take advantage of opportunities in this market. One of these is the Bogota-based Domoti, which has maintained commercial relations with the Finish giant Nokia since 2011. "We have made several developments, such as games and geolocalization programs. In fact, we already have a full day programmed during the congress in Barcelona to discuss future business with them. We also have meetings with Spanish and British companies," said company representative, Daniel Jiménez.

Eivar Rojas from Efecto Estudios (Bogota) will take his mobile game Grabbity that has been downloaded 500,000 times from the Apple store. The game was voted among the top 20 applications in the world and hopes to win a Mobile Premier Award in Barcelona. "This is the first time that we are going to this event, partly because we might win the award, but also to see what the market is like and what opportunities are available. Our main market is the United States, but we are also analyzing Europe," explained Rojas.   

Market factors to be taken into account:

• The main digital stores are the Apple Store, Android Market, Ovi (Nokia) and Blackberry.
• Usually, the developed program is sold through a marketing, advertising or consulting agency.
• There are business opportunities in the games, leisure, services and corporate categories.
• Smart phones are becoming more mobile and less telephone. Nowadays, they have lots more uses, but are being used less to talk.
• Monetization is necessary for mass download applications to be profitable. In other words, after downloading the free application the user must have the option of purchasing additional benefits.

Competitors may be from any country in the world, so distinguishing yourself from the competition requires creativity, product quality and a quick response to buyer requirements.

At least 230 entrepreneurs from Poland, Hungary and Czech Republic participated in the investment and trading promotion seminars where Proexport participated in those countries to present the business opportunities Colombia has to offer.

The reasons why Colombia is an appealing destination for foreign investment were explained in the seminars. Proexport also identified potential for infrastructure, mining, medical supplies, renewable energies and agroindustry.

These are rather uncommon, but economically appealing markets, as they gather 58 million of potential consumers. In Poland, Hungary and Czech Republic, the private sector accounts for more than 80% of the national GDP and  residents with high purchasing power (from US$ 13,000 and US $17,000), which reflects their willingness to pay for added value and quality products.

Seminars in Warsaw, Budapest and Prague for investors and entrepreneurs became the lobby to present at the European Union the advantages of the trading agreement that will soon enter into force. 

Poland, an Economic Giant

In Warsaw, the event was organized with the support of the Ministry of Foreign Relations of Poland, Invest in Poland, the Poland Business Association, Lewiatan and the Colombian Embassy in Poland.

75 entrepreneurs were exposed to the trading opportunities, on the verge of the entrepreneurial mission that will visit Colombia from on November 26 and 27. Poland is the sixth largest economy of the European Union, after Germany, United Kingdom, France, Italy and Spain.

According to Proexport, tourism is also a sector where benefits may be obtained, as travellers from this country are looking for exotic destinations, especially those related to nature. Euromonitor International estimates that by 2014, the number of tourists from Poland travelling abroad will exceed 8 million, nearly one million more vis-à-vis the figure reported in 2011.

Since the population in Poland is aging and has increased awareness about health, there are opportunities for exporters of preservative-free fresh fruits and vegetables, and vitamin and dietary supplement products.

On the other hand, the demand for cosmetics, personal care products and perfumes has been promoted, in addition to ready-to-eat food, given the prominent growth of single-person homes, mainly young, single persons, whose lifestyle demand this type of products.

Prague, a Place to be Discovered

A total of 40 persons represented the 22 companies that participated in the seminar held at the International Chamber of Commerce of Prague, where investment opportunities in Colombia were presented.

So far, possible opportunities have been identified for Colombia in farming machinery and tractors, radars and ultrasound equipment at the Czech Republic.

Although this is a country with a little more than 10 million residents, the industry is still one of the main economic activities, specially the manufacturing of vehicles, machinery and technical instruments.

In the last decade, Czechs have noticed an increase in their purchasing power and have changed their consumption trends towards more sophisticated products. According to Proexport, opportunities are focused towards products with new flavors, such as sauces with exotic ingredients, ready-to-eat food and other food preparations. As to clothing, the products most commonly demanded include footwear and casual wear with high added value in terms of design.

Budapest is also on the Radar

Budapest, the capital of Hungary, is the eighth city of the European Union in terms of size, which may imply significant possibilities to strengthen trading relations.

With the support of the Chamber of Industry and Trade, the Latin-American Economic Forum of the Danube event was carried out in Budapest, which gathered nearly 116 companies from Hungary identified as potential investors.

The event was the continuation of the session organized by the Chamber of Commerce of Austria in May, in Vienna, where Proexport participated with a presentation and a promotion stand.

The summons served to identify market opportunities for medical supplies and renewable energies.

The consumption trends observed in Hungary refer to farming and agro-industrial products, as forecasts indicate a progressive annual reduction of 10% in the rural population of the country.

More than 70% of residents in Hungary live in cities and demand all types of food and agricultural products. However, the high rate of migration from the countryside to the city leads to shortages on the demand for food and agricultural products and, therefore, the Colombian agro-industrial sector could have positive export perspectives.

Furthermore, Hungary is a renowned tourism destination for the elderly who look for health treatments, spas and access to thermal waters. This makes it ideal for the chemical and general health sector.