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The Value of Exports

5th May 1961, Page 63
5th May 1961
Page 63
Page 63, 5th May 1961 — The Value of Exports
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PART from displaying a justifiable sense of pride at the fine achievements of British commercial vehicle manufacturers in overseas markets, operators in this country can be excused if they ask: "What have exports got to do with .me?"because the British manufacturers do not make a great song and dance about it all.

The simple answer—and one which British operators do not, perhaps, always realize—is that a thriving export market for British manufacturers means, indirectly, a tremendous amount to every operator in this country. Our manufacturers have to fight an intense and unrelenting battle with each other and with Continental makers after the same markets. This has inevitably led to an intensification of research and a greater striving on the part of the manufacturers to produce new vehicles.

It has also meant that the home market is able to enjoy the price advantages of larger-scale production than could be achieved in this country alone. Some of the smaller, specialist British manufacturers might, without their exports, have found fife impossible to sustain.

In other words, success in exporting British vehicles to every corner of the world has meant this to operators at home—better vehicles, better prices, and a greater choice than would otherwise have been possible.

Only last week, the Hon. Geoffrey Rootes, president of the Society Of Motor Manufacturers and Traders, reported that this country's commercial vehicle industry holds the enviable position of being the largest exporter among European producers. British manufacturers even. achieve sales on the Continent, in the face. of the local manufacturers. Our engines are in demand everywhere—the same engines that are available to British operators. , Unlike their American and Continental counterparts, the British vehicle makers cannot easily export models that have been originally, developed for the home market. The requirements of operating conditions and of the law in this country are peculiar to Britain. This has meant that our manufacturers have had to develop vehicles and chassis that, with a compact range of options, are suitable for both home and overseas.

The measure of their success is the statistics relating to exports. Last year this country sold overseas 154,987 units worth more than £114m. In January of this year, British commercial vehicle exports were the highest ever recorded, in volume and value, for one month. We sold 17,371 units, valued at El 2.7m. In February 16,767 units worth f11.6m. were exported. The value of goods vehicles and public service vehicles sold overseas in the first two months of this year (f.24.3m.) was almost 50 per cent. higher than a year ago.

Another aspect, and one which is considered by manufacturers to be an absolutely essential prelude to sales, is that of supplying spares and servicing. It has been known for one British producer to turn down an order because it could not offer suitable service facilities. The supply and making of spares is in itself a major industry and here, once again, is a way in which British operators benefit from a thriving manufacturine industry. Costs are reduced by volume production—and so, therefore, are prices charged to operators.

What sort of volume is involved is indicated in one of the special features in this issue. One manufacturer of light and medium-weight vehicles moves 1.000 tons of spares a week. Another heavy vehicle maker dispatches 300 tons. Over half of these amounts are for overseas destinations. If there were no such markets, less than half these amounts of spares would be required and up would go individual prices.

Operators both here and abroad have much to be thankful for in possessing such a thriving producer industry.


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