East Midlands MEP sets out benefits of EU/America trade deal for SMEs

East Midlands Conservative MEP Emma McClarkin has this week outlined some of the benefits of the Trans-Atlantic Trade and Investment Partnership (TTIP) for SMEs.

Miss McClarkin will this week host a hearing in the European Parliament which will outline the huge opportunities that could exist for small businesses arising from this deal. It will be attended by SME representatives as well as the US Ambassador to the EU and one of the EUs leading negotiating team for TTIP.

This follows a majority of MEPs in the International Trade Committee making clear to the European Commission what they would like from an ambitious free trade deal. As the lead Conservative on the TTIP negotiations, Miss McClarkin engaged in discussions with other parties in the Parliament to convey some positive messages about the potential for TTIP, especially the possibilities for SMEs. These include:

• Commitments from the US side to open their public procurement market at both the federal and sub-federal levels. Realising this goal could have huge benefits for UK businesses looking to enter the US market.
• A specific chapter to help small firms (SMEs). Too often SMEs simply can’t begin to know how to export to the US; they should be offered the information they need to get started and ensure they are supported throughout the process.
• Reductions in tariffs and the removal of non-tariff barriers, including cutting the red tape that SMEs face. For example lengthy and expensive testing requirements which often produce almost identical high standards but which are fundamentally different in process, leading to duplication of costs and time. However, also making clear that Europe’s high standards cannot be compromised.

Miss McClarkin also made clear that the cost savings for businesses can also be translated into savings for consumers:

“This is really where the work we are doing can be seen through tangible benefits for people. Estimates show that based on the removal of customs duties alone, consumers could save up to 17% on shoes, 12% on jeans and 30% on sweets. This doesn’t take into account other potential savings brought about by the removal of non-tariff barriers and economies of scale. Consumers will have more choice of products at competitive prices.”
Miss McClarkin added:

“Too often we hear from TTIPs opponents that this deal is all about the multinational companies and servicing their needs. In fact this couldn’t be further from the truth. Multinationals broadly speaking have the resources to be able to deal with whatever the international trading environment throws at them. Many big companies who come to talk to me actually don’t have a lot to say about the TTIP deal because for them it won’t make a huge amount of difference.

On the contrary, SMEs are excited about what TTIP could offer them. These are companies that want to enter the US market but don’t have the wherewithal to do so. We want to include an SME chapter that gives them all the tools they need to thrive on the other side of the Atlantic where the opportunities are plentiful. I hope that by hosting this event this week I have dispelled some of the myths surrounding this deal and made a positive case for TTIP. This deal can deliver for small business and consumers.”