The Australian Business Office (ABO) opened in St. Louis in 1992 following a trade agreement between the St. Louis Regional Commerce and Growth Association and the Australian Chamber of Manufactures. The ABO facilitates trade between Australian and U.S. businesses by establishing relationships, providing market research reports, and arranging trade shows and meetings. It represents around 188 Australian companies and has generated over $25 million in sales, with projections to reach $90 million by 1996. The ABO helps Australian companies access the large and competitive U.S. market by sometimes recommending they establish local offices, manufacturing partnerships, or joint ventures with American companies.

1. From its St. Louis office, the Australian Business Office facilitates trade between
Australia and the U.S.
The Australian Business Office opened in
St Louis in February 1992 following a 1988
trade agreement established between the St.
Louis Regional Commerce and Growth
Association (RCGA) and the Australian
Chamber of Manufactures (ACM). Locating
in St. Louis gave the ABO a base of
operations centrally located in the United
States, within 500 miles of one-third of the
nation's population. St. Louis is also home
to headquarters or significant operations of
military bases and Fortune 500 corpora-
tions, with whom many Australian compa-
nies seek to do business. 'Me central time
zone was also a factor in locating here.
lie Australian Business Office (ABO)
establishes trade relationships between small
and nlid-sized business in Australia
and North American companies. Through
market overview reports, trade show
arrangements, one-on-one meet- ings, and
direct marketing, ABO makes the U.S. market
more accessible for Australian companies. It
is operated by the Australian Chamber of
Manufactures for the Export Access program
on behalf of the Australian government.
The ABO has grown significantly, serv- ing
about 80 companies last year. Through
March 1995, the office has gen- erated $9.8
million in sales. Projected sales through June
1995 will bring that total up to $25 million. 'Re
jump is large-
Colin Cummings Executive Director of tke
Australian Business Office.
ly attributable to sales made this year based
on relationships formed over the past couple
of years. Cummings antici- pates reaching
the $90 million mark by June 1996 as sales
are realized on market- ing efforts being
done today.
As of April 1995, the ABO was represent-
ing 188 companies. Seventy-seven of those
companies are now doing business in North
America; 27 withdrew from the U.S. market
after an analysis found this to be an
unsuitable market for their product or ser-
vice; 81 are still active, meaning the ABO is
still actively marketing their products.
Products the ABO markets run the garnut
from fight aircraft to a company which pro-
duces de-watering pumps for the mining
industry. The latter decided to establish
an office in the St. Louis area.
Another client who located in St.
Louis produces management per-
formance training programs and
anticipates sales of $10 million in six
months. All of its subcontracted
work will be kept in the St. Louis
region. While the ABO does not
recommend specific locations, it
does provide research on the St.
Louis region as part of its proposals
to companies looking to open a U.S.
office.
"Having spent 20-odd years
throughout Asia, and in the U.S.
previously, the U.S. market is totally
different. In Asia, ifs a mat- ter of
negotiating through the duties and
barriers. Whereas in the United
States, more like Aust@alia, they
have a more open policy in terms of
trade. But the problem the
companies have in the U.S., is the
market is so immense and so diverse
that everybody in the world wants to
sell to the United States. This makes
it a very competitive mar- ket,"
Cummings explains.
He adds that while the ABO does
not tell its clients that they must open
an office in the U.S., it usually does
recommend that companies establish
joint-ventures or manufac- turing
relationships with U.S. com- panies
so that they can take advan-
42 ST. LOUIS COMMERCEIJULY 1995