Search engine Google and the International Chamber of Commerce (ICC) have recently partnered to research digital exports of micro, small, and medium-scale enterprises (MSMEs) in Southeast Asia, including the Philippines, to provide informed policy discussions and develop tailored training programs that can be used to upskill and empower MSMEs in the region.
In a study entitled, “MSME Digital Exports in Southeast Asia – A study of MSME digital exports in 10 ASEAN markets,” it was found that MSMEs in the ASEAN region have relatively low participation in regional trade relative to their economic importance. Sixty per cent of these firms, meanwhile, have a strong interest in expanding their activities to new markets in the region.
To be able to take advantage of new opportunities in the region, over 75% of the MSMEs surveyed also expressed a need for tailored support to increase their skills and capabilities in digital marketing and in leveraging digital tools and technologies to access market information.
Analyzing how MSMEs can leverage digital technologies
The MSME Digital Exports in Southeast Asia report assesses and paints an accurate picture of the ASEAN MSME exports, identifies key barriers that prevent MSMEs from exporting, and analyzes how MSMEs can leverage digital technologies to help drive exports in the region.
By drawing on these insights, Google and the ICC hope to inform the ambitious policy discussions that are ongoing both at the national and regional levels and further develop tailored training programs for MSMEs to upskill and empower businesses in the region.
In response, the ICC, in collaboration with Google and the International Trade Centre (ITC), has launched the Digital Export Enablement Programme (DEEP) for small businesses in the ASEAN to aid MSMEs across ASEAN member-states in growing their businesses internationally by equipping them with digital export-relevant skills.
By delivering a series of training as well as access to digital platforms and practical workshops/sessions that can help strengthen the capacity of MSMEs from 10 ASEAN markets, DEEP aims to facilitate a unique cross-border entrepreneurial journey for small businesses from Southeast Asia.
The program will guide small businesses in identifying and comparing trade opportunities, understanding market access conditions, and exploring trade finance options as well as incoterms governing contracts to sharpen their skills in digital marketing and successfully grow their business through e-commerce.
DEEP will be implemented with the support of the ICC Global Centres of Entrepreneurship in Southeast Asia (CoE Jakarta Hub), as well as partnering business support organizations and government ministries, and will benefit MSMEs from the 10 ASEAN member states. The other partners include the ICC Academy.
A landmark program for MSMEs and the ICC
“This is a landmark programme for ICC Centres of Entrepreneurship in Asia-Pacific, a practical resource that will take SMEs to the next level,” said John W.H. Denton AO, ICC Secretary General, in a press release.
“It will help SMEs from the ASEAN region increase their footprint in regional and global trade through the use of digital-export related tools made available by ICC CoE Jakarta, in collaboration with Google and the International Trade Centre. By launching this programme, we are helping SME owners, families, and communities from Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Singapore, Thailand, Vietnam, and the Philippines,” he added.
For his part, Karan Bhatia, Vice President for Government Affairs and Public Policy at Google, said, “Digital technologies are creating opportunities for small businesses to trade and reach international markets in ways impossible a generation ago, but those opportunities are not always easy to seize. Google is excited to collaborate with the ICC and the ITC to develop the DEEP training curriculum to help address this gap in the ASEAN — and better enable MSMEs to fully benefit from the growing digital economy.”
Pamela Coke-Hamilton, Executive Director of the ITC, shares the same view, saying, “Small businesses in Southeast Asia need targeted training to be able to identify, understand, and use digital tools to expand to new markets in the region – and this collaboration with Google and ICC is designed to do that. Digital connectivity matters for development, and we have to invest in it if we are really serious about achieving Sustainable Development Goals.”
The DEEP program will be delivered in two phases. In phase 1, there will be a training of trainers.
It will be followed by the training of small businesses in phase 2. The curriculum is designed based on the main challenges and opportunities that have been identified in the 2022 survey on “MSME Digital Exports in Southeast Asia” conducted by Google and the ICC.
The program is free of charge. To know more about the program, interested small businesses and trainers can click here, and apply for a training slot, latest midnight of February 26, 2023.