Be prepared for scale of US says head

Pictured at Craggy Range Winery during a visit by US Ambassador to New Zealand Mark Gilbert were his wife Nancy Gilbert (left), Business Hawke's Bay CEO Susan White, ExportNZ Hawke's Bay executive officer Amanda Liddle, Ambassador Gilbert and ASB Bank head of trade finance Mike Atkins. Photo / Paul Taylor

Hawke's Bay businesses should be ready for big orders when doing business with the US, says lighting designer and manufacturer David Trubridge.

Mr Trubridge has been exporting lighting into the US for 10 years, first as complete lights and then flat packs.

While it was an easily-accessed homogenous market, "you need to be aware of how big the potential can be", he said.

"You have to be able to manage scale. For us we could be dealing with one business that has 64 stores - you have to be able to provide for that."

His company developed a successful relationship with one distributor with representatives familiar with regional differences.

Mr Trubridge made his comments during the inaugural visit of US Ambassador to New Zealand Mark Gilbert.

Mr Gilbert spent Friday meeting with business leaders at three separate networking events hosted by ExportNZ, New Zealand Trade and Enterprise (NZTE) and Business Hawke's Bay, establishing trade dialogue.

He was keen to understand regional business challenges, including any for exporting to the US.

He said the Trans-Pacific Partnership (TPP), once ratified by the signatories' legislatures, would benefit Hawke's Bay.

The US is currently Hawke's Bay's third-largest export destination through Napier Port, with $210 million of goods exported in the year to the end of March.

For the same period exports to China were worth $489 million.

Hastings food and diary handling equipment company Haden and Custance also already exports to the US. General manager Stuart Dykes said the company needed "a consistent stream of opportunities".

Gaining visibility and profile was difficult but it was an easy place to do business "and we've established very good, enduring relationships", he said.

"It's also been nice to see that US customers look at our products as solutions and an investment, which means we can demonstrate how we can add value rather than having to work on shaving costs.

"It's a subtle difference but a very significant one."

Regional economic development agencies and more than 20 business owners met with Mr Gilbert at an an informal lunch at the Hawke's Bay Business Hub and more than 60 attended a wine tasting event at Craggy Range Winery in the late afternoon.

Craggy Range CEO Michael Wilding said the US was its first export market.

"Today it makes up about 40 per cent of what we produce," he said.

US wineries had "absolutely mastered" the customer experience.

"We have spent a lot of work with US wineries over the last few years, looking at what they do and how they do it. The great thing has been the amount of transparency they have given to us," Mr Wilding said.

ExportNZ Hawke's Bay executive officer Amanda Liddle said an aim of the visit was to make connections "as well as a sharing of intelligence" for the export community.

It was a personal connection that prompted the ambassador's trip to Hawke's Bay.

Mr Gilbert and his wife Nancy met US-born Havelock North businessman Hal Josephson in Auckland, where Mr Josephson is a Program Chair at AUT University.

Upon recognising his accent and inquiring to his background, it was revealed Mr Josephson was a relative of a very close friend of Mr Gilbert's wife Nancy.

"He is practically family," Mr Gilbert said.