Accelerating small business into e-commerce loop

Cabinet has approved an investment of $500,000 to support a pilot e-commerce
Accelerator Project with the aim of getting more small businesses into on-line marketing and exporting, Small Business Minister Rick Barker announced today.

The government is part funding an e-commerce research project to be managed by the E- Regions Trust. The project aims to enhance the ability of small businesses to use digital technology and e-commerce to sell their products and services overseas.

"This pilot will assist 30 small businesses who will receive; a web site, technical support, high-speed internet service, sales and marketing advice, e-commerce training and mentoring in order to develop international trade of their goods," said Mr Barker.

" Following feedback from the Accelerator Project, Central Online Management and Export Trade (COMET) aims to get 2,000 New Zealand businesses using e-commerce to sell internationally."

Rick Barker said the government has entered into a partnership with e-regions, Telecom, New Zealand Post, Otago University, Ucol and e-commerce specialist e-Media to deliver the COMET Accelerator Project.

"This project represents a tangible example of government and business working together to propel NZ SMEs into global markets with e-commerce tools.

" For New Zealand firms, ICT is increasingly part of their sustainable growth strategy and also helps to break down the barriers of distance and isolation. This is why the forthcoming Digital Strategy and the government's strategy for growth through innovation, underlines ICT as a key to success for small business.

"This Accelerator Project will initially identify businesses that are makers of high quality consumer items, but have low or no e-commerce and export capacity, and set them up to being skilled users of e-commerce tools, business supports and broadband in order to enter the on-line international trade network.

" Home grown specialist products such as gourmet food and Manuka products, for example, are now in hot demand overseas. The government wants to see New Zealand small businesses able to maximise their tap into that growing niche market.

"The objective of the Accelerator project is to develop a blueprint for small and medium enterprises to use e-commerce to access global markets. The Accelerator project will run from April to October 2005," said Mr Barker.

Note: E-regions, is a non-government organisation established during the Government's national rollout of high speed internet and PROBE regional broadband.