UK to Back Retail Sector's Expansion into Overseas Markets for Exports Growth

Britain is planning to provide all assistance to the country's retail sector for its expansion into fast-growing overseas markets as the struggling economy looks to double exports in order to spur growth.

According to the UK Retail Industry International Action Plan developed by UK Trade & Investment (UKTI) in association with the retail industry, 1,000 businesses including 600 small and medium-sized firms will receive assistance from the government for their international growth in the next two years to March 2015.

"As we rebalance the economy with more export-led growth, retail has an important role to play. With this action plan UKTI will back small and large retailers across the UK to grow and expand into new export markets," business secretary Vince Cable said in a statement.

"The UK's dominance in e-commerce puts retailers in a world-beating position to capitalise on the fast growing demand for British goods and luxury brands."

The country is looking to capitalise on the recent growth in the global retail sector, which recorded a compound annual growth rate of 7 percent. Global retail sales are expected to grow by 8 percent through 2016.

The government's two-year action plan for the retail sector growth involves supporting retailers to use all available ways to reach international customers. The plan targets the expansion of luxury retailers into high-growth cities such as Mumbai, Beijing, Istanbul, St Petersburg, Shanghai, Mexico City, Sao Paulo and Warsaw.

Britain will also work on resolving market access issues and will support retailers to re-engineer their supply chains.

"This International Action Plan should make a real difference. It will ensure that retailers who need help and advice get it, and that the British government's efforts to tackle barriers to trade overseas are properly co-ordinated," said British Retail Consortium director general Helen Dickinson.

After recording a 0.3 percent decline in fourth-quarter gross domestic product, the UK economy is expected to avoid a triple-dip recession by posting a marginal growth in the first quarter of 2013. Britain is currently envisaging an export-oriented growth and is planning to double exports to £1tn ($1.5tn, €1.1tn) by 2020, while adding 100,000 more companies to the group of exporters.