Business In Hastings has an exclusive report from Sarah Owen, Labour candidate for MP in Hastings & Rye regarding her recent trip to China to exchange ideas and promote the local Vacuum Technology and other high tech manufacturing industries that the Hastings & Rother area becoming world famous for. Here in her own words is an overview of the trip.
We also have a small gallery of images from here trip which you can go to here.
Hastings: The South East manufacturing hub.
When I talk to people outside of Hastings they normally say to me; ‘Oh, arrow in the eye, tapestry, invasion by Normans.’ They’re far less likely to know about building components for the Large Hadron Collider at CERN, high-powered lasers or high vacuum technology. Still less likely are people to mention that Hastings is the high tech hub of South-East England.
Hastings, which is my home town is the birth place of innovations including the first television broadcast to teaching Turing, but Hastings doesn’t just deserve that recognition, our future as a town depends on it. It isn’t enough to just be a high-tech hub, Hastings needs to be known as a high-tech hub.
The investment that our businesses need to grow, thrive, and create the well-paid, high skilled jobs that our town needs, depend on our town’s reputation. However, in today’s world, our competitors, clients, and supply chains are not just limited to the UK, they’re global.
They’re in cities like Guangzhou and Shenzhen in southern China, where I visited earlier this month.
These two cities, both in the province of Guangdong, are China’s high tech pioneers. Guangdong’s open, outward-looking economic policies stand greatly at odds with the lagging social and political development in the rest of China – the world’s second largest economy whilst still being a developing nation. However, there is still plenty that we could learn, gain and offer this industrial powerhouse – with particular regard to high tech manufacturing.
Growth & Investment
Since the late 80s, Guangdong area has seen phenomenal growth, seeing only a brief dip in GDP growth during the global recession to a still enviable 7.2% – putting the UK’s forecast (and overdue) 2.2% in the shade. As a province, it has consistently led China’s growth over the past 30 years and is predicted to grow at above 8% and contribute another $900 billion to China’s economy.
None of this happened by accident. It took a deliberate, conscious decision by the Chinese government to turn fields of crops and low grade industry into science parks, technology hubs and business clusters. It was only possible with investment from business, the state, academia and by attracting support from overseas.
One example is the Guangzhou Science City, which is home to almost every kind of science and high tech industry you can think of including high vacuum, bio-tech, IT and renewable technology to name just a few. From its inception, the science city hasn’t stood still and constantly looks to support and welcome the next big technological innovation.
Support and R&D
This is heavily supported by the state through the Guangzhou Development District. On my trip, I met the Director of the committee responsible for it, who explained not only how much they had financially supported businesses in the science city, with reduced rents and the highest grade facilities but also practical business support and R&D. There is now 24/7 support for new businesses – his phone was never switched off.
We need to ask ourselves what we can learn from how they encourage growth. This is most evident when attracting foreign investment, where applications for foreign direct investment are completed by the authorities within 3 working days. Without this commitment, and the continued support of the local development departments, thriving companies like Rio Bio would not have been able to expand as quickly as they had.
Maintaining our position on the global stage
Next to the continued austerity and slow growth we’re faced with here, Guangdong’s example is enviable. When I told both the Chinese businesses and development committee that our own local council will face a 70% reduction in funding from central government by 2017, they asked how on earth we expected to support growth in Hastings? And that is, quite literally the million dollar question.
Whether this support is replicated in the UK by our calls for a dedicated British Investment Bank to support SMEs, a cut in business rates or freezing energy bills which will have a direct impact on particularly manufacturing business’s sky rocketing overheads – it is clear that Government must act now to provide practical support to our local industries if we not only want to maintain our position, but to continue being the birth place of innovation.
Hastings: Time to show the world we’re open for business
Hastings is home to established names with world-class reputations, General Dynamics, Torr Scientific and Photek among them. But we need some of the reputation of those brands and our excellent experienced service industry, to not only be located in our town, but associated with it as well.
Businesses in Guangdong are crying out for the quality that Hastings’ businesses can offer, as much as we are for high quality jobs. But Hastings’ reputation for high-tech manufacturing and services is barely known elsewhere in Britain, let alone on the other side of the world, in China.
Tec 66: Why its important
This is why events such as Tecc 66 are so important. We need to be prepared to shout about what we are good at, and sell to a global market, which is what I did at every opportunity that I was visiting businesses in China. Nothing less will do in today’s globalised world.
That is why I am working to bring more international exhibitors to the next Tec 66 event and other similar events for our creative industries. That will help build on existing trade links, support our businesses to join major international supply chains, create jobs and ultimately ensure that Hastings has an economic identity that is known worldwide.
To get in touch with Sarah or to follow her via Twitter please see below
You can also find out more about Sarah at her website here.