Last month, I blogged about former HSBC chairman Stephen Green and his warning that international trade will be hamstrung by a lack of access to finance.

Trading abroad was in good shape at the start of the year, or so we were told. Some 47 per cent of SMEs trading internationally reported growth in the export side of their business in the past 12 months, according to a survey of 300 businesses by Bibby Financial. US demand for exports from the UK had almost doubled from the same point last year, said Alibaba. But now, the latest Travelex survey of British importers and exporters shows that confidence has retreated in trading overseas and the prospects of future growth.

Nearly a third of UK SMEs trading internationally (31 per cent) say that the UK economic situation has worsened over the last six months, up 35 per cent since May (23 per cent). Deteriorating conditions in the Eurozone also impacted confidence in future trading conditions.

It seems that following the endless woes of a long recession, a subsequent stagnant economy, and Eurozone calamity causing panic in markets everywhere, small businesses just can’t catch a break at the moment. Additionally, 70 per cent of exporters are alarmed that further increases in inflation will negatively impact their competitiveness abroad and adversely affect their business. UK inflation has been above the 2 per cent target since December 2009 and is working against an export-led recovery.

For the 90 per cent of manufacturers involved in exporting, some value can be found in the upcoming collaboration between manufacturers’ organisation EEF and UK Trade & Investment. The two institutions will work on the promotion of export services to manufacturing and engineering companies across the UK, hosting seminars, promoting awards for exporting and providing website advice and support. It’s a decent move; manufacturers that export can achieve a level of growth that would not otherwise be possible – let’s hope an improvement in areas beyond their control can give businesses the break they so deserve to be able to succeed in foreign markets. For more information on the collaboration, click here.

Do you trade abroad? If so, how are you finding things? I would love to hear from you, so please feel free to comment below or send an email to ben.lobel@vitessemedia.co.uk.

See also: How to trade online