The South Wales Chamber of Commerce’s latest Quarterly Economic Survey released today reveals that businesses in Gwent significantly increased their export sales across the three months between July and September 2013.

The survey for Q3 of 2013, which is supported by Santander, reveals that, although the percentage of UK sales actually fell across the quarter, the number of businesses reporting improved export sales increased, up 91 per cent on 82 per cent in Q2.

Graham Morgan, director of the South Wales Chamber of Commerce, said: “Although the drop in sales at home is disappointing, it is encouraging to see that exports are improving across Gwent. We now need to build upon this momentum and ask ourselves what else we can do to encourage even more businesses to tap into the export market.

“In the past we have called for Welsh Government to do more to help in this respect, and to their credit we have seen a range of support packages put in place to do just that. The South Wales Chamber and other business support organisations have also been playing their part but we believe that the answer lies with the professional sector here in Wales.

“Bankers and accountants have a real grasp over their client’s activities, detailed knowledge of their products and services, and are better placed than anyone to understand their capacity for growth. We need to see some joined up thinking, with the professional sector flagging businesses that could take advantage of the available awareness workshops that will help them to better understand what overseas markets have to offer.

“If we can utilise the professional sector in this way to tap into a new stream of businesses and direct them to the support on offer, I am confident that Wales can really begin to grow its export market, and become a bigger player on the international stage.”

The Quarterly Economic Survey monitors the performance of businesses in Newport, Swansea, Cardiff, Mid Wales and the surrounding regions and acts as a barometer for the strength of the Welsh economy.

It has also revealed that more than half (64 per cent) of the businesses currently recruiting for staff reported difficulty in finding the right candidates for the job, representing a real concern for the South Wales Chamber.

Mr Morgan said: “An increasing number of businesses are telling us that they are struggling to find people with the right skills which is worrying, and something we have been looking at for some time now.

“Although it is fantastic that businesses are actively recruiting, and will continue to do so over the coming months, that also means more people looking to tap into the available talent pool.

“A concerted effort is needed to connect the mismatch that exists between the requirements of the business community here in Wales, and the subjects being studied by a majority of young people who are leaving school and college without the skills needed to take advantage of local jobs, particularly in the manufacturing and engineering sector.

“We believe thata dedicated six-month business studies course for young people seeking employment would help to develop their core skills, and better equip them for the business environment. A closer link between schools, colleges, the private sector and academia would also help to redress this imbalance and allow Wales to keep hold of its home grown workforce.”

Adam Gumsley, a recruitment specialist at Newport-based Select Appointments, said: “A worrying majority of young people seem to be leaving education without the basic fundamental skills needed to succeed in a competitive job market.

“In Gwent, we are seeing a lack of people skilled in trades such as welding and plumbing, and office roles such as administration work. Businesses recruiting for these roles are having to look outside the area for people with the right skill sets, meaning that young people are missing out on jobs on their own door steps.

“Schools need to start to be more realistic with young people about post education employment opportunities, and we need to see more vocational training to allow young people to learn a trade while earning a living wage at the same time.”

The survey also shows that the confidence of businesses in south Wales has risen over the course of the year, with more than two thirds of businesses (88 per cent) expecting to increase their profitability over the next year.

Graham Morgan said: “With every QES survey we have carried out over the last two years we have seen the confidence in the business community building, but this hasn’t always led to direct investment in their future growth.

“Our latest survey has seen little investment in Gwent in either equipment or training, and we will be monitoring closely to see if this trend is continued over the course of the next quarter.”