A SCOTTISH veteran of the international food and drinks business has launched a consultancy to help firms exploit the commercial opportunities presented by the breakneck expansion of the Chinese economy.

David Crosthwaite, a former director of commodities giant Fuerst Day Lawson, plans to offer services primarily to small and medium-sized firms that may be daunted by the practicalities involved of trading in the vast country, through his company, DCP Direct.

After years of doing business in China, Glasgow-born Crosthwaite has experience and contacts he believes could be invaluable for Scottish firms trying to master the practical and cultural complexities involved without requiring heavy up-front investment.

DCP Direct expects to provide services both to companies tempted by the prospect of selling into a vast market and those that hope to exploit the cost-saving potential of importing goods and products from China.
Crosthwaite says that in addition to standard market research considerations, firms considering exporting to China need to be aware of potential regulatory pitfalls as well as the real risk products could simply be copied.

Through a joint venture with Hatherley International, based in China, DCP can help Scottish producers looking to cut costs by importing commodities from or shifting production to China, where labour costs are much lower than in the UK.

Firms could struggle to find appropriate sources of goods or manufacturing capability thousands of miles away then have to negotiate a series of bureaucratic obstacles as well as considering quality control issues.

While organisations including the China Britain Business Council can help firm do business in the country, Crosthwaite says DCP's service "goes deeper".
The consultancy can help firms through the whole process of getting started, from initial research to commencing production in new facilities.

The consultancy has established import/export licences allowing it to take companies directly to Chinese entities to buy, sell or manufacture, saving on the time and costs involved in registering individually.
He will initially target food and drinks firms but sees lots of scope to grow in sectors such as general manufacturing.

After a career in London, Crosthwaite decided to return to Scotland with his wife and young family and base the consultancy in Comrie, Perthshire.

The Herald, 21st June 2004