North East businesses have grown their export sales at the fastest rate in more than 11 years.
The results were announced in the North East England Chamber of Commerce’s latest Quarterly Economic Survey (QES).
Chamber president John McCabe said it was a good confidence boost for the region.
Mr McCabe, also managing director at Blyth-based Fusion PR Creative, said: “The overall data from the first quarter of 2018 confirms continuation of the positive trend we’ve seen since the end of 2016.
“It is worth noting that the rate of growth has slowed slightly, perhaps reflecting wider economic trends.
“However, with survey indicators pointing to the highest growth levels for nearly three years, we can say with confidence that business looks good in the North East.
“Individual responses to this survey suggest many businesses are apprehensive about Brexit and what it will mean for future investment and growth.
“Given the contribution made by export sales growth to this quarter’s results, this comes as little surprise.”
The QES results for the first three months of 2018 show a slight increase in overall growth compared to 2017.
Andy Dixon, global sales director of Whitley Bay-based Oatein, a fitness food product business, said: “We are launching two new product ranges at Europe’s biggest fitness exhibition in Cologne, with support from the Chamber, and our strong, current export growth rate matches the QES findings.
“Our products are now selling into over 60 countries including Macedonia, Bahrain and Hungary.
“Brexit is a concern in terms of our current trade deals with EU partners although the Euro v Sterling rate has made our products very competitive.”
Jonathan Walker, head of policy and campaigns said: “Businesses have continued to invest in plant and training during the first quarter, with little change compared to the end of 2017. We have seen some declines in scores for current and future workforce.”
“This may reflect businesses being more hesitant to recruit but could also be a product of a tightening labour market and skills shortages.”
Jonathan Walker, head of policy and campaigns, said: “Businesses have continued to invest in plant and training during the first quarter, with little change compared to the end of 2017. We have seen some declines in scores for current and future workforce.”
The QES also showed unease over the rate of inflation has reduced slightly, although it remains near the top of businesses’ list of concerns.
Competition is once again the biggest concern, while there is also an increase in worries over staff costs; a possible product of impending increases in the living wage and the aforementioned skill shortages.
Mr McCabe said: “The Chamber is working to provide advice and certainty to businesses to help them plan for a post-Brexit future.
“We are also campaigning hard for a positive trade deal and frictionless borders with the EU as part of our ambition to build an increasingly global North East.”