Oklahoma's economy, driven by agriculture, energy, and a growing tech sector, is well-positioned for growth. However, many companies don’t realize the opportunities exporting can provide. Exporting is often overlooked by businesses (particularly small businesses) due to uncertainties and the unknown. By venturing into international markets, Oklahoma businesses can unlock substantial new revenue, bolster their resilience, and achieve exponential growth.
Oklahoma's Exporting Power: The Stats
According to the U.S. Department of Commerce, Oklahoma’s total exports amounted to $6.5 billion in 2023. This includes a variety of sectors such as aerospace, agriculture, machinery, and energy.
- Agriculture remains one of the state’s top export categories, accounting for nearly $3 billion of the total. Oklahoma’s beef, soybeans, and wheat are in high demand across the globe.
- Aerospace is another significant contributor, with Oklahoma exporting more than $1.5 billion in products related to aircraft and parts.
- The energy sector (particularly oil, natural gas, and other energy products) is another major player in Oklahoma’s export economy.
These numbers show the incredible export potential Oklahoma businesses have, but only a fraction of companies take advantage of doing business in international markets. By diversifying their customer base to include foreign markets, Oklahoma businesses can mitigate risks related to domestic economic fluctuations, while also positioning themselves for long-term growth.
Benefits of Exporting for Oklahoma Businesses
- Increased Revenue Streams
By exclusively focusing on the domestic market, you limit your access to new revenue streams that are made available by exporting. International sales provide businesses with larger, more diverse customer bases.
- Improved Profitability
When businesses go global, they often experience higher profit margins. By targeting higher-end international markets, companies can often demand premium prices for their products. This can translate to improved profitability compared to relying solely on the U.S. market.
- Business Stability and Growth
Exporting helps reduce a company’s reliance on one economic system or market, which can help stabilize income when domestic conditions become volatile. Additionally, successful exports often lead to business growth, including job creation, innovation, and expansion of operational capabilities.
- Strengthened Global Competitiveness
When a business starts exporting, it is often forced to become more innovative and competitive. To meet the needs of international customers, businesses may improve their products, refine their processes, or adopt more efficient technologies.
How EXIM Can Help Oklahoma Businesses Expand Globally
The Export-Import Bank of the United States (EXIM) plays a crucial role in supporting U.S. businesses that are seeking to expand into global markets. For Oklahoma businesses looking to grow internationally, EXIM provides a range of export finance solutions that are designed to make exporting easier and less risky.
- Export Credit Insurance
EXIM offers export credit insurance that protects Oklahoma businesses from the risk of non-payment by foreign buyers. This solution allows businesses to confidently engage in international sales, knowing they won’t lose money if a buyer defaults.
- Working Capital Loan Guarantee
For businesses that need to finance international expansion, EXIM offers working capital loan guarantees. This guarantee helps businesses obtain loans from commercial banks to cover the costs of producing goods for export.
- Loan Guarantees for Foreign Buyers
EXIM provides loan guarantees to foreign buyers of U.S. goods, making it easier for buyers to secure financing. This ultimately encourages foreign buyers to purchase from U.S. exporters like those in Oklahoma.
- Support for Small Businesses
With nearly 80% of all transactions supporting small businesses, EXIM is committed to helping small businesses succeed globally. By providing export finance solutions, EXIM enables Oklahoma’s small businesses to expand without taking on excessive risk.
- Export Guidance and Resources
EXIM also offers educational resources, webinars, and one-on-one consultations for businesses that are new to exporting. This support helps Oklahoma companies better understand how to navigate international trade and leverage EXIM’s resources to mitigate risks and maximize growth opportunities.
How to Get Started with EXIM
For Oklahoma businesses that are ready to tap into the global market, getting started with EXIM is simple. Eric Miller is the EXIM Regional Director who covers the state of Oklahoma and is ready to answer any questions they may have. For a free consultation w/ Eric, visit Meet Eric Miller - EXIM.gov.
“Most buyers are located outside the U.S. and most companies are not exporting. To reach these customers, lean on your local, state, and federal partners. There are resources available to help create a business plan (SBDC), find you foreign buyers (U.S. Commercial Services) or finance the export sale (EXIM or SBA).” – Eric Miller, EXIM Regional Director
Exporting is not just a tool for large companies, it’s a pathway to success for businesses of all sizes. With the right support, including services from EXIM, Oklahoma businesses can seize the opportunities that global markets provide.
If you’re an Oklahoma business looking to expand globally, the time to start is now. Let exporting—and EXIM—help your business reach new heights!