Light manufacturing
MCP activities under light manufacturing focus on expanding existing business. MCP believes that the shake-up of global supply chains presents an opening for Macedonian companies to sell their low-cost production, quality and close proximity to potential customers and partners looking for alternative suppliers. Although many companies should make improvements in quality management, productivity and management practices to compete within their existing business lines, there are a vast array of opportunities without making the additional investments necessary to move further up the value chain.
Most activities in this strategic area involved market linkage activities that
- raise the profile of Macedonia as a location outsourcing/subcontracting production; and
- help companies develop relationships with both end-user customers and medium and large European manufacturers looking for lower-cost partners.
Another important activity is the Marketing services platform, designed to provide direct marketing assistance to companies selling products (rather than capacity). Activities include development of an export promotion marketing plan, implementation of that plan on behalf of a client, and technical assistance targeted at improving the profitability and marketing capabilities within the company.
While MCP focus is on existing business, it will encourage and support longer-term initiatives to reposition to penetrate higher-value market segments. MCP uses market engagement and the Foreign Investment component's economic development agent (EDA) network to identify and attract potential investors or strategic partners able to bring market contacts and supply chains of their own, and inject new capital, technologies and management practices likely to bring Macedonian companies to a whole new level. MCP provides targeted technical assistance, particularly in the area of supply chain management, to develop the capabilities necessary to offer new products and services to a new array of potential customers.
At the same time, MCP employs a variety of horizontal component services to build capacity—specifically the Financial Platform, Certification Platform, and industry-led training program/revolving fund— to help companies meet the stringent demands of European companies and compete with other manufacturers in the region and further east.
MCP works with the Automotive Cluster of Macedonia (ACM), CIRKO-MES, Ministry of Economy, GTZ and other partners to support market linkage and capacity-building activities for companies in the light manufacturing sector. Efforts target both end-products and sourcing (or subcontracting) exports in Balkan, Western European (primarily Germany) and Eastern European markets. Most activities focus on the automotive/tool and die segments, although services are provided to companies involved in metal processing, furniture and hardware/construction materials.
