Exports from Liverpool soar.

LIVERPOOL exports shot up in the second half of 2005, offsetting the impact of a challenging domestic market, according to the latest Business in Britain survey from Lloyds TSB Corporate.

Helped by the weaker pound and strong growth in overseas markets, 40% of companies reported higher exports in the six months to December. Half said they were confident exports would rise further in the first half of 2006.

The boom has been driven by increased trading with both European and non-European destinations. Around a third of firms reported higher export volumes to countries outside Europe, particularly India and China, while only 14% reported falls.

Exports to Europe, particularly Eurozone countries, were equally buoyant during the period with 35% of companies reporting an increase.

Martin Morgan, International Relationship Manager at Lloyds TSB Corporate in the North West, welcomed the findings but warned firms to watch out for the pitfalls of trading overseas:

"Many of these firms are using letters of credit, guarantees and export collections to factor in the gap between exporting goods and the payment of debt, but it's important that protection against the many and varied risks inherent in cross border trade is put in place."