GLASGOW is defying turbulent economic times and "maintaining a healthy position in the face of the unrelenting stream of factual gloom", according to the head of the city's chamber of commerce .
Stuart Patrick, chief executive of Glasgow Chamber of Commerce, highlighted the challenges being faced by small and medium-sized enterprises and a raft of business insolvencies but struck an upbeat tone overall in spite of fears among economists of renewed UK recession.
In an interview with The Herald, he declared that big global companies in and around Glasgow were doing some "really spectacular" business in international markets.
He cited Scotch whisky distiller Edrington, which produces The Famous Grouse and The Macallan, and engineering company Howden as examples.
Mr Patrick, while emphasising the strong performance of many in the manufacturing sector, also highlighted the success of Glasgow's International Financial Services District (IFSD) in attracting more jobs than it had lost during the grim economic times of the past three years.
The Herald revealed last month the net number of new jobs located in the IFSD since its creation in 2001 was 15,500. This figure, which takes into account about 3900 job losses as well as employment created, was up from 15,150 in a similar study of progress up to September 2008, the month in which the collapse of US investment bank Lehman Brothers triggered financial and economic mayhem.
Referring to the SME sector, Mr Patrick said: "I have got huge, huge sympathy for folks who are having to carve out completely new markets because their old ones have died, many of whom find every month a struggle to get new business.
"Then we see some of the bigger players, the corporate players, because they are global or because they have got the right strategy, they are doing quite well."
He added: "As a chamber, we see a lot of the smaller companies disappearing. We are starting to see the impact of insolvencies. But the bigger companies [are] stepping up. They have got things they want to happen. They have got investments they want to happen in the city."
Referring to the economic backdrop, Mr Patrick asked: "Can it get any more gloomy?"
He said: "Every day it is a Chinese water torture of economic background."
However, while highlighting the grim economic backdrop of the past few years, Mr Patrick added: "I guess, in that respect, you would have expected Glasgow to be one of the cities whose model would be severely tested over the past few years.
"For 2009, it looked as if it was going to be quite radically tested. Even though it has been testing for some, it has been interesting to see parts of the city's economy function better than expected.
"It is a real dichotomy between those who are putting on a brave face in the domestic markets and those who are doing some really spectacular business in international markets."
He declared that some parts of the economy which had perhaps been "hidden under a bushel" had proved "real pillars of strength to build on".
Mr Patrick added: "That means life in the chamber has been much more cheerful than I would have thought two years ago, if someone had told me what the economic context was going to be in terms of giving growth projections. Because of the international trading opportunities, it has been much better."
He highlighted the success of the whisky industry and also cited Glasgow's emergence as a centre for renewable energy, with investment by players including ScottishPower, Scottish & Southern Energy, and Spanish group Gamesa and the commitment to this sector of Strathclyde University principal Professor Jim McDonald.
Mr Patrick said: "If you had said to me five years ago Glasgow would (now) be putting itself forward as a centre of renewable energy, I wouldn't have expected that (to happen). If someone had asked me to describe Glasgow, even five years ago, I wouldn't even have mentioned the energy sector."
He also highlighted Glasgow's success in attracting major international conferences.
Mr Patrick said that Glasgow was 29th in the world in attracting conferences with more than 25,000 delegates, and was only two places behind London in these rankings from the International Congress and Convention Association.
Mr Patrick said: "Glasgow is at best a two million [population] city. To find it up there at 29th is astonishing. All of that is self-created. To get that far up the charts, I think, is astonishing."
He added that one thing which those at the chamber were "particularly pleased" about was its relationships with players at a local and national level, particularly Glasgow City Council and Scottish Enterprise.
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