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As manufacturers shift to higher value-added goods, they need costlier inputs.
"For the time being, Russia lacks value-added goods," Mr. Prokhorov said.
Even the most diversified economy, Brazil, did not have enough knowledge-based capacity to shift its export mix to higher value-added goods and services.
Mendiguren claims the agreement reduces Argentina to providing unprocessed commodities to China while Argentina will be buying value-added goods from the Asian giant.
Explaining why Britain can still compete with emerging economies as a manufacturing base, EEF's Prothero said: "For higher value-added goods you have to look at skills and the UK provides a high level of skilled workforce.
For example, large, diversified paper companies might have two kinds of facilities: those that produce large orders of low-cost commodity goods and those that produce small orders of high-margin specialty value-added goods with short lead times.
Similar(43)
"The home market is a mature one, where we focus on rich, high-value-added goods".
America is too closely integrated into a trade system where medium-value-added goods are largely made in the developing world.
The early restructuring of its economy gave Britain an edge, accelerating the shift from mass manufacturing, where it had few advantages, to high-value-added goods and services, where it has many.
Governments, he said, needed to help far more with "pump-priming" the economy, adding: "We have got to do far more in our country and the government has got to help the private sector to do this, to innovate and specialise in the production of high-value-added goods".
And we can ship high-tech and high-value-added goods within one to two business days, door-to-door, virtually anywhere on the planet.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com