[Federal Register Volume 64, Number 133 (Tuesday, July 13, 1999)]
[Notices]
[Pages 37745-37747]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-17742]


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DEPARTMENT OF COMMERCE

International Trade Administration


Secretary Daley's Trade Mission To The Middle East

AGENCY: International Trade Administration, Commerce.

ACTION: Notice of trade mission to the Middle East.

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SUMMARY: This notice serves to inform the public of a Secretarial Trade 
Mission to the Middle East, October 9-18, 1999, and of the opportunity 
to apply for participation in the mission; sets forth objectives, 
procedures, and participation criteria for the mission; and requests 
applications.

DATES: Applications should be submitted to Lucie Naphin by August 18, 
1999, in order to ensure sufficient time to obtain in-country 
appointments for applicants selected to participate in the mission. 
Applications received after that date will be considered only if space 
and scheduling constraints permit. The mission is scheduled to travel 
to Egypt, Israel, the West Bank, Jordan, Saudi Arabia, and the United 
Arab Emirates.

ADDRESSES: Request for and submission of applications--Applications are 
available from Lucie Naphin, Director of the office of Business 
Liaison, at (202) 482-1360 or via facsimile at (202) 482-4054. Numbers 
listed in this notice are not toll-free. An original and two copies of 
the required application materials should be sent to Ms. Naphin. 
Applications sent by facsimile must be immediately followed by 
submission of the original application to Ms. Naphin at the following 
address: Office of Business Liaison, Room 5062, U.S. Department of 
Commerce, 14th Street and Constitution Ave, N.W. Washington, DC 20230.

FOR FURTHER INFORMATION CONTACT: Lucie Naphin at (202) 482-1360. 
Information is also available via the International Trade 
Administration's (ITA) Internet home page at: ``http://www.ita.doc.gov'

SUPPLEMENTARY INFORMATION:

Trade Mission Description

    Secretary of Commerce William M. Daley will lead two trade missions 
to the Middle East in October, 1999. He will lead a business 
development mission to Egypt, Israel, Gaza/West Bank, and Jordan 
October 9-15, 1999 and a business development mission to Saudi Arabia 
and the United Arab Emirates (U.A.E.) October 15-18, 1999.

Egypt, Israel, Gaza/West Bank, and Jordan

    In Jordan, Israel, Gaza/West Bank, and Egypt, the focus of the 
mission will be on commercial opportunities presented by the 
liberalization of these countries' economies and the privatization of 
key industry sectors. The delegation will include 10-15 U.S. company 
executives of large, medium and small firms representing the following 
key sectors: information technology, including computer hardware, 
software development, and telecommunications; energy; environmental 
technologies; agribusiness, including food processing and fertilizers; 
health care; tourism, including hotel construction and management; and 
insurance and banking.

[[Page 37746]]

    This mission will reaffirm the U.S. Government's support for the 
commercial aspects of the peace process, a top foreign and commercial 
priority.

Saudi Arabia and the United Arab Emirates

    In Saudi Arabia and the U.A.E., the focus of the mission will also 
be on commercial opportunities presented by the liberalization of these 
countries' economies and the privatization of key industry sectors. The 
delegation will include 10-15 U.S. company executives of large, medium 
and small firms representing the following key sectors of: energy, 
including power generation, and oil and gas exploration and 
development; information technology, including computer hardware, 
software development, and telecommunications; environmental 
technologies; agribusiness; and health care.
    This mission will include advocacy for major commercial projects, 
including the recent interest expressed by Saudi Crown Prince Abdullah 
in attracting greater U.S. private sector participation in the Saudi 
energy sector.

Timetable

    The mission will depart Washington on October 8. A delegation will 
visit Jordan, Israel, Gaza/West Bank, and Egypt October 9-15, and a 
second delegation will visit Saudi Arabia and the U.A.E. October 15-18.

Commercial Setting

Egypt, Israel, Gaza/West Bank, and Jordan

    The Government of Egypt has embarked on a significant economic 
reform program which has made Egypt an attractive emerging market. 
Egypt plans to privatize much of its power sector, roads, airports, 
ports, cement companies, and water supply. Egypt has also passed 
legislation allowing 100 percent foreign ownership of banks and 
insurance companies. Egypt is seeking U.S. firms for the mobile phone 
market. Egypt is also interested in U.S. environmental and agricultural 
export technologies. An increasing number of American firms are looking 
at Egypt for possible exports and to establish their regional marketing 
and manufacturing centers there. Egypt is our third largest market in 
the Middle East with exports totaling $3 billion in 1998.
    As our second largest market in the Middle East, Israel offers 
major export and investment opportunities in environmental 
technologies, information technologies, and the medical field. Israel 
has the highest number of high-technology start-ups per capita in the 
world, and is seeking joint ventures with U.S. firms; eight U.S. state 
governments have offices in Israel to take advantages of these 
opportunities. U.S. exports to Israel in 1998 were valued at $7 
billion.
    Gaza/West Bank benefits from the Duty Free Proclamation, which 
allows U.S. products to be traded free of tariffs with the Palestinian 
Authority. U.S. firms also have the opportunity to use industrial 
facilities at the newly launched industrial park, the Gaza Industrial 
Estate. The Palestinian business community has long sought to encourage 
greater U.S. private sector participation in their market, and is eager 
to serve as agents and distributors for, as well as joint venture 
partners with, American firms. Telecommunications, tourism, and 
franchising in a wide range of areas, including food and office 
products, are particularly promising sectors for U.S. business.
    The Jordanian Government has made new commitments to privatize key 
industries, including telecommunications. The Government has also 
recently announced that the Aqaba railway will be privatized by a 
consortium, led by U.S. companies. Moreover, the United States, Jordan, 
and Israel have instituted several Qualifying Industrial Zones in 
Jordan, which allow goods to enter the United States free of duties and 
quotas on a reciprocal basis. The U.S. Government also has a number of 
aid programs in Jordan that offer export opportunities to U.S. 
companies in infrastructure and environmental technologies.

Saudi Arabia and the United Arab Emirates

    Saudi Arabia is the largest U.S. market in the Middle East, with 
$10.5 billion in exports in 1998. Recent increases in oil prices have 
improved the Saudis' ability to purchase goods and services. Saudi 
Arabia is particularly interested in U.S. firms in energy, 
telecommunications, environmental technologies, and medical services 
and equipment. Saudi Arabia is moving forward to develop much of its 
natural gas potential for the first time.
    The United Arab Emirates, which has made great strides in 
diversifying its economy, represents a booming economy. The U.A.E. is 
interested in environmental technologies, medical fields, and 
telecommunications, among other sectors. Last year, the U.A.E. imported 
$2.4 billion in U.S. products. In 1997, Secretary Daley visited Abu 
Dhabi and Dubai in the U.A.E. following his participation in the Middle 
East/North Africa Economic Conference in Doha, Qatar.
    New commercial opportunities will develop as a result of growing 
interest in privatization, which is already occurring in the U.A.E.'s 
power sector and is proposed for the same sector in Saudi Arabia, as 
well as additional sectors in both countries. In addition, expanding 
private sector opportunities is a major emphasis of the U.S.-Gulf 
Cooperation Council Economic Dialogue and the policies of those two key 
members of the GCC.

Goals for the Missions

    The Secretary's missions to the Middle East will advance specific 
business interests of the mission members by introducing them to key 
host government decisionmaking officials and to potential business 
partners. U.S. companies participating on the missions who are already 
established in the region will increase their visibility, and new-to-
market firms will be able to gain a foothold in these very competitive 
markets. In addition, the Secretary will support the U.S. Government's 
efforts to reduce market access problems encountered by American firms 
in these markets.
    The Secretary also will encourage continued progress in economic 
reforms in each of these stops. These reforms have been the focus of 
the Gore-Mubarak Economic Partnership, the U.S.-GCC Economic Dialogue, 
the U.S.-Jordanian Bilateral Economic Committee, and the U.S.-
Palestinian Bilateral Committee. The Secretary will also co-chair the 
semi-annual meeting of the U.S.-Israel Science and Technology 
Commission.

Mission Scenarios

    At each stop, American Embassy officials will provide a detailed 
briefing on the economic and commercial climate, and the status of 
regional economic and commercial cooperation. Meetings will be arranged 
with appropriate government ministers and other senior level government 
officials. In addition, private meetings will be scheduled with 
potential buyers, agents/distributors, and/or joint venture or 
investment partners.
    The Secretary will meet with senior government officials as well as 
his trade counterparts to encourage free market reforms beneficial to 
the U.S. private sector. The Secretary will also urge host government 
officials to eliminate market access problems encountered by American 
firms and to take steps to liberalize their trade and investment

[[Page 37747]]

regimes. He will also meet with resident American business 
representatives.

Criteria for Participation of Companies

    The recruitment and selection of private sector participants for 
these missions will be conducted according to the Statement of Policy 
governing Department of Commerce-led trade missions announced by 
Secretary Daley on March 3, 1997. Participants will be selected 
separately for each mission and applicants should complete and submit 
an application for each mission. Approximately 10-15 companies will be 
selected for each mission. Companies may apply for the one or both of 
the missions. Selection for one mission does not confer priority for 
selection for the other mission.

Eligibility

    Participating companies must be incorporated in the United States. 
A company is eligible to participate only if the products and/or 
services that it will promote (a) are manufactured or produced in the 
United States; or (b) if manufactured or produced outside the United 
States, are marketed under the name of a U.S. firm and have U.S. 
content representing at least 51 percent of the value of the finished 
good or service. (At the discretion of the Department, which will 
generally be exercised on a mission-specific and sector-by-sector 
basis, the 51 percent U.S. content requirement may be modified or 
waived.)

Selection Criteria

    Companies will be selected for participation on each mission on the 
basis of:

--Level of seniority of designated company representatives and 
appropriateness of the company to the mission objectives;
--Relevance of a company's business and product line to the sectors 
identified below;
--Past, present, and prospective business activity in the region; and
--Diversity of company size, type, location, demographics, and 
traditional under-representation in business.

    In addition, the Department may consider whether the company's 
overall business objectives, including those of any U.S. or overseas 
affiliates, are fully consistent with the mission's foreign and 
commercial policy objectives.
    Companies for the Egypt, Israel, Gaza/West Bank, and Jordan 
business development mission will be drawn from several sectors 
including, but not limited to:

--Information technology, including computer hardware, software 
development, and telecommunications;
--Environmental technologies, including waste treatment and water 
development;
--Agribusiness and food processing, farm machinery, fertilizers;
--Tourism, including hotel construction and management, resort 
development, and entertainment;
--Insurance and banking;
--Medical services and equipment; and
--Franchising.

    Companies for the Saudi Arabia and United Arab Emirates business 
development mission will be drawn from several sectors, including, but 
not limited to:

--Energy, including power generation, and oil and gas exploration and 
development;
--Information technology, including computer hardware, software 
development, and telecommunications;
--Environmental technologies;
--Agribusiness; and
--Medical services and equipment.

    An applicant's partisan political activities (including political 
contributions) are irrelevant to the selection process.

Time Frame For Applications

    Applications for the Middle East trade missions will be made 
available beginning on or about July 13, 1999. Companies/participants 
may apply to one or both trade missions, however, separate applications 
will be required for each trade mission. The fees to participate in 
these missions have not yet been determined. The fees will not cover 
travel or lodging expenses. For additional information on these trade 
missions or to obtain an application for either or both, business 
persons should be referred to Lucie Naphin, Director of the Office of 
Business Liaison, or Jennifer Andberg, Office of Business Liaison, at 
202-482-1360. Applications should be submitted to Lucie Naphin by 
August 18, 1999, in order to ensure sufficient time to obtain in-
country appointments for applicants selected to participate in the 
mission. Applications received after that date will be considered only 
if space and scheduling constraints permit.

    Authority: 15 U.S.C. 1512.

    Dated: July 7, 1999.
Thomas Parker,
Director, Office of the Near East, International Trade Administration, 
Department of Commerce.
[FR Doc. 99-17742 Filed 7-12-99; 8:45 am]
BILLING CODE 3510-DA-P