[Federal Register Volume 76, Number 184 (Thursday, September 22, 2011)]
[Notices]
[Pages 58769-58772]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-24296]


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DEPARTMENT OF COMMERCE

International Trade Administration


Ports and Maritime Technology Trade Mission to India

AGENCY: International Trade Administration, Department of Commerce.

ACTION: Notice.

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Mission Description

    The United States Department of Commerce (DOC), International Trade 
Administration (ITA), U.S. and Foreign Commercial Service (CS), is 
organizing an executive-led Ports and Maritime Technology Trade Mission 
to India from February 20 to 24, 2012. The purpose of the mission is to 
introduce U.S. firms to India's rapidly expanding port and maritime 
technology market and to assist U.S. companies pursue export 
opportunities in this sector. The mission to India is intended to 
include representatives from leading U.S. companies that provide state-
of-the-art cargo handling equipment, port security and maritime 
technology equipment. The mission will visit three cities, Chennai, 
Ahmedabad and Mumbai, where participants will receive market briefings 
and participate in customized meetings with key port officials and 
prospective partners. In Mumbai the trade mission will coincide with 
Reed Exhibitions' Shipping, Transport & Logistics (SITL) trade show, 
which takes place February 23 to 25. Trade mission participants will 
also have the option to begin their trip with a visit to Kolkata, where 
CS Kolkata will arrange meetings with public sector port officials from 
the states of West Bengal and Orissa.
    The mission will help participating firms gain market insights, 
make industry contacts, solidify business strategies, and advance 
specific projects, with the goal of increasing U.S. exports to India. 
The mission will include one-on-one business appointments with pre-
screened potential buyers, agents, distributors and joint venture 
partners; meetings with national and regional government officials; and 
networking events. Participating in an official U.S. industry 
delegation, rather than traveling to India on their own, will enhance 
the companies' ability to secure meetings in India.

Commercial Setting

    India, one of the world's fastest growing economies, presents 
lucrative opportunities for U.S. companies that offer products and 
services in the maritime transport industry. Maritime transport is key 
to India's external trade. There are 13 major (national government 
control) and 187 minor (local state/private control) ports across 
India's extensive, 7,000 kilometers coastline. Traffic at these ports 
has been steadily increasing and is expected to continue growing. To 
meet the anticipated growth in traffic the major and minor ports have 
formulated plans for the development of new terminals, upgrading 
existing berths and modernizing operations by including state of the 
art cargo handling equipment, tracking systems, deepening of channels, 
and widening of roads. According to an Ernst and Young report, the 
majority of cargo-handling equipment at Indian ports was commissioned 
long ago and has outlived its life span.\1\ In January 2011 the 
Government of India announced a new shipping sector policy that entails 
an investment of $66 billion in the port sector and $27 billion for the 
shipping sector. This new policy proposes to increase India's port 
capacity from 1 billion tons to 3.2 billion tons by 2020. To explore 
these opportunities the trade mission will visit three cities as 
described below.
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    \1\ The Indian Ports and Shipping Sector. Rep. Ernst and Young, 
Aug. 2010. Web. 12 Sept. 2011. http://www.ey.com/Publication/
vwLUAssets/Ports_and_shipping__-August_2010/$FILE/Ports-and-
shipping-August-2010.pdf.
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Chennai, Tamil Nadu

    The state of Tamil Nadu has 3 major ports (Chennai, Tuticorin and 
Ennore) and 17 minor ports. The major ports are under the control of 
Government of India. The minor ports are under the control of Tamil 
Nadu Maritime Board. Port development plans in the state of Tamil Nadu 
include:
     The Ennore Port announced an investment plan of over $1.2 
billion.
     The Chennai Port has an investment plan of over $2.3 
billion.
     The Tuticorin Port announced an investment plan of $1.4 
billion.
     The Kattupalli Shipyard is a mega project with the first 
phase aiming to be operational by January 2012. The first phase will 
have a 1.2 million TEU capacity through two 350-m-long berths and a 
total terminal area of approximately twenty hectares. The terminal has 
an option to increase to 1.8 million TEU capacity during the second 
phase of development.
     The Thirukkuvalai Port is a deep-water multi-modal port 
being developed as a part of an integrated port and power project in 
Nagapattinam. The entire project will entail an investment of 
approximately $2 billion.

Ahmedabad, Gujarat

    The state of Gujarat has one major port (Mundra) and 41 minor 
ports. Gujarat is an industrial powerhouse where many multinational 
corporations have established manufacturing facilities. Gujarat is 
strategically located with India's longest coastline of 1600 km and is 
the nearest maritime outlet to the Middle East, Africa and Europe. 
Gujarati has two privately managed LNG terminals and one of the world's 
largest

[[Page 58770]]

ship recycling yards at Alang. Gujarat ports handle almost 33% of 
India's cargo. Ahmedabad is the home of Gujarat's State Maritime Board. 
Minor ports in Gujarat have a total capacity of 244 million tons (mt) 
and handle a cargo volume of 206 mt. This is 70% of the volume handled 
by all minor ports in the country. Gujarat plans to expand its private 
port capacity to 586 mt in five years.

Mumbai, Maharashtra

    Mumbai, located in the state of Maharashtra, is the commercial and 
financial capital of India. In Mumbai there are two ports: The Mumbai 
Port Trust (MPT) and Jawaharlal Nehru Port Trust (JNPT). In addition, 
there are 53 minor ports located throughout Maharashtra. JNPT is the 
country's largest container port, with container traffic of over 4.1 
million 20-foot-equivalent unit (TEUs) in 2009-2010. It also ranks 
among the top 30 container ports in the world. JNPT is now proposing 
the development of a fourth terminal through private partnership. This 
fourth terminal is crucial as the other three terminals are working 
beyond capacity and its development will take the port's capacity to 
10.35 million TEUs from 4 million TEUs. Currently JNPT has invited bids 
to award the contract to operate the fourth terminal. In addition, JNPT 
is planning a new mega port project at Nhava Island (near Mumbai) which 
will have a capacity of 6 to 9 million TEUs per annum. The project 
plans also include other facilities including a ship repair yard.

Kolkata, West Bengal

    As an optional stop, delegates can elect to visit Kolkata prior to 
the official start of the trade mission. A minimum five companies will 
be required to organize the stop in Kolkata. A description of the 
Kolkata Port and expansion plans is below.
     The Kolkata Port Trust (http://www.kolkataporttrust.gov.in) consists of Kolkata dock system and Haldia 
Dock System. The infrastructure includes 33 berths, 5 dry docks, 6 
petroleum wharfs, 3 barge jetties and 3 oil jetties. It is the largest 
dry dock facility in India and handled 46.5 million tons of cargo in 
year 2010.
     Over 3,500 vessels were handled at the Kolkata Port during 
2009-2010, which was the highest amongst all Indian major ports (17% of 
the total number of vessels at Indian ports).
     Upcoming projects include: A new proposed river port for 
handling 20 MT to meet the demand of imported coal; a container 
terminal at Diamond Harbor having potential to handle 1 million TEU per 
annum and a trans-loading facility; and, a plan for deep sea port with 
10-12 berths for handling 60 million tons.
     The Kolkata Port spends over $130 million per annum for 
dredging of the river and sea mouth. Only European companies currently 
participate in this project, and the Kolkata Port would like to see 
U.S. participation.
     Opportunities exist for U. S. companies in consulting, 
equipment supply, barge facility, dredging services and vessel traffic 
management systems.
     The adjoining state of Orissa in the east coast is also 
part of the Kolkata Port Trust area. In Orissa, the Paradeep Port 
(http://www.paradipport.gov.in) is the largest port in terms of bulk 
cargo handling and Dhamra (http://www.dhamraport.com) is the minor 
port. Planned projects include Gopalpur (http://www.gopalpurports.com) 
and Posco.

Mission Goals

    The goal of the Ports and Maritime Technology Trade Mission to 
India is to provide U.S. participants with first-hand market 
information, one-on-one meetings with business contacts, including 
potential agents, distributors and partners so they can position 
themselves to enter or expand their presence in the Indian market. 
Subject to prior consultation and confirmations, mission participants 
will have the opportunity to explore contacts with local firms active 
in India. Also, to help U.S. equipment and service providers initiate 
and/or expand their exports to India the U.S. Commercial Service will 
introduce Trade Mission participants to:
     Officials at major ports who are seeking to upgrade their 
container-handling equipment and decision makers responsible for port 
security, port management services and maritime technology.
     Officials at privately-owned minor ports who are seeking 
to procure equipment such as cargo handling equipment, security 
equipment including scanners, cranes, navigational aids, as well as 
developing ship repair and ship building facilities.

Mission Scenario

    The mission will start in Chennai, where participants will meet 
with officials from the state of Tamil Nadu, the Tamil Nadu Maritime 
Board, potential private sector partners and visit a major port. Next, 
the participants will visit Ahmedabad where they will meet with private 
sector port developers and officials from the Gujarat Maritime Board. 
In Mumbai the participants will meet with the Maharashtra Maritime 
Board, JNPT officials and private sector port developers.
    In Mumbai the delegates will have the option of participating in 
the SITL trade show, which will take place February 23-25. SITL India 
aims to provide a much needed platform for the industry. The event 
features 5 sectors of activity covering the complete chain:
     Transport and logistics services,
     Logistics infrastructure,
     Logistics real estate,
     Transport and logistics information systems and 
technologies,
     And materials handling equipment and systems.
    The matchmaking meetings in Mumbai will not be held at SITL. 
Companies may elect to have a half-day of matchmaking meetings and 
attend SITL for the other half of the day, or they can choose to only 
participate in one of these activities. The mission fee will not cover 
registration fees for SITL.
    Trade mission delegates will have the option of visiting Kolkata 
before the official start of the mission in Chennai. In Kolkata, they 
will meet with Kolkata Port Authorities, port operators and private 
companies involved in the port business. They will also meet with other 
American companies operating in Kolkata and with Consulate 
representatives for an overview.
    The participants will also attend policy, market and commercial 
briefings by the U.S. Commercial Service as well as networking events 
offering further opportunities to speak with private and government 
port officials as well as potential distributors and agents. U.S. 
participants will be counseled before and after the mission by CS India 
staff. Participation in the mission will include the following:
     Pre-travel briefings on subjects ranging from business 
practices in India to security;
     Pre-scheduled meetings with port officials (government and 
private), potential partners distributors, end users, and local 
industry contacts in Chennai, Ahmedabad, and Mumbai;
     Airport transfers in Chennai, Ahmedabad, and Mumbai;
     Meetings with state maritime boards and government 
officials;
     Participation in a networking reception in Chennai and 
Mumbai; and participation in one-on-one business meetings with 
potential clients, partners and distributors.

[[Page 58771]]



                           Proposed Timetable
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Thursday, February 16, 2012            Kolkata
 (Optional).
                                          Delegates arrive in
                                       Kolkata/check-in and rest
                                       overnight.
Friday, February 17, 2012 (Optional).  Kolkata
                                          Meeting with AMCHAM
                                       and the U.S. Consulate.
                                          Port visit.
Saturday, February 18, 2012            Kolkata
 (Optional).
                                          Meetings with Kolkata
                                       Port Authorities and port
                                       operators.
                                          Evening travel to
                                       Chennai--check-in and rest
                                       overnight.
Sunday, February 19, 2012............  Chennai
                                          Open Schedule.
Monday, February 20, 2012............  Chennai
                                          Briefing with U.S.
                                       Consulate.
                                          Meetings with State
                                       Maritime Board.
                                          Business matchmaking
                                       sessions.
                                          Networking reception.
Tuesday, February 21, 2012...........  Chennai/Ahmedabad
                                          Site visit to Chennai
                                       port.
                                          Evening travel to
                                       Ahmedabad.
Wednesday, February 22, 2012.........  Ahmedabad/Mumbai
                                          Briefing/meeting with
                                       State Maritime Board.
                                          Business matchmaking
                                       sessions.
                                          Evening travel to
                                       Mumbai.
Thursday, February 23, 2012..........  Mumbai
                                          Briefing with U.S.
                                       Consulate.
                                          Meeting with Indian
                                       Private Ports and Terminals
                                       Association.
                                          Business matchmaking
                                       sessions.
                                          Networking Reception.
                                          Optional participation
                                       in SITL.
Friday, February 24, 2012............     Site visit to JNTP
                                       port.
                                          Optional participation
                                       in SITL.
                                          Official program
                                       concludes.
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Participation Requirements

    All parties interested in participating in the trade mission must 
complete and submit an application package for consideration by DOC. 
All applicants will be evaluated on their ability to meet certain 
conditions and best satisfy the selection criteria as outlined below. 
U.S. companies already doing business with India as well as U.S. 
companies seeking to enter to the Indian market for the first time may 
apply. A minimum of 15 and a maximum of 20 companies will be selected 
for participation in this mission.

Fees and Expenses

    After a company has been selected to participate on the mission, a 
payment to the DOC in the form of a participation fee is required. The 
participation fee is $3,760 for large firms and $3,560 for a small or 
medium-sized enterprise (SME),\2\ which covers one representative. The 
fee for each additional representative is $750. The fee for the 
optional stop in Kolkata is $600 for large firms and $450 for SMEs, 
which covers one representative. The fee for additional representatives 
in Kolkata is $200.
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    \2\ An SME is defined as a firm with 500 or fewer employees or 
that otherwise qualifies as a small business under SBA regulations 
(see http://www.sba.gov/services/contracting_opportunities/sizestandardstopics/index.html). Parent companies, affiliates, and 
subsidiaries will be considered when determining business size. The 
dual pricing reflects the Commercial Service's user fee schedule 
that became effective May 1, 2008 (see http://www.export.gov/newsletter/march2008/initiatives.html for additional information).
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    Participants in SITL in Mumbai will pay show-related expenses 
directly to the show organizer. Expenses for travel, lodging, meals, 
and incidentals will be the responsibility of each mission participant. 
Delegation members will be able to take advantage of U.S. Embassy rates 
for hotel rooms.

Conditions for Participation

     An applicant must submit a completed and signed mission 
application and supplemental application materials, including adequate 
information on the company's products and/or services, primary market 
objectives, and goals for participation. If the Department of Commerce 
receives an incomplete application, the Department may reject the 
application, request additional information, or take the lack of 
information into account when evaluating the applications.
     Each applicant must also certify that the products and 
services it seeks to export through the mission are either produced in 
the United States, or, if not, marketed under the name of a U.S. firm 
and have at least 51 percent U.S. content of the value of the finished 
product or service.

Selection Criteria for Participation

     Suitability of the company's products or services to the 
market.
     Applicant's potential for business in India and in the 
region, including likelihood of exports resulting from the mission.
     Consistency of the applicant's goals and objectives with 
the stated scope of the mission.
    Diversity of company size, sector or subsector, and location may 
also be considered during the review process.
    Referrals from political organizations and any documents containing 
references to partisan political activities (including political 
contributions) will be removed from an applicant's submission and not 
considered during the selection process.

Timeframe for Recruitment and Applications

    Mission recruitment will be conducted in an open and public manner, 
including publication in the Federal Register, posting on the Commerce 
Department trade mission calendar (http://www.ita.doc.gov/doctm/tmcal.html) and other Internet Web sites, press releases to general and 
trade media, direct mail, notices by industry trade associations and 
other

[[Page 58772]]

multiplier groups, and publicity at industry meetings, symposia, 
conferences, and trade shows. Recruitment for the mission will conclude 
no later than November 18, 2011. All applicants will be vetted by the 
Department of Commerce after November, 18. Applications received after 
November 18, 2011 will be considered only if space and scheduling 
constraints permit.

Contacts

U.S. Commercial Service India

Aliasgar Motiwala, U.S. Commercial Service, Mumbai, India, Tel: +91-22-
2265-2511, E-mail: [email protected].

U.S. Commercial Service Washington, DC

David McCormack, U.S. Commercial Service, Washington, DC, Tel: 202-482-
2833, E-mail: [email protected].

Elnora Moye,
Commercial Service Trade Mission Program, U.S. Department of Commerce.
[FR Doc. 2011-24296 Filed 9-21-11; 8:45 am]
BILLING CODE 3510-FP-P