[Federal Register Volume 76, Number 247 (Friday, December 23, 2011)]
[Notices]
[Pages 80338-80342]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-32970]


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UNITED STATES DEPARTMENT OF COMMERCE

International Trade Administration


Secretarial India Infrastructure Business Development Mission, 
March 25-30, 2012

AGENCY: International Trade Administration, Department of Commerce.

ACTION: Notice.

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SUMMARY: Secretary of Commerce John Bryson will lead a senior-level 
business development trade mission to Mumbai, Jaipur and New Delhi, 
India, March 25-30, 2012. The overall focus of the trip will be 
commercial opportunities for U.S. companies, including joint ventures 
and export opportunities. In each city participants will have a market 
briefings followed by one-on-one appointments with potential buyers/
partners and meetings with high level government officials.

Mission Description

    The focus of the mission is to promote U.S. exports to India and 
discuss trade policy issues with respect to India's goal of investing 
$1 trillion in infrastructure development during the next five years. 
The mission will recruit companies from the following sectors: project 
management and engineering services (including architecture and 
design), transportation (including road/highways, rail, airports and 
intelligent transportation systems), and energy (including 
distribution, transmission and smart grid).
    The mission supports President Obama's National Export Initiative 
(NEI) and his goal of doubling U.S. exports by 2015 to strengthen the 
U.S. economy and U.S. competitiveness through meaningful job creation. 
It also supports the International Trade Administration's Growth in 
Emerging Metropolitan Sectors (GEMS) initiative. The mission will help 
U.S. companies already doing business in India increase their current 
level of exports and deepen their business interests. The mission will 
also target experienced U.S. exporters who have yet to penetrate the 
Indian market. Participating firms will gain market information, make 
business and government contacts, solidify business strategies, and/or 
advance specific projects. In each of the above sectors, U.S. companies 
will meet with prescreened potential partners, agents, distributors, 
representatives, and licensees. The agenda will also include meetings 
with high-level national, regional and local government officials, 
networking opportunities, country briefings, and seminars.
    The delegation will be composed of 20-25 U.S. firms representing 
the mission's target sectors. Representatives of the U.S. Trade and 
Development Agency (USTDA), the Export-Import Bank of the United States 
(Ex-Im) and the Overseas Private Investment Corporation (OPIC) will be 
invited to participate to provide information and counseling on their 
programs, as they relate to the Indian market.

Commercial Setting

    India is one of the world's fastest growing economies and it 
presents exciting opportunities for U.S. companies that offer products 
and services that help it meet its rapidly expanding infrastructure 
needs. India is seeking to invest $1 trillion in its infrastructure 
during the 12th Five-Year Plan (2012-2017) and is looking for private 
sector participation to fund half of this massive expansion through the 
Public-Private Partnership (PPP) model. The rapid growth of the Indian 
economy (averaging 8% over the past 10 years) has created a pressing 
need for infrastructure development and the country needs significant 
outside expertise to meet its ambitious targets. U.S. industry is well 
qualified to supply the kinds of architectural, design and engineering 
services and project management skills needed to successfully tackle 
major projects, including such groundbreaking projects as the Delhi-
Mumbai Industrial Corridor (DMIC). U.S. technologies are also well 
positioned to rationalize energy use and production to support new 
industrial zones as they are built in this chronically energy deficit 
country.

Industry Focus

    Project Management and Engineering Services (including Architecture 
and Design): As Indian developers expand their capabilities and 
construct and connect new industrial facilities, foreign firms often 
play a major role in design, construction, engineering and management 
of these signature projects. Major upcoming opportunities for U.S. 
firms include the seven technology townships associated with the 
development of the Delhi Mumbai Industrial Corridor (DMIC).
    The Indian architecture/construction industry is an integral part 
of the

[[Page 80339]]

economy and a conduit for a substantial part of its development 
investment. The sector is poised for additional growth due to the dual 
trends of industrialization and urbanization, and the rising 
expectations of its citizens for an improved standard of living as a 
result of economic development.
    The profession and practice of architecture, design and project 
management in India has undergone a complete transformation in recent 
years. The booming economy and growing middle class has prompted 
developers to bring in foreign architects to design everything from 
airports to residential and commercial building and resorts. Foreign 
architects have a proven track record and have helped bring about a 
transformation in the way projects are designed and built. They have 
paired up with Indian firms who have the expertise on the ground to 
execute projects.
    Transportation (Road/Highway, Railways and Airports) Road/Highways: 
With a total of 3.14 million kilometers of roads, India has the 2nd 
largest road system in the world only after the U.S. The National 
(Interstate) Highways constitute 70,000 kilometers of roads and India 
intends to double this network in the next 5 years. Additionally, it 
also intends to increase the overall road network to 5 million 
kilometers in the next decade, connecting all parts of the country with 
each other.
    The Government of India's Planning Commission recently estimated 
that India will mobilize over $42 billion on spending for roads and 
related infrastructure over the next several years. These funds are to 
be utilized to:
     Upgrade and expand the state highway network in the 
different states of India (to be funded by the Asian Development Bank);
     The Municipal Corporation of Delhi plans to spend $1.24 
billion for upgrading the City of Delhi's roads and infrastructure as 
are other big cities;
     National Highway projects worth approximately $24.65 
billion will be executed in the country connecting the freight 
corridors running from North-South and East-West to the interiors;
     Set up related infrastructure--toll booths, warehousing 
facilities, connector and feeder lanes, etc. to the highway systems.
    The Government of India is also formulating regulatory changes to 
the awarding process and concession agreements to attract more 
participation from private and foreign developers.
    Railways: A lifeline to the nation, Indian Railways has the 2nd 
largest railroad network in the world and is the largest employer in 
India today. Indian Railways has embarked upon a massive restructuring 
and expansion program over the next decade to modernize the existing 
network and add new lines. It's estimated that in the 12th five year 
plan (2012- 2017), Indian Railways will spend about $67 billion on the 
following:
     Building new routes including Dedicated Freight Corridors 
(DFC) with Public-Private Partnership (PPP) sub-projects envisaging 
more than $7 billion investment for the North South, East West 
corridors alone
     Enhancing container operations
     Setting up of rail side warehousing facilities
     Developing logistics parks
     Development of rail links to existing and new ports
     Dedicated rail links for evacuation of specific industrial 
items
     Modernization of railway stations and systems including 
rolling stock
    Airports: In terms of domestic air traffic, India is the fourth 
largest civil aviation market in the world behind the U.S., China and 
Japan. In FY 2011, India's domestic passenger growth rate was 11 
percent and Indian air traffic is expected to grow at a compound annual 
growth rate of 8-10 percent over the next 20 years. Despite these 
numbers, India is one of the least penetrated air markets in the world 
(even lower than Sri Lanka, Pakistan and Nigeria) with 0.02 trips per 
capita as compared to 0.2 of China and 2.2 in the U.S. This reflects 
significant potential for future growth.
    India has a total of 454 airports with the Airports Authority of 
India (AAI) managing 118 of these airports. The AAI develops and 
manages airports and also provides air traffic management services and 
air infrastructure. Even as existing airports continue to be upgraded, 
there is an urgent need for new airport infrastructure in the country. 
India currently has just 89 operational airports but that number is 
expected to increase to between 300 and 500 by 2030. Starting from a 
relatively small base, the airport infrastructure sector in India faces 
the prospect of significant expansion as the overall economy continues 
to grow rapidly.
    Investment opportunities of $110 billion are being envisaged up to 
2020 with $80 billion in new aircraft and $30 billion in development of 
airport infrastructure, according to the Investment Commission of 
India. AAI plans to allocate $12 billion for airport infrastructure 
development in its next five-year plan (2012-2017), a 30 percent 
increase from its last five-year plan. To ensure that the development 
of the sector was not restricted to the metro cities alone, the GOI 
announced its plans to modernize 35 non-metro airports into world-class 
entities at an estimated cost of $1.2 billion. The airports to be 
modernized include airports such as Coimbatore, Tiruchi, 
Thiruvananthapuram, Visakhapatnam, Port Blair, Mangalore, Agatti, and 
Pune. This is in addition to the large metro airports where 
modernization is either completed or in progress and also includes 
commercial developments, hotels and other passenger related amenities. 
The Ministry of Civil Aviation has also approved greenfield airports at 
Navi Mumbai, Goa, Durgapur, Kannur, and Saras. The International Trade 
Administration (ITA) has a strong history of cooperation with India on 
airport infrastructure development through its participation in the 
Civil Aviation Subcommittee of the U.S.-India High-Technology 
Cooperation Group and the Airport Infrastructure Working Group. During 
the November 16-18, 2011 U.S.-India Aviation Summit in New Delhi, 
Nicole Lamb-Hale, Assistant Secretary of Commerce for Manufacturing and 
Services, announced an agreement with the Indian Ministry of Civil 
Aviation on facilitating U.S. participation in the development of three 
regional airports, Puducherry, Tuticorin and Jharsuguda, which will be 
the focus of U.S.-India efforts to promote U.S. business participation 
in the development of India's civil aviation infrastructure. The U.S.-
India relationship in civil aviation is very strong and there are 
significant opportunities for U.S. firms in the area of airport 
development, consulting and equipment supply.
    Intelligent Transportation Systems (ITS): The Indian automobile 
industry manufactures over 11 million vehicles and exports about 1.5 
million each year. Due to the phenomenal growth in the number of 
vehicles in the country, the need to upgrade India's traffic management 
systems has become pressing. With traffic speeds in cities being 
reduced to a crawl during most parts of the day and accident rates 
showing no sign of decreasing, the need for smoother, safer road 
transport is greater than ever.
    Given the vibrant Indian automobile, electronics and ICT industries 
and the country's highly skilled labor force, the prospects for ITS 
development and deployment in India are bright. The current market for 
ITS is estimated to be $150 million and it is projected to grow at 10-
12 percent annually.
    The Government of India is improving its transportation management 
system through the use of intelligent

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transportation systems. Priority areas include:
     Vulnerable individual protection systems.
     Traffic management.
     Emergency management systems.
     Commercial vehicle operations.
     Traffic and traveler information.
     Public transport systems.
    Energy (Transmission, Distribution and Smart Grid): India is the 
fastest growing electricity market in the world, with demand expected 
to increase by approximately 500% over the next four decades--nearly 
twice the rate of China. The Indian electricity sector faces major 
challenges in trying to meet the continuously expanding demand-supply 
gap. As a result, the Government of India has announced plans to add 
100 gigawatts of new generation capacity by 2017 through an investment 
of $102 billion in power plants. An additional $102 billion investment 
in the transmission and distribution sectors is also envisaged. These 
initiatives will create huge opportunities for U.S. equipment 
manufacturers; Build, Own, Operate/Transfer (BOT); and Engineering, 
Procurement and Construction (EPC) companies to explore.
    In July 2011, India announced a $132 million smart grid pilot 
project on top of other major recent investments in electric grid 
modernization and smart grid technologies in order to extend 
electricity services to rural populations, ensure reliability in fast 
growing urban areas, and enable critical resource management and energy 
efficiency applications for both utilities and citizens.
    The Indian electricity sector faces many challenges in trying to 
meet the ever increasing demand-supply gap. Energy losses in India's 
transmission and distribution sector exceed 30%, which is one of the 
highest in the world. Upgrading out-of-date transmission and 
distribution systems coupled with the need to reduce electricity losses 
and theft is driving the deployment of smart grid technologies in 
India. The real challenge in the power sector in India lies in managing 
the upgrading of the transmission, distribution and metering 
efficiently. In response to these challenges, India will look to 
foreign technology suppliers for the following:
     Advanced metering to reduce AT&C (Aggregate Technical and 
Commercial) losses that are currently at high levels
     Automation to measure and control the flow of power to/
from consumers on a near real-time basis and improve system reliability
     Moving to a smart grid to manage loads, congestion, and 
supply shortages in an intelligent manner
    U.S. companies can explore the possibility of entering the Indian 
smart grid market by working with Indian companies in these pilot 
projects. 2012 will be an important year as the smart grid market 
begins maturing in India and U.S. firms are poised to deliver world-
class smart grid solutions to Indian utilities.
    Other Products and Services: The foregoing analysis of 
infrastructure export opportunities in India is not intended to be 
exhaustive, but illustrative of the many opportunities available to 
U.S. businesses. Applications from companies selling products or 
services within the scope of this mission, but not specifically 
identified, will be considered and evaluated by the U.S. Department of 
Commerce. Companies whose products or services do not fit the scope of 
the mission may contact their local U.S. Export Assistance Center 
(USEAC) to learn about other trade missions and services that may 
provide more targeted export opportunities. Companies may call 1-(800) 
872-8723, or email: [email protected] to obtain such information. This 
information also may be found on the Web site: http://www.export.gov.

Mission Stops

    New Delhi. New Delhi, India's capital, serves as the seat of the 
Government of India (GOI) and the government of the National Capital 
Territory of New Delhi. The city is known for its wide, tree-lined 
boulevards and is home to numerous national institutions and landmarks. 
The city's service sector has expanded due in part to the large skilled 
English-speaking workforce that has attracted many multinational 
companies. Key service industries include information technology, 
telecommunications, hotels, banking, media and tourism. Most U.S. 
companies, with offices in India are either headquartered in New Delhi 
or have an active office in this city. U.S. trade associations, such as 
the American Chamber of Commerce and the U.S. India Business Council, 
as well as, Indian trade associations, representing thousands of Indian 
companies, such as Confederation of Indian Industry (CII) and 
Federation of Indian Chambers of Commerce and Industry (FICCI) are also 
headquartered in New Delhi.
    Jaipur. Jaipur, the capital of the State of Rajasthan, is a rapidly 
growing and progressive region embarking upon major upgrades of its 
infrastructure. Rajasthan is a leader in the production of renewable 
energy through both wind and solar generation. It has recently begun 
construction of a metro system and approximately 40 percent of the 
Delhi-Mumbai Industrial Corridor (DMIC) which includes new satellite 
industrial cities is being built adjacent to a high-speed rail freight 
line connecting the two major cities. Jaipur has been identified by the 
U.S. Commercial Service in India as one of the key second tier cities 
in India under the `Growth in Emerging Metropolitan Sectors'' (GEMS) 
program which is aimed at building commercial ties between the U.S. and 
India's emerging cities and states.
    Mumbai. Mumbai, located in the state of Maharashtra, is the 
commercial and financial center of India. Mumbai is India's largest 
city and home to almost 20 million people, and many of India's 
industrial powerhouses are headquartered in the city, including Tata, 
Reliance, and Mahindra all of which are very active in developing 
India's physical infrastructure. Mumbai is also at the center of 
India's civil engineering and architectural and design sector and U.S. 
firms are eagerly seeking to partner with these distinguished and 
capable firms to tap the Indian market. The region surrounding Mumbai 
has emerged as an industrial hub and several major U.S. corporations 
across a wide variety of sectors have established a presence in the 
region. It is not an exaggeration to say that Mumbai is truly the 
Gateway of India, and U.S. firms interested in doing business in India 
should make a point to visit this city.

Mission Goals

    The mission will demonstrate the United States' commitment to a 
sustained economic partnership with India. The mission will combine 
Secretarial-level policy dialogue with business development goals for 
U.S. firms. The mission's purpose is to support participants as they 
construct a firm foundation for future business in India and 
specifically aims to:
     Assist in identifying potential partners and strategies 
for U.S. companies to gain access to the Indian market for 
infrastructure products and services.
     Provide an opportunity for participants to be present for 
policy and regulatory framework discussions with Indian government 
officials and private sector representatives to advance U.S. market 
access interests in India.
     Confirm U.S. Government support for activities of U.S. 
business in India and to provide access to senior Indian government 
decisionmakers.

[[Page 80341]]

     Listen to the needs, suggestions and experience of 
individual participants so as to shape appropriate U.S. Government 
positions regarding India and U.S. business interests.
     Organize private and focused events with local business 
and association leaders capable of becoming partners and clients for 
U.S. firms as they develop their business in India.
     Assist development of competitive strategies and market 
access with high level information gathering from private and public-
sector leaders.

Mission Scenario

    During the Infrastructure Business Development Mission to India the 
participants will:
     Meet with high-level Indian government officials.
     Meet with prescreened potential partners, agents, 
distributors, representatives and licensees.
     Meet with representatives of the U.S. and Indian Chambers 
of Commerce, industry and trade associations.
     Attend briefings conducted by Embassy officials on the 
economic and commercial climates.
     Site visit(s) to see first-hand major infrastructure 
development projects.
    Receptions and other business events will be organized to provide 
mission participants with further opportunities to speak with local 
business and government representatives, as well as U.S. business 
executives living and working in the region.

Planned Timetable

Mumbai

Sunday--March 25
     Arrive Mumbai.
     Orientation.
     Briefing from U.S. Government trade finance agencies.
     Economic/market briefing by U.S. Consulate officials.
     Welcome dinner.
Monday--March 26
     One-on-one business meetings for the delegation.
     Meetings with local government officials.
     Business event/briefing with local industry 
representatives.
    Reception hosted by U.S. Consul General.
Tuesday--March 27
     One-on-one business meetings for the delegation.
     Meetings with senior Indian industry and government 
officials.
    Departure for Jaipur.

Jaipur, Rajasthan

Tuesday--March 27
     Arrive from Mumbai.
    Evening business event.
Wednesday-March 28
     Site visits to infrastructure projects in Jaipur, 
Rajasthan metropolitan area.
     Meetings with local industry and government officials.
    Departure for New Delhi.

New Delhi

Wednesday--March 28
    Arrive from Jaipur.
Thursday--March 29
     Economic/market briefing by U.S. Government officials.
     Business event/briefing with local industry 
representatives.
     High-level government meetings and roundtables for 
delegates.
     One-on-one business meetings for the delegation.
     Reception hosted by the U.S. Ambassador.
Friday--March 29
     One-on-one business meetings for the delegation.
     Government and industry meetings.
     Wrap-up discussion and closing dinner.
     Mission ends/departure.

Participation Requirements

    All parties interested in participating in the Secretarial 
Infrastructure Business Development Mission must complete and submit an 
application package for consideration by the U.S. Department of 
Commerce. All applicants will be evaluated on their ability to meet 
certain conditions and best satisfy the selection criteria as outlined 
below. Approximately 20-25 companies will be selected from the 
applicant pool to participate in the mission.

Fees and Expenses

    After a company has been selected to participate in the mission, a 
payment to the Department of Commerce in the form of a participation 
fee is required. The participation fee, based on 25 companies, will be 
$11,000 for large firms and $9,000 for a small or medium-sized 
enterprise (SME), which includes one principal representative.\1\ The 
fee for each additional firm representative (large firm or SME) is 
$2,000.
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    \1\ 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 schedule 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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    Expenses for travel arrangements to and from India, lodging, some 
meals, and incidentals will be the responsibility of each mission 
participant.

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 Office of Business Liaison receives 
an incomplete application, the Department of Commerce may either: 
Reject the application, request additional information/clarification, 
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 fifty-one 
percent U.S. content. In cases where the U.S. content does not exceed 
fifty percent, especially where the applicant intends to pursue 
investment and major project opportunities, the following factors, may 
be considered in determining whether the applicant's participation in 
the trade mission is in the U.S. national interest:
    [cir] U.S. materials and equipment content;
    [cir] U.S. labor content;
    [cir] Repatriation of profits to the U.S. economy;
    [cir] Potential for follow-on business that would benefit the U.S. 
economy;
 Certify that the export of the products and services that it 
wishes to export through the mission would be in compliance with U.S. 
export controls and regulations;
 Certify that it has identified to the Department of Commerce 
for its evaluation any business pending before the Department of 
Commerce that may present the appearance of a conflict of interest;
 Certify that it has identified any pending litigation 
(including any administrative proceedings) to which it is a party that 
involves the Department of Commerce; and

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 Sign and submit an agreement that it and its affiliates (1) 
have not and will not engage in the bribery of foreign officials in 
connection with a company's/participant's involvement in this mission, 
and (2) maintain and enforce a policy that prohibits the bribery of 
foreign officials.

Selection Criteria for Participation

    Selection will be based on the following criteria in decreasing 
order of importance:

 Consistency of company's products or services with the scope 
and desired outcome of the mission's goals;
 Suitability of a company's products or services to the Indian 
market and the likelihood of a participating company's increased 
exports to or business interests in India as a result of this mission;
 Demonstrated export experience in India and/or other foreign 
markets;
 Prior experience in public discussions, such as through 
conferences, business organizations, public/private entities, or 
academic fora, on policy issues related to market access for U.S. firms 
in India;
 Current or pending major project participation; and
 Rank/seniority of the designated company representative.

    Additional factors, such as diversity of company size, type, 
location, and demographics, may also be considered during the review 
process.
    Referrals from political organizations and any documents, including 
the application, 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.export.gov/trademissions/
) and other Internet Web sites, press releases to general and trade 
media, direct mail, broadcast fax, notices by industry trade 
associations and other multiplier groups, and publicity at industry 
meetings, symposia, conferences, and trade shows. The Commerce 
Department's Office of Business Liaison and the International Trade 
Administration will explore and welcome outreach assistance from other 
interested organizations, including other U.S. Government agencies.
    Recruitment for this mission will begin immediately upon approval. 
Applications can be completed on-line at the India Infrastructure 
Business Development Mission Web site at http://www.export.gov/IndiaMission2012 or can be obtained by contacting the U.S. Department 
of Commerce Office of Business Liaison ( (202) 482-1360 or 
[email protected]).
    The application deadline is Wednesday, January 25, 2012. Completed 
applications should be submitted to the Office of Business Liaison. 
Applications received after Wednesday, January 25, 2012 will be 
considered only if space and scheduling constraints permit.
    General Information and Applications: The Office of Business 
Liaison, 1401 Constitution Avenue NW., Room 5062, Washington, DC 20230, 
Tel: (202) 482-1360, Fax: (202) 482-4054, Email: 
[email protected].

Elnora Moye,
Trade Program Assistant.
[FR Doc. 2011-32970 Filed 12-22-11; 8:45 am]
BILLING CODE 3510-FP-P