[Federal Register Volume 78, Number 23 (Monday, February 4, 2013)]
[Notices]
[Pages 7752-7755]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-02262]


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DEPARTMENT OF COMMERCE

International Trade Administration


Trade Mission to Egypt and Kuwait

AGENCY: International Trade Administration, Department of Commerce.

ACTION: Replacement Notice.

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SUMMARY: The United States Department of Commerce, International Trade 
Administration, U.S. and Foreign

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Commercial Service is replacing the Notice regarding the Trade Mission 
to Egypt and Kuwait March 10-14, 2013, published at 77 FR 71777, 
December 4, 2012, to cancel the Kuwait portion of the mission, and 
reschedule the Egypt portion to April 14 to 16, and the application 
deadline to March 14.

SUPPLEMENTARY INFORMATION: In June 2012 the Department of Commerce 
initiated recruitment for participation in the U.S. Trade Mission to 
Egypt and Kuwait March 10-14, 2013, published at 77 FR 33439, June 6, 
2012. In 77 FR 71777, December 4, 2012, the Department of Commerce 
announced that the application deadline for the mission was extended 
until January 18, 2013. Since then, due to unforeseen circumstances, 
the Kuwait portion of the mission has been cancelled, and Trade Mission 
to Egypt will be April 14 to 16 and the application deadline March 14. 
Interested firms that have not already submitted an application are 
encouraged to apply. Applications will be accepted after the deadline 
only to the extent that space remains and scheduling constraints 
permit.

Replacement

    The Trade Mission to Egypt and Kuwait is replaced to read as 
follows:

Business Development Mission to Trade Mission to Cairo, Egypt

April 14-16, 2013.

Mission Description

    The U.S. Department of Commerce, International Trade 
Administration, U.S. and Foreign Commercial Service is organizing a 
Trade Mission to Cairo, Egypt to explore opportunities in the following 
sectors: electric power infrastructure, building products and design 
and construction, and safety and security.
    Led by a senior executive of the Department of Commerce or other 
U.S. Government agency, the trade 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, chambers of commerce, and business 
groups; and networking receptions for companies and trade associations 
representing companies interested in expansion into the North African 
and Middle Eastern markets. Meetings will be offered with government 
authorities that can address questions about policies, tariff rates, 
incentives, grid interconnection, regulation, etc.
    The mission will help participating firms and trade associations 
gain market insights, make industry contacts, solidify business 
strategies, and advance specific projects, with the goal of increasing 
U.S. exports to Egypt. Participating in an official U.S. industry 
delegation, rather than traveling to Egypt on their own, will enhance 
the companies' ability to secure meetings in Egypt.

Commercial Setting

    Egypt is strategically located at the gateway of trade for Africa 
and the Middle East. It is a prime location for the transit of goods, 
as well as a key destination for American companies seeking to do 
business in the region. Egypt has experienced profound political 
changes over the past year. On February 11, 2011, President Hosni 
Mubarak's 30-year rule came to an end. In January 2012, Egypt seated 
its first freely and fairly elected parliament, and has held a 
Presidential election. In the meantime, the United States remains 
committed to a strong partnership with Egypt.
    As the largest Arab country with a population of 90 million, Egypt 
is the fourth largest export market for U.S. products and services in 
the Middle East. The United States is Egypt's largest bilateral trading 
partner, and the second largest investor. In 2011, bilateral trade 
reached $8.2 billion. The gross domestic product (GDP) grew over five 
percent from 2009 to 2010. According to Business Monitor 
International's forecasts, Egypt's real GDP is expanding 2.1% in 
FY2011/12 and projected to grow 4.9% in FY2012/13 (Egypt's fiscal year 
is July through June). Egyptian law requires that foreign companies 
retain Egyptian commercial agents for public tenders, but they may work 
directly with private companies. Most foreign companies have found it 
beneficial, however, to engage a local agent for private sector 
transactions as well because of their familiarity of the language, law 
and general business practices. Based on geographical location or 
product basis, a firm can appoint multiple agents in Egypt to further 
enhance its success.

Best Sector Prospects

Electric Power Infrastructure

    Egypt is one of the largest electrical energy producing countries 
in the Middle East. Over the next ten years, Egypt plans to expand its 
electricity capacity to 60,000 megawatts through a combination of 
traditional, renewable, and energy production to diversify energy 
resources and preserve the country's limited oil and gas reserves. 
Opportunities exist for U.S. providers of gas turbines, steam turbines, 
hydro and wind turbines, blades, and other equipment, as well as 
development and project management. Best prospects in the energy sector 
include circuit breakers of more than 66kv, power transformers of more 
than 25MVA-66kva, power transmission lines, turbine generator units 
with associated equipment, and vibration dampers.
    The US&FCS will organize meetings for the mission delegates with 
the Ministry of Electricity and Energy, and the New and Renewable 
Energy Authority government officials who can address questions about 
policies, tariff rates, incentives, grid interconnection, price 
subsidy, and regulations.

Building Products and Design and Construction

    The Government of Egypt (GOE) directed $1.9 billion to Egypt's 
infrastructure in 2010. With over 50 percent of the population under 
the age of 25 and a strong tourism market, there has been increased 
pressure on Egypt's roads, bridges, railroads, power stations, water 
and sewage, hospitals, and schools. According to the GOE, growth in the 
construction sector reached 4.25% in 2010 and will rise to 5.63% in 
2014. It is expected to grow by a robust 4.91% year-on-year from 2010 
to 2014, reaching a total value of $15.8 billion. Such growth is 
expected to attract investments of around $7.3 billion by 2015. Demand 
in the sector is on the rise mainly because of rapid demographic growth 
and housing shortages, particularly in the low- and middle-income 
segments. Construction accounts for around 8% of total employment, with 
a workforce of 1.2 million people in the sector.
    As an active importing and exporting country with a trade volume 
reaching $19.5 billion in 2011, there is an ongoing need for state-of-
the-art logistics centers, intermodal connecting systems, cold storage, 
and river transportation. Logistics centers are considered critical to 
the global supply chain and will affect logistics decisions ranging 
from shipping routes to warehouse locations.
    In 2012, the Egyptian government's General Authority for Investment 
announced the following major plans for infrastructure development:
     The 6th of October Wastewater Treatment Plant: design, 
construction operation and maintenance of a new 150,000 m3/day plant, 
valued at $15-29 million
     Abu Rawash Wastewater Treatment Plant: upgrading of the 
plant, valued at $990 million

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     East Port Said Port: includes a duty free zone area, road 
and rail networks, a power station, communication center, value-added 
services, valued at $1.5 billion
     Alexandria Medical City: a medical center project for 
which the Egyptian government seeks private investment for financing, 
designing, constructing, equipping, furnishing, maintenance, operating 
and providing non-clinical facility services for two University 
Hospitals and a blood bank, valued at $1.45 billion
    Some projects will be awarded based on the Egyptian government's 
``Public Private Partnership'' (PPP) program, a multi-faceted 
initiative to attract private sector investment for infrastructure 
projects.

Safety and Security

    The safety and security industry is booming throughout Egypt as the 
country deals with increased security issues ranging from private 
citizen safety to transaction fraud. Safety and security imports to 
Egypt have increased 10-15% annually for the past few years and U.S. 
brands are well received. This is primarily a government market, 
dominated by the Ministry of Interior and Ministry of Defense.
    As the country works to increase tourism over the next few years (a 
government priority post-revolution), airports and seaports will need 
upgraded security systems. Police and customs authorities will also 
have an increased need for such systems. Egypt has eight major ports 
and three cross-country borders that require significant security 
measures. In its fight against drug smuggling and counterfeit products, 
Egypt requires container scanning and shipment tracking devices. Egypt 
is also looking at container scanning upgrades and seafarer 
identification cards for more secure identification and synchronizing 
systems to coordinate security measures and responses. Accordingly, 
opportunities exist for U.S firms providing short-range radar systems, 
surveillance cameras, infrared and radiological detectors, vessel 
tracking MIS, biometric scanners, personnel databases, computer 
peripherals, and systems integration equipment. Companies that can 
provide proven, cutting-edge technologies will have an advantage in 
these export opportunities.

Mission Goals

    The goal of the trade mission is to provide U.S. participants with 
first-hand market information, access to government decision makers as 
appropriate and 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 Egypt.

Mission Scenario

    Cairo is the capital of Egypt and the largest city in Africa. The 
business week runs from Sunday through Thursday.

Proposed Timetable

    Saturday, 13 April, Arrival in Cairo.
    Sunday, 14 April, Orientation and market briefings, business 
luncheon with American Chamber of Commerce and U.S. Ambassador's 
networking reception.
    Monday, 15 April, One-on-one business appointments; business 
lunch--General Authority For Investment and Free Zones presentation on 
major public-private partnership projects; group dinner.
    Tuesday, 16 April, One-on-one business appointments.

End of Mission

Participation Requirements

    All parties interested in participating in the Trade Mission to 
Egypt 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. A minimum of 15 U.S. companies and/or trade 
associations and maximum of 20 companies and/or trade associations will 
be selected to participate in the mission from the applicant pool. U.S. 
companies or trade associations already doing business with Egypt, as 
well as U.S. companies or trade associations seeking to enter these 
countries for the first time may apply.

Fees and Expenses

    After a company has been selected to participate on the mission, a 
payment to the U.S. Department of Commerce in the form of a 
participation fee is required. The fee for one representative to 
participate in the mission is $1400 for an SME and $2100 for large 
firms or trade associations. The fee for each additional company or 
association representative (SME or large firm) is $400. Expenses for 
travel, lodging, most meals, interpreters, and incidentals are the 
responsibility of each mission participant. Participants may be able to 
take advantage of 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 U.S. 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. In the case of a trade 
association or trade organization, the applicant must certify that, for 
each company to be represented by the trade association or trade 
organization, the products and services the represented company seeks 
to export 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.

Selection Criteria for Participation

    Selection will be based on the following criteria:
     Suitability of the company's (or, in the case of a trade 
association or trade organization, represented companies') products or 
services to the targeted markets
     Applicant's (or, in the case of a trade association or 
trade organization, represented companies') potential for business in 
the target markets, including likelihood of exports resulting from the 
mission
     Consistency of the applicant's goals and objectives with 
the stated scope of the mission
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 posting Export.gov--and other Internet Web sites; publication 
in trade publications and association newsletters; direct outreach to 
the Department's clients; posting in the Federal Register; and

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announcements at industry meetings, symposia, conferences, and trade 
shows.
    Recruitment for the mission will begin January 28, 2013 and 
conclude no later than March 14, 2013. The U.S. Department of Commerce 
will review applications and make selection decisions on a rolling 
basis until the maximum of twenty participants is reached. We will 
inform all applicants of selection decisions as soon as possible after 
the applications are reviewed. Applications received after the March 14 
deadline will be considered only if space and scheduling constraints 
permit.

FOR FURTHER INFORMATION CONTACT: 

U.S. Commercial Service Cairo, Egypt        U.S. Commercial Service
                                             Washington, DC
Dennis Simmons, Deputy Senior Commercial    Anne Novak
 Officer
U.S. Commercial Service                     U.S. Commercial Service
Embassy of the United States of America     Washington, DC
Email: [email protected]             Tel: (202) 482-8178
Tel: (202) 2797-2610                        Email: [email protected]
 


Elnora Moye,
Trade Program Assistant.
[FR Doc. 2013-02262 Filed 2-1-13; 8:45 am]
BILLING CODE 3510-FP-P