BANGLADESH ROAD SHOW

UNCLAS SECTION 01 OF 02 DHAKA 000539

SIPDIS

COMMERCE FOR DOUGLAS SHUSTER
COMMERCE FOR STACEY CHOW
COMMERCE FOR PAUL MARIN
COMMERCE FOR BRYAN LOPP
COMMERCE FOR ADINA ADLER
DEPT FOR EB - DENNIS WINSTEAD
DEPT FOR SA/PB, SA/PPD, NEA/SA/EX

E.O. 12958: N/A
TAGS: ETRD BEXP ECON BG
SUBJECT: BANGLADESH ROAD SHOW

REF: A. DENNIS WINSTEAD'S EMAILS DEC 10-JAN 15

B. USTDA EMAILS AND PHONE CONVERSATIONS NOV 04 - FEB

C. NAZIMA RAZICK'S EMAILS NOV 11-FEB 1


1. This is an action cable. Please see para 2 and 12 for
requested action.


2. Summary and Action Request: Post has been working with
the BDG to plan and organize a series of trade shows and
seminars in US cities to promote Bangladesh as a potential US
investment destination and to promote trade relations between
the two countries. This series of events, entitled the
Bangladesh Road Show, is to take place in early May in
Houston, St. Louis, and Baltimore. This Show will benefit US
exporters and investors by creating linkages between BD
buyers and US exporters and investors; while improving US-BD
political and economic relations. Post and the BDG are in
the budgeting and funding stages. Post estimates USG funding
requirements will be $150,000. Post requests official
confirmation of funding and coordination support from DOC and
State for the Road Show that has been informally discussed
through ref email communications for the past several months.
End Summary.

CONCEPT
--------------

3. The Bangladesh Road Show is an initiative of the
Ambassador designed to showcase and facilitate bilateral
trade in sectors in which BD has export potential and in
which there is US investor and export/import interest. The
sectors that post identified are ceramics, energy,
infrastructure, seafood, agricultural products,
manufacturing, specialized textiles, etc. This is to
encourage diversification of the Bangladesh economy in the
post-MFA environment away from its heavy reliance on the
garment sector. The BD Road Show will include delegates from
the BDG and key BD private sectors. The delegation will
travel to Houston, St. Louis, and Baltimore. The two-day
events in each city will include trade fairs and seminars.
The trade fairs will showcase BD and US products from key
sectors that are of interest to both sides. The seminars
would include speakers from the USG, BDG, US private sector
and BD private sector on key governance issues and on
business practices within sectors.

SECTORS AND SITES
--------------

4. The BD Road Show is scheduled for May 2 - 13. The Road
Show will start in Houston. Houston serves as the focal
point for the energy sector and cotton production. Houston
is home to large energy firms, a sector with tremendous
potential in Bangladesh. UNOCAL, one of the largest
investors in BD, is headquartered there. Infrastructure
development could also be a focus as Texas is home to the
largest construction firms. Cotton, grown in Texas, is the
biggest US export to BD. Houston is also a popular
settlement city for Bangladeshi immigrants. Banks and USG
officials may talk about proper transfer of funds to address
security concerns associated with improper methods of
remittance outflow.


5. St. Louis is the next stop for the Show. St. Louis
offers the middle America perspective. It also serves as the
center for agricultural production, a major area of export
for the US. Cotton, soybean, and wheat are major exports
from this area. With many larger retailers, like Walmart,
headquartered in and around this region, this portion of the
show would highlight BD textiles, ceramics, jute products,
leather goods etc.


6. Baltimore would be the last site for the delegation.
Baltimore was chosen because of its proximity to Washington
and the East Coast. Frozen seafood is a growing export
sector for BD. Baltimore has several manufacturing companies
that specialize in processing seafood, poultry processing,
freezing and manufacturing equipment, etc. Water treatment
and port facilities could also be other highlights here.

BUDGET AND FUNDING
--------------


7. Based on budgeting information from USTDA and private
sector event consultants, the Road Show costs are projected
at $300,000. This would include travel and accommodations
for 25 delegates, event planning and coordination costs for
two-day events in three cities, in-country travel, meals and
incidentals, receptions and miscellaneous event costs. Costs
would also include press events and publicity. The BDG and
the BD private sector have committed to bear half the cost,
including all travel and accommodation expenses for the
delegates. The BDG will also bear shipping costs for all
trade promotion products and equipment for the trade fairs.


8. BD and US corporations have shown interest in sponsoring
receptions, seminars, dinners, etc., as needed for the Road
Show. Corporate support will depend on logistical needs and
funding requirements. Corporations have also offered to
support publicity efforts for the Road Show. Per email
communication with USTDA and EB, Post understands that USG
trade promotion funds will be allocated through DOC and State
to support, coordinate, and promote the Road Show. At
present, we estimate the USG will need to provide $150,000 in
support of the Road Show in addition to Post funds already
allocated for participation of Embassy Dhaka in the event.
The estimated funding does not include costs associated with
the travel of Washington-based USG officials to any of the
event venues.

BDG INVOLVEMENT
--------------

9. The Board of Investment (BOI),the BDG agency charged
with BD promotion as an investment destination, is serving as
the coordinating agency on the BDG side. The BOI Executive
Chairman, Mahmudur Rahman, with the approval of Prime
Minister Zia, is the point of contact for BD. Mr. Rahman has
been instrumental in identifying sectors of interest, key
business leaders in each sector, identifying funding sources,
etc. BOI is coordinating the show with all the involved
ministries and has taken the lead on controlling information.
The Ambassador and the DCM have discussed the Road Show with
relevant ministries, including the Foreign Minister, the
Finance Minister and the Commerce Minister. The BDG has
responded positively to the concept.

PRIVATE SECTOR INVOLVEMENT
--------------

10. We have discussed the Road Show with US and BD private
sector firms in order to generate interest and support.
Initial discussions have been positive, but to get concrete
sponsorship commitments the show needs USG buy-in and
commitment. The BD private sector has committed to funding
travel and lodging expenses for the delegation. Venue and
events funding will be contingent on corporate sponsorship
and USG trade promotion funds.

NEED FOR USG FUNDING ASSISTANCE
--------------

11. Action Requested: Post requests State and DOC assistance
to identify and coordinate USG funds (including funding from
EB, USTDA, etc.) for the US trade promotion portion of the
Road Show. In order to ensure success of this show, post
requests USG trade promotion funds to facilitate US portion
of the events. Post welcomes any suggestions from State and
DOC regarding additional sources of funding or coordination.
THOMAS