Commercial Outreach Efforts in Eastern Caribbean

UNCLAS SECTION 01 OF 02 BRIDGETOWN 000095 SIPDIS SIPDIS EB/CBA FOR DENNIS WINSTEAD DS FOR DS/DSS/OSAC COMMERCE FOR FCS SANTO DOMINGO E.O. 12958: N/A TAGS: BEXP ETRD EINV AMCHAM ASEC BB XL SUBJECT: Commercial Outreach Efforts in Eastern Caribbean Ref: Bridgetown 49 ¶1. SUMMARY: The Ambassador hosted a lunch on February 11 for the newly formed American Chamber of Commerce (AmCham) for Barbados. The board, drawn from ten of the larger American companies in Barbados, will hold an organizational meeting in the last week of February and will begin operations shortly after that. Post plans commercial outreach efforts in St Kitts, and St Lucia the week of February 18, following on two outreach events with the American business community in Dominica. Ultimately, we hope to generate a critical mass of interest in each of the countries of the EC to create a network of AmChams that can help wave the flag, advocate for U.S. commercial priorities, and spark new trade and investments in the EC market. End Summary Launching of AmCham Starts Our Commercial Outreach Campaign ¶2. At a February 11th luncheon, the Ambassador welcomed the creation of the board of directors for a new AmCham and engaged in a spirited discussion on the business environment in Barbados. She expressed the Embassy's strong desire to help American companies expand their operations in Barbados and stressed that American firms are the face of America to many people in Barbados and the Eastern Caribbean. ¶3. The initial board of AmCham consists of representatives from Air Jamaica, Citicorp, Windward Agencies, American Airlines, ADM Barbados Mills, KFC Barbados, TGI Fridays, Tele Barbados, and American Life. Several other large corporations have expressed interest in joining the board, and some 60 American-affiliated firms have expressed some interest in participating in an AmCham. ¶4. Embassy Bridgetown originally launched a regional AmCham for the Eastern Caribbean in 2000. It was active until 2003 when it quit functioning due to change in leadership of the organization and a lack of commitment by the membership to make it a viable organization. The AmCham formed in 2000 did not register with or seek accreditation with the U.S. Chamber of Commerce in Washington, DC and thus was not an official AmCham. As a result of this neglect, the Eastern Caribbean is the only significant economic space in the region without an AmCham presence. Now that we have formed an AmCham we hope to see the AmCham become a viable organization and a vital partner in post's commercial diplomacy. ¶5. There are some 60 American-owned companies in Barbados. These firms run the entire gamut of industries, with banks, financial service providers, accounting firms and the like being the most common firm represented here. There are a number of American-owned hotel chains in Barbados and several large scale American-owned resorts are being developed. There are also a number of smaller, niche manufacturers active in Barbados. There are a number of other companies that would qualify for potential AmCham membership as they are either managed by an American citizen or do a significant amount of business with the United States, including significant U.S. sourcing of their equipment. Surprising Number of American Firms in the Islands ¶6. Moreover, in each of our other countries there is a surprising number of American-owned or affiliated companies that we hope will form the nucleus of "mini-AmChams". Most, if not the majority of American owned companies in our other islands are in the tourism-hotel sector, although there are a number of larger other companies, including the Hess Oil refinery in St Lucia. Recent experience in Dominica (septel),the least developed of the EC countries, revealed some two dozen American-affiliated companies, some more than 40 years old and some in their infancy, and running the gamut from tourism to mining and from well-known multinationals Coca Cola and Proctor and Gamble to small entrepreneurial firms. KFC Everywhere But No Micky D's ¶7. Many of our other islands also have some of the American owned fast food chains, but marquee stalwarts like McDonald's and Starbucks are not present in Barbados, or most of our islands. Of the big restaurant chains, KFC is present and popular throughout the region as people in the region tend to favor chicken. Subway has been trying for several years to open in Barbados but has faced opposition from the local fast food chains. We heard at the AmCham lunch, that Subway is in the final stages of getting approval to enter into Barbados (they already have franchises in many of the other EC countries). ¶8. Although the majority of foreign owned firms in the region are UK, Canadian or Trinidad owned, there is a strong market penetration of American consumer goods, particularly food products, as the region imports most of their daily necessities, many from U.S. distributors. Thus many American corporations may not be aware of BRIDGETOWN 00000095 002 OF 002 how widely distributed their products are in the Eastern Caribbean. The U.S. is also a favored source for machinery and other related goods, and both locally-owned and U.S.-affiliated companies have expressed significant interest in U.S. trade shows. ¶9. Through the assistance of BFIF funding, we have been able to conduct much more extensive outreach to the other EC countries. This unprecedented (we are told) interest from the U.S. Embassy has yielded surprisingly positive results from a U.S. business community hungry for information and networking opportunities and eager to partner with the Embassy on advocacy, outreach, and Public Diplomacy issues. As travel funding allows, we will be working diligently to broaden and deepen our contacts with this heretofore underserved community, with the ultimate goal of creating, at a minimum, "mini-AmChams" that can link into the Barbados AmCham. Creating such a network will enable U.S. companies in the region access to information on a market that, combined, includes over a million permanent residents and up to five times as many visitors annually. OURISMAN