2008 BUSINESS FACILITATION INCENTIVE FUND (BFIF) FY08

UNCLAS ULAANBAATAR 000530 SENSITIVE SIPDIS STATE FOR EEB/CBA - Dennis Winstead USDOC FOR ZHEN-GONG CROSS E.O. 12958: N/A TAGS: ABUD AMGT BEXP BTIO ECON EINV ETRD MGL SUBJECT: 2008 BUSINESS FACILITATION INCENTIVE FUND (BFIF) FY08 PROGRAM CLOSEOUT REPORT ULAANBAATAR FOR CON-AGG PROJECT Ref: State 73258 ¶1. Please find post's closeout report for the FY 2008 BFIF-supported 2008 Con-Agg project. ¶2. Text of report: Business Facilitation Incentive Fund Project Report - FY2008 Date Submitted: December 9, 2008 Project Manager: Michael D. Richmond, Senior Commercial Specialist Office: Economic and Commercial Section, US Embassy Ulaanbaatar, Mongolia Contact: +976-329-095; richmondmd@state.gov Project Title: Attending CONEXPO-CONAGG 2008 Show in Las Vegas, Nevada, March 11-15 to promote U.S. construction materials and equipment sales in Mongolia Introduction: As part of its ongoing effort to promote U.S. construction goods and services sales in Mongolia, post received BFIF funds (USD 620, refer to 2008 State 23958 for fund cite information) to be used to send Commercial Assistant Ms. M. Altantsetseg to the CONEXPO-CONAGG 2008 Show in Las Vegas, Nevada, March 11-15: Specific aims included: -- Provide first hand knowledge of the Mongolian market and its opportunities to U.S. vendors. -- Facilitate commercial links among these American vendors with Mongolian and foreign firms actively constructing commercial, industrial, and residential structures in Mongolia. We worked with Department of Commerce and Expo organizers on match-making the delegation with U.S. manufactures attending Con-Agg. -- Provide needed translation and interpretation services to Department of Commerce Officers (DOC),Expo staff, Mongolian visitors, and U.S. suppliers. BFIF Project Support: The Business Facilitation and Investment Fund provided USD 620 to cover 3 days of lodging expenses in Las Vegas and to cover airfare from Los Angeles to Las Vegas. Results of the Project: ¶1. Outreach to Mongolian firms Our commercial team aggressively researched and recruited Mongolian construction firms. These efforts consisted of broadly distributing information on Con-Agg 2008 to over 200 construction businesses through joint promotional activities with our local partner, the Mongolian Builder's Association (MBA),and through briefings to associations and face-to-face meetings with Ulaanbaatar-based construction firms. These efforts yielded a Mongolian delegation composed of 34 individuals representing 22 firms, associations, and government of Mongolia officials. Firms were primarily interested in equipment and products related to concrete and building exteriors. When including other exhibitions for which we supported Mongolian delegations with and without the use of BFIF funds, including the 2008 International Builders Show in Orlando Florida (20 Mongolians), World of Concrete 2008 in Las Vegas (30 Mongolians),the 2008 Waste Management Show in Chicago (15 Mongolians),and the 2008 MINEXPO in Las Vegas (105 Mongolians),we see growth from 27 to 204 Mongolian participants over two years. All of this was achieved through a program we created in 2006 and continued in 2007 and 2008 with on-going support from BFIF. ¶2. Export Results Following the delegation's return, our local partner, the MBA, surveyed the delegates regarding purchases made on goods and services associated with attendance at Con-Agg 2008: --USD 108,000: Air tickets, hotels, food etc --USD 490,500: Measuring tools, equipment, cars, and control devices --USD 598,500: Total The total USG contribution from DOC, BFIF, and post funds was approximately USD 2,500, with the event organizer providing USD 1,000 to cover part of the airfare. (See excel spreadsheet provided septel for breakdown of exports.) Follow Up Activities: Post's Commercial section has maintained the contacts with the leading professional construction association, the MBA, and individual firms that we originally employed in support of CONEXPO Asia 2006, continuing in 2007 and 2008 through the exhibitions mentioned above. We are currently at work with the MBA organizing separate delegations for the 2009 International Builders Show in Las Vegas and the 2009 World of Concrete Show, also in Las Vegas. The Commercial Section at the U.S. Embassy in Ulaanbaatar intends to submit a project proposal to support the attendance of Commercial Assistant M. Altantsetseg at the World of Concrete Show in Las Vegas, February 1-6, 2009. Breakdown of Expenses (travel voucher data to follow in separate fax and email): --USD 320: 5 days of per diem in Las Vegas --USD 298: roundtrip airfare from Las Angeles, CA to Las Vegas, NV --USD 618: Total