TANZANIA FY09 PROPOSAL FOR BUSINESS FACILITATION INCENTIVE

UNCLAS DAR ES SALAAM 000014 SIPDIS DEPT EEB/CBA FOR DWINSTEAD, AF/E FOR JLIDDLE, AF/EPS NAIROBI FCS FOR JSULLIVAN E.O. 12958: N/A TAGS: BEXP BTIO ECON EINV ETRD TZ SUBJECT: TANZANIA FY09 PROPOSAL FOR BUSINESS FACILITATION INCENTIVE FUND (BFIF) REF: A: 2008 STATE 128559 B: 2008 DAR ES SALAAM 526 ¶1. SUMMARY. In response to ref A, we request Business Facilitation Incentive Funds (BFIF) to support one FY2009 project: a "Trade USA" pavilion at the Dar es Salaam International Trade Fair (DITF) in June-July 2009. The "Trade USA" pavilion, which builds on past successes, will support the Mission Strategic Plan (MSP) economic strategy, which prioritizes promoting growth through investment and trade linkages. The pavilion will target important growth sectors, including information technology, manufacturing, horticulture and agro-processing. END SUMMARY. Dar es Salaam International Trade Fair ¶2. The 2009 Embassy pavilion will build on the highly successful outcome of the Embassy's 2008 DITF exhibition, at which the "Trade USA" exhibit won first place recognition for innovation and excellence of presentation among foreign-government sponsored exhibits (ref B). The pavilion was compromised of 23 booths, which housed exhibits from the U.S. Mission, including a booth featuring AGOA, and 15 U.S. companies and affiliates. The "Trade USA" pavilion attracted a steady stream of visitors from the private sector, the government and the general public. In 2008, over 500,000 people visited the DITF. We estimate that at least fifty percent of visitors toured the "USA Trade" pavilion. ¶3. In 2009, the Embassy expects the pavilion will be comprised of between 20 and 25 exhibit booths, which will include: three to four booths housing U.S. Mission programs; two to four booths housing USAID affiliated organizations; and, 12 - 20 booths housing U.S. affiliated private businesses. In past years, the pavilion's participating U.S. affiliated businesses exhibited U.S. products and services from industries such as construction, farming, communication, energy and natural resources, household products, foodstuffs and music. ¶4. Tanzania continues to have substantial untapped potential for exports to the U.S. under the African Growth and Opportunity Act (AGOA). DITF provides U.S. companies already established in Tanzania, or companies doing business in Eastern or Southern Africa, the opportunity to make sales, take orders, disseminate market information and survey potential customers--all working toward reinforcing U.S.-Tanzanian trade linkages. Planning Milestones ¶5. In preparation for the DITF 2009 exhibition, Post will work with the Government of Tanzania, in particular the Board of External Trade, as well as US Mission organizations, the Foreign Commercial Service, the American Business Association, U.S companies and affiliates established in Tanzania to coordinate and improve the "Trade USA" pavilion. Planning milestones include: - February 2009: Reserve space at DITF for the "Trade USA" pavilion through the Board of External Trade. - April 2009: First planning meeting of 2009 "USA Trade" pavilion participants - April 2009: Planning, preparing and acquiring information, literature, catalogues and presentation for the "Trade USA" pavilion. - April 2009: Planning, designing and ordering building materials for the "Trade USA" pavilion. - May 2009: Organizing the multi-agency staffing for the US Mission booths during the 10-day fair. - June 2009: Second planning meeting of DITF participants - June 2009: Assembling and setting up the "Trade USA" pavilion. Anticipated Outcomes ¶6. At the DITF 2008, the fifteen participating U.S. and U.S.-affiliated companies increased sales and/or contacts through participation in the "Trade USA" exhibit. The Embassy anticipates the long-term outcomes of the DITF 2009 to include: - increased sales for U.S. and U.S.-associated companies in Tanzania and the region; - increased exposure to U.S. franchises; - a better understanding of the opportunities offered under the African Growth and Opportunity Act (AGOA); - increased exposure by Tanzanian businesspersons and investors to the importation and use of U.S. products. Estimated Costs ¶7. Post estimates the total cost of the 2009 DITF "Trade USA" pavilion to be USD 8,800.00. This estimate reflects an expected 9% increase over 2008 costs to account for inflation. This funding will be used to pay for the following items: - DITF Pre-show Seminar Participation Fee: $25.00 - DITF Booth Rental Fees (three U.S. mission booths): $4500.00 - DITF Parking Sticker: $340.00 - Security Guards for the "USA Trade Pavilion": $990.00 - Printing 500 "USA Trade Pavilion" Brochures: $1220.00 - Decorations and Cleaning: $1690.00 ¶8. Post POC is Patrick Brown; Tel: 255-22-266-8001 x4166; Fax 255-22-266-8296, email brownpj@state.gov. GREEN