[Federal Register Volume 75, Number 179 (Thursday, September 16, 2010)]
[Notices]
[Pages 56509-56511]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-23028]
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DEPARTMENT OF COMMERCE
International Trade Administration
Multi-Sector Trade Mission to Nigeria
AGENCY: International Trade Administration, Department of Commerce.
ACTION: Notice.
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Mission Statement: Multi-Sector Trade Mission to Nigeria, March 8-10,
2011
I. Mission Description
The United States Department of Commerce, International Trade
Administration, U.S. Commercial Service is organizing a Trade Mission
to Nigeria March 8-10, 2011, to help U.S. firms find business partners
and sell equipment and services in Lagos and Abuja, Nigeria. Targeted
sectors include, but are not limited to, energy and power generation,
health care, information technology, transportation and construction.
This mission will be led by a senior official and will include
business-to-business matchmaking with local companies, market
briefings, and meetings with key government officials.
II. Commercial Setting
In 2009, the Nigerian economy was among the top 20 fastest growing
in the world at 6+%, and is one of the two largest economies in Africa.
The International Monetary Fund projects Nigeria's economy to continue
to grow at 6+% for the next 4 years. With a population of 150 million
people, the largest in Africa and 8th largest in the world, Nigeria has
a thriving consumer market. Total U.S.-Nigeria trade did fall from $3.4
trillion to $2.6 trillion in 2008 and 2009 but is expected to surge in
conjunction with Nigeria's growing economy. U.S. exports to Nigeria in
2009 consisted mostly of cereals, vehicles, machinery, fuel and
aircraft.
There is significant business potential for U.S. businesses willing
to conduct due diligence and draw on Commercial Service assistance in
screening prospective partners and customers in Nigeria.
Nigerians prefer U.S. products due to quality, name brand
recognition and seek competitive pricing. The business culture relies
heavily on the strength of personal contacts to consummate deals. This
trade mission offers U.S. company
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representatives an excellent introduction to a broad range of credible
Nigerian business partners and Nigerian officials.
Best Prospects
Energy: At 20% of GDP, the oil and gas industry continues to
dominate the Nigerian economy. With an estimated 36.24 billion barrels
of oil, Nigeria has the 10th largest proven oil reserves in the world.
It also has the 8th largest proven gas reserves with an estimated 187
trillion standard cubic feet. In addition, Nigeria is the 12th largest
market for U.S. oil and gas equipment sales. A recent Government of
Nigeria (GON) directive will require the end of gas flaring on December
31, 2010. Compliance with this GON directive potentially could create a
lucrative market for U.S. industry. The estimated life expectancy of
Nigeria's proven crude oil reserve is 35 years, while that of gas is
over 100, ensuring that the oil and gas industry will continue to offer
lucrative opportunities in oil and natural gas equipment and services.
The President and Minister for Power have unveiled a roadmap for reform
of the power sector (http://www.nigeriapowerreform.org) which will
provide concrete opportunities for U.S. suppliers over the next two-
three years in the power generation and distribution sectors. Note:
Companies interested in this sector of the Nigerian economy should take
into account ongoing security issues in and around the oil fields in
the Niger delta for pricing and delivery purposes.
Healthcare: In 2006, the GON spent $1.2 billion per year on health
care and plans to increase spending as it reforms Nigeria's healthcare
policies and rebuilds health care infrastructure. Industry watchers and
analysts indicate potential opportunities for U.S. suppliers and
manufacturers of cutting-edge medical equipment used especially for
medical examination, on-line training and telemedicine, particularly
for complex and difficult operations where international expertise is
needed.
Information Technology: The success of Nigeria's telecommunications
industry subsector is fueling demand for computers, software,
peripherals and professional services such as electronic banking,
internet services, e-learning, e-government, e-health and digital
security services. Current bandwidth in Nigeria is provided through the
SAT-3 cable of 350 gigabits. Two additional broadband cables are
expected to increase the broadband capacity by 2.6 terabits for a total
of almost 3.0 terabits for the entire country in the coming year. With
over 1,800 licenses managed by the Nigerian Communications Commission
(NCC), the market generated about $10 billion in telecommunications
services revenue in 2009 and recorded an average annual growth rate of
about 30 percent.
Transportation: The United States currently accounts for more than
70% of all categories of automobiles supplied to Nigeria, most of which
are used cars and trucks. The government of Nigeria continues to fund
efficiency efforts for the aeronautics and aviation industries. The
transport ministry (aviation division) is planning to fix, purchase and
install additional navigation and landing aids for the airports across
the country within a short period of time, as there has been an
increase in air transportation in the country with more aviation
companies joining the sector. In addition, the Federal Airport
Authority of Nigeria (FAAN) stated recently that five new terminals are
to be built in Lagos, Abuja, Kano, Port Harcourt and Enugu. The United
States Federal Aviation Administration granted Nigeria Category 1
status under the international aviation safety assessment program,
which means a country has the laws and regulations necessary to oversee
air carriers in accordance with minimum international standards, and
that its civil aviation authority--equivalent to the FAA for aviation
safety matters--meets international standards for technical expertise,
trained personnel, recordkeeping and inspection procedures.
Construction: There are also plans to construct or reconstruct
existing expressways as well as over 40 separate dredging and related
projects scattered in the Niger-Delta region. State governments have
also awarded major contracts to provide infrastructure, including
railroad and housing in major cities as well as creating new
settlements in urban areas. It is also expected that the GON will
upgrade the major seaports in Nigeria as well as set up Free Trade
Zones where importation of equipment and heavy machinery can easily be
undertaken.
III. Mission Goals
The goal of the Nigeria Trade Mission is to provide U.S.
participants with first-hand market information, access to government
decision makers, 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 Nigerian
market. A presence in Nigeria can be used to enter other West African
markets, allowing for better market penetration/saturation.
IV. Mission Scenario
The Nigeria Trade Mission will visit both the commercial center and
political capital of Nigeria: Lagos and Abuja, to give participants
access to decision makers in Nigeria. In each city, participants will
meet with new business contacts.
Proposed Timetable
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Day of week Date Activity
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Monday....................... March 7, Lagos.. Arrive in Lagos, Nigeria.
Tuesday...................... March 8, Lagos.. Mission Meetings Officially Start.
Breakfast briefing from Lagos Consulate staff.
One-on-one business appointments.
Evening business reception.
Wednesday.................... March 9, Lagos/ One-on-one business appointments continue.
Abuja. Afternoon departure for Abuja.
Thursday..................... March 10, Abuja. Briefing by Abuja Embassy Staff.
One-on-one business and government meetings.
Trade Mission Officially Ends.
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*Note: The final schedule and potential site visits will depend
on the availability of local government and business officials,
specific goals of mission participants, and air travel schedules.
V. Participation Requirements
All applicants will be evaluated on their ability to meet certain
conditions and best satisfy the selection criteria as outlined below.
The mission is designed for a minimum of 12 and a maximum of 18 to
participate in the mission from the applicant pool. U.S. companies
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already doing business in the target markets as well as U.S. companies
seeking to enter these markets for the first time are encouraged to
apply.
Fees and Expenses
After a company has been selected to participate on the mission, a
participation fee to the U.S. Department of Commerce is required. The
participation fee for one representative is $2,975 for a small or
medium-sized enterprise (SME) \1\ and $3,515 for large firms. The fee
for each additional firm representative (SME or large) is $450.
Expenses for travel, lodging, some meals, and incidentals will be the
responsibility of each mission participant.
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\1\ An SME is defined as a firm with 500 or fewer employees or
that otherwise qualifies as a small business under SBA regulations.
See http://www.sba.gov/contractingopportunities/owners/basics/whatismallbusiness/index.html. Parent companies, affiliates, and
subsidiaries will be considered when determining business size. The
dual pricing reflects the Commercial Service's user fee schedule
that became effective May 1, 2008. See http://www.export.gov/newsletter/march2008/initiatives.html.
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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 of the value of the finished
product or service.
Selection Criteria for Participation
Suitability of the company's products or services to the
mission goals.
Applicant's potential for business in Nigeria, including
likelihood of exports resulting from the mission.
Consistency of the applicant's goals and objectives with
the stated scope of the mission.
Diversity of company size, sector or subsector, and location may
also be considered during the review process.
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.
VI. Selection Timeline
Mission recruitment will be conducted in an open and public manner,
including publication in the Federal Register, posting on the Commerce
Department trade mission calendar--http://www.ita.doc.gov/doctm/tmcal.html--and other Internet Web sites, press releases to general and
trade media, direct mail, broadcast fax, notices by industry trade
associations and other multiplier groups, and publicity at industry
meetings, symposia, conferences, and trade shows.
Recruitment for the mission will begin immediately, and conclude
January 18, 2011. Applications received after January 18, 2011, will be
considered only if space and scheduling constraints permit.
Contacts:
Ryan Kane, International Trade Specialist, U.S. Commercial Service,
Washington, DC 20230, Tel: 202-482-5740, Fax: 202-482-9000, E-mail:
[email protected].
Rebecca Armand, Senior Commercial Officer, U.S. Consulate, Lagos,
Nigeria, Tel: 234-1-460-358, E-mail: [email protected].
Ryan Kane,
Global Trade Programs, Commercial Service Trade Missions Program.
[FR Doc. 2010-23028 Filed 9-15-10; 8:45 am]
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