. JCC TradeLinks.

Pacific Islands Development Program                                                           No 1, July 1999


INSIDE THIS ISSUE:


New JCC Project Officer On-Board

On 1 June, 1999, the Pacific Islands Development Program created a new staff position and welcomed on-board Mr. Scott Kroeker as the JointCommercial Commission Project Officer. Mr. Kroeker will be PIDP'sprimary facilitator of all JCC related activities and responsible for the information technology infrastructure, strategy, and applications at PIDP/CC. Initially his primary focus will be to improve the JCCcomputer tools (see Computer story below) and integrate the web-based technology with JCC's ongoing mission of promoting private sectordevelopment in the Pacific islands. In addition, Mr. Kroeker will be organizing one or more trade and investment workshops (see last story) to bring businesspeople from the U.S. and the islands together.

Dr. Sitiveni Halapua and Scott KroekerMr. Kroeker received his B.S. degree in Business Administration from Bethel College, Kansas in 1988. He has worked as a manager and inadministrative positions in a number of companies and non-governmental organizations as diverse as retail sales, the hospitality industry, legal advocacy groups, and environmental protection.

Mr. Kroeker is also a recent graduate of the University of Hawai‘i at Manoa where he received his M.A. degree in Pacific Islands Studies. While pursuing his degree, he attended Pacific islands focused courses in such diverse fields as economics, political science, anthropology, history, resource management, and development studies. His thesis entitled "Sechou or Deroech: Local Impacts and Social Responses to Globalization in the Republic of Palau" synthesized these diverse perspectives, sought to begin making sense out of the complexity of the emerging Global Age and its affects on the Pacific islands, and provided food for thought about the great opportunity the islands have to pursue alternative courses of development that better reflect the Pacific Way. His research was conducted during a three-month stay in Palau where he also taught computer classes at the Palau Community College and worked with the Palau Conservation Society on an environmental education plan. "As I see it, the people-centered approach and private-sector approach to the JCC are not imcompatible if we do it right," says PIDP director, Dr. Sitiveni Halapua. "Scott's ideas and experience can help facilitate this."

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JCC Welcomes the New American Co-ChairMr. Ralph "Skip" Boyce

Mr. Ralph L. (Skip) Boyce, Deputy Assistant Secretary of State for East Asia and Pacific Affairs, U.S. Department of State joins The Honorable Epel Ilon, Secretary of Foreign Affairs, FSM, as co-chair of the Joint Commercial Commission Trade and Investment Working Group (TIWG). Mr. Boyce assumed his current position in August, 1998 and has been a member of the U.S. Foreign Service since 1976. Prior to assuming his current post, Mr. Boyce served as; the Staff Assistant to the Ambassador of Iran; a Commercial Attache in Tunisia; a Financial Economist in Turkey; the Special Assistant to the Under Secretary for Security Assistance and an Advisor to the Deputy Secretary of State, responsible for the foreign affairs budget, back in Washington; a Political Counselor in Thailand; the Deputy chief of Mission in Singapore; the Charge' d'Affaires, a.i., in Singapore; and the Deputy Chief of Mission in Thailand.

Mr. Boyce was born in Washington, D.C. and obtained his B.A. from George Washington University in 1974 and an M.P.A. degree from

Princeton University in 1976. He speaks four languages; English, Persian, French, and Thai.

The Joint Commercial Commission welcomed Mr. Boyce to the JCC at the 22 February, 1999 meeting of the Trade and Investment Working Group. The Committee expressed its appreciation for the U.S. Department of State's committment to the success of the JCC. The committee noted with satisfaction initiatives being taken through the JCC process to promote trade and investment between the U.S. and the Pacific Island Nations. Several priorities were discussed including:Island representatives to the JCC

  • The possibility of holding future international trade and investment conferences and workshops in the United States, similar to the one held in Honolulu (see last story);
  • The need for a cooperative approach to be taken by the U.S. and PINs to overcome obstacles to the export of Pacific agricultural products to the U.S. and the transshipment of the same products (see next story);
  • The desire for the appointment of a Trade and Investment Promotions Officer at PIDP (see first story); and
  • The possibility of establishing a Pacific Islands Trade Office in the United States.

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U.S. Department of Agriculture Officials Discuss
Quarantine Issues With Island Delegates

An important step forward in the cooperative problem solving role of JCC was taken in Fiji this past June. Island delegrates and U.S. officials met to discuss means of overcoming obstacles to the export of Pacific islands' agricultural products to the U.S. and the transshipment of these same products through U.S. ports to other destinations. Dr. Jerry Finin of PIDP chaired the three-day meeting that included presentations by the U.S. Department of Agriculture, the discussion of case studies and a visit to a Forced Hot Air pest treatment facility. The meeting clarified various U.S. and international quarantine regulations and promoted discussion of procedures and protocols that could be implemented to facilitate the export from Pacific islands of an increased number of agricultural products into the U.S.. Participants also discussed technologies in place in Pacific islands that could feasibly comply with strict U.S. requirements.

Graeme Thorpe, representing Balthan International (Fiji) Ltd. (an agricultural product producer and exporter), estimated that a yearly "loss exceeding $1 million in foreign exchange, plus 500 rural jobs"occurs in Fiji alone due to agricultural products not being allowed into the United States. He also pointed out that New Zealand (and soon Australia) has approved the importation of Fijian products which are currently being treated for pest disinfestation with the (U.S. designed and financed) High Temperature Forced Air (HTFA) procedure.

Although no resolution to the complex issues was accomplished, the participants gained a much fuller understanding of the steps required to gain access to the U.S. market. In the short-term, JCC officials are continuing to work with Department of Agriculture officials in Hawai‘i to facilitate the approval of the transshipment of goods through Hawai‘i. This appears to be very doable in the not too distant future. The long-term objective of gaining access to the U.S. market is underway but will be a lengthy process given the information requirements and the fact that the waiting list for the approval of specific commodities is very long.

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Critical Computer Links Come Into Place

The Joint Commercial Commission has long been aware that communications and travel throughout the Pacific islands can be cost prohibitive to initiating new commercial ventures in the region. When analysts speak of "barriers to development" or "economic constraints," the wide dispersion of the islands is often mentioned first and foremost. After significant revision and redesign, the Pacific Islands Development Program (PIDP) has unveiled two vital tools that have the potential to electronically bring the islands closer together and closer to the United States. Through the Pacific Islands Business Network (PIBN) and the Joint Commercial Commission Trade & Investment Bulletin Board (jcc-bb), the initial costs of background research and the identification of potential business partners for both island-based businesses and United States firms has been greatly reduced.

 Pacific Islands Business Network
PIBN has the potential to become the Internet Clearinghouse for information regarding trade and investment opportunities in the Pacific islands. This website is located at PIDP and accessible, via the World Wide Web, to anyone around the world with Internet access. Already there is country information available on-line that provides users with a comprehensive overview of all JCC member countries, including their political and economic climate-information vital to anyone considering investing in an overseas venture. Included in this information are links to individual country homepages where interested users can go to learn much more about each Pacific island nation.Equally vital to the success of PIBN is the growing number of businesses who have registered themselves and placed information about themselves and their operations on-line for the world to see. As more and more companies register with the service the more visitors (i.e., potential investors, distributors, and consumers) will return to the website. As the technology at the East-West Center is updated in the next several months, it is hoped that the capability will be put in place for the site to become fully automated-sending e-mail messages to businesses whose profiles match-creating instantaneous communication linkages and providing the opportunity for compatible companies separated by thousands of miles of ocean to locate each other.

Access the Pacific Islands Business
Network by pointing your web browser to:
http://pidp.ewc.hawaii.edu/pibn/

Joint Commercial Commission Trade & Investment Bulletin Board

The latest effort by the JCC to improve communications throughout the business community in the Pacific islands is the jcc-bb. Although PIBN above can be used by those in the islands who do not have Internet access, they are limited in the sense that they can only put their information on-line and passively wait for others to make contact with them. In addition, since Internet access is still relatively expensive in the region and charged by the number of minutes spent connected to it, access, while available, is in reality limited. The jcc-bb is a simple e-mail based distribution list (e-mail being more widely available and cheaper than full Internet access) where registered users can send and receive e-mail to every other user of the service, without necessarily knowing who they are or what their e-mail address is. One message is sent to an automated system that forwards this message to every registered user, thus increasing the likelihood that a potential business partner will receive and respond to the message.

In order to subscribe to this service you simply need to send an e-mail message to listproc@hawaii.edu with nothing in the subject line and "subscribe jcc-bb your-first-name your-last-name" (without quotation marks) as the body of the message. Once you are approved for membership to the bulletin board (membership is limited to businesses, government representatives, and non-governmental organizations within JCC member countries and the United States and moderated by the JCC Project Officer at PIDP to ensure that only relevant messages are sent through this system) you will receive regular updates about the JCC from PIDP as well as any inquiries, announcements, or solicitations from other registered users of the service. You are also free to post messages to the service although they will also be monitored by PIDP to ensure that they are relevant to the goals of the jcc-bb.

Both of these services are new and their success is entirely based upon active usage of the service by those who see them as beneficial. PIDP encourages you to try out these services and utilize them often. Only with continued growth will they enhance economic activity, facilitate trading relationships between the U.S. and the islands, and improve the private sector throughout the Pacific.

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U.S. Embassy in Fiji Hosts Face-to-Face
With American Business
Conference

"I look forward to working with the American embassy here
in encouraging (investment). We have all the ingredients for
providing good returns and security for your investments."

                  - Prime Minister of Fiji, Mahendra Chaudhry

More than 100 American, Fijian and Tongan businesspeople came together for the U.S. sponsored Face-to-Face With American Business conference in Lami, Fiji, 9-11 June, 1999. The opening day involved a full-day meeting followed by two days of workshops, networking, and one-on-one engagement. "The conference is an opportunity for U.S. and South Pacific businesspeople to share ideas," said Larry Dinger, Charge d'Affaires at the U.S. Embassy in Suva. The new Prime Minister of Fiji, Mahendra Chaudhry, spoke on the opening day and made a commitment to pursue policies that would encourage trade and investment between the U.S. and Fiji. The Fiji Times reported that "direct private investment in Fiji in 1997 was around $150 million," showing that replacing aid with trade is a real possibility for private sector development in the country.

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Inaugural JCC Conference and Workshop on Business
Opportunities in the Pacific Islands Held in Honolulu

JCC Conference ParticipantsOver 150 participants from the Pacific islands, Hawai‘i and the mainland U.S met for the first Joint Commercial Commission (JCC) International Conference/Workshop on Business Opportunities in the Pacific Islands last year. Participating Pacific island countries included Fiji, Samoa, Tonga, and the Cook Islands. Small- and medium-sized business people from Hawai‘i interested in commercial opportunities in the Pacific region were the main attendees. The key idea was to establish one-on-one relationships between people from Hawai‘i and the Pacific islands; to exchange ideas and to interact with potential trade and export/import partners.

Two representatives from each Pacific island country gave presentations, which focused on their respective economies, priorities for economic growth and development, opportunities for overseas business investment and regulations pertaining to such activities.

The afternoons were spent at breakout sessions which featured "get aquainted" discussions between Pacific island participants and the Hawai‘i business community.JCC Conference Participants

Harlan Lee, President, Pacific Islands Business Alliance and Michael Mullins of the Forum Secretariat, Suva, Fiji gave presentations explaining ways in which these organizations facilitate trade and investment between Pacific island countries and the United States. Dr. Sitiveni Halapua, PIDP Director emphasized the importance of the private sector in economic growth in his talk to the conference. He noted that "the personal approach was very positive and most culturally appropriate way to form business partnerships in the Pacific islands." He stressed that, "We want to hear what the Pacific islands have to say . . . this is the time to resolve problems, for example, customs, inspections and the impact of regulations."

JCC Conference ParticipantsIn addition to the presentations and workshops, senior officials from Bank of Hawaii and Outrigger Hotels and Resorts delivered luncheon addresses on their corporation's major investments in the Pacific. The owners and managers of several smaller Hawai‘i and mainland business enterprises operating in the Pacific islands also discussed their recent experiences. Representatives from the U.S. Department of Commerce explained their role in facilitating trade and investment, including trade missions and export consulting.

Sponsors for the JCC conference/workshop included:

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JCC TRADELINKS

JCC TradeLinks is the newsletter of the US/Pacific Island Nations Joint Commercial Commission Secretariat. It is intended as an information tool to assist with the improvement of commercial relations between the U.S. and Pacific Island Nations and to facilitate development of the private sectors in the islands.

— Dr. Sitiveni Halapua, Director, PIDP


JCC TradeLinks is published 4 times a year by the Pacific Islands Development Program. It is available on-line at this website, distributed through an e-mail distribution list, and published in traditional paper form. If you would like to receive the printed version of this publication or have any other questions please contact the JCC at the address below:

Pacific Islands Development Program
1601 East-West Road
Honolulu, HI 96848-1601
Tel: (808) 944-7721 - Fax: (808) 944-7670
Email: kroekers@eastwestcenter.org
http://pidp.ewc.hawaii.edu/jcc/

WHAT IS THE JCC?

In 1990, then President of the United States George Bush, at an historic summit with Pacific island leaders, "proposed establishing a Joint Commercial Commission with the island nations, to meet each year—at senior government levels—to identify and address commercial opportunities and trade concerns." This idea became a reality with the signing of a Memorandum of Understanding in January 1993 and the Inaugural Meeting later that year in Washington, D.C.. The JCC received further impetus with the endorsement by President Clinton who stated, "The United States would like to see the JCC become a vehicle for practical effective steps to increase trade and investment between the United States and the Pacific Island signatories."

Since that time, yearly meetings have indeed been carried out and numerous issues of concern have been addressed and practical programs to facilitate the mission of the JCC have been put into place. The Secretariat of the JCC is maintained at the Pacific Islands Development Program, in Honolulu, Hawai‘i. The Appropriate Official (AO) for the Pacific Island Nations Section is the Director of PIDP.


Editor: Dr. Sitiveni Halapua
Contributor: Fran Dieudonne
Co-Editor/Website Design: Scott Kroeker


ALOHAElectronic TradeLinks is an email version of this JCC newsletter. In order to receive this newsletter, be involved in ongoing discussion about JCC related issues and become a part of the growing network of commercial interests within the Pacific islands and interested in opportuniies in the Pacific islands please join the Joint Commercial Commission Bulletin Board.

In order to subscribe to this service you simply need to send an e-mail message to listproc@hawaii.edu with nothing in the subject line and "subscribe jcc-bb first-name last-name" (without quotation marks) as the body of the message.

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Cook IslandsFijiFederated States of MicronesiaKiribatiMarshall IslandsNauruNiuePalauPapua New GuineaSamoaSolomon IslandsTongaTuvaluUnited States of AmericaVanuatu