Volume 1
Issue Sunday, October 02, 2005
Amcham Newsletter October 2005 Issue Volume 1
Volume 1 Issue 2 October 2005 Official Newsletter of AmCham - Mauritius AmCham President's Welcome Address Dear AmCham Member, The American Chamber of Commerce of Mauritius is well on its way with this second issue of its quarterly newsletter. In this issue you will find articles on the following topics: •a) A successful luncheon with speakers from the BPO sector was held on July 27th at La Bonne Marmite Restaurant in Port Louis. Sebastian Denton gives a review of the points made by leading managers from the three companies represented - Answer Plus, Teleforma and Accenture. •b) Mr Christophe Aubin-Nury, a consultant with broad international experience and a speaker on AGOA issues and entrepreneurship in developing countries, met and spoke with the Mauritian public and private sector agencies that deal with AGOA-related matters in late September. He also toured important factories and sites including Princes Tuna, Grays Ltd, Shibani Ltd and an aquaculture company. Mr Aubin-Nury visited Rodrigues, where he met with members of the Rodrigues Regional Assembly as well as women entrepreneurs. Sebastian Denton reports on his meeting with Mauritian EPZDA companies concerning the ‘AGOA Program and the Globalization of World Trade'. •c) An IPR article on the new legal framework of the Patents, Industrial Designs and Trademarks Act by Mary Anne Philips, attorney at law. Further to his visit to Mauritius last June 23-25, Daeman Harris, Director of Africa, Middle East and South Asia Affairs at the United States Chamber of Commerce in Washington, DC has issued his report on his trip in the USCC's summer 2005 newsletter. Most important for AmCham is Mr. Harris' announcement of the USCC's interest and support for a Regional Conference to be held in Mauritius Tuesday 21st, Wednesday 22nd and Thursday 23rd March 2006. His vision is for the conference to be open to AmCham members from Africa, the Middle East and South Asia as well as to USCC-member companies and related divisions including Trade Roots SME capacity-building programs, fundraising and development divisions and other value-added services. A committee has been set up to determine the organizational needs for the conference. We welcome your participation, support and ideas for this event. Please contact Christel at AmCham's office for further information - contact details at the end of the newsletter. In closing, I would like to remind one and all that the AmCham website is available via http://www.americanchamber-mauritius.org/ . A member list is on the site. May I ask you to visit the site and confirm any changes to your company's contact information. We are linking member companies' web sites with the chamber's site so please notify us of your company's web address. Any suggestions or proposals for the site are welcome so we may improve our web site and make it more useful to you, our members. We look forward to seeing and hearing from all of you. Happy reading! Aleda Koenig President, American Chamber of Commerce - Mauritius U.S. Embassy Address A Message from Stephen Schwartz, Chargé d'Affaires, US Embassy Port Louis I am pleased to announce that after a staffing shortage during the summer months, the US Embassy is now almost fully staffed. We expect to welcome a new Ambassador in the first half of 2006. The four officers to join Embassy Port Louis in the past two months are: Victoria Delong, Public Affairs Officer Victoria joins us from Kinshasa, Democratic Republic of the Congo, where she spent three years as a Public Affairs Officer. Prior to Kinshasa, she worked in the Bureau of Press Relations and Public Affairs in Washington, DC. In her position in Port Louis, she serves as the cultural affairs officer, deals with media issues, and manages out exchange programs. Melissa Brown, Economic/Commercial Officer Melissa recently completed an assignment in Bangkok, Thailand, where she focused on Cambodian immigration issues. As the Economic/Commercial Officer in Mauritius, she serves as the primary contact for the American Chamber of Commerce and for other business-related matters. Margaret Hsiang, Political/Consular Officer Margaret's first assignment is Port Louis. Prior to joining the Foreign Service, Margaret worked in the United States Senate. In addition to her political responsibilities, she acts as the primary contact for visa and consular-related issues. Brian Roundy, Regional Security Officer Brian and his wife, Marta, were last posted to Warsaw, Poland. Brian has also served in Athens, Greece. He works with local and Embassy officials to enhance security for the Chancery, staff residences, and Mission personnel. He also coordinates U.S. Government training programs for the Mauritian police. Please feel free to contact the embassy. We are happy to provide you with assistance and our new officers look forward to meeting you. Website: http://mauritius.usembassy.gov/ Tel: (230) 202-4400 Middle East/Africa Update from U.S. Chamber of Commerce October 24, 2005 We have reserved the Chamber's two largest venues to hold an "African Trade and Investment Forum." The forum is envisioned to be a half-day event with two distinctive panels and a luncheon. The panels will focus on 1) U.S. government programs which support, aid or facilitate U.S. business engagement on the continent and 2) a regional perspective from African officials. Over the next two weeks I will be meeting with the relevant U.S. agencies and African embassies to discuss formatting and participation. If any of the AmChams from the region would be interested in participating please contact me directly. December 5, 2005 We have also reserved venues at the Chamber to hold a similar forum on Middle East trade and investment. We are in the initial stages of formatting the event. However, I imagine that the forum will resemble October's planned event (i.e., half-day, regional and USG perspectives). Any thoughts, suggestions or interest in participation is strongly encouraged. Again, feel free to contact me directly. November 29 to December 2005 I have been asked by the California Chamber of Commerce to organize a visit of Middle East ambassadors to California. The Chamber along with the California Chamber has worked in the past on a similar visit by the Central Area Free Trade countries. I am currently meeting with the embassies in Washington to gauge interest-I have had positive feedback from several. The countries currently being targeted are: UAE, Oman, Bahrain, Jordan, Morocco (possibly Egypt and Qatar). Early 2006 For the past year Herb Davis, Vice President, South Asia, Middle East and Africa, and I have discussed the possibility of convening a "Regional AmCham Conference" on the island of Mauritius. Following, my recent trip to Mauritius I believe that the AmCham there and the embassy would be quite supportive in helping to shape this conference. Background and Format Given the location of Mauritius and the significant ties to South Asian economies, the island would be an ideal location to host a conference comprised of South Asian, Middle East and African AmChams. The conference could also be opened to USCC member-companies and might include presentations by other USCC divisions (i.e. Trade Root's SMEs capacity building program, Fundraising and Development Division presentation on attracting membership, value adding services, etc...) The conference would have four goals: A) To provide a networking platform for AmCham/USCC member-companies to meet their South Asian, Middle East and African counterparts and explore potential commercial ventures. B) To create a venue for regional AmChams to present profiles on industries, sectors and member-companies. C) To provide USCC expertise on issues ranging from SME capacity building to association fundraising and development programs to AmChams and their member-companies in the regions. D) To explain current USG programs and initiatives in Africa (and possibly the other regions). I will be meeting with the Department of Commerce this week-which has indicated "senior-level" interest in this event. In addition, I am contacting the other relevant U.S. agencies to solicit their support and participation. I am requesting that the individual AmCham Executive Directors contact me directly to discuss their respective organization's interest in attending/participating. Finally, we are in the last stages of accrediting the most recent AmCham: AmCham Kenya. We look forward to working with this group! Warm Regards, Daeman P. Harris Director Middle East and Africa Affairs U.S. Chamber of Commerce www.uschamber.com/international *Article from U.S. Chamber of Commerce Middle East & Africa Summer 2005 Newsletter, Pg. 3.* Chamber's Middle East and Africa Director Meets with AmCham Mauritius On June 22nd Daeman Harris, Director of Middle East and Africa Affairs, met with the American Chamber of Commerce in Mauritius. The two-day trip included meetings with the AmCham's Chairman, Aleda Koenig, the AmCham Board of Directors and member companies, and U.S. embassy staff. During a two-hour working session with the AmCham, Harris explained the current initiatives underway at the Chamber and discussed potential Chamber and AmCham activities. These activities include a regional AmCham conference to be held on the island. The proposed conference would be open to AmChams located in Africa, South Asia and possibly the Arabian Gulf. The goal of the conference would be to provide a networking platform for AmCham member companies in the region as well as profiling potential inter-regional trade and commercial opportunities. In addition, Harris suggested leveraging several internal Chamber departments to provide workshops on issues including capacity building and fundraising. During his trip, Harris also visited several Mauritian companies. The majority of these companies offered Business Processing Outsource (BPO) opportunities for U.S. firms. At the "Cyber Tower" Harris met with a company operating a call center for several large U.S. firms. While the Mauritius economy has historically relied on the textile and sugar industries to propel GDP, Harris noted that, "there is a growing market for both BPO and Information Technology on the island. Located in the Indian Ocean, the island nation of Mauritius is gaining increasing attention as a gateway to both Africa and southern Asia. The country's unique geographical position affords it the ability to provide a logistical hub for goods going to and coming from the African continent. In addition, Mauritius enjoys many of the trade and commercial benefits afforded to over 35 African countries under the provisions of the African Growth and Opportunity Act granted by the U.S. BPO and Call Centre Operations in Mauritius - Up Close and Personal. AmCham organized a business lunch on 27th July at La Bonne Marmite Restaurant in Port Louis. The lunch focussed on BPO and Call Centre operations in Mauritius and guest speakers were Gregg Floros, General Manager of call centre Teleforma, David Harris, Director of call centre Answer Plus, and Yves Bernaert, Director of BPO Accenture. The speakers discussed their choice of Mauritius as a location, the facilities and infrastructures that helped them, difficulties and frustrations they met, and future prospects for their companies. Mr. Gregg Floros of Teleforma has 14 years experience in the call centre industry and he supervised the setting up of 7 call centers in the US. Teleforma started its operations in Mauritius in 2003 by partnering with Harel Mallac and since April 2005 they are fully independent and operational in their new Cyber Tower location. Teleforma's call operations are 80% inbound and 20% outbound. The company's aim is to be the best call centre in the world. Mr. Floros mentioned that the factors contributing to make Mauritius an attractive country included rather low labour rates, easy accessibility, one of the safest economies in the world and English being the official business language. Opportunities exist to grow, although telecommunications cost directly impact on the expense of doing business in Mauritius. He also mentioned that customs and government prohibitive nature in the approval of imports and exports of equipment and in the granting of licenses made setting up difficult. However, Mr. Floros stressed that the situation has greatly improved since 2003. Mr. Harris of Answer Plus started his operations in Mauritius by partnering with Mr. Utchanah in 2002. Mr. Harris has 13 years experience in this industry and setting up business was easier for him thanks to the extensive help received from Mauritius Telecom. Like Teleforma, Answer Plus is growing and extending its operations although 90% of their operations are outbound with only 10% inbound. Answer Plus specializes in providing employees of French companies with English language courses and they also handle the account of VISA/MASTERCARD. Mr. Harris mentioned that he had not found any real problems working in Mauritius. However the constant migration of workers from one call centre to another is a cause for concern. An increase in the supply and the flexibility of the labour force is vital for the future of the industry. Mr. Bernaert represents the multinational Accenture and has been in Mauritius for the last 5 years working closely with DCDM Consulting. Accenture is mainly involved in BPO and IT services as offshore work for companies located overseas. Like Teleforma and Answer Plus, Accenture finds Mauritius an attractive location because of the language skills of its people. Moreover, the labour force is highly skilled in the fields of IT and accounting. Accenture is growing, currently employing 650 persons. The undersea cable linking Africa to Asia via Mauritius is an added benefit. However on the downside, payroll and infrastructure costs are rising. Increased competition from India and North Africa are souring the attractiveness of the Mauritian marketplace. Mr. Bernaert stressed that the government training initiatives should aim at increasing BPO and IT skills. In addition Mr. Vigier de Latour gave an update on his trip with the Mauritian delegation to the 4th AGOA conference held recently in Dakar, Senegal. Many states had their Prime Minister or equivalent head of state present for the proceedings including U.S Secretary of State Condoleezza Rice attending the conference for 24 hours. The Mauritian delegation took part in discussions and seminars on marketing cooperatives between African countries for the US marketplace, discussions on textiles, with the focus being on the end of allowances and filling the gap created by quotas, and the use of aid to help develop agriculture, food processing and seafood production in Africa to meet US standards to allow direct exportation. For further information on the role and use of AGOA, please refer to an article that appeared in ‘Le Weekend' on the 14th of August on Pg. 27. High Level Seminar on "Our Preferential Trading Agreement to our main Export Market: What Next?" The US Embassy in conjunction with MEPZA organized a seminar on trade on 19th September 2005. The main speaker was Mr. Christophe Aubin-Nury, a World Bank consultant and US Department of State speaker. Mr. Aubin-Nury addressed the guests on "AGOA and Globalization of World Trade". He summarized the current success of AGOA which benefits 48 African countries, mentioning how it had brought about economic development in Africa. However, despite an increase of 20% in trade over the last few years, Africa represents only 3.5% of World trade. He mentioned that with competition coming from South America and South Asia, Africa needs to distinguish itself to ensure recognition. Radical change and a new strategy is needed to increase visibility and recognition of competitive sectors of the African economy. One method is to reinforce cooperation between the private and public sectors. Mr. Aubin-Nury stressed the importance of changing exportation to focus on value-added products. Sector transformation needs to be complemented with the creation of partnerships with US Companies. African countries need to develop a national brand to help private sector use their abilities with confidence. He also mentioned the creation of an AGOA council at national level whose purpose would be to develop these ends, and that could liaise with a private sector equivalent such as AmCham. Mr. Aubin-Nury put the onus on all African States to work together to analyze and re-organize to create a coherent and forward strategy for the continent. Other speakers at the seminar included, The Honourable Rajesh Jeetah, Minister of Commerce & Cooperatives, Mr. Stephen Schwartz, Chargé D'Affaires US Embassy, Mr. Ahmed Parkhar, MEPZA Chairman, Mr. Maurice Vigier de Latour CEO of MFD, Mr. S. Boodhoo, Deputy Director International Trade Division and Mr. Louis Lai, Director CMT. Intellectual Property in Mauritius - the new legal framework Mauritius adopted The Patents, Industrial Designs and Trademarks Act in 2002. The Act came into force on the 6th January 2003. The Regulations under the Act were published in the Gazette in April 2004. This long overdue piece of legislation, was adopted by the National Assembly to meet and fulfil the anti-counterfeiting obligations of Mauritius under the WTO Agreement on Trade- Related Aspects of Intellectual Property Rights (TRIPS).The TRIPS Agreement requires all WTO Members to provide minimum standard of protection for patents, copyrights, trademarks, trade secrets, geographical indications as well as effective Intellectual Property Rights enforcement. Developed countries had up to 1st January 1996 to implement TRIPS while developing countries like Mauritius were granted a transitory period of up to 1st January 2000 to implement same. The Act is innovative in many aspects and this chronicle will attempt in the forth coming issues of AmCham Newsletter, to review some of these in a "user friendly manner" more particularly regarding those sections of the Act dealing with Trade Marks. However, patents and industrial designs, geographical indications, and other aspects of Intellectual Property won't be completely obliterated from the ambit of this IP corner. This review is not intended as a lecture but as a guide addressed to those who may still be asking themselves: "why invest to register my mark? my business has up to now been thriving well without the necessity of adding this new item to my budget" and to those who may be wondering why has Intellectual Property and all its related aspects turned out to be such a recurrent issue in international trade forums, in the media or in every day life confronting politicians, the business community and the consumer alike. The answer lies in this simple fact: although dating back over 2,000 years the "art" of counterfeiting has never known more prosperous days, even prompting some to say that counterfeiting and the theft of intellectual property, will be "The crime of the 21st century" (1) Indeed, counterfeiting has exploded over the last decade. Due to globalisation and advances in technology it has now become a big business. As computers, copiers and other technologically sophisticated equipment become available at more affordable prices, as ways and means of communication become faster and cheaper , more and more products fall victims to counterfeiting activities( rightly termed IP crime) be it luxury goods, pharmaceutical products and health care products, infants food and milk, automotive and aircraft spare parts, computers and software, cigarettes and alcoholic drinks ....With the explosion of the Internet, the barriers to entry of goods have disappeared, providing counterfeiters with nearly unlimited, unrestricted online market places. Further, the comparatively low fines and "soft" punishment under the law does not provide sufficient deterrent to the counterfeiters. Yes, Intellectual Property crimes (piracy and counterfeiting) generate more and more money each year. According to the International Chamber of Commerce counterfeit goods make up for 7% of world trade, estimated to be more than US $ 350 billion annually ( 2). In 1982, the US' International Trade Commission estimated that counterfeiting and piracy represented a loss of approximately US $5.5 billion annually for the industrial sector... In 1996 this figure reached US $ 200 billion and in year 2000 this figure read US 450 billion. IP crimes have therefore registered a growth of 400% since the early 90's while legitimate trade grew by 50% over the same period of time.( 3) In November 2004, the New York City Comptroller estimated that counterfeiting cost the City of New York over US $ 1 billion in terms of lost sales, business and income taxes for that year (4) As a result of this prosperous industry thousands of jobs are lost annually, safety and health issues are becoming a growing concern and every one is a potential victim to this hydra. Indeed, counterfeiters would not only hit large multinational companies but would target any industry or mark whatever its size, large or small, whether it is internationally or regionally known: their underlying criteria being the return on investment. Local brands in China, India, Russia and even Mauritius are being counterfeited just like international, well- known and famous ones. These new local brands are being harder hit in as much as they very often have not yet developed tracking devices, and have not yet established strong loyalty from among their customers. Consequences of IP crimes are manifold. Figures have been quoted above to give a glimpse of the economic impact of such illegal activities. The human factor is another heavy tribute to this type of organised economic crime. In 2001 the government controlled Shenzhen Evening News newspaper reported that 192,000 people died in China as a result of fake drugs consumption. Trade in counterfeit drugs is an expanding and flourishing business and affects developed and developing countries targeting branded as well as generic products, threatening public health and making it every one's responsibility to fight this new form of threat to our liberty, security and rights In May 2003, the Food and Drug Administration ( FDA)recalled 200,000 bottles of blockbuster cholesterol lowering drug due to its contamination with counterfeit pills.(5) According to WHO estimates, counterfeit medicines comprise 6% of the world market (though higher in some areas) including developed countries. In our to-day's global economy, the development of technology and of communication have made us all potential victims to IP criminals. Counterfeiting will not be completely eradicated but could at least be kept at bay. It will take the energy and good will of all stakeholders: governments of developed and developing economies, multinationals and onshore medium to small size companies, individuals, consumers and economic players alike to create the proper awareness and forum to find new means and ways to offer protection against this new form of economic crime. To be continued............... Reservation: This article is not intended as a legal advice or consultation and should not be acted upon for any specific legal problem. Glossary of terms used: Copyright: an economic right subsisting in a work. Counterfeiting: the wilful infringement of a trademark Geographical indication an indication which identifies a product originating in the territory of a country, or a region or locality in that territory, where a given quality, reputation or other characteristic of the product is essentially attributable to its geographical origin. Industrial design: any composition of lines or colours or any three - dimensional form or any material provided that such composition , form or material gives a special appearance to a product, of industry or handicraft, can serve as a pattern for a product of industry or handicraft and appeals to and is judged by the eye., Piracy: wilful infringement of a copyright Patent: the title granted to protect an invention eye Trade mark: any visible sign capable of distinguishing the Goods of an enterprise from those of other enterprises. Notes: (1)International AntiCounterfeing Coalition , Facts on Fakes,p 2 (http://www.iacc.org/) (2)Counterfeiting Intelligence Bureau, Overview : http://www.cib.org/cib/overview (3)US International Trade Commission (4)The Impact of the Counterfeit Goods on New York City - http://www.comptroller/.nyc.gov/ bureaus/bud/04reports/Bootleg- Billions.pdf. (5)FDA Alerts Consurmers and Health Professionals to Recall of Counterfeit of Lipitor http://www.fda.gov/bbs/topics/ANSWER/2003/ANSO Letters to the Editor Dear Editor, With international trade fairs getting larger and more complex, I thought I would suggest a few tips and methods I use to help make my attendance as a buyer at trade shows in the U.S. more effective. I hope these tips will help members to achieve more at future shows, especially at those in the U.S. Stephen Denton Mauriden Ltd. Dear Editor, I recently had the opportunity to attend my first trade show as a co exhibitor in Birmingham, England, with other Mauritian companies and the B.O.I. I've thought of a few trade show tips that members who are exhibitors can use at future shows. I find these tips to have been very reflective of my first trade show as an exhibitor, and encourage members to use them to more effectively exhibit their services at future shows. David Harris Answer Plus Upcoming News & Events: A few words on the charity chosen for this year's Thanksgiving dinner: The World Health Organization (WHO) defines Palliative care as, "the active total care of patients whose disease is not responsive to curative treatment." While originally a concept developed to help incurable cancer sufferers, it has found great use in sufferers of AIDS, motor neuron disease and other degenerative neurological disorders, and is concerned with providing to the patient support in every possible way to ensure a superb quality of life, and to provide support to their family and friends. Palliative Care (Mauritius) Ltd. uses an interdisciplinary team, including a physician, a registered nurse, a certified social worker, and a clinically trained chaplain, with other professionals and volunteers added to the team as pertains to the patient's specific needs. This team works directly with the patient's physician and hospital health care team in the attempt to improve quality of life outside of, and in support of treatment. • First AmCham Regional Conference: Tuesday 21st, Wednesday 22nd and Thursday 23rd March 2006. The US Chamber of Commerce in conjunction with AmCham Mauritius will host a conference comprised of South Asian, Arab Gulf and African AmChams. The conference might also be opened to USCC member-companies and could include presentations by other USCC divisions. Membership Info Membership Dues for Year 2005 are: Corporate Member - RS 6,000. Individual Member - RS 1,500. This Newsletter is a production of the staff members of the American Chamber of Commerce - Mauritius as a service to all members. All articles included are the property of the authors themselves and/or their affiliates, unless otherwise stated. For further information, please contact:
Fax: (230) 208-9534
E-mail: usembass@intnet.mu
• Third Annual Thanksgiving Charity Dinner to be held on Saturday, 26th November 2005 at 19:30 hrs at the Sugar Beach Resort, Flic en Flac, to benefit Palliative Care (Mauritius). Mrs. Chantal Tyack, President, will attend the dinner. We will be selling raffle tickets for great prizes to raise funds.
The American Chamber of Commerce
6th Floor Unicorn House
5, Royal Street, Port Louis, Mauritius
Tel: 213 4294 Fax: 212 1853
Email: info@americanchamber-mauritius.org
Website:http://www.americanchamber-mauritius.org/