[Federal Register Volume 78, Number 124 (Thursday, June 27, 2013)]
[Notices]
[Pages 38687-38690]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-15341]
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DEPARTMENT OF COMMERCE
International Trade Administration
Architecture Services Trade Mission to Rio de Janeiro and Recife,
Brazil, October 7-10, 2013
AGENCY: International Trade Administration, Department of Commerce.
ACTION: Notice.
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Mission Description
The United States Department of Commerce, International Trade
Administration (ITA), U.S. and Foreign Commercial Service (CS), with
support from the American Institute of Architects (http://www.aia.org),
is organizing an executive-led Architecture Services Trade Mission to
Brazil from October 7 to 10, 2013. The purpose of the mission is to
introduce U.S. firms to Brazil's rapidly expanding infrastructure
projects, and to assist U.S. companies to pursue export opportunities
in this sector. The mission to Brazil is designed for U.S.
architectural, project management, and design services companies, that
provide state-of-the-art and world class designs. Target sectors
holding high potential for U.S exporters include: master planning
(regional design--city planning or regional planning, port re-
development--design of the walkways, buildings, etc. along the port);
hospitals and health care architecture; airports/other transportation
infrastructure facility architecture; mixed-use projects architectural
services; and educational facilities.
The mission will include stops in Rio de Janeiro and Recife, where
participants will receive market briefings and participate in
customized meetings with key officials and prospective partners.
The mission supports President Obama's National Export Initiative
(NEI) and his goal of doubling U.S. exports by 2015 to strengthen the
U.S. economy and U.S. competitiveness through meaningful job creation.
The mission will help U.S. companies already doing business in Brazil
to increase their footprint and deepen their business interests.
The mission will help participating firms and associations/
organizations gain market insights, make industry contacts, solidify
business strategies, and advance specific projects, with the goal of
increasing U.S. exports of services to Brazil. The mission will include
one-on-one business appointments with pre-screened potential buyers,
agents, distributors and joint venture partners; meetings with state
and local government officials and industry leaders; and networking
events. Participating in an official U.S. industry delegation, rather
than traveling to Brazil on their own, will enhance the companies'
ability to secure meetings in Brazil.
The mission will be supported by the American Institute of
Architects (AIA) (http://www.aia.org). All U.S. architecture/
construction/engineering (ACE) trade associations or organizations are
encouraged to apply. The mission is open broadly to all U.S. firms,
service providers, and organizations in the ACE sector, whether or not
they are members of AIA or any other ACE trade association/
organization. Selection criteria for participation, as set out below,
are the same for all applicants.
Commercial Setting
Brazil is experiencing major growth in the ACE industry. The
country will capture global attention as its major cities are
undergoing a construction boom in preparation for the World Cup in 2014
and, specifically for Rio de Janeiro, the Olympic Games in 2016.
Architectural design and Engineering projects around the country,
from roads and stadiums to airports and retail space, are abundant.
Although there is strong competition from local firms, American ACE
firms with a niche expertise are welcome to do business in Brazil by
working with local partners, provided they understand the legal and
regulatory requirements and procedures for being able to work in
Brazil. U.S. and international ACE companies are finding business in
Brazil because of the high level of private sector and government
investments in infrastructure.
The Brazilian Equipment and Maintenance Technology Association
(Sobratema) states that the infrastructure sector is estimated to
receive US$600 billion in investments from 2013 through 2017. The sum
will be divided between the energy and infrastructure sectors, with a
larger amount allocated for infrastructure development such as road,
rail, ports and stadiums.
US$66.5 billion will be invested over 25 years in building 7,500 km
of highways and 10,000 km of railways in Brazil. US$1.10 billion will
be invested in Ports and another US$3.15 billion will be invested in
Port terminals.
In the airport sector, three of the major airports have been
recently privatized and two more are scheduled to be privatized by the
end of 2013, in the major cities of Rio de Janeiro and Belo Horizonte.
The Brazilian Federal Government will invest US$3.65 billion in 270
airports around the country, with the goal that 96% of Brazilians will
be no more than 100 km from an airport. Please see Country Commercial
Guide Airport Industry best prospect at http://export.gov/brazil/doingbusinessinbrazil/index.asp.
The outlook for the coming years seems positive, especially due to
the model outlined in the Public-Private Partnerships (PPPs) of
Brazil's Growth Acceleration Program (PAC) (http://homologacao.brasilglobalnet.gov.br/CDInvestimento/dados/I/7.3.ParceriasPublicoPrivadasPPPs.aspx). It is expected that concessions
and privatizations in many infrastructure
[[Page 38688]]
projects will provide the opportunity for further investments in the
future. These major investments will bring many opportunities for ACE
firms that are capable and ready to partner with local construction and
engineering firms that are active in PPP projects.
Best Prospects in the architectural sector can be found in areas
such as airports, ports, hospitals, and include:
--Ports (Port of Rio and Santos re-development--design of the walkways,
buildings, along the port)
--Airport design (such as airport terminals, existing and expansion of
terminals, security)
--Industrial design for plants, manufacturing, new or planned
extensions
--Health sectors (new hospitals and upgrades to existing)
--Lighting design, including commercial, industrial, urban (LED is
increasingly gaining popularity in Brazil)
--Urban planning (non-residential design, technology, and equipment for
``smart cities'')
--Sport venues design and equipment
--Building Information Modeling (BIM) Process
Many ACE projects are now being required to contain sustainable or
``green'' content, according to Leadership in Energy and Environmental
Design (LEED) and other certification programs.
Rio de Janeiro
The 2014 FIFA World Cup is scheduled to take place from June 12 to
July 13, 2014 throughout 12 cities in Brazil. Rio de Janeiro will also
host the 2016 Summer Olympics Games. This will be the first Summer
Olympics held during the host city's wintertime, as well as the first
time a South American city will host the event. The pressure is now on
Brazil to convince the world they can handle events of this magnitude.
Although more than half of Rio's Olympics venues are already built,
a legacy from the Rio 2007 Pan American Games, investments from 2010
through 2016 will reach approximately US$50 billion, including airport
renovation, stadium construction and renovations and infrastructure
projects--all in preparation for the thousands of tourists who will
attend these major events. Unlike in London, the percentage of
investments dedicated to transportation such as buses, beltways and
metro lines will be higher than investments dedicated to Olympic sports
projects such as arenas and stadiums. Many projects are funded through
the Public-Private Partnerships (PPPs). The Port area and the
international airport (GIG) will be undergoing major expansions. The
international airport in Rio is scheduled to be announced for
privatization around the fall of 2013, creating opportunities for
architectural firms to partner with concession winners. For an
understanding of the regulatory environment that architectural design
firms face in Brazil, please read our report on licensing at: http://export.gov/brazil/games/eg_br_024085.asp.
Recife
Recife is the capital of the state of Pernambuco and the largest
city in Brazil's Northeast with a population of more than 8 million
people in the metropolitan area. It will also serve as a host city for
the 2014 World Cup. The Northeast is Brazil's fastest-growing region,
and Pernambuco is Brazil's fastest-growing population center.
Pernambuco and Recife have generated the highest economic growth rates
in recent years, and infrastructure projects to support the growth
abound. In the last two years, Brazil's gross domestic product grew 7.5
and 2.7 percent. Meanwhile, Pernambuco's economy grew by 9.3 and 4.5
percent respectively, according to the Brazilian statistics agency.
Many Brazilians now migrate to the Northeast to find work, a complete
turn-around from the historical migration pattern.
Pernambuco is home to the industrial complex and port of Suape,
which has more than 100 companies present and a further 25 in various
phases of starting up. According to the Global Director at the port,
private investment now equals around $27 billion. Suape also hosts the
largest shipyard in the Southern Hemisphere and Petrobras' Abreu e Lima
refinery, the largest and most modern oil refinery in Brazil. Two new
shipyards are under construction. The state government is also building
the Suape Business Center that will have a 192-room hotel and four
business towers to support the business community around Suape.
Logistics in the region are also an area of investment, with
Pernambuco planning to invest $31 billion. This includes over $5
billion for the railway connecting two ports, Suape and Pecem (in the
state of Ceara), with the interior of the region. According to local
business leaders, the government of Pernambuco plans to invest $20
billion over the next 10 years to build 14 planned cities. One such
city, Cidade da Copa, is being built in conjunction with the Pernambuco
Arena, Recife's newly built stadium seating 47,000 spectators that will
host World Cup games. It will be one of the first ``smart'' cities
constructed in Latin America. Cidade da Copa is planned to have
residential and business units, a university campus, an indoor arena, a
hotel, and a convention center.
Mission Goals
The goals of the Architecture Services Trade Mission to Brazil are
to provide U.S. participants with first-hand market information, and
one-on-one meetings with business contacts, including potential
partners, so that they can position themselves to enter or expand their
presence in the Brazilian market. As such, the mission will focus on
helping U.S. companies obtain market information and establish business
and government contacts.
The mission will also facilitate first-hand market exposure and
access to government decision makers and key private-sector industry
contacts, especially potential partners. It will provide opportunities
for participants to have policy and regulatory framework discussions
with Brazilian government officials and private sector representatives,
in order to advance U.S. architectural sector interests in Brazil. It
will provide participants with an opportunity to meet with Brazilian
architecture trade associations, such as ASBEA and CAU, to foster long-
term partnerships and for sharing best practices and continuing
education, especially with trade association/organization participants.
Mission Scenario
The mission will start in Rio de Janeiro with a welcome dinner on
Sunday, March 6. The next day the participants will attend a briefing
organized by CS Rio before introducing guest speakers to provide an
overview of the city and state projects. Additional planned events
include site tours and matchmaking events with ACE potential partners,
including briefings on the upcoming airport concessions and/or port
areas, city planners etc.
In Recife, the delegates will start with briefings by local
industry and government officials on the opportunities available in
Recife, the state of Pernambuco, and the Northeast region. The
afternoon's agenda will comprise one-on-one matchmaking meetings.
The following day, mission participants will have the opportunity
to tour the port of Suape. In addition to being the largest port in the
region, it hosts an expanding industrial cluster. Because of the large
number of people employed and the distance from the
[[Page 38689]]
port to the city of Recife, various planned cities are being
constructed in the area, which we will tour.
The participants will attend policy, market and commercial
briefings by the U.S. Commercial Service and industry experts as well
as networking events offering further opportunities to speak with
government officials as well as potential distributors, agents,
partners and end users. U.S. participants will be counseled before and
after the mission by CS Brazil staff. Participation in the mission will
include the following:
Pre-travel briefings on subjects from business practices
in Brazil to security;
Pre-scheduled meetings with government officials,
potential partners, developers, and local industry contacts in Recife
and Rio de Janeiro
Airport transfers during the mission between the stops in
Rio and Recife;
Participation in networking receptions in Rio and Recife;
and participation in matchmaking meetings with potential partners and
developers in both cities.
Proposed Timetable
Rio de Janeiro
Sunday--October 6
Arrive in Rio
Evening Welcome Dinner
Overnight stay in Rio
Monday--October 7
Breakfast briefing FCS
Briefing by industry experts and gov't officials
Networking lunch w Chamber/Association
Matchmaking meetings
Evening Reception
Overnight stay in Rio
Rio/Recife
Tuesday--October 8
Site Visits in Rio
Networking Lunch in Rio
Afternoon travel to Recife
Overnight stay in Recife
Recife
Wednesday--October 9
Meetings with local industry and government officials
Networking lunch with local industry representatives
Matchmaking meetings
Overnight stay in Recife
Recife
Thursday--October 10
Site visits
Mission Officially Ends
Participation Requirements
All parties interested in participating in the trade mission must
complete and submit an application package for consideration by the
U.S. Department of Commerce. All applicants will be evaluated on their
ability to meet certain conditions and best satisfy the selection
criteria as outlined below. A minimum of 15 and maximum of 20 firms
and/or trade associations or organizations will be selected from the
applicant pool to participate in the mission.
Fees and Expenses
After a company or trade association/organization has been selected
to participate on the mission, a payment to the U.S. Department of
Commerce in the form of a participation fee is required. The
participation fee is $3,250 for small or medium-sized enterprises (SME)
\1\ and trade associations/organizations. The participation fee for
large firms is $4,000.00. The fee for each additional representative
(large firm or SME or trade association/organization) is $750.
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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/services/contracting opportunities/
sizestandardstopics/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 for additional information).
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Exclusions
The mission fee does not include any personal travel expenses such
as lodging, most meals, local ground transportation (except for
transportation to and from meetings, and airport transfers between Rio
and Recife during the mission), and air transportation. Delegate
members will however, be able to take advantage of U.S. Government
rates for hotel rooms. Visas will be required. Government fees and
processing expenses to obtain such visas are also not included in the
mission costs. However, the U.S. Department of Commerce will provide
instructions to each participant on the procedures required to obtain
necessary business visas.
Conditions for Participation
Applicants must submit a completed and signed mission application
and supplemental application materials, including adequate information
on the company's or association/organization's products and/or
services, primary market objectives, and goals for participation by
August 9, 2013. If the Department of Commerce receives an incomplete
application, the Department may either: Reject the application, request
additional information/clarification, 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, are marketed under the name of a U.S. firm and have
at least fifty-one percent U.S. content. In the case of a trade
association or organization, the applicant must certify that for each
company to be represented by the association/organization, the products
and/or services the represented company seeks to export are either
produced in the United States or, if not, marketed under the name of a
U.S. firm and have at least fifty-one percent U.S. content.
In addition, each applicant must:
Certify that the products and services that it wishes to
market through the mission would be in compliance with U.S. export
controls and regulations;
Certify that it has identified to the Department of
Commerce for its evaluation any business pending before the Department
that may present the appearance of a conflict of interest;
Certify that it has identified any pending litigation
(including any administrative proceedings) to which it is a party that
involves the Department of Commerce; and
Sign and submit an agreement that it and its affiliates
(1) have not and will not engage in the bribery of foreign officials in
connection with a company's/participant's involvement in this mission,
and (2) maintain and enforce a policy that prohibits the bribery of
foreign officials.
Selection Criteria for Participation
Targeted mission participants are U.S. companies and trade
associations/organizations providing or promoting ACE services that
have an interest in entering or expanding their business in the
Brazilian market. The following criteria will be evaluated in selecting
participants:
Suitability of a company's (or in the case of a trade
association/organization, represented companies') products or services
to the Brazilian market.
Company's (or in the case of a trade association/
organization, represented companies') potential for business in Brazil,
including likelihood of exports resulting from the mission.
Consistency of the applicant company's (or in the case of
a trade association/organization, represented companies') goals and
objectives with the stated scope of the mission.
Additional factors, such as diversity of company size, type,
location, and
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demographics, may also be considered during the review process.
Referrals from political organizations and any documents, including
the application, containing references to partisan political activities
(including political contributions) will be removed from an applicant's
submission and not considered during the selection process.
Timeframe for Recruitment and Application
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.export.gov/trademissions/
) 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 this mission will begin immediately and conclude no
later than August 9, 2013. The U.S. Department of Commerce will review
applications and make selection decisions on a rolling basis beginning
June 24, 2013 until the maximum of 20 participants is selected.
Applications received after August 9, 2013 will be considered only if
space and scheduling constraints permit.
Contacts
U.S. Commercial Service Washington, DC
Arica Young, U.S. Commercial Service, Washington, DC, Tel: 202-482-
6219, Email: [email protected].
U.S. Commercial Service Brazil
Patrick Levy, U.S. Commercial Service, Rio de Janeiro, Brazil, Tel:
+55+21-3823-2413, Email: [email protected].
Elnora Moye,
Program Assistant.
[FR Doc. 2013-15341 Filed 6-26-13; 8:45 am]
BILLING CODE 3510-FP-P