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UNCLAS SECTION 01 OF 03 KABUL 003271 
 
SIPDIS 
 
DEPARTMENT FOR SCA/FO, SCA/A, S/CR, EUR/ERA, EUR/RPM 
STATE PASS USAID FOR AID/ANE, AID/DCHA/DG 
NSC FOR HARRIMAN 
OSD FOR BREZEZINSKI 
REL NATO/AUST/NZ/ISAF 
CENTCOM FOR CG CFC-A, CG CJTF-76 
 
SENSITIVE 
SIPDIS 
 
E.O. 12958 N/A 
TAGS: PREL PGOV ECON ETRD EFIN EINV SOCI AF
SUBJECT: PRT BAMYAN: CHAMBER OF COMMERCE BABY STEPS 
 
 
Summary 
-------- 
 
¶1.  Bamyans Chamber of Commerce is making strides, 
but still needs assistance and guidance to develop 
into a private sector advocate.  The Chamber does not 
yet appreciate the distinction between its role and 
the governments, for instance, by continuing to 
o 
pressure donors rather than government ministries for 
results.  Expert assistance from the Afghanistan 
International Chamber of Commerce (AICC) and the 
Center for Private Enterprise (CIPE) has convinced the 
local Chamber that it has a better future following 
the AICC/US Chamber model.  AICC, recognizing the 
Chambers potential even with its current weaknesses, 
intends to open a local AICC office in the near 
future.  The Chamber has pointed to improving roads 
and infrastructure as priority needs, and sees tourism 
and womens entrepreneurship as growth areas, but is 
unclear how to move these from idea to action.  End 
Summary. 
 
Private or Public Sector? 
--------------------------- 
 
¶2.  The Chamber of Commerce and Industry was re- 
introduced to Bamyan in 2003, according to Haji Chaman 
Ali, as an arm of the Ministry of Trade and Commerce. 
The previous director disappeared after about six 
months, and the organization languished until early 
this year, when Provincial Governor Sarabi called 
d 
together local business leaders and previous chamber 
members.  The Chamber began working again, with 40 
members, of which 12 serve on a board of directors. 
 
¶3.  Close association with the Ministry initially 
confused Chamber members about their responsibilities 
and objectives.  Chaman Ali initially explained to us 
how the Chamber would help the government by 
collecting taxes from private contractors, especially 
those getting donor contracts.  The Chamber has a 
letter from President Karzai, he claimed, which 
authorized the Chamber to get into tax collection (he 
was unable to show us the letter).  It took several 
months of explanation from PRToff, AICC 
representatives, and CIPE Chief of Party Mark McCord 
before the Chamber agreed to forego this role. 
 
¶4.  The Chamber still sees itself as less an advocate 
for business and more an advocate for villages, 
stepping into the purview of government agencies in 
this respect.  Chaman Ali and his board of directors 
s 
continue to press donors to provide additional 
development assistance for several villages, rather 
than working to promote existing businesses.  The 
Chamber has requested the PRT fund beehives, carpet 
weaving, cutting and washing facilities and equipment, 
birdhouse construction, and even an entire plastics 
factory (ostensibly to produce plastic watering cans). 
 
Pointing Bamyan Chamber in the Right Direction 
--------------------------------------------- - 
 
¶5.  The Bamyan Chamber is slowly evolving towards the 
US model of a Chamber of Commerce, thanks to patient 
intervention from AICC and CIPE.  In March 2006, 
CIPEs McCord explained to the Bamyan Chamber how it 
 
KABUL 00003271  002 OF 003 
 
 
could help the Chamber develop expertise in strategic 
planning; business association development; and 
womens enterprise development.  Anything to do with 
the private sector, we can help you do, McCord 
explained. 
 
¶6.  The Bamyan Chambers first taste of what a Chamber 
can do came when AICC organized its National Business 
ness 
Agenda meeting in Bamyan in April 2006.  The meeting 
brought together almost 200 civic and business leaders 
from Bamyan Province to gauge what matters most to 
them, with the idea that this input would go into a 
national document for the Central Governments 
consumption.  Private and public sector leaders alike 
universally pointed to improving roads as the primary 
need for Bamyans continued economic development. 
(Note: There are no paved roads in Bamyan Province. 
The 120 km trip to Kabul from Bamyan through Shibar 
Pass currently takes between 8-11 hours, weather 
permitting.) 
 
¶7.  AICC thereafter held a three-day workshop with the 
Bamyan Chamber at the end of May 2006 to provide 
technical assistance to the Bamyan Chamber.  In the 
program, AICC gave the Bamyan Chamber information and 
advice on advocacy, strategic planning, membership 
development, marketing, and advocacy.  With that 
training under its belt, the Chamber decided to cast 
its lot with AICC, with the idea of creating a local 
l 
chapter of AICC in Bamyan.  CIPE and AICC 
representatives pledged to make follow up trips to 
Bamyan to begin offering the technical assistance 
necessary to set up the new chamber. 
 
Vision for the Future:  Tourism and Womens Business 
--------------------------------------------- -------- 
 
¶8.  The Bamyan Chamber, along with government 
officials, believe tourism can be the engine for 
future economic growth.  Chaman Ali explained that the 
Chamber hopes to capitalize on Bamyans unique 
cultural heritage to provide jobs and income for 
people.  Hotels, restaurants, tours, outdoor sports; 
we could have all of that here, he said. 
 
¶9.  Equally important for the economy will be women in 
business, Ali explained in introducing PRToff to 
Bamyans first women shopkeepers.  To attract 
tourists, Bamyan needs to promote itself as a 
progressive area, especially relative to other parts 
of the country.  One way to do this is by allowing 
women to run their own businesses.  Women making 
aking 
money, selling their own goods -- this is good for 
their families, good for Bamyans people, good for 
tourists to see.  We should encourage it, he 
explained. 
 
Comment 
-------- 
 
¶10.  The Chamber has embraced Governor Sarabis Ten 
Year Strategic Plan for Bamyan Province, including its 
focus on the need for infrastructure and the potential 
for tourism.  Like the provincial government, however, 
the Chamber has little to no idea how to translate 
that vision into an action plan to reach its goals of 
improving the business environment for the province. 
 
KABUL 00003271  003 OF 003 
 
 
Continued guidance from AICC and CIPE will be crucial 
in boosting the Chambers advancement of Bamyans 
nascent private sector while simultaneously reining in 
unrealistic expectations of what the Chamber, and the 
Province, can achieve in the short term. 
 
NEUMANN 
 
ANN