VZCZCXYZ0000
PP RUEHWEB

DE RUEHTU #0057/01 0251307
ZNR UUUUU ZZH
P 251307Z JAN 10
FM AMEMBASSY TUNIS
TO RUEHC/SECSTATE WASHDC PRIORITY 7195
INFO RUCPDOC/USDOC WASHDC PRIORITY
RUCNMGH/MAGHREB COLLECTIVE

UNCLAS TUNIS 000057 
 
SIPDIS 
 
STATE FOR EEB/IFD/OIA AND NEA/MAG 
USDOC FOR ITA/MAC/ONE (MASON)AND CLDP (TEJTEL AND MCMANUS) 
CASABLANCA FOR FCS (KITSON) 
 
E.O. 12958: N/A 
TAGS: BEXP ECON EINV ETRD BTIO
SUBJECT: TUNISIA PROPOSAL FOR BFIF FUNDS 
 
Below are Embassy Tunis' proposals, in rank order, for Business 
Facilitation Incentive Funds. 
 
--------------------------------------- 
"Doing Business with the U.S." Roadshow 
--------------------------------------- 
 
¶1. (U) Tunisia's economy is largely focused on trade with Europe, 
with U.S. exports at only $502 million in 2008 (8th after France, 
Italy, and Libya).  Tunisian businesspeople, trade organizations, 
and chambers of commerce often cite lack of information about how to 
invest and trade with the United States as a reason for this gap. 
To fill this demand for information, Post sent six candidates from 
the Tunisian private and public sector to the United States in 
December 2009 on a Single-Country Program (part of the International 
Visitor and Leadership Program) to learn about how to export to the 
United States.  In November 2008, a representative came from the 
U.S. Trade Representative to speak to Tunisian audiences about the 
Generalized System of Preferences (GSP) program.  Both programs were 
very successful, in large part because they met a pent-up demand for 
information. 
 
¶2. (U) Post would like to organize a Roadshow to provide information 
to Tunisian entrepreneurs and the private sector on how to do 
business with the United States.  Our Commercial section will 
present the portion on GSP, and the participants who went on the 
IVLP program will present information gleaned from that trip.  The 
Roadshow will travel to major cities outside of Tunis (Bizerte, 
Sousse, Sfax), target entrepreneurs, and be organized in tandem with 
Tunisian trade and entrepreneurship organizations. 
 
¶3. (U) The expected impact is increased bilateral commercial 
relations and a higher profile for the United States as a trading 
partner.  The Roadshow will meet Tunisian demand for information 
about investing and exporting to the United States.  Most Tunisian 
businesspeople have no idea where to go to find information - a 
Roadshow will provide them with the necessary tools and at the same 
time allow us to do media outreach to highlight the U.S. as a 
potential market. 
 
¶4. (U) Funds will be needed by May 2010.  Post is currently holding 
preliminary meetings with the IVLP alumni and the organizations we 
will partner with (Center for Young Entrepreneurs, the 
Tunisian-American Chamber of Commerce, Tunisian Customs, and UTICA, 
the Tunisian Employers' Association). 
 
¶5. (U)  Costs are estimated for a Roadshow that goes to Bizerte, 
Sousse, and Sfax.  The rough itinerary is Day 1 (Bizerte - no 
overnight), Day 2 (travel to Sousse, Presentation, overnight in 
Sousse), Day 3 (travel to Sfax, Presentation, overnight in Sfax), 
Day 4 (return to Tunis).   Participants will be Econ/Commercial 
Officer, Commercial Specialist, two participants from IVLP program, 
with a dedicated Embassy driver. 
 
Hotel Participants (2 nights x $150) = $300 x 4 participants = 
$1200 
M & IE Participants (3 days x $98) = $294 x 2 participants = $588 
Hotel driver (2 nights x $150) = $300 
M & IE driver (3 days x $98) = $294 
Driver overtime costs: $250 
Misc travel costs = $400 
Possible Space Rental Cost = $800 (we anticipate other organizations 
to cover this) 
TOTAL ESTIMATED COST: $3832 
 
¶6. (U) Points of Contact: Isabel E. Rioja-Scott, Econ/Commercial 
Officer, +216-71-107-460 (Rioja-ScottIE@state.gov) 
Sami Aouadhi, Commercial Specialist, +216-71-107-231 
(AouadhiS@state.gov) 
 
---------------------------- 
International Franchise Expo 
---------------------------- 
 
¶7. (U) Until August 2009, the concept of franchising was not 
specified in Tunisian legislation, and franchising operations were 
approved on a case-by-case basis.  New legislation, however, created 
an opening for the operation of foreign franchises in Tunisia - a 
market that is of particular interest to U.S. franchisors.  In 
December 2009, Post coordinated with the Commercial Law Development 
Program (CLDP) to bring an expert speaker to Tunisia.  He 
participated in the first-ever Tunisian franchise show, and held 
important consulting sessions with those in the Ministry of Commerce 
responsible for drafting the legislation (and the implementation 
decree, due out in February 2010).  To build on this outreach we 
have offered, with possible CLDP funding, to bring a Tunisian 
delegation to the International Franchise Expo in April 2010 in 
Washington, DC.  The delegation, to be comprised of three Ministry 
of Commerce representatives, two representatives from the Tunis 
Chamber of Commerce and Industry, and one from the Tunisian-American 
Chamber of Commerce, as well as private sector (self-paying) 
participants, will go to the IFE and also partake in specialized 
training offered by CLDP. 
 
¶8. (U) Participation in the IFE and CLDP programs on franchising 
will have a direct positive impact for U.S. franchisors.  The 
delegates will learn about the benefits and mechanics of 
franchising, and implement the adequate legal framework and business 
environment in Tunisia to allow franchises to thrive.  The United 
States is a world leader in franchising and is poised to take 
advantage of this new market in Tunisia. 
 
¶9. (U) The trip is planned for April 7-11, 2010, which means Post 
would need confirmation of funds by March 1, 2010. 
 
¶10. (U) Cost calculations are based on covering six Tunisian 
participants and two USG personnel.  The cost estimates cover 
airfare, per diem, miscellaneous travel expenses, 
translation/interpretation and materials.  These cost estimates were 
estimated jointly with CLDP.  The Embassy would consider partial 
funding for this proposal. 
 
 Economy Tickets ($1,500 x 8) = $12,800 
 Hotel Washington, DC ($226 x 48) = $10,848 
 M & IE DC ($71 x 60) = $4,260 
 Misc Travel ($300 x 8) = 2,400 
 Local Transportation ($9,000 x 1) = $9,000 
 Interpretation Services and Travel ($4,000 x 1) = $4,000 
 Materials ($1,000 x 1) = $1,000 
 TOTAL ESTIMATED COST: $44,308 
 
GRAY