Japanese investment tips CHAIRMAN and CEO of the Japan External Trade Organisation, Osamu Watanabe, recently gave Egyptians some tips on export promotion. During a recent speech at the Management Development Centre, Watanabe discussed Japan's experiences after WWII, specifically the growth of various Japanese export promotion institutions. He highlighted that Egyptian export promotion institutions are far more developed than Japan's when it began promoting exports, but questioned whether government organisations are actually working together towards the common goal of export promotion. He also emphasised that export promotion should be recognised as a national issue by both the government and the private sector. "No matter how hard the government tries to stir enthusiasm, little progress will be made if there is no interest or willingness in the private sector. Likewise, the private sector's drive for exports should not be hindered by government interference. In fact, private sector competitiveness should be bolstered by government efforts," he said. Watanabe thinks the government should set up industrial policies that benefit sectors with clear potential for exporting products. Encouraging Foreign Direct Investment (FDI) is another key element in the success of export promotion. "The key is to convince foreign firms that Egypt is a country where they can make profit," he said. He recommended a list of issues that need to be accomplished, such as the development of supporting industries, education of a young and skilled workforce, tax incentives and improvement of the investment environment as a whole. He believes that the areas likely to attract more FDI are the energy and food industries, where there are already foreign companies operating in Egypt. "It may be a good idea to concentrate your efforts in promoting more investment and technology transfer in this field by offering special incentives for investors in this industry," he said. He concluded by saying that attracting blue-chip companies to invest in Egypt is another approach towards export promotion. Positive Outlook A SPANISH business delegation recently visited Egypt to explore business opportunities in the Egyptian market. The delegation included manufacturing and exporting companies and producers of electronics and telecommunications equipment such as networking systems, automatic vending machines, computers and public telephone equipment. The Spanish delegation held several business meetings with Egyptian companies and said they would participate at Al- Ahram's annual Computer and Information Technology Exhibition (ACITEX), to be held next February, according to Enrique Costilla, economic and commercial counsellor. "Despite the fact that the electronics and telecommunications sectors are going through difficult times in these past years, the Spanish industry has always shown a positive [outlook]," said Virginia Jimenez, foreign trade manager of the Spanish Association of Electronics and Telecommunications Industry (ANIEL), adding that it reached a total growth rate of 80 per cent in this period. The delegation's visit was organised by ANIEL and the Economic and Commercial Office of the Embassy of Spain.
