The Role of ICDT in Promoting the Exports of the SMEs of the OIC Member States

By Mr. Mamoudou Bocar SALL (ICDT)

1st Meeting of the Trade Working Group

On Promoting the SMEs Exports in the OIC Member States: the Role of the TPOs

Ankara, Republic of Turkey, 20 June 2013

ICDT in Brief

Importance of SMEs in OIC Member States’

Economies

Activities of ICDT in promoting OIC’s Member

States SMEs

Way foreward: Main challenges and

recommendations

OUTLINE

Subsidiary organ of the OIC

Inception in February 1981 during the 3rd Summit of

Makkah Al Mukarramah.

Headquarters agreement was signed by the Moroccan

Government and OIC on 22nd November 1982.

Operational in 1983 and on April 16th, 2013 we

celebrate the 30th Anniversary of ICDT in Rabat.

Mission: Developping trade and investment between OIC

Member States

ICDT in brief

To encourage regular trade exchanges among Member States;

* To promote investments likely to develop trade flows ;

* To contribute to the promotion of Member states' products

and encourage access to foreign markets ;

* To promote trade information ;

* To assist Member States in the fields of Trade Promotion and

international negotiations ;

* To extend assistance to enterprises and economic operators;

* To participate in the trade fairs organised by ICDT

ICDT in brief: Objectives

Trade Promotion

•To promote contacts between Member States' Businessmen ;

•To ensure the promotion of Member States' production by

regularly holding the Islamic Trade Fair and specialized

exhibitions;

•To assist Member States with creating and organizing Export

Promotion Centres;

•To extend consultancy and expert services to Member States

in the field of trade promotion.

ICDT in brief: Main activities

Trade Information :

•To collect and disseminate trade information ;

•To Develop Trade data bases and facilitate their

remote access ;

•To Assist Member states with setting up and organising

documentation and information centres and Trade Information

Networks.

ICDT in brief: Main activities

Investment Promotion :

•To encourage intra-O.I.C investments ;

•To promote foreign investments in the O.I.C Member States;

•To encourage partnership between Member States' economic

operators ;

•To provide consultancy and expert services to Member States

in the area of investments promotion and in particular export

oriented investments

ICDT in brief: Main activities

Studies and research :

•To publish an annual report on Intra-OIC Trade;

•To undertake sectorial product and market studies;

•To examine the ways and means likely to alleviate

obstacles to trade among Member States.

Training :

•To organise seminars and training sessions ;

•To help Member States establish expert groups in the various

fields of trade development.

ICDT in brief: Main activities

International Negotiations :

•Assist Member States in trade negotiations ;

•To extend assistance to enterprises with a view to facilitating

their adaptation to economic globalisation.

ICDT in brief: Main activities

According our study on OIC SMEs, the OIC’ Member States SMEs

employ between 1 to 250 wage-earners and their capital is less

than 15 million euros and represent mors than 70% of OIC

Countries GDP)

SMEs’ Most Salient Features

The most salient characteristic of SMEs is the central status of

their owner-managers.

Importance of SMEs in OIC

Member States’ Economies

* lack of requisite investments for the benefit of OIC’ SMEs,

* no attempting of industrial cluster and import form cheap

products ,

* narrowness of domestic market, poor assistance from

governments,

* lack of financing system to SMEs,

* inability to deal with foreign companies and lack of training

and foreign markets, myriad of rules and regulations

* lack of logistics and infrastructure in some OIC Countries,

incapacity to deal with anti-dumping problems from

industrialized countries and imports from illegal channels via

neighbouring countries

* and heavy red tapes.

OIC Member States SMEs’ General

problems to access to markets

Origin of assistance: public (state, local authorities), national private (private professionals, national NGOs, associations)and foreign assistance (international, private professionals, international NGOs) Nature of assistance institutional (structure, laws, regulations), foreign (direct/indirect), engineering (equipment supply, provision of experts), management (training, counsel), export promotion (TPOs, laws and regulations, industrial parks, high tech, TFZ, trade fairs, logistics, foreign market penetration)… Intervention level framework of training, foreign markets feasibility studies, launching new projects, exploitation process… Duration of assistance: punctual, short term, medium and long term assistance.

SUPPORT MEASURES TO SMEs

ICDT organised:

* 13 OIC Trade Fairs (1986-2011), the 14th will be held in Tehran (Iran);

* One OIC Tourism Fair (Istanbul 2005);

* more 15 OIC Specialised Exhibitions;

* more than 20 buyers –sellers meetings and OIC Business fora.

Before organizing these events: market studies on productc and services with high intra-OIC trade potential, coordination meetings, invitations to Ministries and TPOs, promotional campaigns, distribution of tasks, incentives by organisers (9sqm, accommodations and transportations expenses for LDCs (SMEs) in collaboration with ICDT, ITFC and hosting countries.

During these events ICDT helps SMEs to arrange their stands and coaches them during B2B meetings.

Distribution of questionnaires to evaluate the outcomes of the said events,

Action in Promoting SMEs Exports

The Trade Fair of OIC Countries

Importance of the OIC Trade Fairs

13th OIC Trade Fair (Sharjah, 24-29 April 2011

CALENDAR OF THE OIC TRADE FAIRS

Year Venue

12th Fair 11-16 October

2009

Cairo, Egypt

13th Fair 24-29 April

2011

Sharjah, UAE

14th Fair 28 oct-1st Nov

2013

Iran

15th Fair 2015 Guinea

16th Fair 2017 IRAQ

17th Fair 2019 KSA

1st OIC TOURISM FAIR (ISTANBUL NOV 2005

Calendar of the OIC Tourism

Fairs

Year Venue

2nd Fair 2014

Tunisia

3rd Fair 2016

Egypt

4th Fair

2018 Iran

5th Fair

2020 Africa

SPECIALIZED EXHIBITIONS (2010-2015)

Sectors Date Venue Building and Construction

OIC Building EXPO

24-27June 2010 Dakar

Senegal

Textiles, Cotton, Clothing

industry (OIC Textiles Expo)

21-25 September

2011

Ouagadougou

Burkina Faso

Higher Education services 28 Nov-1st

December 2011

Girne

TRNC

Health-Related Services

(1st OIC Health Expo)

1st -4th

March 2012

Tunis

Tunisia

5th Agri-business industries 20-23 May 2012 Jeddah- KSA

OIC Halal Food Expo 10-12 December

2012

Sharjah-UAE

1st OIC Handicraft Expo 11-14

April 2013

Casablanca/Morocco

6th Agri-business industries 13-16 May 2013 Muscat –Oman

OIC CHINA EXPO AND

ECONOMIC AND TRADE

FORUM

12-16 September

2013

Yinchuan,

Autonomous Province

of “NINGXIA HUI” -

CHINA

Muslim Business Forum and

Expo

14-16 November

2013

Dakar

Senegal

SPECIALIZED EXHIBITIONS (2010-2015)

Sectors Date Venue 2nd OIC Halal Expo 16-18

December

2013

Sharjah-UAE

7th Agri-business industries 13-16 Avril

2014

Jeddah - KSA

Health-Related Services

(2nd OIC Health Expo)

June 2014 Dakar

Senegal

3rd OIC Halal Expo 2014 Turkey

Logistics & transportation

partnership

2015 Tangier//Istanbul/

Beirut

Forum and Specialized

Exhibition on “Higher

Education Services in the

OIC Member States

2015 Senegal/Malaysia

1st Exhibition of Organic

and Local Products of the

OIC Member States

2015 Tunis/Tunisia

2nd OIC Agr- business Industries Expo, Jeddah, Mai 2009

1st OIC Textiles Expo (Ouagadougou, 21-25 Septemer 2011

1st OIC Health Expo, Tunis, 1-4 March 2012

1st OIC Halal Food Expo, Sharjah, 10-12 December 2012

1st OIC Handicraft Expo, Casablanca, 11-14 April 2013

6th OIC AGRO-INDUTRIES EXPO, Muscate, 12-16 May 2013

TPOs Meetings

Meeting Year - TPOs’ Networks of the French

speaking countries

23-24 December 2009

Casablanca

(ASEPEX, coordinator)

- TPOs’ Networks of the Arabic

speaking countries

3-4 November 2010, Tunis

(Tunisia Export, Coordinator)

- TPOs’ Networks of the English

speaking countries and Launching

Global TPOs’ Network of the OIC

Member States

April 2011 in Sharjah postponed to

Tehran November 2013

Turkish TPO shall be a coordinator???

In collaboration with ITFC and hosting countries

OBJECTIVES OF THE OIC TPOs Network

Strengthening close cooperation between the OIC TPOs ;

Disseminating of business contacts like trade and investment opportunities

between OIC TPOs;

Creating technology and services partnerships offered by TPOs;

Regular and continuous consultation on activities related to national and

international exhibitions and those organized by ICDT;

Strengthening human and institutional capacity;

Collecting and disseminating of trade information and especially those related to

National SMEs on Internet;

Disseminating trade regulations and foreign trade and investment statistics of OIC

Member States;

Promoting e-commerce ; and

Exchanging experiences and best practices (success stories) of TPOs.

ARCHITECTURE OF THE

OIC TPO NETWORK

TPOs-Asian

Countries TPOs-Arab

World

Countries

ITFC

TPOs-African

Countries

ICDT OIC TPO

NETWORK

ARCHITECTURE :

OIC TPO NETWORK

OIC TPO

NETWORK

18 TPOs-Asian

Countries: Afghanistan, Albania,

Azerbaijan,

Bangladesh, Brunei,

Guyane, Indonesia,

Iran, Kazakhstan,

Kyrgyzstan, Malaysia,

Maldives, Uzbekistan,

Pakistan, Suriname,

Tajikistan,

Turkmenistan and

Turkey

20 TPOs-Arab

World Countries: Algeria, Saudi Arabia,

Bahrain, Egypt,

United A Emirates,

Iraq, Jordan, Kuwait,

Lebanon, Libya,

Morocco, Mauritania,

Oman, Palestine,

Qatar, Somalia,

Sudan, Syria, Tunisia

and Yemen

19 TPOs-African

Countries: Benin,

Burkina Faso, Cameroon,

Comoros, Côte d’Ivoire,

Djibouti, Gabon,

Gambia, Guinea, Guinea

Bissau, Mali,

Mozambique, Niger,

Nigeria, Uganda,

Senegal, Sierra Leone,

Chad and Togo

ITFC ICDT

32

NETWORK DATABASES

TPO Members

Top ten et OIC TPOs prizes

TPOs Global Forum

Business Opportunities

Best Practices

Trade Supports Regional Projects

Publications

Contact and useful links

Activities

www.icdt-oic.org/oictponet

33

CONTRIBUTION OF TPOs to the

NETWORK

To publicize and promote the economic operators with products and

services offered by OIC Countries and Institutions in particular the IDB

Group and ICDT ;

To provide regularly to TINIC Databases (Business Opportunities, Foreign

Trade Statistics, Virtual Fair, Economic Operators, Trade Regulations,

CustomsTariffs, NTBs .....) ;

To undertake all necessary actions in order to facilitate regular participation

the OIC Member States in OIC Trade Fairs and specialized exhibitions

organized by ICDT ;

To encourage OIC Economic Operators to participate actively in forums and

seminars organized by ICDT and IDB Group ;

To develop a partnership between OIC TPOs and boost the existing

cooperation agreements and promoting the transfer of technical advice and

know-how from advanced TPOs to others. 34

ICDT’s CONTRIBUTION TO THE

NETWORK To encourage a collective participation of OIC Member States TPOs in international exhibitions;

To foster the organization of TPOs trade missions for the exploration international markets (bundling, collective bids in tenders for non-competitive products);

To develop Technical Assistance in collaboration with ITFC to TPOs in the conception and creation of Information System Networks (websites, internal databases, networks, training, seminars…): Guinea (DNCC), Benin (APEBEC, Embassy), Senegal (Embassy, CCIAD) , Mauritania (CCIAM), Morocco (ASMEX), Tunisia (Embassy), Iraq (Min of Trade), Libya (LEPC);

To encourage assistance in benefit of OIC TPOs in holding fairs, buyers -sellers meetings (business matching) ;

To establish TPOs virtual network that will showcase electronic exchange of information and consultation forums.

35

BUSINESS FORA

Activity Year and venue - WIEF Yearly

in collaboration with WIEF Foundation

( Malaysia)

- Forum on “the promotion of trade

exchanges between West African

Countries and the other OIC Member

States”

April 2003 , Casablanca – Kingdom of

Morocco

- 1st OIC Central Asia Business Forum 22-23 November 2011, Astana – Republic

of Kazakhstan

- 4th OIC WORLD BIZ 25-28 September 2013, Kuala Lumpur

- Muslim Business Forum 14-16 November 2013, Dakar, Senegal

- 2nd OIC Central Asia Business Forum Brunei 2014

- B2B meetings Sidelines of ICDT’s Fairs and specialised

Expo

LES ATELIERS ACHETEURS

VENDEURS

ICDT’s Business Centre (July 2013)

Conference

Room

Reception

B2B Room

B2B Room

B2B Room

Library

VIP Room

Annual report and specialised market

studies

*Periodical studies on intra-OIC trade and foreign trade regulations are

carried out by ICDT At this level an annual report on intra-OIC trade is regularly published and also is magazine TIJARIS.

*Market and products studies; within the framework of the appraisal of Intra-OIC Trade potentialities, the Centre elaborates Market Studies dealing with trade in various agricultural and industrial products and trade in services.

* ICDT has actively contributed to the elaboration of the Agreement on the setting up of a Trade Preferential System among OIC Member States.

* these studies and reports are available in its website for the benefit of Member Countries, SMEs and SMIs for free.

Annual report and specialised market

studies

Training Programmes

ICDT is exerting itself to provide training and further training to trainers, economic advisers and experts of foreign trade organisations and public and private economic operators of Member States.

The topics tackled during these seminars and workshops, include WTO matters, Inter-Islamic Trade Promotion, OIC Trade Preferential System (GCC Countries, Syria, Libya, Morocco, Iraq, WAEMU, Palestine…) , trade Information, E-Commerce, Economic Diplomacy, Export auditing, Logistics, Export Strategies and international Marketing, Trade in services, EPAs, Trade Defense Systems, Intellectual Property, etc … for OIC Arabic, French and English Speaking Countries in collaboration with IDBG and COMCEC. ICDT and WIEF is planning to organise a training seminar on e-marketing for businesswomen in North Africa in Casablanca in 2014.

Training Seminar on Export Strategies and International Marketing for

Libyan Officers (Owners of SMEs), Casablanca, 15-17 December 2012

Training Seminar on the Multilateral Negotiations on Trade in Services as a leverage

to promote intra-OIC Trade in the Arab Region), Casablanca, 22-24 April 2013

Importance of TINIC for OIC Member Countries SMEs

Doing Business

VIRTUAL FAIR

Other important projects

OIC Single Window Initiative : OIC Consultative

Group

Permenant Showroon at ICDT’s Headquarters (2014)

Follow-up the OIC Trade Negociation Committee

with the COMCEC within the TPSOIC

Operationalisation of the OIC Global Network of

TPOs

Follow-up the Regional Project of “Sustainable

Tourism Development in a Network of Cross-Border

Parks and Protected Areas in West Africa

Main Challenges

- Financing the SMEs participation in ICDT’s events

(Trade fairs and specialised exhibitions, Business

Forums and training);

- Lack of access to the structural financial products and

services.

- Difficulties to find a directory of SMEs in OIC Member

States and their specialities;

- Lack of identifying foreign business opportunities and

government assistance;

- Excessive logistical and transportation costs and lack

of ICT adoption;

- Limitation of skills in international trade.

SPECIFIC RECOMMENDATIONS

To encourage OIC Financial Institutions to develop lines for

SMEs facilitating them to attend OIC Trade Fairs and Specialized

Exhibitions and Business Fora in collaboration with ICDT and

hosting Countries. ICDT and IDBG granted some air tickets and

local expenses and 9sqm for some OIC LDC but also we need to

help SMEs in some advanced OIC Countries to attend these

events.

To encourage strategic alliances (horizontal and vertical and co-

enterprises) and participation in enterprises’ networks at

regional and international levels (International co-enterprises);

To encourage the creation of OIC exporting SMEs like export

consortia (products, zone) and ties with OIC MNEs;

To encourage OIC Institutions to work together in integrated

projects of strategic products and services involving SMEs as

stipulated during the 2nd OIC Consultative Group Meeting in 2010.

SPECIFIC RECOMMENDATIONS

To encourage technological levelling up of the SMEs and special support should be extended to SMEs in the new economy sector (information technology, telecommunications, software engineering etc.);

To sensitise exporting SMEs to the usefulness of electronic commerce and Internet which support local SMEs to become efficient and highly competitive local subcontractors or to integrate into global production network;

To facilitate the Internet access of OIC exporting SMEs;

To utilise the OIC institutions portals like TINIC of ICDT, ICCI, IDB, IUT and SESRIC websites for finding useful business information;

To sensitize SMEs to the usefulness of the existing databases at national, regional and international levels (ITC, WTO, UNCTAD, UNIDO, COMTRADE; ASEAN, SAARC, APEC, OECD, WCO…..);

SPECIFIC RECOMMENDATIONS

To draw up a directory of efficient enterprises in each country

which will become the basis for the design of a commercial website

of highly dynamic exporting SMEs;

To support the establishment of e-marketplace to promote trade

among the SMEs of the member states under the auspices of

COMCEC in collaboration with ICDT and ICCIA and IDBG (ITFC,

ICD and ICIEC);

Levelling up of SMEs’ workforce skills in the field of upstream

and downstream export related jobs and professions;

To adapt training programs to the specific needs of SMEs

(learning process);

To encourage the setting up of breeding-grounds for enterprises;

To organize regularly training programs in the field of market

studies in Arabic, English and French speaking for the OIC

Countries SMEs owners in order to enhance intra-OIC Trade.

Phone: +212 522 31 49 74

Fax: +212 522 31 01 10

Email: icdt@icdt-oic.org

Web Site : www.icdt-oic.org

Thank you

for your kind

attention