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Interview with U.S. ambassador, M. Cesar Cabrera says

"U.S. firms are eager to do business here"

In a few months, Cesar Cabrera will mark his first year as US ambassador to Mauritius and the Seychelles. He was selected for the post by President George W. Bush and arrived in Mauritius in October, 2006. Ambassador Cabrera is a native of the island of Puerto Rico, where he was a leader in the commercial construction and development industries for over 35 years. He has also been active in Republican politics on the island, serving as director of the Republican Party in Puerto Rico, and as a delegate to the Republican National Convention in 2000, which nominated George Bush as president.

In this interview, conducted by email with Washington Correspondent Pamela de St. Antoine, he talks about relations between the United States and Mauritius, especially in the area of trade.

What are your priorities as the U.S. Ambassador to Mauritius?

Mauritius and the U.S. have a long history of excellent bilateral relations, and during my tenure as Ambassador, I hope to strengthen and diversity our ties. First and foremost, I wish to increase trade between our two countries. This includes not only supporting and increasing Mauritian exports to the U.S., but also encouraging U.S. investments in Mauritius. I also want to increase greater understanding between citizens of our countries through educational exchanges and cultural programs. For example, the Embassy has arranged for Zydeco musicians from Louisiana to perform American creole music in Mauritius next month. With the assistance of our Embassy's educational advising program, increasing numbers of Mauritian students are seeking higher education at the fine colleges and universities in the U.S. Finally, I want to help ensure that Mauritius continues to strengthen its peaceful and democratic society. Mauritius has been an excellent partner with the U.S. on counterterrorism and security issues, and I hope we will continue to work together to keep the region safe.

Mauritius is trying to diversify its economy beyond textiles and sugar into seafood, agricultural business, information technology, financial services and back office services. Do you think US businesses would be possible investors in these areas? If so, how can they be encouraged to come to Mauritius and take a look?

A principal reason the U.S. and Mauritian governments signed a Trade and Investment Framework Agreement was to do exactly that, to make each market more attractive to the others' business community. I am excited by the enthusiasm surrounding the diversification of the, theMauritian economy and the development of new engines of growth. In order to attract U.S. investment, Mauritius must intensify its efforts to publicize investment opportunities and ensure Americans are aware of the inviting business climate. The Mauritian government has reached out to prospective investors by sending several ministerial delegations to the U.S., which have been complemented by efforts by the Mauritian Embassy in Washington. Mauritian investment missions to the U.S. paired with greater participation in U.S. trade shows will make the U.S. business community more aware of prospects for investment in Mauritius. I look forward to seeing more American firms establish themselves in Mauritius.

The African Growth and Opportunity Act (AGOA) has opened up new export opportunities for sub-Saharan African countries. But for Mauritius, benefits have been limited. In fact textile and apparel exports to the US have actually declined over the past few years. What other products made in Mauritius offer promise in the US market under AGOA? And what is the United States doing to help countries like Mauritius diversify its AGOA exports?

First, it is important to note that AGOA offers duty-free access for more than 6400 items; only a small percentage of these items are textile or apparel. Second, while AGOA provides the opportunities, Mauritians must take full advantage of those opportunities.

We are pleased Mauritius has intensified its efforts to diversify its exports to the United States. As a result, the decrease in textile and apparel exports to the U.S. has been balanced by growth in exports in other sectors, such as seafood, eyewear, and diamonds and jewelry.

AGOA provides more than duty-free access. It also provides for capacity building to increase trade with the U.S. A great example of this assistance is the U.S. Government-funded Trade Hub, based in Botswana, which has committed to provide financial and technical assistance to the Mauritian specialty food industry. Through a series of seminars, consultations, and site visits, the Trade Hub facilitated Mauritian participation in the Fancy Food Show in New York, which was held July 7 to 8.

Could Mauritius find a market in the United States for biofuels made from sugar byproducts?

The United States recognizes the need for it to identify new sources of energy. In May, President Bush called for an international effort to promote renewable energy. In the U.S., demand outstrips supply for ethanol, resulting in the importation of 600 million gallons of ethanol each year. As Mauritius produced 2 million gallons of ethanol in 2006, Mauritius would need to significantly increase production and lower costs to be competitive in the U.S. market.

The United States is Mauritius' third largest market but ranks 12th in terms of exports to Mauritius. What US products could be successfully sold in Mauritius that are not now marketed?

U.S. firms are eager to do business in Mauritius and are exploring opportunities here. American companies have expressed interest in marketing goods related to security, healthcare, seafood, and wind energy, among other things. Boeing still hopes to sell its outstanding airplanes in Mauritius. I also see opportunities for U.S. franchises and the transfer of American know-how in the land-based oceanic industry, waste-to-energy, and technology.

Mauritius and the United States signed a Trade and Investment Framework Agreement (TIFA) last September which sets ups a formal mechanism for both countries to discuss trade and investment. Now that it's been nearly a year, how has this agreement benefited both countries?

In February 2007, Mauritius hosted a successful first U.S.-Mauritius TIFA Council Meeting, which enabled American and Mauritian actors to meet face-to-face to identify priorities for our on-going trade and investment dialogue. A series of digital video conferences further enabled both parties to identify target areas of cooperation to benefit both nations.

We have already seen the benefits of these discussions. For example, we have increased involvement of other U.S. Government agencies, such as the U.S. Agency for International Development (USAID), the U.S. Department of Agriculture, and the U.S. Department of the Treasury. The U.S. and Mauritius have partnered to diversify AGOA exports and to link more closely with the Trade Hub, both of which are goals identified in the TIFA talks. For the first time, the U.S. Department of Agriculture selected Mauritian candidates for two programs that enable selected agriculturalists and scientists to travel to the U.S. to learn first-hand about American policies and scientific developments on these topics. Also, Mauritius and the U.S. continue to partner on the Doha Round of WTO negotiations and discuss ways to break down barriers to trade.

Mauritius has embarked on an ambitious reform program to make the country more globally competitive. Do you think the government will succeed despite the many internal pressures to change course as short-term effects of reforms begin to affect the livelihood of many Mauritians? What might the US do to help?

We commend Mauritians for taking decisive action to cope with the loss of trade preferences and for commitment to economic reform. Private firms are becoming more competitive and play a key role in the economic success of the country. The government's economic reforms continue to improve the business climate, which makes Mauritius a more attractive place for U.S. firms to do business. The U.S. Government will continue to partner with Mauritius to deepen our trade ties through the TIFA and to identify other areas in which we can provide assistance. We have had a successful history of partnership through U.S. Department of the Treasury Office of Technical Assistance (OTA) programs. OTA advisors assist with debt management, budget formulation, and financial investigative techniques. Recently, the U.S. Government has also provided training in the areas of maritime security and intellectual property rights.

President Bush wants to create the first-ever US military command for Africa, which will watch political, economic and social developments in Africa - especially those that might involve terrorism. But the U.S. is having difficulty finding a place for the command's headquarters, as several African governments have rejected a request to host the command. Now the US is looking to divide the command among several different locations in Africa. What implications does this new command have for Mauritius? Was Mauritius one of the countries asked to host the command?

We strongly support President Bush's initiative to start a dedicated military command for Africa. AFRICOM is different from the other commands in that its primary functions are to promote and develop health, education, democracy, and economic growth in Africa. The establishment of AFRICOM does not mean that the U.S. will establish large troop bases in Africa, nor does it mean that the U.S. will take a leading role in African security issues. Instead, AFRICOM will coordinate U.S. government support for African governments and existing regional organizations to improve their own capacity to address security concerns. In particular, AFRICOM will benefit Mauritius, as Mauritius has long been under the U.S. Pacific Command, or PACCOM, located in Hawaii. I believe that the establishment of AFRICOM will help bring greater support to Mauritius, as it will no longer be on the outer fringes of a geographically distant command. AFRICOM will be temporarily located in Stuttgart, Germany and eventually established at a location in Africa.

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WEEK-END --- dimanche 22 juillet 2007