SUMMARY OF 1999 INTERNATIONAL TRADE ACTIVITIES

International Business Committee
Transportation Committee
Government Affairs Committee


INTERNATIONAL BUSINESS COMMITTEE

MISSION: To recommend policy positions and programs to strengthen Louisiana's development of foreign trade, investment and international services.

1999 Trade Programs

On January 21, the WTC and other organizations hosted a luncheon briefing for 80 participants in the Plimsoll Club on "U.S. Policy Initiatives in Central America in the Aftermath of Hurricane Mitch" featuring the Hon. George Muñoz, President and CEO of the Overseas Private Investment Corp. (OPIC).

On February 4, the Orleans Parish Medical Society, the New Orleans Regional Chamber of Commerce, the WTC and other organizations co-sponsored a luncheon program for 143 attendees in the Plimsoll Club on "The Rising Cost of Healthcare: A Worldwide Business Concern" featuring Dr. Nancy W. Dickey, the first female President of the American Medical Association.

On February 9, the World Trade Center co-sponsored with the French-American Chamber of Commerce, the Europe/Louisiana Business Council, and other organizations a luncheon program for 95 participants in the Plimsoll Club on "The Impact of the Euro on American Companies" featuring the Hon. Pierre Lepetit, Senior Advisor, Energy and Environment, with the French Embassy.

On the evening of February 11, the WTC hosted a briefing and reception for 40 Austrian students from the University of Innsbruck in the WTC’s 29th floor Executive Office. The students were visiting New Orleans for a four-week program that is administered by the Center for Austrian Culture and Commerce at the University of New Orleans.

On February 22, the WTC’s Foreign Language Institute began its spring session of language instruction in Japanese and Spanish. The evening classes were held two nights a week through June 3.

On February 25, the WTC hosted a morning breakfast meeting for 25 attendees featuring Kamyra Harding, a headquarters official of the United Nations Association of the United States (UNA-USA). The purpose of Ms. Harding’s visit was to encourage individuals to volunteer to re-initiate a New Orleans chapter of the United Nations Association.

On March 11, the WTC and 10 other trade and transportation organizations honored Capt. Mark Delesdernier, Jr. at a luncheon in the Plimsoll Club to present him with the 1999 C. Alvin Bertel Award for his significant contributions to the advancement of the Greater New Orleans Port area.

On March 18, the WTC hosted an Organizational Meeting for a New Orleans Chapter of the U.N. Association. This meeting was a follow-up to the February 25 briefing by Ms. Kamyra Harding.

On March 26, the WTC and other organizations hosted a luncheon briefing in the Plimsoll Club for 67 participants on "Rebuilding the Economies in Central America in the Aftermath of Hurricane Mitch" featuring Hugo Llorens, Deputy Director of the Office of Economic Policy and Summit Coordination for the Western Hemisphere Bureau of the U.S. State Department, and Mark L. Schneider, Assistant Administrator for Latin America and the Caribbean for the U.S. Agency for International Development. On the evening of March 25, the two government officials, as well as Bishop Gregory M. Aymond, addressed a group at a town hall meeting at the First United Methodist Church on the reconstruction efforts in Central America.

On April 6, the WTC and other organizations sponsored a luncheon briefing in the Plimsoll Club for 30 attendees on "Kansai Region of Japan: Gateway to the Pacific" featuring Jerry Cartwright, Director of the USA Japan Trade Expansion Center in Florida, and Sam Wada, Senior Trade Advisor for the Japan External Trade Organization (JETRO).

On April 8, the WTC, the New Orleans Regional Chamber, MetroVision Partnership, the New Orleans Metropolitan Convention & Visitors Bureau, and the New Orleans Aviation Board sponsored a breakfast in the Plimsoll Club for 40 attendees to hear executives from TWA describe the details of a voucher program for a new daily direct flight from New Orleans to Mexico City beginning in June.

On the evening of April 15, the WTC hosted the second Organizational Meeting for a New Orleans Chapter of the U.N. Association. The members present elected officers and discussed the establishment of project priorities.

On the evening of April 16, the WTC and other organizations hosted a reception in the Executive Offices of the WTC for 45 guests to honor the Hon. Elizabeth Zabaneh, President of the Senate of Belize.

WTC President Patricia Denechaud and staff member Alicia Den Beste attended the Spring Meeting of the World Trade Centers Association in San Francisco from April 26-29. Included in the program were informative trade seminars and briefings, exhibits, special tours, and cultural and networking events.

On April 29, the WTC and other organizations hosted a luncheon program in the Plimsoll Club for 60 participants on "Europe – U.S. Relations" featuring H.E. Francois Bujon de L’Estang, French Ambassador to the United States. The Ambassador was in New Orleans for FrancoFête and the opening of the Degas exhibit at the New Orleans Museum of Art.

On April 30, the U.S. Trade and Development Agency and other government agencies held a high-level briefing program on the Caspian Basin region at the Plimsoll Club for 111 attendees. This program was the first of a three-city U.S. tour that focused on the development of Caspian Basin energy resources and their transportation to international markets via a network of pipelines. The speakers discussed the plans for regional infrastructure development as it relates to the pipelines and ancillary projects. The briefings were conducted by the U.S. Ambassadors to Armenia, Azerbaijan, Georgia, Kazakhstan, Turkmenistan, and Uzbekistan and their senior commercial officers. Registrants also were able to meet one-on-one in the afternoon with these senior government officials.

On May 5, the WTC co-sponsored an all-day conference in Washington, D.C. on "Forecast on Latin America: Opportunities for the New Millennium." The conference was organized by the Association of American Chambers of Commerce in Latin America.

On May 7, the WTC and other organizations hosted a luncheon briefing in the Plimsoll Club for 25 participants on "Taking Full Advantage of Duty Drawback as an Exporter" featuring Glenn N. Seale, Chief of the Drawback Branch of the U.S. Customs Service in New Orleans.

On May 14, the WTC, the City of New Orleans, and other organizations hosted the Hon. Wu Zurong, the Chinese Consul General based in Houston, who spoke to 45 guests at a luncheon in the Plimsoll Club on "Doing Business in China."

On May 19, the WTC, Bank One Corporation, and other organizations sponsored a luncheon briefing in the Plimsoll Club for 72 participants on "Oil and the Global Economy" by Dr. Varun Agarwal, International Economist with Bank One Corporation in Chicago.

On May 20, the WTC and other organizations hosted a luncheon in the Plimsoll Club for 50 attendees featuring the Hon. John Wolf, U.S. Ambassador to the Asia Pacific Economic Cooperation (APEC). His topic was "How’s Asia Doing? An Economic-Business Outlook."

On May 21, the WTC and other organizations sponsored an important luncheon briefing for 64 participants in the Plimsoll Club on "The New Ocean Shipping Act and What It Means for Louisiana Companies" featuring Mr. Bruce Dombrowski, Counsel to the Chairman of the U.S. Federal Maritime Commission in Washington.

On May 24, the 15th Annual International Program for Port Planning and Management, sponsored by the Port of New Orleans, the World Trade Center, LSU National Ports and Waterways Institute, and the University of New Orleans, commenced at the WTC. This intensive two-week training program is organized each year by the College of Urban and Public Affairs at UNO. The graduation ceremony and reception were held in the Plimsoll Club on the evening of June 4th.

On May 27, the WTC and other organizations sponsored a luncheon briefing for 77 attendees on "Britain, Europe and the US: A Business and Political Perspective" featuring Sir Christopher Meyer, Ambassador of the United Kingdom to the United States.

On June 3, the WTC and other organizations sponsored a breakfast briefing for 25 attendees in the Plimsoll Club on "Doing Business in Hong Kong" featuring Raymond Fan, Director, Hong Kong Economic and Trade Office in New York.

On June 4, the WTC, the University of New Orleans and other organizations sponsored a luncheon briefing in the Plimsoll Club for 48 participants on "The Panama Canal—Into the New Millennium" featuring Mr. Rodolfo R. Sabonge, Director, Corporate Planning and Marketing, Panama Canal Commission. This luncheon was in conjunction with UNO’s International Program for Port Planning and Management (IPPPPM).

On June 9, the WTC and other organizations initiated a new luncheon series in the Plimsoll Club on "Women in the Global Marketplace" featuring executives speaking on the special role, challenges, and opportunities for women engaged in international business. The first program featured Carroll W. Suggs, Chairman of the Board, President and CEO of Petroleum Helicopters, Inc., who addressed an audience of 86 registrants on the topic of "Dealing With Change in Business."

On June 11, the WTC hosted an all-day workshop in the WTC’s 29th floor Board Room for 35 registrants on "U.S. Programs in Support of Central American Reconstruction and Development" organized by the U.S. Department of Commerce in cooperation with the Department of State, Agency for International Development, OPIC, TDA, and other U.S. Government agencies.

On June 14, the WTC, the United Nations Association of Greater New Orleans, and other organizations sponsored a luncheon briefing in the Plimsoll Club for 58 participants on "NATO, Europe, and the UN" featuring the H.E. André Erdös, Ambassador of Hungary to the United Nations.

On the evening of June 14, the WTC and the Tulane/Loyola Public Law Center hosted a welcoming reception for the International Legislative Drafting Institute in the World Trade Center’s Executive Offices. 60 participants from over 30 countries studied legislative drafting in New Orleans for an intensive two-week period. The graduation ceremony and closing reception were held in the Plimsoll Club on June 25.

On June 15, the WTC, Bank One Corporation, and other organizations sponsored an all-day seminar at the WTC for 30 attendees on "Understanding Letters of Credit."

On the evening of June 17, the WTC and the City of New Orleans hosted a welcoming reception in the WTC’s Executive Offices for Larry Harrington, the U.S. Acting Executive Director of the Inter-American Development Bank, and the planning team for the IDB’s Annual Meeting to be hosted by the City of New Orleans.

On June 21, the WTC hosted an all-day workshop in the WTC’s 29th floor Board Room for 30 corporate representatives on a $70 Million Business Opportunity for Vessel Traffic Systems in Argentina organized by the U.S. Trade and Development Agency (TDA). A high-level delegation of Argentine Officials briefed participants on upcoming Vessel Traffic System projects that translate to significant commercial opportunities for U.S. companies in communication and information software systems and navigational equipment.

On June 22, the WTC hosted a morning briefing for the Consular Corps of New Orleans in the WTC’s Board Room. Mayor Marc Morial updated the Consular Corps on international developments taking place in New Orleans, including the upcoming Ministerial Meeting of the Energy Ministers of the Western Hemisphere in July, the Annual Meeting of the Inter-American Development Bank to be held in New Orleans next March, the modernization of the New Orleans International Airport, new international flights, and other subjects.

On June 25, the WTC, the Consulate General of Costa Rica, and other organizations sponsored a luncheon program for 60 attendees in the Plimsoll Club on "Doing Business in Costa Rica" featuring H.E. Jaime Daremblum, Ambassador of Costa Rica to the United States. Amb. Daremblum visited Louisiana for three days at the invitation of the WTC, which arranged a productive business agenda in New Orleans, Baton Rouge, and LaPlace.

On July 29, the Energy Ministers of the Western Hemisphere, who were meeting in New Orleans July 28-30 at the invitation of U.S. Secretary of Energy Bill Richardson, held their luncheon program in the Plimsoll Club. The principal speaker was H.E. Jorge Quiroga, Vice President of Bolivia.

On August 11, the WTC and other organizations sponsored a luncheon in the Plimsoll Club featuring Barbara Lamont, President of Network Teleports, Inc., who addressed an audience of 60 registrants on the topic of "Women and the Technology Revolution: Managing Information in the 21st and 22nd Centuries." This was the second program in the luncheon series on "Women in the Global Marketplace" highlighting the special role, challenges, and opportunities for women engaged in international business.

On August 12, the WTC, the Louisiana Department of Economic Development, and other organizations hosted a luncheon in the Plimsoll Club for 37 participants on the "Outlook and Opportunities in Asia: A Louisiana Perspective," with Steve Lee, Director of the State of Louisiana’s Economic Development Office in Taiwan, as the speaker.

On August 31, the WTC, the City of New Orleans, and other organizations sponsored a luncheon for 125 participants at the WTC featuring His Excellency René Préval, President of Haiti. Preceding the luncheon was a morning seminar and workshops featuring top cabinet officials of the Haitian government and members of the private sector.

On September 6, the WTC’s Foreign Language Institute began its fall session of language instruction in French, German, Spanish and Italian. The evening classes were held two nights a week through December 16.

On September 8, the WTC and other organizations sponsored a luncheon for 70 attendees in the Plimsoll Club featuring pianist Ronnie Kole and Chef Paul Prudhomme speaking on "Food and Music: Louisiana’s Best-Known Exports." The speakers discussed the why, how, and where of successful international marketing. At the reception prior to the luncheon, Chef Paul prepared complimentary appetizers, and Ronnie Kole provided piano entertainment.

On September 17, the WTC hosted a morning briefing in the WTC’s conference room for a visiting French delegation from the Groupe d’amitié France-Amérique of the French Senate. The delegation was composed of five Senators and was led by the President of the Groupe d’amitié France-Amérique.

On September 29, the WTC and other organizations hosted a luncheon briefing in the Plimsoll Club for 25 participants on "Doing Business with the EBRD: Commercial Opportunities in East and Central Europe and the Former Soviet Union." The speaker was Gene Harris, Senior U.S. Commercial Officer for the European Bank for Reconstruction and Development in London.

On October 1, the WTC, Bank One International Corporation, and other organizations co-sponsored an all-day workshop at the WTC for 18 participants on "Using Letters of Credit as a Trade Finance Tool" featuring Richard "Chip" Thomas, Vice President of the American Export Training Institute (AETI).

On the evening of October 1, the WTC hosted in the Plimsoll Club for 139 guests the 3rd Annual Gala Dinner Dance honoring the Consular Corps to commemorate United Nations Day.

On October 5, the World Trade Center co-sponsored "The Great Debate: Should the U.S. Serve as the World’s Police Force?" which was held at Tulane University. WTC Managing Director Gene Schreiber was the moderator for the debate.

On October 8, the WTC, the Louisiana International Trade Commission, the Louisiana Department of Economic Development, and other organizations sponsored a luncheon briefing for 42 attendees on "International Business in the New Digital Economy – The Effects of E-Commerce on International Trade." The speaker was Dr. Timothy Ashby, National Marketing Director for Advanced Technology Solutions with Grant Thornton LLP.

On October 15, the WTC and other organizations sponsored a luncheon seminar in the Plimsoll Club for 40 participants on "The Asian Export/Distribution Solution Through Strategic Partnerships" featuring David S.S. Chin, Singapore’s Under Secretary for Trade and Commerce and executives from eight of Asia’s top logistics companies

On October 18-22, WTC President Patricia Denechaud represented the WTC at the 30th Annual General Assembly of the World Trade Center’s Association held in Osaka, Japan.

On October 22, the WTC and other organizations co-sponsored a luncheon briefing in the Plimsoll Club for 32 participants on "Doing Business in Botswana" featuring H.E. Archibald Mooketsa Mogwe, Ambassador of Botswana to the U.S.

On October 27, the WTC, the United Nations Association of Greater New Orleans, and other organizations hosted a luncheon briefing for 26 attendees in the Plimsoll Club on "The U.N. in the World’s Trouble Spots: A U.S. Perspective" featuring Morris N. Hughes, Jr., former U.S. Ambassador to Burundi and currently Diplomat-in-Residence at Tulane University.

On October 28, WTC Managing Director Gene Schreiber briefed a group of 18 Chinese government officials who were in New Orleans participating in Tulane’s Asia Pre-Executive MBA Program to study and learn more about U.S. business and public policy.

On October 29, the WTC and other organizations co-sponsored an all-day seminar at the WTC for 22 participants on INCOTERMS 2000 conducted by Frank Reynolds, U.S. Representative of the International Chamber of Commerce Incoterms Revision Committee.

On November 9, the WTC, Southeastern Louisiana University, and other organizations co-sponsored the third luncheon in the WTC’s Women in the Global Marketplace series featuring H.E. Astrid Fischel, Vice President of Costa Rica. 65 guests attended the luncheon in the Plimsoll Club.

On November 10, the WTC, Bank One, and other organizations hosted a luncheon briefing in the Plimsoll Club for 28 participants on "Doing Business in Australia" conducted by Patrick Fazzone, a U.S. attorney practicing business law in Sydney and Washington, D.C.

On November 12, the Honorary Consulate of Guatemala and the WTC hosted a breakfast briefing by H.E. William Stixrud, Ambassador of Guatemala to the United States, for 35 guests in the WTC’s Board Room

On the evening of November 15, the City of New Orleans, MetroVision and the WTC hosted a special reception in the WTC’s Executive Office to welcome Paulo Paiva, the Vice President of the Inter-American Development Bank and former Minister of Planning of Brazil. Mr. Paiva was the luncheon speaker the following day at the WTC at a seminar on "Doing Business Through the Inter-American Development Bank" for 75 participants.

On November 18, the WTC, the New Orleans U.S. Export Assistance Center, and other organizations co-sponsor a luncheon in the Plimsoll Club for 45 attendees to meet 17 Russian Port Officials, who were in the U.S. for four weeks of training organized by the U.S. Department of Commerce’s Special American Business Internship Training (SABIT) program. The members of the delegation described a wide range of trade and investment opportunities for Louisiana companies in port projects under development in the Russian Northwest Region.

On November 19, the WTC, LSU, Hibernia National Bank, and other organizations co-sponsored a luncheon briefing in the Plimsoll Club for 24 guests on "The Outlook for the Upcoming World Trade Organization Talks In Seattle," which commenced on November 30. The speaker was Michael Samuels, former U.S. Ambassador to the GATT.

On December 2, Bank One, the WTC, and other organizations held a half-day seminar at the WTC for 15 participants on "Import Letters of Credit" featuring Madeline Sprague, Vice President, Bank One International Corporation in Houston and David DeLatte, Import Manager for Panalpina, Inc. in New Orleans.

The WTC, City of New Orleans, the Louisiana Department of Economic Development, Metro Vision and other organizations sponsored Louisiana’s participation at this year’s 23rd Annual Miami Conference on the Caribbean and Latin America held December 7-10. The Louisiana delegation was led by Mayor Marc Morial. The delegation hosted a breakfast meeting on the morning of December 10 for 200 conference invitees. The special guest of honor was the Prime Minister of Barbados, Owen Arthur. Following the breakfast meeting was a 75-minute workshop on "Louisiana and Hemispheric Trade," which was conducted by Mayor Morial, and other members of the delegation. The main entertainment at the conference’s closing reception that evening was provided by Cyril Neville and the Uptown All-Stars of New Orleans

On December 17, the Honorary Consulate of Austria, the Center for Austrian Commerce and Culture, the WTC, and other organizations are hosting a luncheon briefing in the Plimsoll Club for 60 attendees featuring Dr. Franz Vranitsky, Former Chancellor of Austria, who will speak on "The Outlook in Europe: An Austrian Perspective."

Other Committee Initiatives

The New Orleans Educational Telecommunications Consortium (NOETC) and the World Trade Center continue to work together to produce and broadcast the WTC’s seminars and briefings. A list of available videotapes can be obtained from the WTC. Also, all videotaped programs are broadcast on channels 6 and 76, on DSS satellite channel 901, and on Cox Cable channel 8 in Jefferson Parish, which are operated by NOETC. Also, the WTC and NOETC produced a public policy show featuring panel discussions of local experts and practitioners on "International Tourism in Louisiana," featuring five experts on the subject from the Louisiana Office of Tourism, Louisiana Tax Free Shopping, the New Orleans Convention and Visitors Bureau, UNO’s College of Hotel Restaurant and Tourism Administration in the School of Business, and the Doubletree Hotel. Bob Konrath of the WTC served as the moderator. This program was broadcast on channels 6 and 76, on DSS satellite channel 901, and on Cox Cable channel 8 in Jefferson Parish and is also offered for sale to WTC members and to the public at large.

Former WTC staff member Bob Konrath, who was on loan from the U.S. Department of State, completed a study on "Increasing Imports of Perishables into Southern Louisiana" (e.g., fruit, vegetables, flowers) by identifying current and potential port and airport capabilities, and current and potential new sources of these commodities abroad. In another project, Mr. Konrath completed a comprehensive study on "Measuring the Importance of Louisiana’s Economic Relations with the European Union." Both studies can be accessed on the WTC’s website at www.wtc-no.org. Hard copies of the studies are also available at no charge from the WTC.

The WTC’s website (the Louisiana World Trade Web at www.wtc-no.org) continues to expand its contents. A Government Affairs Section was added to the site in 1999.

The 1999/2000 Louisiana International Trade Directory, the official Directory for the State of Louisiana, which is produced in partnership with the Louisiana Department of Economic Development and the New Orleans U.S. Export Assistance Center, is available for purchase at the WTC. The new Directory contains more than 2,000 listings of Louisiana exporters and importers, and a host of allied service industries such as ports and airports, steamship agencies, freight forwarders and customs brokers, international banks, chambers of commerce, foreign consulates, attorneys, consultants, and other categories.

The WTC also has available for purchase two new international trade reference books on "Incoterms 2000" and "Incoterms for Americans." The new Incoterms 2000 are the official ICC rules for the interpretation of trade terms that must be explicitly incorporated into international sales contracts beginning on January 1, 2000. WTC members receive a 15% discount on these and other trade reference books available for purchase through the WTC.


TRANSPORTATION COMMITTEE

MISSION: To recommend policy and projects which will increase usage of Louisiana’s transportation system and increase public understanding of the system’s impact on the state’s economic development.

Dredging Subcommittee - Dwight LeBlanc reported in June on the status of appropriations for the dredge Wheeler, following which the Committee voted to support continued funding for the Wheeler. George Duffy, Navios Ship Agencies, discussed in September the funding situation for the dredge Wheeler. The federal budget is short $6 million for the dredge, which could be critical. Several Committee members have sent letters to Louisiana Senators John Breaux and Mary Landrieu for full funding. Mr. Duffy made a motion which was approved by the Committee to take this issue to the Executive Committee, and a letter by WTC President Patricia Denechaud was written to the Louisiana Congressional delegation indicating the WTC’s support for increased funding.

Port Reports:

Port of New Orleans - the Port experienced a record year in 1998 with over 14 million tons of general cargo. There were increases in steel, rubber, coffee and plywood. Containerized cargo was down 5.7%. The Port plans major improvements to the Uptown wharf area between Louisiana and Nashville Avenues. David Wagner reported that based on current totals (11-11.5 million tons), 1999 will be one of the Port’s top three years, but it will be no comparison to last year’s 14 million tons. The Louisiana Legislature created a statewide authority in 1999 for the planning of the Millennium Port project.

Port of Baton Rouge - reported an increase for 1998 to 7.9 million tons at port-operated facilities in Baton Rouge and an increase from 81 million tons to 84 million tons in the port area.

Port of South Louisiana - reported about 220 million tons of cargo for 1998. The Port announced formal ties with Puerto Cortez in Honduras. The Globalplex Terminal master plan was unveiled in Washington D.C. earlier this year.
South Tangipahoa Port Commission - reported that construction has begun on the intermodal bulk facility and the 20,000 square foot warehouse.

Port of Iberia - reported that Governor Foster had visited their port to dedicate a new 70,000 square foot, $40 million fabrication facility as a part of the Port’s expansion.

Jefferson Parish Economic Development Commission - reported that their port is developing a master plan and is advertising for a consultant to assist in that effort.

Mississippi State Port Authority at Gulfport - Gary LaGrange, the new Executive Director of the Mississippi State Port Authority of Gulfport, reported that Crowley American Transport established operations at the Port of Gulfport in July. Another major accomplishment was the development of Berth #7 on the west side, which will extend in a southerly direction. The Port is seeking additional land to expand.

New Orleans Board of Trade - Gene Hymel reported each month the cumulative ship arrivals at Louisiana’s Mississippi River ports, with arrivals through October being 5,145 year-to-date.

Regional Planning Commission - reported that financing has been obtained for construction on both the Tchopitoulas and Earhart corridors, and that the Port of New Orleans has been awarded the contract for the Almonaster Bridge over the Industrial Canal. The Commission is also negotiating financing for additional construction on I-10, including an additional lane between Canal and Veterans Boulevard. Construction on the Almonaster Bridge project should begin by 2003. The Regional Planning Commission, in conjunction with the Airport and the Causeway Commission, has been awarded a $3 million grant to do an environmental and feasibility study on a high-speed magnetic levitation project from the north shore to the Central Business District via the New Orleans International Airport. The grant was awarded to seven cities, one of which will be selected for construction of the prototype project. The Commission is also working on rail and landside issues in relation to the Millennium Port Project. The Commission is working on the three major projects: the Metairie Road underpass, bridge replacement, and rail corridor communication. A highway or rail/highway combination solution is currently being considered for the Earhart extension project. The RPC will fund an operational two-part study for the entire New Orleans Gateway to ensure efficiency. The RPC is also moving ahead with its transportation system management review. The purpose is to identify problems and critical projects in the region that can be addressed to improve the current system in the long term.

New Orleans International Airportreported that a new perishables facility was completed this year, and Perishable Group International, a subsidiary of Airport Groups International, is the operator of the center. In addition to the physical operation, the group is expected to help with the worldwide marketing of the airport and the perishables facility. Passenger statistics were up to 8.9 million for 1998, while cargo was down 1% for the year, largely due to the discontinuation of TACA cargo flights in July. Justice Ortique informed the Committee that the Gulf South High-Speed Rail Corridor has been designated and funded. Larry Johnson reported at the June meeting that TWA has started its new daily non-stop flight from New Orleans to Mexico City. A new lease agreement has been made with the airlines that will significantly lower landing fees at the airport. Grupo TACA restarted its freighter service in New Orleans in November; the route, New Orleans/Honduras/El Salvador, runs once a week. Aero Mexico no longer operates a flight to Cancun from the New Orleans Airport. Two projects the airport is looking into are: 1) strategically placed monitors so that everyone can view flight information from any of these points; and, 2) the development of a new parking garage.

U.S. Army Corps of Engineers - reported each month on Mississippi River conditions, including the location of dredges. The Corps continues work on the Industrial Canal Lock replacement project.

U.S. Coast Guard - reported that the Dock Board officially requested that the Coast Guard be involved in decisions regarding passenger ships remaining overnight along the riverfront with passengers on board. Captain Gordon Marsh reviewed a Times-Picayune article on the new radar system being installed along the riverfront. Capt. Marsh also stated that the Coast Guard was reviewing its hurricane preparedness plans. Chairman Lauricella announced that both Col. William Connor, Corps of Engineers, and Capt. Marsh would be leaving their posts and presented each with a WTC Certificate of Honor for their dedicated work on the Transportation Committee and wished them continued success in their new assignments. The Coast Guard is monitoring the millennium celebration plans of all operators of passenger vessels. The River will be closed at Algiers point as usual on New Year’s Eve; only passenger vessels will be allowed to operate.

U.S. Maritime Administration - reported that the Gulf/Rivers Intermodal Partnership (GRIP) was working on a three-day workshop in Washington D.C. to share data. MARAD also hosted a three-day field project for representatives from eight states to view New Orleans from an intermodal standpoint, including bridges, locks, rail, highways and ports. A new commission relating to crime has been created and it is being co-chaired by the Department of Justice and Department of Transportation. New Orleans is one of the ports targeted for review. Such issues as cargo theft and smuggling will be topics for investigation.

Federal Maritime Commission
Alvin Kellogg reported on changes in the regulations resulting from the Ocean Shipping Reform Act. One major change is that ocean carriers and shippers can now enter into mutually exclusive, confidential service contracts without offering the same rates to others.

Also, the publishing of tariffs, previously centralized with the Federal Maritime Commission, is now handled by the carriers with the only requirement being that the tariffs be published and made available to the public. The Commission is working to identify any practice of discrimination between carriers and shippers. In addition, Mr. Kellogg thanked the World Trade Center for hosting Mr. Bruce Dombrowski from the Federal Maritime Commission in Washington during May.

New Orleans Public Belt Railroad - reported a 36% increase in revenue cars for 1998. Gerald Hutchison noted that the commission has approved a formal resolution in opposition to the demolition of the Canal Street Ferry Pedestrian Overpass. Mr. Hutchison suggested that the NOPB may partner with the six Class I Railroads to build an on-dock facility adjacent to the new Upriver Intermodal Terminal which can be supported by the Public Belt and provide fair and equal access to all rail users. Also, a 3% across the board tariff increase, raising the single car rate from $239 to $246, became effective May 1, 1999. The tariff increase is meant to cover the labor contract increases made effective January 1, 1999 and increased capital costs. Mr. Hutchison stated the Railroad’s opposition to the destruction of the Canal Street Ferry Pedestrian Walkway and asked the Committee for a provisional motion that the WTC support the Public Belt’s position should the current negotiations fail to reach an acceptable agreement, which was approved by the Committee.

University of New Orleans
the University’s Transportation Center is operational at 1600 Canal, and that they are conducting studies for the rail corridor to connect with shippers. Mr. Timothy Joder informed the Committee in June that the 15th annual International Program for Port Planning and Management (IPPPM), concluded on June 4. The 25 graduates represented 14 countries and brought the IPPPM total graduates to over 500 from more than 100 countries around the world.

LSU National Ports and Waterways Institute
- the Institute continues to work on various projects and important to the U. S. and the state of Louisiana. On the national level, one project is called the Coastal and Short Sea Shipping System, based on high-speed ferries. This project is also being considered in a similar form for Louisiana and the Gulf of Mexico.

New Orleans Steamship Association -
reported that the Association provided the U.S. Senate Finance Committee with statistics on the economic impact of steel imports for the region.

In May, Channing Hayden stated that Louisiana Senate Bill 1035 had been introduced, naming the Mississippi River Maritime Association to replace the Baton Rouge Steamship Association as a nominating body for the Pilots Fee Commission. Mr. Hayden noted that the bill contains language requiring a 2/3 vote to amend pilots’ fees. Mr. Hayden made a motion, duly seconded, that the World Trade Center remain neutral on the bill as long as the 2/3 language remains, and oppose the bill if the 2/3 language is removed. After a discussion, a replacement motion was introduced to defer a vote on the original motion. With Mr. Hayden objecting, the replacement motion was seconded and passed by a vote of 15 to 8.

The Coast Guard has a established a program that will prevent vessels from bringing species from another countries into the United States. The Ballast Water Program is voluntary right now, but does cause the Association some concerns because the rules state the exchange should be made in 2,000 feet of water. There are not many areas in the Gulf with this depth. Mr. Hayden also noted that the exchange of ballast water at sea is dangerous to the vessel under some circumstances. The EPA has formed a task force with three committees to close off the Mississippi River Gulf Outlet to deep-draft navigation. The grain elevators on the Mississippi River are charging vessels dockage fees for a minimum of three days, when not as much time is required to load the vessels. The Corps of Engineers annual reventment work on the lower Mississippi River is expected to be completed shortly.

Louisiana Motor Transport AssociationCathy Gautreaux reported that the Association will ask for a determination on the Hazardous Materials fee. The Governor has formed a task force on oversize vehicles. She also reported an overall decrease in accidents in 1998. The most significant new issue is the legislation passed last session related to owners of intermodal equipment to maintain that equipment. The LMTA wants to work closely with all players so that no one is significantly impacted.

Freight Forwarders and Customs Brokers Association of New OrleansJohn Hyatt reported that there is a new tax to replace the Harbor Maintenance Tax that was declared unconstitutional by the Supreme Court last year. This tax would be based on ships’ size, container ships to be taxed at the highest rate. Under the current proposal, the federal government would abdicate its responsibility for maintaining and improving navigation channels, placing the entire financial burden on commercial operators. This could result in cargo being shifted to neighboring ports in Canada and Mexico.

Mr. Hyatt noted in June that the Association had sent letters to the Louisiana delegation expressing support for the Caribbean and Latin American Relief and Economic Stabilization Act (CCARES), which would increase exports to the region and create new opportunities for U.S. investments, reducing incentives for illegal immigration, drug trafficking and providing competitively priced goods for American consumers.

Trucking - Kathleen Norman, H. C. Freight Systems, reported that fatality statistics for the trucking industry are currently skewed against the industry and that there is currently a move by the Louisiana Motor Transport Association to increase public awareness and insert realistic statistics in the reporting of truck-related incidents. She also noted that cargo theft is on the rise, but there is pending legislation to increase the penalties for such theft. OSHA has issued a final ruling on forklift training, requiring all workers to be evaluated, trained and certified by December 1, 1999. An area of concern is the Federal Highway Administration’s proposed plan to change the fitness ratings on inspections. A truck that is labeled unsatisfactory is equivalent as unfit – the company would be barred from any interstate activities.

Dredging
– Mr. James Bean, Bean Dredging, reported that the dredging industry is coordinating with the Corps of Engineers to determine the areas in most urgent need of hopper dredges and hope to continue the same process with cutter dredges. Mr. Bean also noted that the Port of Pascagoula is deepening their project depth, and also that the Corps of Engineers called a meeting of all the dredging contractors in the southern states to develop a plan to coordinate dredging resources with dredging needs.

Senator John Hainkel Guest Presentation -
Senator Hainkel gave a report on state economic and legislative activities at the Committee’s March meeting. The state budget had a projected shortfall of $320 million for 1999, due in part to low revenue growth from the oil problems and large expenditures on teacher pay and the Tuition Opportunity Program for Students (TOPS). Some of the revenue was made up by funds from the tobacco settlement and the land-based casino. The senate also looked at legislation on lowering the legal alcohol limit for driving from 0.1 to 0.08 and possibly passing an open container law, as well as changing the current impoundment law. The state has a new board governing community colleges, which will work in cooperation with the Department of Labor to make improvements in vocational education. Senator Hainkel explained that the current primary focus of state government is on education, transportation, and economic growth.

Special Presentation on the Millennium Port - J. Ron Brinson, President and CEO of the Port of New Orleans, reported at the July meeting that a comprehensive feasibility study was initiated last year which looked at how the Port can develop growth in containership operations and intermodal cargo. Public policy is rapidly taking over operations of the Mississippi River - Gulf Outlet. The Port envisions completely rebuilding from Milan Street to the new Nashville Ave. terminal to create a multi-purpose terminal, but with the same capacity currently at France Road. The Port hired two top port planning consultants to study containership operations and intermodal cargo. Last July, Congress agreed to appropriate 50% of the cost of this study. Public policy seems to demand cessation of dredging within five years, but the Corps cannot unilaterally stop dredging because the federal government would face damage claims. There are many industries that depend on this; the only answer is to have the Industrial Canal Lock replacement built in a timely fashion.

Mr. Brinson further stated that there is a growing market and the Port has a chance to participate. The consultants feel the opportunities are greater than first thought if the Port can put a container terminal near the open water. The second part of the study was for the consultants to examine the potential sites keeping in mind the project needs lots of acreage (a minimum of 700 acres) to be able to tie in railroads so that each can have equal access – good switching in and out - and a location to link the interstate highway system. It is going to take 15 or 20 years to build. The consultants will propose two projects: 1) to protect the markets the Port has now, they are going to charge the state and other authorities to take one year to do a comprehensive study of each site to see if it is indeed feasible; and 2) they are going to propose some quick fix solutions, interim projects that would recreate France Road’s capacities. The consultants have outlined in a detailed fashion 12 possible locations. It is agreed that all of the railroads must buy into this for the millennium port to be a success.

Special Presentation by William Rheams - William Rheams, President of Transportation Research Institute, Inc., made a presentation to the Committee in October about a new electronically-based library that is underway at TRI to track all modes of transportation’s federal regulations. His organization is also working on an inventory of transportation services and infrastructure along the lower Mississippi River corridor, and he distributed a copy of the survey and requested the input of Committee members. He encouraged everyone to view their website at www.transearch@worldnet.att.net.

Special Presentation by Gil Carmichael - At the December meeting, the Committee heard a special presentation by Mr. Gil Carmichael, the former Federal Rail Administrator and current Chairman of the Board for the Intermodal Research Institute at the University of Denver. Mr. Carmichael spoke on the need for comprehensive planning between modes of transportation to ensure system efficiency. This is particularly important for the land side access to the Port of New Orleans’ proposed Millennium Port. Ron Brinson, President and CEO of the Port of New Orleans, agreed with the importance of highway and rail connections for efficient port operations in his remarks. He also stated that the Port is interested in rehabilitating its Uptown wharves to serve as a temporary container facility until a permanent container terminal can be built downriver in Plaquemines parish. Walter Brooks, Regional Planning Commissioner, outlined his organization’s role in intermodal planning for the region as a whole.


GOVERNMENT AFFAIRS COMMITTEE

MISSION: To work with other organizations throughout the state and recommend policy and actions on federal and state legislation and issues to enhance Louisiana's trade, port development and allied activities.

Corporate Visitation ProgramThe World Trade Center participated in the first visit on a local oil and gas company office by a business delegation formed by MetroVision in February for the purpose of ensuring a continued major oil industry presence in Louisiana.

The Louisiana Mineral Board met in February to discuss recommendations to be made to the Governor regarding the oil and gas industry. WTC staff member Jack Walker attended and testified on the importance of the state’s oil and gas industry to Louisiana’s global exports.

Trade Issues in the 106th Congress

Loans for U.S. Steel, Oil and Gas Companies - The U.S. Senate defeated a measure that would have allowed targeted tax breaks to the U.S. steel industry. The coalition against the measure included farm groups worried that it would make U.S. farm products easy targets for retaliatory tariffs by other countries. The Administration and the Congress did approve a $1.5 billion loan program for the U.S. steel industry, which has suffered from high import levels from major steel producers (Brazil, Japan and Russia primarily), and the U.S. oil and gas industry. The steel industry had earlier sought protectionist legislation on steel imports but that was unsuccessful in part because of the dispute mechanisms currently available under the law.

African Growth and Opportunity Act This bill, which provides preferential trade treatment and investment guarantees to Sub-Sahara Africa, was passed by the full House and was amended when it passed the Senate (see Caribbean and Central American Relief bill section). The bill is awaiting appointment of the House-Senate Conference Committee.

Caribbean and Central America Relief and Stabilization Act - The Caribbean and Central America Relief and Stabilization Act (H.R. 984), which provides for equivalent tariff treatment on the 30% of Caribbean and Central American-produced goods not currently receiving treatment equal to that being enjoyed by Mexico and Canada under NAFTA, was attached to the African Growth and Opportunity Act bill that was approved in the Senate. The Hurricane Mitch damage experienced in the Caribbean and Central America increased the possibility of its passage, as the President and Congress wanted do something to ease the situation in these countries. As with the African bill, there has been a debate as to which is more important: giving developing countries trade preferences or providing them with debt relief. The bill will be discussed in the Conference Committee reviewing the Africa bill described above.

Disaster Aid Bill for Central AmericaThe bill, which would provide relief money to both Hurricane Mitch victims in Central America and drought-stricken farmers in the United States, was attached to the supplemental appropriations bill for Kosovo funding which was approved by both houses and signed by the President. The New Orleans Regional Chamber of Commerce and the World Trade Center both endorsed the bill.

U.S.-China Relations - The U.S. House of Representatives approved the President’s renewal of Normal Trade Relations (NTR) status with China for another year. There was a discussion by the Committee whether the U.S. should continue to give NTR to China, given such considerations as the transfer of sensitive U.S. technology, nuclear proliferation, human rights abuses, and other issues dividing the two countries. In late November, China and the U.S. reached an historic trade agreement which is expected to lead to China’s admittance into the World Trade Organization.

2000 Fiscal Year Foreign Operations Budget - Both versions House and Senate versions cut funding requested by the Administration, so President Clinton indicated he would veto the final version if the cuts were still in place. The President vetoed the initial version of the Congressional bill until more funding was added, but a compromise bill later passed and was signed by the President.

Law of the Seas TreatyTexaco executives gave a presentation to representatives from the New Orleans Regional Chamber of Commerce and the World Trade Center on the Law of the Seas Treaty. This multinational agreement would provide a comprehensive framework on ocean usage (including airspace), with provisions related to maritime, fishing, and resource development interests. The U.S. Executive Branch signed the agreement in 1994, but Congress has never ratified it. Currently, there are territorial disputes with Mexico related to certain tracts in the mid-Gulf of Mexico for which the Law of the Seas Treaty would help provide resolution. Additional territorial waters in Alaska could be claimed by the U.S. if the agreement is ratified. If Congress does not ratify the agreement soon, the U.S. will be barred from participating in several of the important international forums created under the treaty, which is of great concern to the State Department. The WTC Executive Committee, acting on a recommendation from the Government Affairs Committee, approved a WTC position supporting U.S. ratification of the Law of the Seas Treaty. The treaty was not ratified in the Senate this year.

Administration’s three-part plan to boost American exports - The plan included: (1) adding $81 million to the current $815 million budget of the Export-Import Bank; (2) increasing by $14 million the Commerce Department’s budget to increase the number of commercial officers in certain overseas markets; and, (3) investing $9 million through the Commerce Department to help developing countries establish a legal and regulatory system that would make it easier for U.S. companies to sell in those markets. The Committee recommended that the WTC endorse this three-part plan proposed by the Administration. This recommendation was approved by the Executive Committee in February, and letters stating the WTC position were sent by President Patricia Denechaud to the members of the Louisiana Congressional delegation. Although the increased appropriation amounts were included in the President’s budget submitted to Congress, the increases were not included in the final version of the appropriations bill approved by Congress.

Administration’s Proposed "Investment" Tax on 501(c)(6) Organizations
– the Clinton Administration proposed a tax on non-dues income of 501(c)(6) organizations at corporate tax rates of up to 39%. For the World Trade Center, only 8% of total 1998 income was dues income that would be tax exempt; 92% of WTC income would have been taxable at corporate tax rates up to 39% under the proposed new law. The WTC Executive Committee approved a Government Affairs Committee motion that the WTC oppose the proposed new tax on 501 (c)(6) organizations. The proposed tax was not included in the final federal budget bill.

Louisiana International Trade Commission
– Harvey Koch, Chairman, informed the Committee of their meeting with the Governor which advanced a number of issues vital to the state’s international business community, including the airport and other transportation-related projects.

Louisiana Association of Business and Industry 1999 Agenda - The Committee was informed that the Louisiana Association of Business and Industry (LABI) had made defeating "initiative and referendum" its top priority for 1999. LABI planned to spend considerable time and effort trying to defeat this proposal being advanced by the Governor, which will allow direct-to-ballot initiatives that would circumvent the legislature and go directly to the voters. Both initiative and referendum failed to become law in 1999.

New Orleans Regional Chamber Update
- The Chamber lobbied extensively to ensure that the Mississippi River-Gulf Outlet (MRGO) is maintained to service those businesses along the Industrial Canal. The U.S. Army Corps of Engineers has not yet made a determination as to whether the Industrial Canal Lock Replacement Project will feature a deep-draft lock or a shallow-draft lock. The Chamber supports development of a deep-draft lock for the Industrial Canal. The Chamber is continuing to follow-up on its recent agreement with Honduras. The Chamber is also looking at legislation to make Louisiana more competitive with neighboring states regarding financial incentives in order to attract new businesses.

Chamber Senior Vice President Charmaine Caccioppi thanked the WTC for supporting the Chamber’s effort to encourage business community support for advance ticket sales for the new TWA non-stop flight from New Orleans to Mexico City. Jack Walker of the WTC and Ms. Caccioppi attended the U.S. Chamber’s Nation’s Business Summit in early June to advance the issues on which both organizations’ boards had approved a position.

Special Presentation by Hon. Calvin Humphery, Acting Assistant Secretary for International Affairs, U.S. Department of Energy – Mr. Humphery informed the Committee that he was visiting New Orleans to review the preparations for the ministerial meeting of energy ministers from the Western Hemisphere in July. He explained that DOE is seeking to develop a working partnership with the countries of the Western Hemisphere to coordinate and implement a comprehensive strategy to ensure energy stability throughout the region. DOE hopes that one result of the ministerial will be a joint resolution on common business practices.

August 17 David Vitter Briefing and, Reception - The WTC hosted an Executive Committee briefing and Board of Directors reception with new First District Congressman David Vitter on August 17 to inform him of the WTC’s efforts to promote trade and transportation development.


Email this page to a friend

Click here to sign up to receive the Louisiana International Trade Bulletin 
and other WTC announcements by e-mail.

| Home | Newsletter | Members | Prospective Members | Programs | Building | Plimsoll | Calendar | Trade Resources | 1st Stop | Links | Contact | About WTC | Search | Site Map | Store |

©1996-2008 World Trade Center of New Orleans
WEBMASTER