• Implementing Organization:  International Executive Service Corps
• Name: Jordan US Business Partnership (JUSBP)
• Location: Jordan
• Dates: 10/01/1998 to 10/20/2005 
• Funding Organization/Cognizant Officer: USAID/Jordan/ Jim Barnhart, USAID/Jordan, 962-6-592-0101; jbarnhart@usaid.gov

Problem Statement:
During the 1980s, IESC first introduced its trade and investment services program model in order to address the constraints that small and medium enterprises (SMEs) around the world were facing in terms of trade capacity and access to international markets.  IESC began implementing programming in trade and investment services in Latin America in 1985 under a cooperative agreement with USAID’s Global Bureau. All IESC business linkage and export trade development programs since then have featured pro-active market and export development offices in the U.S. implemented by one or more IESC trade and export specialists. In Indonesia in the 1990s, IESC developed the Fast Track Trade model as a streamlined approach to trade and investment assistance. In the JUSBP Program in 2002, IESC began implementing a Fast Track Trade component to assist a Jordanian SME sector that was not meeting its economic development potential and that faced obstacles at the institutional and firm levels that impeded access to international markets, economic growth, workforce development, entrepreneurship, and other business development factors.

Project Focus:  
A major thrust of JUSBP was to improve the ability of Jordanian companies to compete in international markets through expanded trade opportunities. JUSBP emphasized trade with the United States, particularly under the Jordan-United States Free Trade Agreement.

Key Technical Highlights:
Through JUSBP’s trade development component, IESC piloted and expanded its Fast Track Trade methodology, which employed a process for client identification and categorization that ensured that JUSBP client firms received the firm-level assistance that best fit their trade needs.  JUSBP provided the full range of IESC Fast Track Trade services to assist the following sectors:

• Health Care & Pharmaceuticals, including Dead Sea Products
• Food and Olive Oil
• Information and Communications Technologies and Services
• Stone and Marble
• Garments
• Jewelry
• Manufacturing (engineering, plastic, furniture, and handicrafts)

In addition to the trade development component, JUSBP had two other major components that included the following: 1) Quality, Standards, and Business Enabling Services, and 2) Business Development Services (BDS).

Project Methodology: 

1) Fast Track Trade:
IESC’s innovative methodology for private sector trade and investment development, called Fast Track Trade, emerged in the early 1990’s for a program focusing on the shrimp industry in Indonesia.  The Fast Track Trade model focuses on demand driven assistance to meet the needs of all firms whether they are currently exporting or need assistance to reach their exporting potential. IESC expanded the Fast Track Trade model in Jordan to respond to USAID and the US Embassy requests to assist Jordanian firms prepare for, and take immediate advantage of, the Jordan-U.S. Free Trade Agreement (FTA). Since its implementation in Jordan, IESC has launched Fast Track Trade programs in Morocco, which supports the US Morocco FTA, and in Africa through a regional Fast Track Trade program that provides trade, investment and development services throughout Sub Saharan Africa in support of AGOA and the regional USAID Trade Hubs.

All IESC business linkage and export trade development programs, including programs under the Fast Track Trade model, feature pro-active market and export development offices in the U.S. implemented by one or more IESC trade and export specialists. These Trade and Development Offices are designed to facilitate exports from a host country through assisting host country firm’s access to international markets, particularly the United States. In addition, the Trade Offices provide export marketing assistance; establish business presence in the United States for the host country firms; pursue opportunities for technology transfer to host country firms through US resources; and, in many cases, provide other facilitation services to assist firms complete export agreements. IESC’s market and trade linkage activities are integral to producing successful transactions in terms of both export trade generated investments, investments concluded, and jobs created in the host country.  These efforts all work to support the bilateral U.S. Free Trade Agreements with the various countries involved.

The Fast Track Trade methodology involves identifying host country firms with the highest potential for immediate and short-term success concluding trade and investment transactions with US and other international firms. The job of the IESC Trade and Development Office is to evaluate the US market for a client product; determine the potential for client success in this market, develop the most appropriate entry strategy to access the market, decide upon the steps necessary to approach a given market, and identify potential buyers directly and through appropriate trade show activities.  Based on a client’s decision to pursue the market opportunities presented, the IESC Trade and Development Office works closely with the client to achieve its goals. Facilitation at this stage may include trade show involvement, contacting specific buyers, sample distribution and trial order coordination, or providing specific technical assistance for marketing, packaging or other related issues.

For clients that already understand the market and that have the quality and capacity to export (Track A firms), the Trade and Development Office helps contact buyers and serves as a reference in the name of the company, which is often reassuring to U.S. buyers that feel more comfortable working with a U.S.-based and relatively objective English speaking office.  The Trade and Development Office then follows up on communication with the buyers, answers specific questions, and encourages interest.  Once the linkages are in place, the Trade and Development Office facilitates closing the deal. Individual expertise is available as needed to support this effort.  Other clients that may not yet be ready to export to the U.S. market are categorized as Track B firms.  They receive technical assistance to build their capacity to graduate to Track A.

The following summarizes some of the main activities carried out by IESC’s Trade and Development Offices focusing on support for infield initiatives aimed at generating successful trade linkages:

Components of Sustainability:

IESC ensured the sustainability JUSBP’s work by creating a sustainable new locally owned and managed private sector non-governmental organization, the Business Development Center (BDC). The BDC now provides consulting services, technical assistance, and training to local Jordanian firms, associations and government agencies.  Like JUSBP, BDC offers targeted assistance to help Jordanian SMEs achieve a heightened and globally competitive business plateau.

Use of Best Practices:

1) Fast Track Trade in JUSBP

In JUSBP, volunteer experts (VEs), program staff, and local consultants surveyed firms in the program’s focus sectors and selected Fast Track Trade participants based on their ability to take immediate advantage of the benefits offered under the US-Jordan Free Trade Agreement. Companies categorized as “Track A” had a high potential for near-term trade success with the U.S. and received JUSBP assistance to immediately help them identify appropriate markets and partners. JUSBP also provided “Track A” companies logistical and transaction facilitation support to help them finalize sales or investments.  Companies identified as “Track B,” were a step behind “Track A” firms and needed technical assistance to improve quality or to meet international standards prior to pursuing international trade opportunities.  For “Track B” firms, JUSBP technical assistance facilitated the ability of these companies to graduate to “Track A” status. The assistance available included training, technical services, product development, packaging design, marketing and sales planning, financial access, and market research.

The Fast Track Trade component of JUSBP covered a wide range of assistance offered to private sector firms, associations and government ministries. In addition, the program’s VEs, consultants and staff provided direct trade facilitation assistance through firm participation in trade missions and trade show exhibitions. IESC VEs and local and international consultants particularly worked to deliver hands-on, on-site technical assistance services to JUSBP client companies to increase their ability to export and to facilitate transactions in the following:

2) Quality, Standards, and Business Enabling Services
In addition to Fast Track Trade, JUSBP also worked in the area of quality, standards and business enabling services, where it provided seminars and training programs. JUSBP worked closely with the Industrial Development Directorate within the Ministry of Industry and Trade to create an environment conducive to industrial development, quality and productivity, human resource capacity building, and technical support development. 

In collaboration with the Industrial Development Directorate at the Ministry of Industry and Trade, JUSBP developed and administered the King Abdullah II Award for Excellence, which enhanced the competitiveness of Jordanian businesses by promoting quality awareness and performance excellence, recognizing quality and business achievements of Jordanian companies, and publicizing these companies’ successful performances.

3) Business Development Services (BDS) and Reimbursable Grants
JUSBP also worked to provide institutional development to associations committed to making progress towards WTO & FTA compliance and providing better services to their member SMEs.  In this area, JUSBP volunteers and staff helped the Jordan Exporters Association (JEA) launch the Certified Trade Advisors Program (CTAP) managed by the International Trade Centre (ITC). CTAP generated national trade training and advisory capacity to improve the international trade and investment competitiveness of Jordanian private enterprises. In addition to CTAP, JUSBP was instrumental in the establishment of INT@J, the local trade association for the Information and Communications Technology (ICT) industry.  IESC VEs, consultants and staff helped develop and organize INT@J’s strategic plans, marketing materials, a Jordan IT forum, trade missions to the U.S. and other regions, and the participation of sector firms in trade shows. Over the life of the program, INT@J’s membership grew to over 130 members. 

In addition to direct technical assistance and training, JUSBP offered reimbursable grants of up to $50,000 per award to qualifying firms seeking to increase their ability to enter international markets. Utilizing IESC’s established grants management methodology, grantees used funds to acquire new or upgraded technology, participate in trade missions, and initiate quality certification programs.

Results and Impacts:

Over the life of the program, direct impacts from the trade and investment promotion components included almost 790 unique export transactions including over $68 million in exports to the US and more than $230 million to other countries. Jordanian firms also realized over $170 million increase in domestic sales and more than 10,600 jobs were created or saved as a result of IESC interventions. Overall economic growth impact from the program is more than $680 million. Over 150 firms received quality certifications and more than 480 firms received technical assistance.

IESC helped create four new associations over three years (2002-2005), which was twice the number originally targeted. New associations included a Jordanian intellectual property association, the Jordanian Olive Products Exporters Association (JOPEA), the Jordan Garment Accessories and Textiles Exporters Association (JGATE), and the Jordan Furniture Exporters and Manufacturers Association (JFEMA).