Netherlands Enterprise Agency (RVO) - Instruments for Cuba

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1 Netherlands Enterprise Agency (RVO) - Instruments fr Cuba August 2016 Inge Hrstmeier (RvO) & Embassy f the Kingdm f the Netherlands in Havana Business Develpment Cach Latin America 1

2 Cntent Intrductin & Cntact Infrmatin (p.3) Instruments fr Cuba (p.4) Business Partner Scan (p.4) Starters Internatinal Business (p.5) Partners fr Internatinal Business (PIB) New in Cuba! (p.6) Demnstratin prjects, Feasibility studies & Investment Preparatin Studies (DHI) (p.9) DHI Regulatin: Applicants (p.9) DHI Regulatin: Mdules (p.10) DHI Regulatin: Subsidy (p.10) NOTE: Team Internatinalizatin SME SIB: DHI: PIB: IO: Starters Internatinal Business Demnstratin prjects, Feasibility studies & Investment Preparatin Studies Partners fr Internatinal Business Internatinal Organizatins 2

3 Intrductin The aim f this reprt is t infrm interested business parties frm the Netherlands abut the investment instruments fr Cuba available t them. It will hpefully help Dutch entrepreneurs t take strategic decisins n hw best t enter the Cuban market. The reprt is a cprductin f the Netherlands Enterprise Agency (RVO) in The Hague and the Embassy f the Kingdm f the Netherlands in Havana. Fr mre infrmatin, applicatins r cntact details please check the RVO website: r call Cntacts Ecnmic Sectin Embassy f the Kingdm f the Netherlands in Havana Name Title Telephne Achraf Buali Cunselr Achraf.buali@minbuza.nl Jan Alderliesten First Secretary Jan.alderliesten@minbuza.nl Rdney Bustamante Salazar Yuhina Mangly Lpez Peter-Jan Kk Ecnmic Dept. Senir Plicy Officer Ecnmic Affairs Plicy Officer Ecnmic Affairs Intern Ecnmic Affairs until the 15 th f Octber Rdney.bustamante@minbuza.nl Yuhina.mangly@minbuza.nl Peter-jan.kk@minbuza.nl hav-ea@minbuza.nl 3

4 Instruments fr Cuba Business Partner Scan (BPS) Aim A Business Partner Scan presents an verview f pssible business partners with their cntact infrmatin in Cuba. Such a scan is made by RVO with the assistance f the Embassy in Havana. Eligibility if yu are lking fr business partners in Cuba; the business partner yu are lking fr may be a trade agent, imprter, distributr r a prductin partner; when yu have made up yur mind hw many (financial) resurces and hw much time yu are willing t spend t reach yur business targets in Cuba. Prcess Ptential partners in Cuba are persnally apprached by ur staff with yur business prfile and they have indicated they want t cme int cntact with yu. Budget A fee f 500, - is required. Yu will receive the Business Partner Scan within 6 weeks with an verview f trustwrthy business partners and their respnses t yur prpsal. Services Yu prfit frm the RVO s and the Embassy s extensive netwrk in Cuba. We knw the lcal market and knw hw t deal with language and cultural barriers. The Embassy f the Kingdm f the Netherlands in Havana ffers its knwledge and experience t enhance yur business pprtunities in Cuba. Cntacts Cntact RVO fr applicatins at

5 Starters Internatinal Business (SIB) Aim The Starters Internatinal Business tl ffers mre exprt pprtunities t cmpanies lking t enter the Cuban market. Eligibility if yu: have little t n experience with ding business in Cuba; want t embed exprt in yur current business; have an rganizatin with sufficient means; are willing t invest time and mney t enter the Cuban market. Budget Caching Vucher Available vuchers fr 2016: 1,000. Value f the vucher is (plus 21% VAT 504). This amunt can be recvered with a VAT declaratin. Budget is 2,4 millin Missin Vucher Available vuchers fr 2016: 150. Value f the vucher max Services Caching Vucher 3 t 5 meetings with an advisr End result = clear actin plan Vucher cvers advisr csts Missin Vucher Allws participatin in a (trade)missin r fair Organized by a private party First time exprter 5

6 Examples Trade missin: - Check fr available trade missins rganized by private parties: Upcming Fairs: - Securtec Cuba - Internatinal Security and Emergency Services Exhibitin (13 15 Sept. 2016) - FIHAV Internatinal Fair f Havana (31 Oct. 4 Nv. 2016) - Cuba Glass - Glass Industry Event fr Cuba and the Caribbean Regin (6 8 Dec. 2016) - FIART Internatinal Handcraft Fair (6 18 Dec. 2016) - Internatinal Bk Fair (Feb. 2017) - PACGRAF Cuba - Internatinal Printing, Packaging and Graphic Arts Exhibitin (Feb. 2017) - FIAGROP - Internatinal Agriculture and Livestck Breeding Fair (March 2017) - FECONS - Internatinal Cnstructin Fair (April 2017) - FIT Cuba - Turism Internatinal Fair (May 2017) - Cuba Industria - Internatinal Industry Fair (June 2017) - Feria Aliments Cuba - Internatinal Fd and Beverage Exhibitin (July 2017) - Infrmática Cuba - Internatinal Infrmatics, Industrial Autmatin and Cmmunicatins Exhibitin and Cnference (March 2019) Fair Expsitin Center: PABEXPO - Cntact details: Cntacts Ave. 17 e/ 180 y 182, Sibney, Playa, La Habana, Cuba Telefs: (53) , y Fax: (53) pabexp1@palc.cu Link: 6

7 Partners fr Internatinal Business (PIB) Wrldwide Partners fr Internatinal Business (PIB) - NEW INSTRUMENT IN CUBA Aim The instrument Partners fr Internatinal Business creates a market entrance / lng-term psitining f clusters f Dutch SMEs in emerging cuntries with the help f the unique rle f RVO and the embassy. Prcess Intake Business case, cntact per tp sectr Quick g-n g (10 wrking days) Jint prductin f actin plan with aims, results, activities & means 7

8 Partnership between gvernment and cluster f SMEs Budget Yearly budget: 8 millin eurs available fr the PIB-prgram Gvernment cntributin: max ,=> Nt a subsidy (nt directly available r spendable) => Equal cmmitment gvernment and SMEs => Can be used fr services listed belw Crdinatin csts are nt refundable Services Ecnmic diplmacy: PIB lays the grundwrk fr market structuring, gives yu access t the Cuban market and slves prblems fr the purpse f partnerships (ex. Creating a Memrandum f Understanding). The Embassy assists in laying the basis fr cllabratin between yur cmpany, ther Dutch SME s and the Cuban authrities. Prmtinal activities: with the budget yu can attend missins, seminars, liaisn, Hlland Branding and prmtin material. Gvernment2Gvernment / Knwledge2Knwledge Examples Check fr prjects: Grup AgriMex-Hlanda Afval (water) Business Clmbia (ABC) KasTec Brazilie Multi- en Synchrmdale transprtcrridrs in Brazilië Water en afvalverwerking Brazilië 8

9 DHI Regulatin Subsidy fr demnstratin prjects, feasibility studies and investment preparatin studies Aim T increase and strengthen the number f Dutch cmpanies that successfully internatinalize in upcming markets such as Cuba. This allws the ministry f Freign Affairs t ffer a psitive cntributin t sustainable lcal develpment in Cuba. Eligibility Open fr 88 cuntries, including: DGGF cuntries Upcming markets Tender Tender dates fr Cuba: new requests may be submitted as f August 8 until September Budget DGGF 2 millin fr fragile states & 2 millin fr ther cuntries Upcming markets 2.5 millin Specific subsidies fund belw Cntacts Link: DHI Regulatin: Applicants 1 r mre Dutch SME s A cluster f cmpanies has t cntain at least ne SME Dutch exprting r and r freign investing SME Minimum f 3 emplyees, incl. management Substantial turnver: subsidy may nt exceed 25 % f the average annual turnver in the last 3 years. In case f a cluster f cmpanies, nly the frmal applicant (secretary) has t meet these requirements 9

10 DHI Regulatin: Mdules Demnstratin prject: matches yur cmpany with new technlgy in the Cuban market t as many ptential buyers as pssible. Feasibility Study: t investigate the feasibility f a freign investment in yur prduct in rder t cnvince ne ptential custmer t buy yur technlgy. Investment Preparatin Study: t assess what yu need t invest in a freign cmpany. The result that yu receive is a bankable business plan. DHI Regulatin: Subsidy Demnstratin prject: Maximum subsidy is Subsidy percentage: 50% f the csts f the demnstratin prject Subsidy has t be in reasnable rati t pssible exprt return n Cuban market rati is 1:10 If the subsidy fr a prject is , the exprt ptential shuld be a minimum f 1 millin. Within three years expected exprt shuld be 10 times the subsidy value. Feasibility Study: Maximum subsidy is Subsidy percentage: 50% f the csts f the demnstratin prject Subsidy has t be in reasnable rati t pssible exprt return n Cuban market rati is 1:10 If the subsidy fr a prject is , the exprt ptential shuld be a minimum f 1 millin. Within three years expected exprt shuld be 10 times the subsidy value. Investment Preparatin Study: Maximum subsidy is Subsidy percentage: 50% f the csts f the demnstratin prject Subsidy has t be in reasnable rati t pssible exprt return n Cuban market rati is 1:10 If the subsidy fr a prject is , the exprt ptential shuld be a minimum f 1 millin. Within three years expected exprt shuld be 10 times the subsidy value. Multiplier f 10: in case yu request a subsidy yu will have t shw that it will return 10x the subsidy amunt in the market r thrugh a deal with a ptential client. 10

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