A master plan for each of four alternative industries

A master plan for each of the four alternative industries—agriculture, aquaculture, call centers and edu-tourism—will be developed to “put into action” the results of the two-day 2009 Economic Restoration Summit, Commerce Secretary Michael Ada told summit participants on Friday.

“We don’t want to have another summit in six months or two years and talk about the same things. We know what the problems are; we know our capacities, so now let’s focus on these industries…How do we develop them?” Ada told Saipan Tribune.

Among other things, the four master plans will specify the logistical challenges—from lack of reliable transportation to complex government permitting and licensing processes and unstable laws and regulations—to develop each of the industries and help resolve those.

Asking the military to help subsidize the transportation of goods and people between the CNMI and Guam is one of the new ideas brought up during the summit that will help fast track the development of the agriculture and aquaculture industries, said Ada.

Businessman Anthony Pellegrino, one of the resource speakers at the summit, said the cost of shipping local products to Guam is driving up the cost of selling chilled fresh shrimp and fresh local produce to the military commissaries on Guam.

“I think that’s one great idea brought up during the summit. Can we have the military subsidize some of the travel? That will help out tremendously not only for agriculture but the general travel and also for the military. They have logistical needs as well,” said Ada.

On the second day of the summit, participants were divided into four groups to summarize the needed actions to develop each of the four alternative industries.

Galvin Guerrero, a former principal of Mount Carmel School, said developing an edu-tourism industry calls for the formation of an association among schools that take in exchange students, enticing major educational institutions in the U.S. like the University of California to establish satellite campuses in the CNMI; and holding summer institutes in the CNMI geared toward edu-tourism.

“As it is now, there’s a lack of coordination among schools taking in exchange students,” said Guerrero as he presented the edu-tourism group’s findings.

Questions were raised as to how such proposed industry will deter fraud, and taking advantage of the marine monument declaration to encourage scientists and foreign students to come to the CNMI for education and research.

The aquaculture group, the findings of which were presented by Dr. Shaun Moss of the Oceanic Institute, talked about the need to form an industry association, along with identifying a niche market, establishing a surveillance program, and the development of an industry for marine ornamentals and not just focus on shrimp.

Businessman John C. Camacho, in presenting the agriculture group’s findings, said agriculture as a viable CNMI industry can still be improved, and that the Legislature can help provide incentives to businesses.

Arthur Smith, president of consulting firm Management Analysis Inc., presented the call center group’s findings, including the need for significant capital investment, an industry master plan, and tax incentives.

Besides the development of the four master plans, Commerce will also be releasing “within 30 days” a report on the results of the April 2 and 3 summit held at the Fiesta Resort & Spa in Garapan.

Ada said the report will be presented to the Legislature and other government agencies.

He said the Legislature asked Commerce to draft legislation to help develop these industries but he said the department is not a policymaking body but a regulatory agency. Nevertheless, Commerce is more than wiling to help the Legislature polish any draft bill it has.

Businessman Chong Won, president of D’ Won Company, said Anthony Pellegrino’s presentation on agriculture during the first day of the summit was among the best.

“He’s a doer, not a talker. And I think that Guam Lt. Gov. Mike Cruz’s plan to include the CNMI in the buildup is a good idea,” Won told Saipan Tribune.

At the conclusion of the summit hosted by the Department of Commerce and the Commonwealth Development Authority, in cooperation with Northern Marianas College and IT&E, Ada thanked the participants and organizers.

“I am pleased with the outcome of this summit and I like to thank everyone here for your support and participation. It demonstrates the need not only to talk about the problems… but actually being part of the solution,” he said.

A lot of the information from the two-day summit will also be presented by Ada at the U.S. Department of Interior’s Business Opportunities in the Islands Conference in Hawaii set for April 6 to 8.

Ada said the CNMI may have been the first one in the region to break a pre-economic session into two—one for the private sector and the other for the public sector.

Sergio Loya, project manager of consulting firm Management Analysis Inc., presented the results of the pre-economic summit sessions on aquaculture, agriculture and edu-tourism on the first day of the summit, and on call centers during the second day.

Guam Lt. Gov. Michael Cruz, the keynote speaker for the summit, called for a Guam-CNMI partnership to face the opportunities and challenges brought by the military expansion on Guam.

On the first day of the summit, the presenters included Arthur L. Smith, president of Management Analysis Inc., who talked about public-private partnerships; Dr. Shaun Moss of the Oceanic Institute, who talked about the opportunities and challenges in aquaculture; Anthony Pellegrino, who talked about his business of supplying fresh chilled shrimp, fresh local produce and fresh fish to U.S. military commissaries on Guam; and Wayne Pangelinan, who talked abut edu-tourism.

On the second day, Larry Knecht of IT&E talked about his company’s development and operation of the first call center in the CNMI.