A Message From Mike Dicks

On Nov. 3, 1961, President John F. Kennedy established the U.S. Agency for International Development (USAID). It was the first U.S. foreign assistance organization whose primary emphasis was on long-range economic and social development assistance to foreign countries. USAID's origins were planted shortly after World War II ended in 1945.

On June 5, 1947, Secretary of State George C. Marshall shared with the world a plan to commit significant U.S. resources as a way of responding to calls to rebuild Europe's infrastructure and economy following the War. In what would come to be known as the Marshall Plan, the United States helped stabilize a post-war Europe by providing financial and technical assistance through the European Recovery Act of 1947.

In his inaugural address in January 1949, President Truman announced that four major themes would guide American foreign policy in the post-war period. Support for the United Nations, programs for the economic recovery of Europe from the destruction of the war (The Marshall Plan), assistance to free nations to resist aggression (embodied in the North Atlantic Treaty Organization) and “Point Four”, to "embark on a bold new program for making the benefits of our scientific advances and industrial progress available for the improvement and growth of underdeveloped areas.”

Truman appointed as Assistant Secretary of State to be in charge of the Point Four program. Bennett was particularly interested in the area of adult education. He believed that adults could benefit from educational opportunities and the Point Four program gave him the opportunity to put his theory into practice. Bennett immediately began the development of a university and technical school in Ethiopia with Ethiopian Emperor Haile Salase.

Bennett died in a plane crash the following year in Iran, but the success of Alemya College and Jimma Agricultural and Technical School in Ethiopia led to President Kennedy’s call to make the Point Four program permanent through the establishment of the USAID. As a result of the OSU education initiative in Ethiopia in spearheading the Point Four program, OSU’s legacy as a leader in international development was set in stone. OSU and USAID had a very productive relationship for over two decades until the fall of the Soviet Union allowed deep budget cuts in all areas of international development. For more than 2 decades now there has been no relationship between OSU and USAID.

On February 8 the Center for International Trade and Development hosted Paul Weisenfeld, (USAID Assistant to the Administrator directing the Bureau for Food Security) as the Wes Watkins distinguished Lecturer. The Bureau of Food Security leads President Obama’s Feed the Future Initiative. This lecture was timely as USAID has recently announced what it calls “an exciting and ambitious” program to engage universities and research institutes in novel ways to improve the agency’s ability to define and solve large development challenges. I believe this is an opportunity for OSU to recapture its legacy as the leader in international development.

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Weisenfeld Lecture

Paul Weisenfeld presented his lecture “The Future of Global Food Security” in the Wes Watkins Distinguished Lectureship Series on Feb. 8, 2012 to approximately 90 students, faculty and community members. Weisenfeld, from the U.S. Agency for International Development (USAID), is currently the Assistant to the Administrator, directing the Bureau for Food Security, which leads President Obama’s Feed the Future Initiative.

“Food security is at the core of transforming rural economies overseas,” Weisenfeld said.

Recently, increased efforts are being made in the area of agricultural development as a result of increased food prices in 2007 and 2008, which resulted, at least in part, in food instability in at least 30 countries.

What we sell in the development business is *hope* that you can save lives and help people.

He talked about some of the various efforts the organization is making across the world in conjunction with other groups to ease suffering and chronic hunger, noting that their development efforts are never made alone, but with other organizations.

USAID targets 20 countries that meet two criteria, one being there is poverty within the country and two, that the country is investing its own funds to try and improve development opportunities. In order to have long-term effectiveness, programs have to be “country-lead,” meaning the country has to develop its own programs and have some sort of buy-in to maintain development efforts, Weisenfeld noted.

Furthermore, he touched on the fascinating programs currently going on with women’s empowerment, monitoring systems to lessen disasters and research being conducted with animal and plant diseases as well as with climate resistant cereals. Interestingly, he also spoke of a new humus-type product being explored with Pepsi Co. that would be a nutrient dense, affordable food option using the legumes countries are currently growing.

Finally, Weisenfeld also discussed some of the grant-related efforts and opportunities available to universities such as Oklahoma State, noting that “you can make a difference.”

“What we sell in the development business is hope that you can save lives and help people,” Weisenfeld said.

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Engineers Without Borders in Sierra Leone

I’m a mechanical engineering undergraduate in Engineers Without Borders at OSU and a group of us were recruited by senior environmental science major Liberty Galvin to spend our winter break in Sierra Leone. In the short time I was there, I had the opportunity to work with multiple several local groups and foreign NGOs with the goal of educating and providing clean water to people who live in conditions that would be unfathomable to the majority of Americans. In preparation for this trip, I spent many hours online reading, looking at photos and watching videos from Sierra Leone to get an idea of the local culture and have a better idea of what to expect when I got there. I’ve also done a fair amount of travel before but nothing could prepare me for this experience.

Although our group’s focus was on water quality, the first thing that struck me in Sierra Leone was how fortunate we are in the U.S. to have clean air. The smog is an ever-present element in Sierra Leone. The locals use open fires to dispose of their trash, to clear brush, to cook and to make charcoal to sell. Then, add to that the many poorly-tuned and unbelievably overloaded vehicles belching black smoke. Sometimes it looked as if there was a mist in the air but if you put your hand out little white ash flakes would land on it. Every time we travelled through the capital, Freetown, my throat would be sore for days afterwards.

Sierra Leone is a country of amazing contradictions. Financially, it is one of the poorest countries in the world but a is one of the richest in natural resources . The people are incredibly resilient and hopeful. My experience working with the students and staff at Njala University is something I’ll take with me for the rest of my life. Njala University focuses on agricultural and environmental programs and the students we worked with were so quick and eager to learn everything we had to teach. Njala University has a gigantic campus out in the country and is surrounded by tiny villages where the lifestyle of the people hasn’t changed much for thousands of years. There is no electricity or plumbing in their homes, which are small mud-brick huts with thatched roofs. Most people own a couple of chickens or goats and the roadsides are dotted with little shops where craftspeople sell traditional wares. I was thrilled to see the master craftsmen teaching young apprentices who would one day carry on the skills they learned. It really made me think that as much as we’ve gained with all our wealth and technology that we’ve lost some things along the way as well.

Local rivers are the life blood of these towns. The villagers use the river to bathe, to wash their clothes, to fish for food and to dispose of their wastes. And, most importantly, they drink it. That’s why our efforts are so important. Bio-sand filter being installed in Njala Bio-sand filter being installed in Njala Everywhere we tested water it showed the presence of fecal bacteria. We taught the students at Njala how to build bio-sand filters which, when used properly, will remove 99.9% of bacteria and contaminants. The bio-sand filter is an amazing invention. It uses no electricity and can be built using simple tools and materials available anywhere in the world. The Njala students learned so quickly that, after a few days, we didn’t have much to do because they had taken over- exactly what we wanted to happen. Now that I’m back I’m working to stay in contact with the people I met in Sierra Leone, both to keep them excited and to see what progress they’re making in our absence, and because I’ve made some genuine friends.

The preparation for this trip was time consuming, exhausting and expensive and there were several times going into it that I wondered what I had gotten myself into. However, looking back on everything I learned and experienced, I wouldn’t take it back for the world.

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New Course Series on International Trade

One critical component of our mission at the Center for International Trade and Development is to prepare students to compete in the global economy. In conjunction with the School of International Studies, we are expanding our international trade curriculum to include a five-course series that addresses all of the components of international trade.

Beginning in the 2012 Fall semester, the Center will be offering web-based courses on International Operations, International Marketing, and Import/Export Compliance. The fourth course in the series is comprehensive and brings all of the elements together to prepare students for the Certified Global Business Professional exam, an internationally recognized credential certifying competence in international trade. Then, to give practical application to the series, each student will complete an internship that is oriented in international business. The internship may be with a domestic or international firm engaged in foreign markets.

These courses will be offered at the graduate and undergraduate levels. For undergraduates, the courses are eligible for credits toward a minor in International Studies. For more information regarding this series on international trade, please contact the Center for International Trade and Development or, the School of International Studies’ academic advisors.

Undergraduate Advisor – Pia Guyman

pia.guyman@okstate.edu
405-744-4344

Graduate Programs Advisor – Donna Birchler

donna.birchler@okstate.edu
405-744-6179
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Deemed Export Compliance - Some Considerations for Universities and Innovators

For most of the 20th century, the United States was the leader in manufacturing and innovation with strong demand for its products and technologies overseas. American ingenuity and know-how fostered strong employment in the design, manufacture and distribution of technologies and products sought by consumers the world over. As a result, a diversified manufacturing and economic base was bolstered by exports with millions of American jobs supported directly and indirectly by the reputation for excellence associated with the “Made in the United States” label.

Today, the U.S. faces challenges to its domination in product design and manufacturing and an erosion of domestic employment in those areas. To answer these challenges, President Obama made innovation, manufacturing and increased exports a central focus of U.S. economic development policy.

The National Export Initiative (NEI) was launched during President Obama´s State of the Union Address in January 2010 with the goal of doubling exports by the end of 2014. During the same address, he discussed the need for reforming export compliance laws as they impact American innovators’ and manufacturers’ ability to sell their products and services overseas and require significant resources to ensure compliance with the myriad export laws and regulations that govern exports.

As the U.S. develops strategies and policies to meet the goal of the NEI to increase exports and to create and retain jobs, it is clear that innovation will play a crucial role in such efforts. Oklahoma State University is aware and doing its part. In fact, OSU recently celebrated its ninth annual Research Week in February, a year which marks the 150th anniversary of the Morrill Act of 1862 which established the land-grant universities; a framework for higher learning that in the 21st century continues to be as relevant as ever with its emphasis on research and innovation.

It is imperative that American universities, inventors, entrepreneurs and companies develop innovative products that offer solutions to the most pressing needs of the 21st century is imperative. But, to be aware of U.S. export laws and regulations and their broad reach, that covers much more than the actual shipping of tangible items, is even more imperative.

In fact, unbeknownst to many, the President’s NEI policies include measures to strengthen export laws and increase enforcement efforts. This is done in part for national security and to protect intellectual property. Exports from the United States including “deemed exports” are subject to various laws and regulations and in some instances may require a license. The Bureau of Industry and Security (BIS) of the U.S. Department of Commerce focuses on “dual use” items that may have a civilian and military application. The Directorate of Defense Trade Controls (DDTC) of the United States Department of State is also involved with the export of “defense” technologies, goods and services.

To determine if an item is controlled and requires a license or registration can be complex and may entail implementing policies and procedures, dedicating resources to engage consultants and attorneys, analyzing the relevant Code of Federal Regulations (CFR) and seeking guidance including written rulings from the appropriate authorities. In some cases it may appear that a technology or item can fall under the control of both agencies; in such cases a Commodity Jurisdiction (CJ) request must be submitted to the U.S. Department of State.

http://www.pmddtc.state.gov/commodity_jurisdiction/index.html

The BIS license requirements for exports including “deemed exports “are stipulated in Title 15 of the CFR Export Administration Regulations (EAR) and includes the Commerce Control List (CCL) and the Commerce Country Chart. The documents list specific Export Control Classification Numbers (ECCN) and countries that are subject to licensing requirements for specific ECCNs. The definition of a “deemed export” found in §734.2 of the EAR is quite broad as an export of “technology” or source code may take place when they are made available to non-U.S. persons for visual inspection, or its blueprints or design specs are described when discussing related things, or when “technology” is made available by practice or application under the guidance of persons with knowledge of the technology. Technology is defined as specific information necessary for the "development," "production," or "use" of a product. Further detail pertaining to “deemed exports” can be found at:

http://www.bis.doc.gov/licensing/index.htm

The State Department´s DDTC, Title 22 of the Code of Federal Regulations International Traffic in Arms Regulations (ITAR) deals with controls for “defense” articles and technologies and contains the United States Munitions List (USML). In the ITAR regulations, a “deemed export” may occur when there is a “disclosure” or “transfer” of technical data to a foreign national. As in the case of “deemed exports” under the EARs, an export, disclosure or transfer of technical data can happen when foreign nationals participate in the design of an item or technology, review its blueprints, or visually inspect the product or even the facility where it is being design or produced. More detailed information can be found at:

http://pmddtc.state.gov/regulations_laws/itar_official.html

To achieve increased exports and strengthening of the American economy, the need for expanding research, innovation and exports are crucial. There are many examples of initiatives to achieve such objectives including the National Export Initiative and the recently held ninth annual Research Week celebration at Oklahoma State University. However, it is imperative that stakeholders including universities, researchers, innovators, designers, manufacturers, exporters, economic development and export assistance service providers have a solid understanding of “deemed exports” and how they impact innovation and exporting. Addressing compliance issues in the early stage of product or technology development makes good business sense and will help shape the product or technology´s to avoid costly delays or penalties for non-compliance.

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