Reconstruction Shows: Iraq Remains a Question Mark

By Margo McCall -- Tradeshow Week, 7/19/2004

Even in the best of times, Iraq was the destination for only a handful of the Middle East's hundreds of tradeshows. And with a new government for the war-ravaged country having only just recently taken the helm, it's doubtful whether a single tradeshow will take place there this year.

Yet, many show producers sniff opportunity in the $18.6 billion of reconstruction money being earmarked by the United States. In recent months, several organizers have hosted events intended to match buyers and sellers of equipment for everything from water treatment facilities and power plants to road building and hospitals.

But organizers have discovered one thing: They don't need to hold their events inside Iraq in order to take advantage of the reconstruction dollars.

A group called the U.S.-Iraqi Chamber of Commerce and Trade initially planned to hold a reconstruction event called Destination Baghdad Expo in Iraq's capital city. When it was announced in January, representatives from the U.S.-led Coalition Provisional Authority said the show would symbolize "Iraq's grand opening," according to news reports.

But as the situation deteriorated, the event was delayed twice before finally being moved to the Diyarbakir Fair and Congress Centre in the small town of Diyarbakir, Turkey. There was no word on how well the May 25–27 event was attended. However, the organizer's Web site said that 200 companies participated in the conference and fair.

Rebuild Iraq 2004, held Jan. 19-23 at the Kuwait Intl. Fair Grounds in Mishref, reportedly attracted 1,400 companies from 48 nations. Organizers Kuwait Intl. Exhibition and Riyadh Exhibitions were pleased enough that they plan a repeat next year — this time at the Amman Intl. Fair in Marj El Hamam, Jordan.

Jordan was where the Waldwick, N.J.-based Kallman Group chose to hold its reconstruction event this year. Jerry Kallman, director of Kallman Global Consulting, said his Outreach 2004, held at the Amman Intl. Motor Show facility in Jordan Jan. 11–13, handily beat expectations. The Jordanian Natl. Police helped out with security. Bomb-sniffing dogs scoured the showfloor before the event opened, and attendees were required to go through metal detectors and submit to bag searches. "We expected about 400 delegates for the conference and got 1,200. We planned for 200 exhibitors, and got 280," Kallman said.

However, he hasn't decided yet whether a repeat of the event — in Jordan or somewhere else — is warranted. A lot depends on what he hears from the U.S. Embassy and the new Iraqi government in the weeks and months to come. "We're waiting to see what happens in Baghdad. If the situation cools off there, maybe. It's a confusing situation."

The CPA in late June handed over power to a government of appointed Iraqis. But nearly 200,000 U.S. troops remain in Iraq, and shootings, kidnappings and car bombings remain a common occurrence. The appointed Iraqi government is required to hold an election by early 2005.

Kallman said exhibitors had definite security concerns about attending a tradeshow in Iraq. Contractors have to provide their own security. In addition, the availability of airline flights was uncertain. "We asked some exhibitors about going to Baghdad and they said, 'No way,'" he said.

Outreach 2004 was sponsored by the U.S. Department of Commerce. Jay Brandes, director of the Commerce Department's Iraq and Afghanistan Reconstruction Task Force, said no show organizers have applied for a department sponsorship for an Iraqi show this year.

Some are also waiting to find out if the Baghdad Intl. Fair will be held this year before deciding whether to launch other reconstruction events. In 2002, the fair reportedly attracted 1,200 exhibitors. U.S. companies were precluded from participating as a result of the United Nations embargo.

Kallman said he's heard that organizers interested in holding events in Iraq will be required to build their own venues, because Baghdad's fairgrounds were partially destroyed by an air strike in April 2003. He said his company estimated that building a temporary facility would cost about $200,000.

Stephan Kotthaus, who in years past has worked as a Middle East exhibitor consultant, said the Baghdad fair has traditionally served more as an opportunity to catch up than an occasion to sign contracts.

Kotthaus also said the need for security is grossly exaggerated by the media. "I never have felt unsafe traveling in the Middle East," he said. "Although at the moment I would not travel by road from Jordan to Baghdad."