Business Council of Mongolia

Chairman Laurenz Melchers started the BCM monthly meeting on August 24 attended by 70 with a reference to the regional investment forums now being held in the country where BCM is an important participant. Executive Director Jim Dwyer welcomed 7 new members, raising the strength to 128. They are Areva Mongol, Kempinski Hotel Khan Palace, Wildlife Conservation Society, Anderson and Anderson, North America-Mongolia Business Council (NAMBC), and the Australian and New Zealand Embassies based in Seoul and Beijing respectively. He reported that the mining supply chain database was finalized and contained information on 1,153 registered companies. Its public launch will take place in the coming month.  A new category of 880 BCM Associate Members will become active and is expected to make use of this database.

Giving an update on key developments in the mining sector, MNMA President Do.Ganbold said the speed with which the special Parliament session was dealing with the OT investment agreement was encouraging. His happiness at the likely resolution of the impasse was, however, tempered by the fact that several recent measures “would have no positive impact” on mining businesses. These included the ban on mining near rivers and forests, restricted refund of VAT paid by mining companies, and the law on nuclear energy that called for “nationalization of foreign investment”. MNMA has signed an MoU with Ulaanbaatar Railway and BCM members facing any problem with the Railway could ask MNMA for assistance.

Two visiting representatives of BAUMA, a major trade fair show for construction and mining material, machinery and equipment, gave a presentation on next year’s fair in Munich, Germany from April 10 to 25. They expect visitors and participants from almost all over the world to attend the fair that will cover 555,000 sq. m. of space.  Many companies develop their products to be introduced at BAUMA fairs, held once every three years. The Mongolian National Chamber of Commerce and Industry has signed an MoU with BAUMA and will help intending visitors to the fair.

Ms. Evelyn Enkhbaatar, a student at National University of Mongolia, outlined plans for assisting Mongolia-based companies in hiring interns through AIESEC, the world's largest student-run organization active in over 1,700 universities in more than 100 countries for some 60 years. Its goal is to develop local talent and it offers fresh graduates from economics and business universities internship placements as part of a global program in various areas of a wide range of industries.

U.S. Ambassador Mark C. Minton, whose successor has been announced, was given a warm reception at what was perhaps his last BCM monthly meeting. Responding to Jim’s thanks and appreciation for all the help he rendered to BCM during his tenure, Mr. Minton graciously said ambassadors come and go, but it was the private sector, led by BCM, that would now be responsible for building and strengthening international relationships. He gave the floor to Maj. Gen. Craig Campbell, recently appointed Lt. Governor of Alaska, who referred to his long ties with the Mongolian military in his capacity as Adjutant General of the U.S. state's National Guard, and said his new office would help him develop ties beyond the present military partnership. Mongolia could benefit from Alaska’s experience of using mineral resources to create jobs and from studying how it used the revenue generated by mining operations to ensure a stable financial future.