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From Baltimore to Israel
Israel and Maryland: Governor
Robert L. Ehrlich’s Trade Mission to Israel*
By Edward B. Miller, Deputy Secretary of Maryland’s Department
of Business and
Economic Development
It didn’t take long for us to realize that our
trip was about more than economic development opportunities for
the State of Maryland. I don’t think our plane had even left
the gate yet when an
El-Al flight attendant first approached Governor Robert L. Ehrlich,
Jr. to thank him for visiting Israel. By the time we had landed
at Ben-Gurion Airport she and her colleagues had thanked us at least
a half-dozen more times.
While Governor Ehrlich had decided to lead a Maryland
business delegation to Israel in November – his third trip
to Israel and first overseas mission since his inauguration –
to help grow Maryland’s economy and develop strategic partnerships
with Israel through joint university research initiatives and cooperation
on homeland security practices, the Israelis were just thrilled
that the Governor of Maryland had come to Israel with thirty business
and communal leaders.
Later that day, Prime Minister Ariel Sharon made it
clear to us why our visit had generated so much enthusiasm: Israel’s
tourism industry has been losing $2.5 billion annually since the
recent intifada began in 2000. More than 20,000 tourism-related
jobs have been lost, propelling Israel’s unemployment rate
past 10%. Just imagine the impact on Maryland’s economy if
not one tourist visited Baltimore’s Inner Harbor, and you’ll
begin to understand how devastating this tourism downturn has been
to Israel’s economy.
This context also helps you understand how appreciative
everyone associated with Israel’s tourism industry was to
see us. From the flight attendants to the taxi drivers, waiters,
store owners, hotel porters and chambermaids, every tourism professional
we met was grateful for our visit. Thanks to Israel television’s
coverage of our trip, regular Israelis even recognized the Governor
and approached us to express their appreciation.
Israel, home to more U.S. stock exchange-listed companies
than any other country except for the U.S., Canada and Britain,
and a world leader in high technology research and development,
was a natural choice for an economic development mission. Over four
days there we met with dozens of companies, from early stage biotech
ventures to major financial institutions to established pharmaceutical
companies. Some of these companies already have a Maryland presence,
and announced plans to expand while we were in Israel.
Others were looking in the mid-Atlantic market, and
were impressed to learn about Maryland’s unique assets –
the highest educated workforce in the country, comparatively low
real estate costs, excellent access to distributors and suppliers
via rail, boat and interstate highway, and proximity to federal
installations such as the Food and Drug Administration, National
Institutes of Health, National Security Agency and Aberdeen Proving
Ground (home to the U.S. Army Medical Research Institute of Chemical
Defense) – and with the opportunity to learn about these from
the Governor himself. We are still actively competing for a number
of these deals.
Finally, we made pitches to large Israeli companies
– such as Bank Leumi and Teva Pharmaceuticals – with
a significant existing U.S. presence to encourage them to consider
a Maryland location in the future. We’ve planted the seeds
in their minds; now it’s up to our economic development professionals
to supply the water. With the right “weather” we hope
to reap some opportunities shortly.
In between company meetings, we met with Israel’s
highest elected officials, from Prime Minister Sharon, Foreign Minister
Silvan Shalom, Finance Minister Benjamin Netanyahu and Defense Minister
Shaul Mofaz to Minister for Industry, Trade and Labor Ehud Olmert
and Minister for Diaspora and Jerusalem Affairs Natan Sharansky.
In our meeting with the Defense Minister, senior executives from
the Maryland companies on our mission had the chance to personally
appeal to Mr. Mofaz to do more business with the Israel Defense
Forces. We expect at least one announcement to come from that meeting.
Even though I had visited Israel several times before
– from my first trip with my parents as a recent bar-mitzvah
to one a few years ago with my wife and children – this visit
was my first representing the State of Maryland and its businesses.
It was also my first since the beginning of the current intifada.
I was glad to know how much my visit was helping Maryland’s
economy and its workers, and, as I quickly learned, Israel’s
economy and its workers, as well.
* Governor Robert L. Ehrlich Jr. recently
led a trade Mission to Israel, sponsored by the Maryland Israel
Development Center (MIDC) and the Baltimore Jewish Council, both
agencies of THE ASSOCIATED: Jewish Community Federation of Baltimore.
Another perspective on this Mission from Hanan “Bean”
Sibel, Chairman of the MIDC, will be featured in the next Israel
Connection.
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