São Paulo – The Arab countries need to guarantee food supply to the region. Currently, they import around US$ 60 billion a year in food products, with a tendency for growth, with wheat purchases alone totalling 16 million tonnes a year. The figures were supplied by Falah Said Jaber, secretary general of the Federation of Food Industries of Syria and Jordan.
He participated in the second day of the “Investment Encouragement and Export Enhancement Seminar”, yesterday (28), in Beirut, Lebanon. The meeting also included representatives of chambers of commerce of Europe and Brazil, as well as civil servants and investment organisation employees in the Arab countries.
According to Bahgat Aboelnasr, the head of the Division of Studies and Research at the Economic Affairs Department of the League of Arab States, the Arab countries invest just 3% of the funds received from other nations in the region in the sector of agriculture, whereas 55% is turned to the oil and oil product industry, 29% to industry in general and 13% to the service area.
Aboelnasr also pointed out the growth of trade between the Arab countries, which climbed from US$ 2.2 billion in 1998 to US$ 14.5 billion in 2008.
According to Michel Alaby, the secretary general at the Arab Brazilian Chamber of Commerce, those participating in the event also pointed out the need to “seek added value with the transfer of technology, purchase of equipment and duly qualified human resources.”
According to the secretary general, those participating also pointed out that the Arab countries need to “seek international standards for the development of products and services and reforms in the areas of financial and exchange regulation, establish alternatives for financing, through capital markets and alternative income funds, as well as introduce credit guarantees, like those already existing in Jordan,” among other points.
During a panel dedicated to the matter of Arab integration and exports, Alaby spoke about some of the initiatives of the Arab Brazilian Chamber, like the promotion of Arab investment and exports through seminars and technical visits by ambassadors and trade councillors.
“Furthermore, we have developed tourism, investment and foreign trade committees to help integrate operators in the areas in the search for opportunities generated for promotion of the three sectors mentioned,” said Alaby.
“The main recommendations of the event also refer to seeking Arab funds, with reserves of over US$ 3.5 trillion, to invest in the Arab nations. Generally, these funds are turned to real estate, ready or under construction, not to the agricultural or industrial sectors,” he said.
*Translated by Mark Ament
