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    Saudi Arabia’s agricultural GDP grew 38% to $26.6bn in 2022

    Saudi Arabia’s agricultural GDP grew 38% to $26.6bn in 2022

    Arab states imported 1.73 million agricultural commodities from Egypt

    Arab states imported 1.73 million agricultural commodities from Egypt

    Wheat yield boom boosts Oman’s food security

    Wheat yield boom boosts Oman’s food security

    Saudi Arabia seeks $20 bln investment in food industry, aims to double exports

    Saudi Arabia seeks $20 bln investment in food industry, aims to double exports

    Saudi Arabia’s ambitions for food production advancement supported by ICRISAT-FAO partnership

    Saudi Arabia’s ambitions for food production advancement supported by ICRISAT-FAO partnership

    Egypt’s agriculture exports rise 17.2 percent in 5 months

    Egypt’s agriculture exports rise 17.2 percent in 5 months

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    • Business & Economy
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      Saudi: 53 new industrial licenses issued in April 2023

      Saudi: 53 new industrial licenses issued in April 2023

      Qatar’s non-oil sector maintains growth as PMI hits 53.8 in June

      Qatar’s non-oil sector maintains growth as PMI hits 53.8 in June

      Saudi transport authority approves 15 licensing, technical guides for railways

      Saudi transport authority approves 15 licensing, technical guides for railways

      Number of industrial decisions up by 10.56% to 356 in 2021

      Number of industrial decisions up by 10.56% to 356 in 2021

      Egypt’s macroeconomic conditions improving, says minister

      Egypt’s macroeconomic conditions improving, says minister

      Number of BIA passengers up by 26.90% annually YTD APRIL 2023

      Number of BIA passengers up by 26.90% annually YTD APRIL 2023

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      • CES 2017
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      Oman’s health ministry expected to award construction contract for two health centres in Q3

      Oman’s health ministry expected to award construction contract for two health centres in Q3

      Properties sold in May 2023 jump 114.6%, says Qatar’s PSA

      Properties sold in May 2023 jump 114.6%, says Qatar’s PSA

      Oman releases more Sultan Haitham City details

      Oman releases more Sultan Haitham City details

      Construction activity in Saudi Arabia reaches highest level in years: Survey

      Construction activity in Saudi Arabia reaches highest level in years: Survey

      Oman gears up for its first smart city

      Oman gears up for its first smart city

      Saudi real estate ‘booming’ on big office space demand

      Saudi real estate ‘booming’ on big office space demand

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        NEOM’s green hydrogen project is formally under execution: ACWA Power

        NEOM’s green hydrogen project is formally under execution: ACWA Power

        Ministry of Petroleum announces $9B investment towards oil refining and petrochemical projects

        Ministry of Petroleum announces $9B investment towards oil refining and petrochemical projects

        Oman’s huge renewable hydrogen potential can bring multiple benefits in its journey to net zero emissions

        Oman’s huge renewable hydrogen potential can bring multiple benefits in its journey to net zero emissions

        UN-HABITAT partners with LCEC, expanding efforts to provide responsible renewable energy solutions in Lebanon

        UN-HABITAT partners with LCEC, expanding efforts to provide responsible renewable energy solutions in Lebanon

        Clean energy technology manufacturing market to reach $790bln by 2030: IEA

        Clean energy technology manufacturing market to reach $790bln by 2030: IEA

        Total-led consortium to start drilling offshore Lebanon in September

        Total-led consortium to start drilling offshore Lebanon in September

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        • Hospitality
          Qatar: Over 700 hotel keys added in Q1

          Qatar: Over 700 hotel keys added in Q1

          Jordan’s tourism income surges 88% as visitors flock to the country

          Jordan’s tourism income surges 88% as visitors flock to the country

          Dubai’s hotel stock hits 150,000 keys as tourist influx from India, Russia, Oman buoys hospitality sector

          Dubai’s hotel stock hits 150,000 keys as tourist influx from India, Russia, Oman buoys hospitality sector

          Leisure sector in Qatar stronger after World Cup 2022

          Leisure sector in Qatar stronger after World Cup 2022

          Qatar has ‘solid’ line-up of infrastructure, hospitality projects to prepare for large influx of visitors in 2022: OBG

          Qatar has ‘solid’ line-up of infrastructure, hospitality projects to prepare for large influx of visitors in 2022: OBG

          Saudi to be among world’s big leisure tourism hubs by 2030

          Saudi to be among world’s big leisure tourism hubs by 2030

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        • Agrofood
          • All
          • Agriculture
          • Environment
          • Food
          Saudi Arabia’s agricultural GDP grew 38% to $26.6bn in 2022

          Saudi Arabia’s agricultural GDP grew 38% to $26.6bn in 2022

          Arab states imported 1.73 million agricultural commodities from Egypt

          Arab states imported 1.73 million agricultural commodities from Egypt

          Wheat yield boom boosts Oman’s food security

          Wheat yield boom boosts Oman’s food security

          Saudi Arabia seeks $20 bln investment in food industry, aims to double exports

          Saudi Arabia seeks $20 bln investment in food industry, aims to double exports

          Saudi Arabia’s ambitions for food production advancement supported by ICRISAT-FAO partnership

          Saudi Arabia’s ambitions for food production advancement supported by ICRISAT-FAO partnership

          Egypt’s agriculture exports rise 17.2 percent in 5 months

          Egypt’s agriculture exports rise 17.2 percent in 5 months

          Trending Tags

          • Business & Economy
            • All
            • Business
            • Economy
            • Finance
            • Industry
            • Technology
            • Trade
            • Transport & Logistics
            Saudi: 53 new industrial licenses issued in April 2023

            Saudi: 53 new industrial licenses issued in April 2023

            Qatar’s non-oil sector maintains growth as PMI hits 53.8 in June

            Qatar’s non-oil sector maintains growth as PMI hits 53.8 in June

            Saudi transport authority approves 15 licensing, technical guides for railways

            Saudi transport authority approves 15 licensing, technical guides for railways

            Number of industrial decisions up by 10.56% to 356 in 2021

            Number of industrial decisions up by 10.56% to 356 in 2021

            Egypt’s macroeconomic conditions improving, says minister

            Egypt’s macroeconomic conditions improving, says minister

            Number of BIA passengers up by 26.90% annually YTD APRIL 2023

            Number of BIA passengers up by 26.90% annually YTD APRIL 2023

            Trending Tags

            • CES 2017
            • Election Results
            • eSports
          • Construction
            • All
            • Infrastructure
            • Real Estate
            Oman’s health ministry expected to award construction contract for two health centres in Q3

            Oman’s health ministry expected to award construction contract for two health centres in Q3

            Properties sold in May 2023 jump 114.6%, says Qatar’s PSA

            Properties sold in May 2023 jump 114.6%, says Qatar’s PSA

            Oman releases more Sultan Haitham City details

            Oman releases more Sultan Haitham City details

            Construction activity in Saudi Arabia reaches highest level in years: Survey

            Construction activity in Saudi Arabia reaches highest level in years: Survey

            Oman gears up for its first smart city

            Oman gears up for its first smart city

            Saudi real estate ‘booming’ on big office space demand

            Saudi real estate ‘booming’ on big office space demand

            Trending Tags

            • Energy
              • All
              • Oil & Gas
              • Power & Electricity
              • Renewable Energy
              NEOM’s green hydrogen project is formally under execution: ACWA Power

              NEOM’s green hydrogen project is formally under execution: ACWA Power

              Ministry of Petroleum announces $9B investment towards oil refining and petrochemical projects

              Ministry of Petroleum announces $9B investment towards oil refining and petrochemical projects

              Oman’s huge renewable hydrogen potential can bring multiple benefits in its journey to net zero emissions

              Oman’s huge renewable hydrogen potential can bring multiple benefits in its journey to net zero emissions

              UN-HABITAT partners with LCEC, expanding efforts to provide responsible renewable energy solutions in Lebanon

              UN-HABITAT partners with LCEC, expanding efforts to provide responsible renewable energy solutions in Lebanon

              Clean energy technology manufacturing market to reach $790bln by 2030: IEA

              Clean energy technology manufacturing market to reach $790bln by 2030: IEA

              Total-led consortium to start drilling offshore Lebanon in September

              Total-led consortium to start drilling offshore Lebanon in September

              Trending Tags

              • Hospitality
                Qatar: Over 700 hotel keys added in Q1

                Qatar: Over 700 hotel keys added in Q1

                Jordan’s tourism income surges 88% as visitors flock to the country

                Jordan’s tourism income surges 88% as visitors flock to the country

                Dubai’s hotel stock hits 150,000 keys as tourist influx from India, Russia, Oman buoys hospitality sector

                Dubai’s hotel stock hits 150,000 keys as tourist influx from India, Russia, Oman buoys hospitality sector

                Leisure sector in Qatar stronger after World Cup 2022

                Leisure sector in Qatar stronger after World Cup 2022

                Qatar has ‘solid’ line-up of infrastructure, hospitality projects to prepare for large influx of visitors in 2022: OBG

                Qatar has ‘solid’ line-up of infrastructure, hospitality projects to prepare for large influx of visitors in 2022: OBG

                Saudi to be among world’s big leisure tourism hubs by 2030

                Saudi to be among world’s big leisure tourism hubs by 2030

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              Egypt looks for long-term payoff on the New Suez Canal

              Oxford Business Group

              August 27, 2015
              in Economy, Infrastructure
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              The expansion of Egypt’s strategically vital Suez Canal, completed in early August, could be a significant step towards solidifying its position as a logistics and trade center, leveraging its location astride major East-West shipping routes.

              The goal of boosting traffic on the 163-km long canal – a key source of government revenue and hard currency – is increasingly important as the country looks to reduce its budget deficit, bolster the Egyptian pound and maintain its import cover.

              Grand opening
              On August 6, Egypt opened an $8bn extension of the Suez Canal, on schedule after 12 months of construction. The “New Suez Canal” includes 35 km of new channels constructed in the desert, as well as a 37-km stretch where the existing canal was enlarged to accommodate larger ships.

              “The Suez Canal enlargement is a massive plan and will be beneficial for shipping lanes, generating more capacity,” Klaus Laursen, managing director of the Suez Canal Container Terminal, told OBG. “Having a second parallel waterway will help vessels avoid stopping and ease traffic overall, as vessels could only go in one direction before.”

              The expansion is also expected to yield financial dividends. According to the state-run Suez Canal Authority, revenue from the canal is forecast to more than double in under a decade, from $5.3bn last year to $13.2bn by 2023. These projections are based on an average of 97 ships passing through the canal per day, up from 49 before the expansion.

              These improvements are due in large part to the greater efficiencies achieved by the project; south-bound navigation now takes 11 hours, down from 18 before the build.

              Home-grown
              The new canal is seen as a policy cornerstone of the administration of President Abdel Fattah El Sisi, which has been keen to highlight the domestic support for the project. The $8bn in funding was raised entirely from local investors through donations and the sale of investment certificates, with shares starting from as little as LE10 ($1.28), according to local press.

              In addition, the Egyptian army oversaw the build-out, though six foreign contractors carried out much of the work, with crews operating day and night to complete many sections of the expansion.

              Anticipating growth
              Despite the accelerated pace of construction, it may take time before the canal sees the revenue boost authorities predict without significant increases in canal fees – which could impact the competitiveness of the Suez.

              Global trade growth has been sluggish in recent years, and the Suez Canal has not kept pace with increases in global trade since 2011. While global trade volumes increased by an average of 2.9% per annum in the three years to 2014, Suez Canal revenues grew by just 2%, William Jackson, an emerging markets economist at UK-based Capital Economics, told international media.

              Based on the government’s revenue targets, world trade would need to grow by around 9% per year through to 2023, triple the average of the last four years, Jackson explained. With the slowdown of China’s economy more apparent in recent weeks, the prospect of such robust trade growth seems unlikely.

              Related infrastructure
              Against this backdrop, the expansion is likely to be more significant in terms of further bolstering Egypt’s status as a trade and logistics center.

              In March the government unveiled a new strategy to capitalize on added benefits of the expanded canal, identifying several strategic objectives, including better domestic connectivity and intermodality, and infrastructure upgrades with private sector participation.

              Priority has been given to transport infrastructure improvements in particular, ranging from roads and railways to dry ports and container terminals.

              While roads account for 97% of freight transport in the country, according to the Ministry of Transportation, Egypt is looking to expand rail capacity both for cargo and passenger traffic, with $6.4bn worth of planned rail and dry port projects.

              Maritime upgrades also top the agenda, with the pipeline of port development projects reaching a combined $1.9bn, including new general cargo and container terminals in East Port Said ($990m), general cargo terminals in Damietta ($150m) and Safaga ($250m), and a universal port project in Ain Sokhna ($500m), to include terminals for liquid bulk, general cargo, dry port and containers.

              Adding value
              These projects go hand-in-hand with efforts to develop manufacturing activity and industrial zones around the Suez Canal, which could create the necessary added value to justify higher transit fees.

              While 8-10% of global sea trade passes through the Suez Canal, transit fees average between $150 and $200 per container, compared to $2000-3000 in European ports, due to a lack of associated services, according to the International Quality and Productivity Centre (IQPC), an industry-focused research and events company.

              The large-scale Suez Canal Zone (SCZone) development project, which is targeting $68bn-100bn in investments through to 2023, aims to promote the development of related service industries in cities near the Suez Canal.

              In addition to developing the necessary logistics infrastructure, the third phase of SCZone plans to create a technology valley centered on Ismailia, with dedicated R&D clusters and ICT business parks.

              Regional neighbors like Saudi Arabia, Kuwait and the UAE are helping to finance the project, and a number of companies from the UK, Europe and China have already expressed interest, according to the IQPC.
              Oxford Business Group
              27 August

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