Latest news with #GAFTA
See - Sada Elbalad
10 hours ago
- Business
- See - Sada Elbalad
"Exploring the Uncharted Waters: Malaysian Palm Oil's Silent Entry into Egypt's Market Despite Strong Demand"
Mohamed Wadie By: SEE Editor-in-Chief Mohamed Wadie Malaysian palm oil, despite being a major global commodity and a key export product to Egypt, has not yet fully "gone public" or established a dominant direct presence in the Egyptian market in terms of local production or investment. Several factors explain this situation, rooted in economic, geopolitical, trade, and strategic considerations. Economic and Market Dynamics Egypt is a significant importer of palm oil, consuming about 1.2 million tonnes annually, with Malaysian palm oil accounting for over half of these imports. Palm oil is essential for Egyptian consumers due to its cost-effectiveness and wide use in cooking and processed foods, especially given Egypt's low consumer purchasing power amid high inflation. Despite this strong demand, Malaysian palm oil mainly enters Egypt as an imported commodity rather than through local production or public market presence. Trade Agreements and Market Access Currently, Malaysia and Egypt are negotiating a Free Trade Agreement (FTA) that aims to strengthen bilateral trade, with palm oil as a key pillar. Egypt already participates in several multilateral trade agreements such as GAFTA, AfCFTA, and COMESA, facilitating regional trade but also complicating direct Malaysian market entry strategies due to existing trade frameworks. These agreements offer opportunities for Malaysian palm oil to expand regionally via Egypt as a hub but do not yet translate into Malaysian palm oil companies going public or establishing major local operations in Egypt. Geopolitical and Regional Risks Regional geopolitical tensions, such as the conflict in Gaza and disruptions in the Red Sea, pose risks to trade flows but have not significantly deterred Malaysian palm oil exports to Egypt, which remain resilient. However, these risks may contribute to cautious investment approaches by Malaysian companies in establishing local public enterprises or manufacturing bases in Egypt. Investment and Collaboration Opportunities There is growing interest from Malaysian companies to invest in Egypt's palm oil sector, leveraging Egypt's strategic location and trade advantages like customs exemptions under AfCFTA. Discussions have involved Malaysian firms exploring joint ventures, technology transfer, and establishing refining or manufacturing facilities in Egypt to serve both local and regional markets. The Egyptian government supports such moves, offering investment incentives and aiming to develop Egypt as a regional hub for palm oil processing and re-export. However, these initiatives are still in exploratory or early stages, which explains why Malaysian palm oil has not yet "gone public" in the Egyptian market. Strategic Industry Considerations Malaysia's palm oil industry is focused on sustainability, certification (MSPO), and compliance with international environmental standards to maintain global market access. The Malaysian Palm Oil Council (MPOC) actively promotes Malaysian palm oil in Egypt through forums and regional offices, aiming to build trust and long-term partnerships rather than immediate public market entry. The industry strategy includes expanding into new markets in Africa and the Middle East while maintaining quality and sustainability credentials. Malaysian palm oil does not yet "go public" in the Egyptian market primarily because - The current trade relationship is heavily import-based rather than investment-based, with Malaysian palm oil entering Egypt mainly as a commodity. - Ongoing negotiations for a Free Trade Agreement and investment discussions indicate future potential but have not yet resulted in Malaysian companies establishing public entities or manufacturing bases in Egypt. - Geopolitical risks and regional instability encourage cautious investment. - Malaysia's strategic focus remains on sustainability, certification, and market diversification, with Egypt serving as a key import market and potential regional hub rather than a site for Malaysian public listings or local production. - Egypt's participation in multiple regional trade agreements creates a complex trade environment that Malaysian companies are navigating carefully. In conclusion, while Malaysian palm oil is a crucial import for Egypt and bilateral cooperation is deepening, the absence of Malaysian palm oil "going public" in Egypt reflects a strategic, economic, and geopolitical balancing act. The future may see greater Malaysian investment and local presence as trade agreements mature and market conditions stabilize, but for now, the relationship centers on trade and strategic partnership rather than public market entry. SeeNews Editor-in-Chief Mohamed Wadie during a visit to a palm oil farm in Malaysia Mr. Mohamed Wadie, Editor-in-Chief of Sada ElBalad English website (SEE) read more Analysis- Turkey Has 0 Regional Allies... Why? Analysis: Russia, Turkey... Libya in Return For Syria? Analysis: Who Will Gain Trump's Peace Plan Fruits? Analysis: Will Turkey's Erdogan Resort to Snap Election? Analysis: What Are Turkey's Aspirations in Iraq? Opinion & Analysis Analysis: Mercenaries In Libya... Who Should Be Blamed? 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See - Sada Elbalad
4 days ago
- Business
- See - Sada Elbalad
Arab League Holds Workshop on Liberalisation of Financial Services Sector
Mohamed Mandour As part of its commitment to keeping pace with international trade developments that contribute to advancing Arab economic integration within the framework of the Greater Arab Free Trade Area (GAFTA), the General Secretariat of the League of Arab States is organising a workshop on "Liberalisation of the Financial Services Sector and Opportunities to Benefit from the Agreement on the Liberalisation of Trade in Services among Arab Countries," from 22 to 25 June in the Kingdom of Bahrain. The workshop is being held in cooperation and coordination with the Ministry of Industry and Commerce of the Kingdom of Bahrain and forms part of ongoing collaboration with the International Islamic Trade Finance Corporation (ITFC) under the second phase of the Aid for Trade Initiative for Arab States (AFTIAS 2.0), specifically the project entitled "Supporting the Advancement of the Arab Economic Integration System." His Excellency Ambassador Dr. Ali bin Ibrahim Al-Maliki, Assistant Secretary-General and head of the Economic Affairs Sector, stated that the workshop aligns with the General Secretariat's vision of enhancing Arab coordination and cooperation across all service sectors that support an improved business climate and foster a more integrated and competitive regional economic environment. He said that liberalising this strategic sector would unlock new opportunities for joint Arab investment and significantly contribute to the development goals of member states. The Agreement on the Liberalisation of Trade in Services, which entered into force on 14 October 2019, marks a pivotal step in this direction. Ambassador Al-Maliki underscored the need for concerted efforts to activate and effectively implement the agreement's provisions in a sustainable and impactful manner. The workshop aims to provide policymakers from Arab countries with insights into the development of the financial and insurance sectors across the region, as well as highlight best national legislative practices in these fields. It also showcases the contributions of international and regional organisations to the modernisation of these sectors and examine how Arab trade agreements can be leveraged to enhance the business environment, thereby improving performance indicators and aligning with global trends. Officials and experts from Arab countries that are members of the Greater Arab Free Trade Area will participate in the workshop to exchange knowledge and experiences, explore best practices, and strengthen collaboration in the financial services sector, with the objective of maximising the benefits of regional integration efforts. read more Gold prices rise, 21 Karat at EGP 3685 NATO's Role in Israeli-Palestinian Conflict US Expresses 'Strong Opposition' to New Turkish Military Operation in Syria Shoukry Meets Director-General of FAO Lavrov: confrontation bet. nuclear powers must be avoided News Iran Summons French Ambassador over Foreign Minister Remarks News Aboul Gheit Condemns Israeli Escalation in West Bank News Greek PM: Athens Plays Key Role in Improving Energy Security in Region News One Person Injured in Explosion at Ukrainian Embassy in Madrid News China Launches Largest Ever Aircraft Carrier Sports Former Al Zamalek Player Ibrahim Shika Passes away after Long Battle with Cancer Lifestyle Get to Know 2025 Eid Al Adha Prayer Times in Egypt Videos & Features Tragedy Overshadows MC Alger Championship Celebration: One Fan Dead, 11 Injured After Stadium Fall Business Fear & Greed Index Plummets to Lowest Level Ever Recorded amid Global Trade War Arts & Culture Zahi Hawass: Claims of Columns Beneath the Pyramid of Khafre Are Lies News Flights suspended at Port Sudan Airport after Drone Attacks Videos & Features Video: Trending Lifestyle TikToker Valeria Márquez Shot Dead during Live Stream News Shell Unveils Cost-Cutting, LNG Growth Plan Technology 50-Year Soviet Spacecraft 'Kosmos 482' Crashes into Indian Ocean
Observer
17-05-2025
- Business
- Observer
Arab Economic Summit discusses food security
BAGHDAD: HH Sayyid Shihab bin Tarik al Said, Deputy Prime Minister for Defence Affairs, headed the Sultanate of Oman's delegation to the Fifth Arab Economic and Social Development Summit, which began on Saturday in the Iraqi capital, Baghdad with the participation of a number of heads of states and governments. The summit discussed the Arab food security file, developments in the Greater Arab Free Trade Area (GAFTA) and the completion of requirements for establishing the Arab Customs Union. The summit also discussed the executive plan for the Arab Water Security Strategy in the Arab region to address future challenges and requirements for sustainable development. The summit also reviewed the strategic framework and executive action plan for the Regional Programme for the Economic and Social Empowerment of Arab Women, among other issues. The Sultanate of Oman's delegation accompanying HH Sayyid Shihab comprises: Sayyid Badr bin Hamad al Busaidy, Foreign Minister; Dr Abdullah bin Mohammed al Saeedi, Minister of Justice and Legal Affairs; Dr Said bin Mohammed al Saqri, Minister of Economy; Abdullah bin Nassir al Rahbi, Ambassador of the Sultanate of Oman to Egypt and its Permanent Representative to the Arab League and the Charge D'affaires of Oman's Embassy in Iraq. — ONA
Zawya
12-05-2025
- Business
- Zawya
Jordan's exports to GAFTA countries rise by 12.2% by end of February
AMMAN — National exports to the Greater Arab Free Trade Area (GAFTA) countries grew by 12.2 per cent by the end of February 2025, reaching JD515 million, compared to JD459 million for the same period last year. Meanwhile, the Kingdom's imports from the GAFTA nations increased by 4.2 per cent for the same period, recording JD863 million, compared to JD828 million last year, the Jordan News Agency, Petra, reported. Foreign trade data from the Department of Statistics (DoS) showed a decline in the Kingdom's trade deficit with the GAFTA countries for the same period, reaching JD348 million, compared to JD369 million against last year. According to statistical figures, the volume of Jordan-GAFTA trade for the same period stood at JD1.378 billion, compared to the same period last year, when it stood at JD1.287 billion. Saudi Arabia accounted for the largest share of national exports to these countries by the end of February of 2025, amounting to some JD141 million, marking an increase of 6.8 per cent, while Iraq followed with JD136 million, constituting an increase of 15.3 per cent. National exports also witnessed "significant" growth with Syria, reaching JD35 million, marking an increase of 483.3 per cent. Also, Saudi Arabia topped exporters to Jordan, as the Kingdom's imports from Saudi Arabia amounted to JD519 million, which brings Jordan's trade deficit with Saudi Arabia to JD378 million at the end of February of 2025. Jordanian exports to GAFTA countries are mainly fertilisers, medicines, agricultural fresh and frozen products, skin care products, food preparations, furniture, fabrics, and garments. Meanwhile, the Kingdom's imports are primarily crude oil and its derivatives, jewellery, food products, plastic items, titanium dioxide, polyethylene, polystyrene, and iron. © Copyright The Jordan Times. All rights reserved. Provided by SyndiGate Media Inc. (
Jordan News
11-05-2025
- Business
- Jordan News
Jordan's Exports to Greater Arab Free Trade Area Reach JD 515 Million by End of February - Jordan News
Jordan's national exports to countries within the Greater Arab Free Trade Area (GAFTA) grew by 12.2% in the first two months of 2025, reaching JD 515 million, compared to JD 459 million during the same period last year. اضافة اعلان Meanwhile, imports from GAFTA countries rose by 4.2%, totaling JD 863 million by the end of February 2025, up from JD 828 million during the same timeframe in 2024, according to data from the Department of Statistics. As a result, Jordan's trade deficit with GAFTA countries declined to JD 348 million, down from JD 369 million in the same period last year. The total trade volume between Jordan and GAFTA countries increased to JD 1.378 billion, compared to JD 1.287 billion a year earlier. Saudi Arabia remained Jordan's top export destination within GAFTA, accounting for JD 141 million in exports (up 6.8%), followed by Iraq with JD 136 million (up 15.3%). Exports to Syria saw a remarkable jump, reaching JD 35 million, an increase of 483.3%. On the import side, Saudi Arabia was also Jordan's top supplier, with imports valued at JD 519 million, resulting in a trade deficit of JD 378 million with the Kingdom by the end of February. Jordan's key exports to GAFTA countries include fertilizers, pharmaceuticals, agricultural products (fresh/frozen fruits and vegetables), salts, skincare products, processed foods, furniture, textiles, clothing, and paints. Main imports from GAFTA states consist of crude oil and derivatives, jewelry, food products, plastic sheets and films, titanium oxide, polyethylene, polystyrene, and iron and steel products, among others. GAFTA, established in January 2005, is a regional economic bloc aimed at fostering economic integration and low-tariff trade among Arab nations. It currently includes 18 member states.
