Gulf states’ strides in food industry show adverse conditions do not have final say
The GCC countries, especially the UAE and Saudi Arabia, have transformed into a regional hub for the food industry over the past two decades, an impressive enough development given the water scarcity and lack of arable land.
This reflects the quality of the economic management, which allows Gulf nations to overcome difficulties and reach for better achievements.
In the past, GCC states used to import their needs of dairy products and agricultural commodities. But, since the turn of the 21st century, they have been able to meet most of their requirements for some of these products, and have evened turned net exporters.
This remarkable development coincided with a decline in food production across many Arab countries. Though they may have had better conditions for the agri-industry, what they lacked was the sound management and the advanced infrastructure needed to encourage inward investments. This happened despite their populations having doubled over the past three decades, which, sure enough, led to a spike in demand for food commodities. What this managed to achieve was a further complication of their economic and social conditions.
This context better, reflects the sound economic policies and prudent management adopted by the GCC countries, which lacked the basic requirements to develop a food industry such as raw materials. This has led to the GCC states taking on the role of main provider of dairy and agriculture products to other Arab countries. Today, these can be seen on supermarket shelves in Sudan, Iraq, Egypt and Syria, where these goods are of higher quality and sold at competitive prices.
It was not easy to achieve this paradigm shift and which overturned earlier concepts about the impossibility to develop food industries in the GCC. But the interest in infrastructure development, including development of irrigation systems and water treatment, supported by its ambitious private sector and introduction of the latest technologies in cultivation in saline lands and water-saving have contributed to turning the previous concepts upside down and transforming the oil-rich countries into a hub for the food industry.
This reflects the quality of the economic management, which allows Gulf nations to overcome difficulties and reach for better achievements.
In the past, GCC states used to import their needs of dairy products and agricultural commodities. But, since the turn of the 21st century, they have been able to meet most of their requirements for some of these products, and have evened turned net exporters.
This remarkable development coincided with a decline in food production across many Arab countries. Though they may have had better conditions for the agri-industry, what they lacked was the sound management and the advanced infrastructure needed to encourage inward investments. This happened despite their populations having doubled over the past three decades, which, sure enough, led to a spike in demand for food commodities. What this managed to achieve was a further complication of their economic and social conditions.
This context better, reflects the sound economic policies and prudent management adopted by the GCC countries, which lacked the basic requirements to develop a food industry such as raw materials. This has led to the GCC states taking on the role of main provider of dairy and agriculture products to other Arab countries. Today, these can be seen on supermarket shelves in Sudan, Iraq, Egypt and Syria, where these goods are of higher quality and sold at competitive prices.
It was not easy to achieve this paradigm shift and which overturned earlier concepts about the impossibility to develop food industries in the GCC. But the interest in infrastructure development, including development of irrigation systems and water treatment, supported by its ambitious private sector and introduction of the latest technologies in cultivation in saline lands and water-saving have contributed to turning the previous concepts upside down and transforming the oil-rich countries into a hub for the food industry.
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