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CHAMPION OF THE DAY
Industrial permits down 14 percent
Industrial permits issued by the Ministry of Industry (MoI) reached 304 licenses in the first half of 2016, a decrease of 14 percent compared to the same period last year.
Licenses issued to semi-light industries, such as food industry factories, reached 116 licenses, while 109 licenses were issued to ‘light’ category industries, such as textile factories.
Ziad Bekdache, Vice Chairman of the Association of Lebanese Industrialists, said: “It is normal that investors are not encouraged to invest in industry, because industrial exports dropped around 35 percent in the past four years.”
He said that the number of licenses increased in the previous years because some Syrians gained industrial licenses under Lebanese names.
About 86 licenses were issued to the food industry, followed by 46 licenses for construction material industries, and 34 for chemical industries.
Mounir Bissat, Secretary General of Syndicate of Lebanese Food Industries, said: “The food industrial sector is performing better than other sectors, because companies rely on local consumption. Companies are participating in international exhibitions and are able to market part of their produce abroad.”
Bekdache said that construction material factories are preparing themselves to rebuild Syria.
The Mount Lebanon Governorate received the highest share of licenses, 46 percent, mostly distributed in Metn. This was followed by Bekaa, 26 percent, and the North, 12 percent.
The industrial zones that gained most licenses were Choueifat, nine licenses, Taanayel, six licenses, and Hauch El Omara, Zahleh, six licenses.
Bekdache said that establishing industrial cities in rural regions and enhancing the roads would encourage investors to fund industrial projects there.
Ninety licenses were issued for the establishment of new factories. Food industries and construction account for 42 of these. According to Bekdache, this number is very low.
“We are seeing more expansion plans for available factories who know the market well. New comers are scared from the economic situation,” he said.
Reported by Rania Ghanem
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Sep 21, 2016
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