...a country's imports and exports merchandise Trade is at the heart of the growing links between Saudi Arabia and China, which centre on the crude oil and petrochemicals industries China mainly exports to Saudi Arabia textile, clothing, light industry products, food like grain etc. It imports from Saudi Arabia crude oil, chemical fertilizer and petro-chemical raw materials the import trends between china and Saudi Arabia in the recent years (2012,2013,2014) is while there was a decline in the imports of goods from Saudi Arabia in 012 and 013, the was a general rise in 2014 placing Saudi Arabia as the 10th largest import market for china (2.5% of china’s imports) Exports trend: increased exports from 2012 to 2014, in 2012 at $18.5, in 2023 at $18.7 and at $20.6 in 2014 placing Saudi Arabia as one of the largest export markets for china. In the recent years, the bilateral trade volume of sino-saudi has achieved steady growth since the establishment of diplomatic relations while the trade balance is reducing in comparision to the China views Saudi Arabia with great importance for several reasons: (a) Saudi’s history as a reliable partner with all of its customers (b) saudi is the world’s largest petroleum exporter with capacity of 12 million barrels per day; (c) vast amount of oil which China desires, 17 percent of the world’s proven oil reserves are located in the Saudi Arabia (d) Saudi Arabia has the largest...
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...Saudi Arabia Its officially known as the Kingdom of Saudi Arabia, is an Arab state in western Asia Saudi Arabia is the worlds largest oil producer and largest exporter and controls the worlds largest hydrocarbon reserves. Saudi Arabia is a member of Organization of the petroleum exporting countries(OPEC). Saudi Arabia's command economy is petroleum based roughly 75% of budget revenues and 90% of export earnings come from the oil industry. GDP-$648.971billion Trade relations between China and Saudi Arabia China's main exports to Saudi Arabia: automobiles, electronic goods , industrial machinery etc. China main imports from Saudi Arabia: crude oil, liquefied petroleum gas and primary plastics. In 2014 ,Saudi was the 20th and 10th export and import market respectively for China (0.9% of China exports and 2.5% of China imports)..the bilateral trade was $69.1bn and trade balance -$27.9bn Bilateral trade is the exchange of goods and services between countries. Trade balance is the difference between the monetary value of exports and imports of output in an economy over a period of time. China has also undertaken several energy exploration agreement with the Saudi Arabia's government winning the right to explore e.g. in Saudi Arabia's al-khali basin Saudi Arabia agreed to help China develop strategic petroleum reserves and to modernize downstream refining capacity e.g. deal to construct a refinery for natural gas in Fujian province Saudi Arabia is involved in...
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...Saudi Arabia has maintained a trade surplus since 1967 (when its trade statistics were first compiled in their current form). As the kingdom generates a majority of its revenue from petroleum exports, this surplus tends to rise and fall with the price and production of oil. After the oil embargo of 1973, when oil prices were high, the king-dom's trade surplus rose, increasing steadily until 1978. This trend continued after the Iranian revolution of 1979 when oil prices rose to new levels. Between 1978 and 1981 Saudi Arabia's trade surplus doubled, reaching a peak of US$82.5 billion. Trade (expressed in billions of US$): Saudi Arabia Exports Imports 1975 29.682 4.213 1980 109.083 30.166 1985 27.481 23.622 1990 44.417 24.069 1995 50.040 28.091 1998 N/A N/A SOURCE: International Monetary Fund. International Financial Statistics Yearbook 1999. The surplus declined steadily throughout the 1980s as export volume diminished and oil prices fell. By 1985, the balance of trade had fallen to just US$7 billion. In 1990, Iraq invaded Kuwait, prompting the United Nations to place an embargo on Iraqi oil. The cut in supply sent prices back up, and as Saudi Arabia heightened production to meet world demand (from 5.1 million b/d in 1989 to 8.2 million b/d in 1991), export revenues increased and the trade surplus rose once again. In 1996, export revenues exceeded import expenditures by US$35.3 billion. In 1998, the world economy slowed. At the...
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...STUDY: SAUDI ARABIA Compiled by: Directorate International Trade Sub-directorate: Europe, Russia and Middle East Department of Agriculture, Forestry and Fisheries March 2010 Authors: Mr Gert van Rensburg (GertVR@daff.gov.za) and Ms Joyce Letswalo (JoyceLe@daff.gov.za) Disclaimer The Department of Agriculture, Forestry and Fisheries take no responsibility for any action taken from this study. This is a desktop study and own research must be undertaken, before decisions is made based on this study. SUMMARY1 This country market study of Saudi Arabia examines the trade flows between South Africa (SA) and Saudi Arabia. The major objective of the study is to identify agricultural products that have the potential to be exported to Saudi Arabia. First the study gives a historical background about Saudi Arabia, looks at some country facts, give an economic overview and look at the regional and international relations of Saudi Arabia. Then it examines the trade policy of Saudi Arabia, looks at bilateral agreements between SA and Saudi Arabia and at total trade between these two countries. From here on there is focused on agricultural trade, inter alia taking into account the following: the most important products imported and exported and the trade balance. An analysis is done to determine posible exports to Saudi Arabia. Finally it looks at some trade barriers and a conclusion and some comments are made on trade with Saudi Arabia. The Kingdom of Saudi Arabia (Saudi Arabia) is a Middle...
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...Week 5 – Country Analysis Saudi Arabia Describe The Economy A: Identify Type: predominantly agricultural, industrial, or service? Give Percentages The predominant industry in Saudi Arabia is Oil Exportation which is Agricultural/Service based. Saudi Arabia ranks as the global leader in petroleum exporting, it currently possesses 18% of the world’s petroleum reserves. The petroleum sector accounts for roughly 80% of budget revenues, 45% of GDP, and 90% of export earnings. B: Describe major products/services produced, exported, imported Profucts/Services Produced: Remains largely dependent on the production and export of oil. Saudi Arabia produces more oil and natural gas liquids than any other country in the world, more than 9 million barrels per day. Imports: Increasing demands for consumer goods in Saudi Arabia have driven up overall imports a trend that is expected to continue for the foreseeable future.. The largest categories of imported goods are machinery and vehicles, which make up more than 50 percent of all imports, as well as appliances, electrical equipment, sound and television apparatus, aircraft, and cars. In addition, the United States is Saudi Arabia’s leading source of imports for military equipment, machinery, foodstuffs, and transport equipment. The European countries, including Germany, France, and Britain, are other leading suppliers. Exports: Roughly 90 percent of Saudi exports are related to oil also including petrochemicals, plastics, construction...
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...Historical, Current state of the issue and Emergence of Saudi Arabia as free market Historical Saudi Arabia is a total monarchy ruled by King Abdallah bin Abdul Aziz Al Saud. Saudi Arabia has appeared to be satisfied with advance in economic. As a primary for oil producer and exporter, Saudi Arabia controls the whole Organization of Petroleum Exporting Countries. Saudi Arabia’s free market economy has incredible changes in a relatively short term of time. I t has grown from agricultural base community into the regional and global economic power with a modern infrastructure. Petroleum is a fundamental part of the Saudi Arabia’s economy comprising 45 percent of the country’s GDP. Saudi Arabia is the world’s largest producer and exporter of oil, accounting for 20 percent of the oil reserves. GDP in 2010 was estimated at USD622BN ( USD 24,200 per capita). GDP growth in 2010 was 3.7%. Petroleum is an integral part of the Saudi economy comprising 45 percent of the country’s GDP. Saudi Arabia is the world’s largest producer and exporter of oil, accounting for 20 percent of the world’s oil reserves. GDP in 2010 was estimated at USD622 BN (USD 24,200 per capita). GDP growth in 2010 was 3.7% Saudi Arabia was first graded in the 1996 Index, and its economic freedom score has declined since then by 6.1 points. Rating gains in trade freedom, investment freedom, and the management of government spending have been overwhelmed by substantial double-digit declines in property rights, freedom...
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...Rosalia Cochon October 17, 2014 Saudi Arabia Oil Sales to US Imperiled by Shale Boom Analytical Essay After years of keeping the price, of crude oil sold to the United States, low enough to maintain market share, Saudi Arabia is at a disadvantage as the shale gas leaves American refiners with abundant supplies of inexpensive domestic oil. This article, published on Bloomberg Business Weekly on September 28, 2014, describes the changes in Saudi´s oil market now that the US turns to lower-priced domestic oil. Saudi´s imports are being pushed back by domestic production, rising to 65% in the past five years due to technological advancements in hydraulic fraking in part of the US. Saudi´s sales to Asia will become crucial moving forward, as demand for crude in the region is expected to rise 44% through 2035, while demand from North America shrinks. Due to United States’ preference for domestic oil, the demand of Saudi´s crude oil is decreasing. A decrease in demand implies that consumers (US) plan to purchase less of the good at each possible price since, demand is the consumer's desire and willingness to pay a price for a specific good or service at a given time and place. Therefore, the demand curve for crude oil in Saudi will shift to the left, forcing price and quantity to decrease due to the law of demand which claims that, all else equal, as the price of a good or service increases, consumer´s demand for the good or service will decrease, and vice versa. The demand curve...
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...Analysis of Saudi Arabia History of Saudi Arabia Saudi Arabia is a member of the Gulf Cooperation Council (GCC) (Bowen, 2008; Fasano and Iqbal, 2003). The country traces its origin back to the early empires of the Arabian Peninsula, which is an ancient trade centre. At present, Saudi Arabia serves a key role in the Islamic world, as it is the birthplace of Islam and the place where Mecca and Medina are located. Thus, the country frequently receives Islamic visitors during the annual Islamic Haj, as it owns the holy city of Mecca. The modern Kingdom of Saudi was established by King Abdulaziz Al-Saud, in 1932, and since then, the Kingdom has grown from a desert nation to a recent, classy state and a chief player on the global stage. Since time immemorial, Saudi Arabia has been an essential stake of the Arab world. Its huge supplies of oil and close links to America guaranteed its place, since the times of the cold war till when a wave of turbulence bust in Tunisia, during the month of January 2011, and touched the entire region. Currently, the ruling family in Saudi is experiencing a different world, anxiously. Early this month, Saudi Arabia pronounced the demise of Prince Nayef bin, who was a dedicated minister in the war against Al Qaeda and who was ignorant to change of democracy. After a few days, Prince Salman replaced him as the Crown Prince. Salman had served as a governor of Riyadh for almost 50 years ahead of his endorsement to the ministerial seat. Saudi Arabia, as the...
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...Comparative and Absolute Advantage ECO 561 Alfred Igbodipe 7/24/16 Introduction Due to the differences between the countries in its profitable fundamentals; the International Trade occurs. The contracts between the countries consider as the primary driver of the global exchange. These contracts concluded on the basis of the countries beneficial elements and advantages. Each international trade between the countries depends on numerous focal points of this exchange process. The economics and producers effectiveness measured by absolute advantage for these economics/producers. For example; if the producer needs lesser amount of contributions/inputs to provide specific product, then this producer has an absolute advantage in producing process. Comparative advantage discusses the economy/producer ability to produce a specific product with a minimum opportunity cost comparing to another producer. "There is a possibility of each nation to have an absolute advantage in producing and delivering the products; however; the different nations could in any case have distinctive comparative advantages". The international trade theory based on two dynamic concepts; "Absolute and comparative advantage". The main difference between these concepts is that the absolute advantage measure nation ability to produce more profits per unit of beneficial input than another. However; the comparative advantage measure the ability that one nation has an absolute advantage in each kind of produce. ...
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...T THE MIDDLE EAST CONFECTIONERY MARKET: OPPORTUNITIES FOR U.S. CONFECTIONERY EXPORTS Prepared by Bryant Christie Inc. for the National Confectioners Association January 30, 2009 Seattle Telephone: 206 292 6340 Sacramento Telephone: 916 492 7062 TABLE OF CONTENTS EXECUTIVE SUMMARY…………………………………………………………… ……..1 INTRODUCTION…………………………………………………………………………4 BACKGROUND ……………………………………………………………………4 METHODOLOGY ……….…………………………………………………………4 REPORT FORMAT …………………………………………………………………4 GENERAL MARKET ENVIRONMENT…………………………………………………… 5 MARKET FOR CONFECTIONERY IN THE MIDDLE EAST……………………………….7 CONSUMPTION TRENDS…………………………..………..……………………. .8 COMPETITION ..……………………………..…………………………...……………..13 MULTINATIONAL PRODUCERS…………………………………………………...14 LOCAL PRODUCERS……………………………………………………………...14 CONFECTIONERY IMPORTS….…………………………………………………...16 DISTRIBUTION……………………………………………………………………… …18 RETAIL……..……….......…………………………………………….……….…19 CONVENIENCE STORES …....……………………………………………. ……...22 HOTEL, RESTAURANT AND CAFETERIA …..……….……………………………23 COLD STORAGE….. ....…………………………………………………….. ……24 MARKET ACCESS ..………………………………………………………….…………..24 LABELING …..…………………………………………………………………..26 CONCLUSIONS……………………………..………………………….……………. ….27 APPENDICES RETAIL PRICES FOR LEADING CONFECTIONERY BRANDS U.S. AND COMPETITOR CONFECTIONERY EXPORTS TO THE MIDDLE EAST CONTACTS Middle East Confectionery Market:: Opportunities for U.S. Confectionery Exports January 30, 2009, Page 1 of 28 EXECUTIVE SUMMARY There is growing attention...
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...In Middle East, the Saudi Arabia telecom industry is the largest with over fifty million mobile phone subscribers. At the end of 2011, the mobile penetration was about 188% with the sector enjoying stable growth. Saudi Arabia is the world’s largest oil exporter with oil being its largest income earner. However, to avoid the overreliance on the oil sector, the government of Saudi Arabia has been embarking on measures to diversify the economy through investments in other sectors as well as privatization of some industries. Their efforts have been successful and the telecommunication industry have benefitted from this diversification with a good growth rate which seems to be sustainable in the future. The United Arab Emirates on the other hand has had an unstable growth rate in their telecommunication industry. This paper compares the telecommunication industries of Saudi Arabia and United Arab Emirates and shows how economic diversification has been successful in growing the non oil sectors in Saudi Arabia. In addition, recommendations will be provided on improving the telecom sector of the UAE. Introduction to Saudi Arabia and its Economic development Saudi Arabia occupies the largest part of Arabian Peninsula, it is located on a 1,960,582 sq km area most of it being a desert. Saudi Arabia hosts about twenty eight million citizens with more than 80% living in the urban areas. 90% of its citizens are Muslim Arabs (Saudi Arabia, 2001). Saudi Arabia hosts Median and Mecca...
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...Oil is most commonly found in the Middle East with Saudi Arabia producing and exporting the most oil. The highest importer is the USA as they consume the most oil for transportation. Oil has in the past caused an invasion of Iraq into Kuwait and Iran, oil puts up social barriers between people and has a very negative impact on the environment. Management strategies include offshore drilling, finding alternate sources and heavier fines for oil spills in the ocean. Oil is found all over the world in the soil. However different continents have more oil in their ground. The continent with the most oil is the Middle East with 101.2 (oil in thousand million tonnes), In Russia has 16.8 and South America has 16.7. The world’s oil reserves are located in the Middle East with 66% of the total world’s oil reserve and 9% are found in Central and South America. This shows that the distribution of the world’s oil is heavily focused in the Middle East, which means that the Middle East in particular Saudi Arabia have a rich in oil soil. Oil is one of the world’s most high demanded natural resources even though it is a non-renewable resource. In the USA transportation uses 66% of the oil consumption. As well as oil used for transport oil is used for military and defence forces, oil is used for electrical generation, plastics, solvents, heating and fertiliser. The USA imports around 65% of their oil from countries like Nigeria and Saudi Arabia; their working conditions are poor and workers don’t...
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...O R T THE MIDDLE EAST CONFECTIONERY MARKET: OPPORTUNITIES FOR U.S. CONFECTIONERY EXPORTS Prepared by Bryant Christie Inc. for the National Confectioners Association January 30, 2009 Seattle Telephone: 206 292 6340 Sacramento Telephone: 916 492 7062 TABLE OF CONTENTS EXECUTIVE SUMMARY…………………………………………………………… ……..1 INTRODUCTION…………………………………………………………………………4 BACKGROUND ……………………………………………………………………4 METHODOLOGY ……….…………………………………………………………4 REPORT FORMAT …………………………………………………………………4 GENERAL MARKET ENVIRONMENT…………………………………………………… 5 MARKET FOR CONFECTIONERY IN THE MIDDLE EAST……………………………….7 CONSUMPTION TRENDS…………………………..………..……………………. .8 COMPETITION ..……………………………..…………………………...……………..13 MULTINATIONAL PRODUCERS…………………………………………………...14 LOCAL PRODUCERS……………………………………………………………...14 CONFECTIONERY IMPORTS….…………………………………………………...16 DISTRIBUTION……………………………………………………………………… …18 RETAIL……..……….......…………………………………………….……….…19 CONVENIENCE STORES …....……………………………………………. ……...22 HOTEL, RESTAURANT AND CAFETERIA …..……….……………………………23 COLD STORAGE….. ....…………………………………………………….. ……24 MARKET ACCESS ..………………………………………………………….…………..24 LABELING …..…………………………………………………………………..26 CONCLUSIONS……………………………..………………………….……………. ….27 APPENDICES RETAIL PRICES FOR LEADING CONFECTIONERY BRANDS U.S. AND COMPETITOR CONFECTIONERY EXPORTS TO THE MIDDLE EAST CONTACTS Middle East Confectionery Market:: Opportunities for U.S. Confectionery Exports January 30, 2009, Page 1 of 28 EXECUTIVE SUMMARY There is growing attention among global...
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...Econ201 Macro-economy Spring 2013 Wesam Almadani LAG140 Table of Content Overall state of Economy in Saudi Arabia Demographic profile of Saudi Arabia GDP in Saudi Arabia CPI and Inflation Rate in Saudi Arabia Unemployment Rate in Saudi Arabia Economic problems in Saudi Arabia Economy in Saudi Arabia Saudi Arabia is the largest Arabian Country which is located in southwest Asia. It clenches the largest free market economy in the Middle East and North Africa. The geographic setting of Saudi Arabia provides an easy entrée to export the markets of Europe, Asia, and Africa. Saudi Arabia is an oil-based economy with a robust government control over the main economic activities; it approximately holds 17% of the worlds established petroleum assets. Saudi Arabia grades the largest exporter of petroleum, and plays a primary role in OPEC. The petroleum sector alone interprets for roughly 45% of GDP, 80% of budget revenues, and 90% of export earnings. The following shows the demographic profile of Saudi Arabia: Population | 26,939,583 includes 5,576,076 non-nationals | Dependency Ratio | total dependency ratio: 46.9 % youth dependency ratio: 42.6 % elderly dependency ratio: 4.2 % potential support ratio: 23.6 | Population Growth Rate | 1.51% | Net Migration Rate | -0.62 migrant(s) / 1,000 population | Urbanization | urban population: 82.3% of total population (2011) rate of urbanization: 2.38% annual rate of change...
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...Scope of the Report .................................................................................. 6 Key Growth Drivers .................................................................................. 6 Key Challenges ........................................................................................ 6 Trends .................................................................................................... 7 2. 2.1 2.2 2.3 2.4 2.5 2.6 2.7 GCC PHARMACEUTICAL INDUSTRY OVERVIEW ...................................... 8 GCC Pharmaceutical Market Overview ............................................................. 8 The UAE Pharmaceutical Market .................................................................... 11 The Saudi Arabian Pharmaceutical Market ...................................................... 13 The Kuwaiti Pharmaceutical Market ............................................................... 15 The Qatari Pharmaceutical Market ................................................................. 16 The Bahraini Pharmaceutical Market .............................................................. 17 The Omani Pharmaceutical Market ................................................................ 19 3. 4. 5. 6. 7. 8. GROWTH DRIVERS ............................................................................... 21 CHALLENGES........................................................................................ 27 TRENDS...
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