Qatar: Government strategies aim to enhance industrial sector by boosting SMEs
Qatar has unveiled several key initiatives in the industrial sector in recent years, aimed at diversifying the economy, promoting sustainability, and fostering growth in line with the National Vision 2030.
The Ministry of Commerce and Industry (MoCI) introduced Qatar's National Manufacturing Strategy, emphasising sustainable development, economic diversification, and the promotion of small and medium-sized enterprise (SME) growth, all aligned with the goals of the National Vision 2030. This strategy aims to position Qatar as a global hub for manufacturing excellence, contributing to the nation's long-term economic goals.
Qatar introduced various incentives to attract both domestic and foreign investments in the industrial sector. These incentives include tax exemptions, financial support, and facilitation of land access for industrial projects, encouraging companies to establish and expand operations in Qatar.
Qatar has been investing in the development of industrial zones, such as the Qatar Industrial Zone, to support manufacturing and other industrial activities. These zones provide infrastructure, logistical support, and regulatory frameworks designed to streamline the growth of industries like chemicals, steel, and heavy manufacturing.
The country is also promoting the use of advanced technologies in the industrial sector, including the adoption of digitalization, automation, and smart manufacturing processes. These technologies are aimed at increasing productivity, enhancing competitiveness, and driving innovation across industries.
These initiatives are aligned with Qatar's goal to diversify its economy away from oil and gas dependence and to establish a robust and competitive industrial sector that contributes to economic stability and growth.
However, a recent data by ValuStrat shows that in the fourth quarter of 2024, the industrial sector experienced some adjustments, with rents for ambient warehouses and temperature-controlled facilities dropping by 7 percent and 1.2 percent quarter-over-quarter, respectively.
According to the latest NPC data, the Industrial Production Index (IPI) with a base year of 2018=100, was recorded at 103.6 points. The foreign merchandise trade surplus reached a total of QR17.7bn, reflecting a significant positive balance in the country's trade of goods with international markets during the reported period.
Over the course of the year, a total of 1,461 new industrial firms were established, contributing to an overall production value that exceeded QR2.6 trillion. This achievement represents a 3 percent year-on-year increase, highlighting the growth and expansion of the industrial sector.
Qatar Maritime reported 261 vessel callings in December across Hamad, Doha, and Ruwais ports, marking a notable 17% year-on-year increase in port activity. Through out the year, more than 2,500 ships docked at these three ports, collectively handling over 1.3 million TEUs (Twenty-foot Equivalent Units) of container cargo, showcasing a strong performance in maritime trade.
On the real estate front, the monthly median asking rent for ambient warehouses dropped by 7 percent quarter-over-quarter, settling at QAR 34.4 per square meter, which represents a 9.1% decrease compared to the previous year. Similarly, the monthly median rent for cold storage facilities saw a slight decline of 1.2 percent on a quarterly basis but experienced a 1.1 percent increase on a yearly basis, reaching QR42.7 per square meter.
© Dar Al Sharq Press, Printing and Distribution. All Rights Reserved. Provided by SyndiGate Media Inc. (Syndigate.info).
The Peninsula Newspaper
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