H.E Minister of Commerce and Industry: “Forum promotes bilateral trade and investment”

January 30, 2019
H.E Mr. Ali bin Ahmed Al-Kuwari, Minister of Commerce and Industry, has underlined the importance of four decades of historic and strategic Qatari-Japanese partnerships

·        H.E Minister of Commerce and Industry said Japan, with its unique economic model, is a major developed country.

·        H.E said he looked forward to further cooperation with Japan in the fields of renewable energy, advanced technology, innovation, industry, and the SME sector among other industries whose development falls in line with Qatar’s strategic economic policies including economic diversification, localization of industries, development of production capacities and the promotion of export competitiveness.

·        Japan ranks as Qatar’s first trade partner.

·        Qatari-Japanese bilateral trade grew by 22% in 2018 to 16 billion dollars.

·        Foreign direct investments increased by 4%, the equivalent of $7.8 billion to $186 billion at the end of the first quarter of 2018 from $178 billion at the end of 2017.

·        Qatar’s trade balance hit a surplus of $52.5 billion in 2018, an increase of 40% compared to 2017 while exports increased by 25%.

·        H.E Sheikh Khalifa Bin Jassim Al-Thani, Chairman of Qatar Chamber: “The Qatari private sector views Japan as a unique and attractive investment destination”.

·        The forum featured four sessions on the characteristics of the Qatari and Japanese economies and the investment opportunities in both countries.

 

H.E Mr. Ali bin Ahmed Al-Kuwari, Minister of Commerce and Industry, has underlined the importance of four decades of historic and strategic Qatari-Japanese partnerships, which he said reflect the keenness of both countries to bolster bilateral ties across various fields.

Qatar looks forward to further cooperation with Japan, a major developed country with a unique economic model, H.E said, urging collaboration in the fields of renewable energy, advanced technology, innovation, industry, and the SME sector among other fields

The development of these sectors falls in line with Qatar’s strategies economic policies, H.E explained, noting that these policies include economic diversification, the localization of industries, the development of production capacities and the promotion of export competitiveness.

H.E delivered his remarks at the opening of the Qatar-Japan Business Forum that was organized by the Ministry of Commerce and Industry and the Japan Cooperation Center for the Middle East, in cooperation with the Qatar Chamber, the Qatari Businessmen Association and Japan’s Ministry of Economy and Trade.

H.E noted that the development of trade cooperation with Japan has reflected positively on bilateral trade, which grew by 22% in 2018 to 16 billion dollars. Today, Japan ranks as Qatar’s first trading partner, accounting for 13.8% of Qatar’s global trade volume, H.E said.

H.E added that Japanese companies continue to play a leading role in supporting the development of Qatar, particularly in the information technology sector, energy and mining industries, and infrastructure development, namely the Qatar Rail project.

More than 35 fully owned Japanese companies are currently operating in Qatar with a capital of $410 million, in addition to 23 joint Qatari-Japanese firms with a total capital of $2.2 billion, H.E said.

Qatar and Japan are also bound by several memoranda of understanding and agreements that contribute to the promotion of bilateral ties, H.E said, emphasizing the importance of breathing life into the existing agreements and ratifying new ones.

In this context, H.E urged the ratification of an agreement on the mutual protection and promotion of investments, which will pave the way for new Qatari-Japanese private sector partnerships and joint investments that benefit both countries.

On another note, H.E said today’s gathering comes amid growing concerns over slowing global economic growth in 2019 due to trade wars and rising interest rates.

Now more than ever, both Qatar and Japan need to come together and join efforts to create new partnership opportunities, consolidate economic and investment alliances, and strengthen bilateral trade, H.E added.

In this context, H.E invited Japanese companies to take advantage of the business and investment-friendly environment that Qatar offers to foreign investors as evidenced by the country’s ranking by some the world’s most prestigious international institutions.

Globally, Qatar ranks first in terms of low inflation rates, sixth in terms of the effect of taxes on competition, eight in terms of venture capital availability, and ninth in terms of financing small and medium enterprises (SMEs), H.E said, quoting the World Economic Forum’s Global Competitiveness Report 2018.

H.E explained that Qatar’s significant success in this regard has been driven by the integrated policies established by the country’s wise leadership to open the economy, and attract investments into industries and sectors that will cement Qatar’s position as a leading regional trade and investment hub.

Foreign companies that choose to set up shop in Qatar will find a multitude of investment opportunities to tap, H.E said, referring to development projects being undertaken within the framework of the Qatar National Vision 2030 and ahead of preparations to host the 2022 FIFA World Cup.

Touching on the investment incentives that Qatar offers to Japanese investors, H.E said foreign investors are allowed up to 100% ownership across various sectors and industries among other incentives that will enable companies to expand their businesses to regional markets, by taking advantage of Qatar’s strategic location between East and West.

H.E added that Qatar has also been keen on protecting intellectual property rights and guaranteeing investors the freedom to transfer capital from and to the country in addition to developing an advanced network of free zones and logistics and industrial areas in line with the highest international standards.

These facilities have positioned Qatar as an attractive destination for foreign direct investments, which increased by $7.8 billion to $186 billion at the end of the first quarter of 2018 from $178 billion at the end of 2017, H.E said.

H.E added that Qatar’s economic performance improved, noting that Qatar’s gross domestic product (GDP) rose to 222 billion dollars in 2017 from 218 billion dollars in 2016, growing at an annual rate of 1.6 percent.

According to the World Bank, the Qatari economy grew by 2.3% in 2018 and is expected to grow at 2.7% in 2019 and 3% in 2020, partly driven by Qatar’s success in attracting foreign direct investments and bolstering trade, H.E said.

H.E noted that Qatar’s foreign trade also witnessed remarkable growth in 2018 as exports increased by 25% while the trade balance hit a surplus of 52.5 billion dollars, an increase of 40% compared to 2017.

H.E Minister of Commerce and Industry concluded his remarks, expressing hope that the forum will encourage businessmen to promote joint cooperation, benefit from the positive investment climate and establish strategic joint investments and projects to the benefit of both countries.

H.E Mr. Ali Shareef Al-Emadi, Minister of Finance and H.E. Mr. Saad Bin Sherida Al-Kaabi, Minister of State for Energy Affairs, attended the opening ceremony of the forum along with H.E Sheikh Khalifa Bin Jassim Bin Mohammed Al-Thani, Chairman of Qatar Chamber and H.E Sheikh Nawaf Bin Nasser Al Thani, Board Member of the Qatari Businessmen Association.

The Japanese participating delegation included Mr. Tatsuya Terazawa, Vice-Minister for International Affairs at Japan’s Ministry of Economy, Trade and Industry, Mr. Kazuo Matsunaga, Chairman of the Japan Cooperation Center for the Middle East, and Mr. Toshio Mita, Chairman of the Japan-Qatar Friendship Association.

Over 300 Qatari and Japanese senior officials, businessmen and investors also attended the forum.

Speaking at the forum, H.E Sheikh Khalifa bin Jassim Al Thani, Chairman of Qatar Chamber, stressed the depth of Qatari-Japanese across various fields, particularly on the economic and trade levels.

H.E Sheikh Khalifa said both countries are keen on enhance trade and investment cooperation, noting that the Qatari and Japanese private sectors are supporting and strengthening these relations through joint cooperation, which aims at enhancing bilateral trade.

The chairman of Qatar Chamber said that the sustainability of Qatar’s gas supplies to Japan over a 20-year period without any interruption or shortages since the first shipment was dispatched in 1997, reflected the deep commitment and mutual trust between the two countries.

H.E Sheikh Khalifa added that Qatari private sector considers Japan as a unique and attractive investment destination, noting that Qatari businessmen are keen on learning further about investment opportunities in Japan and exploring further partnerships and alliances with their Japanese counterparts to establish joint projects in both countries.

Qatar’s is home to business and investment-friendly environment, H.E Sheikh Khalifa said, noting that the siege imposed on the country since 2017 contributed to encouraging the Qatari private sector to enhance its contribution to productive projects rather than relying on importing goods from neighboring countries.

H.E Sheikh Khalifa expressed hope that the Qatar-Japan Business Forum will contribute to further cooperation between the two countries in the trade and economic fields and will inspire Qatari and Japanese businessmen to seek new partnerships and projects that will benefit both economies.

H.E Mr. Ali bin Ahmed Al-Kuwari witnessed the signing of an agreement between Qatari and Japanese businessmen. Mr. Hussain Fikri, CEO of Fikri Group, signed an agreement with representatives of Japanese company, Nagata Shigyo.

Mr. Kansho Watanabe, advisor to Nagata Shigyo Co, signed on behalf of Mr. Kotaro Nagata, President of Nagata Shigyo who was present at the ceremony along with Mr. Minoru Yanai, an advisor to the Japanese company.

The business forum featured four panel discussions. The first session touched on the advanced legislative framework, infrastructure and business and investment opportunities that Qatar offers to Japanese companies.

Mr. Abdul Basset Taleb Al Ajji, Director of the Business Development and Investment Promotion Department at the Ministry of Commerce and Industry, Mr. Fahd Rashid Al Kaabi, CEO of Economic Zones (Manateq), Captain Abdullah Al Khunji, CEO of Qatar Ports, and Mr. Abdullah Al Misnad, deputy CEO of the Free Zones Authority participated in the session.

The second session on business investment opportunities in the energy and power fields in Qatar brought together Mr. Khaled Jolo, CEO of Nebras Power, Mr. Hiroyuki Shimizu, Vice President, Operations Director and Energy Project Operations Division at Chiyoda Corporation, and Mr. Yoshiki Yokota, Executive Officer and Chief Operating Officer, of the Power Business Division at Marubeni Corporation.

The third session, which touched on the challenges and opportunities for joint investments, ventures and partnerships in Qatar was attended by H.E. Mansoor bin Ebrahim Al-Mahmoud, CEO of Qatar Investment Authority, H.E. Mr. Akbar Al Baker, CEO of Qatar Airways, Eng. Abdullah bin Hamad Al Attiyah, CEO of Qatari Diar, and Mr. Hamad Abdulla Al-Mulla, CEO of Katara Hospitality.

The fourth and final session focused on infrastructure projects in Qatar in preparation for the 2022 FIFA World Cup. The session brought together Eng. Saad bin Ahmad Al Muhannadi, President of the Public Works Authority “Ashghal”, H.E. Mr. Hassan Al-Ibrahim, Assistant Secretary General National Tourism Council, Mr. Ali Al-Asmakh, Commercial and Procurement Director at the Supreme Committee for Delivery and Legacy, Mr. Abdulrahman Al Malik, Project Director at Qatar Rail, and Mr. Tetsuji Nakagawa, Senior Vice President and Division COO of the Infrastructure Business Division, at the Mitsubishi Corporation

The forum featured bilateral meetings between Qatari and Japanese businessmen who discussed investment opportunities in both countries and measures to promote long-term economic cooperation.

The forum, which provides a networking platform, aims to strengthen and expand trade, investment and industrial relations between Qatar and Japan, create effective partnerships and attract new investments to the Qatari market.