
Market opportunities.
Instruments and pharmaceuticals : many Yemenis now understand that although products made in Europe are more expensive , they are of a higher standard and offer value for money. The Government encourages private sector investment in hospitals and some hospital projects are underway.
Agricultural machinery and equipment: agriculture is Yemen's largest economic sector but there is a growing water shortage. It is likely that demand for efficient irrigation equipment will increase as the cost of water rises. Agriculture in much of the highlands is on small terraces which are cultivated by traditional methods, but the flatter topography in the southern and coastal areas make the land more suitable for mechanisation.
Food Processing and packaging equipment : There are two major companies which process and can vegetables and fruit, and manufacture juices, yoghurt and cheese. Although several companies freeze and export prawns and lobster very little has been done so far to take advantage of the abundance of good quality fish. There is scope for more companies to become involved in this and to set up plants for processing the fish into fish fingers and the like, for which there is a significant overseas demand. There is also potential for investment in the packaging and export of fresh produce, particularly fruit.
Oil and Gas Machinery : while oil extraction appears to be about to peak, there are still opportunities to supply the industry. The Yemen LNG project is likely to create significant opportunities. The project will the construction of a gas processing facility in the Ma'rib fields, a liquefaction plant at Belhaf on the Gulf of Aden and associated pipelines etc.
Electrical Power : The Ministry of Electricity and Water has a programme to increase power generation capacity over the next ten years and there will be a need for new power plants transmission and distribution systems. Rural areas (most of the population) will continue to rely on private and/or village generators. Solar, or wind power would be an environmentally friendly alternative.
Tourism: there are also opportunities in hotel management and tourism (particularly the provision of recreational facilities in the southern coastal areas).
Aid-Funded business is an important issue for the investors.
Investors shall contact the World Bank, www.worldbank.org, UNDP, www.undp.org.ye and the European Commission Office in Yemen.
legals
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