Agribusiness to Jordan
(Last updated: 23 Aug 2011)
Trends and opportunities
The market
Jordan is one of the world’s driest countries where rainfall does not exceed 200mm per year on 90 per cent of the total country area. The scarcity of water and increasing demand for domestic and industrial uses poses a huge challenge to the Jordanian government, which continues to view the sector as strategically important for economic development and social security.
Agriculture consumes between 65-75 per cent of Jordan’s water resources and contributes less than 3.4 per cent of the country’s total GDP. It employs around eight per cent of the country’s total workforce.
The sector managed to achieve a number of successes especially in the area of irrigated cultivation of vegetables and cultivation of fruit trees and increased the local production of table eggs, poultry meat and fresh milk.
On the other hand the agricultural sector is still unable to increase rates of self-sufficiency in the main cereal crops, red meat and animal feed, leading to continued reliance on imports to cover a significant portion of consumers’ food needs.
Livestock is a major component of the agricultural sector with around a three million head count in 2010 mainly imported from Brazil, Australia, Sudan, New Zealand, China, Syria and Romania.
Opportunities
Opportunities for Australian companies exist in the following areas:
- Farm management including innovative irrigation technology
- Joint research programs with scientific institutes
- Organic farming for the production of vegetables, medical and aromatic plants
- Aquaculture projects
- Irrigation equipment and technology
- Training in the field of animal production and laboratory diagnosis and services
- Abattoirs rehabilitation
- Supply of agricultural products and services
Investments opportunities exist in various sectors. More information can be obtained by visiting the Jordan Investment Board’s website: www.jordaninvestment.com/IndustrySectors/AgroFood/tabid/97/language/en-US/Default.aspx.
Tariffs, regulations and customs
The Ministry of Agriculture is the main government body responsible for the implementation of government policies in agriculture, in addition to several other specialised agencies operating in this sector such as the Agricultural Credit Corporation, Jordan Co-operative Corporation, Farmers Union and the National Centre for Agricultural Research and Extension.
Jordan has been a member of WTO since 2000. Customs Tariffs are based on the Harmonized System coding and may be accessed at the Jordan Customs website www.customs.gov.jo.
Imported food and agricultural products are inspected by a border committee of representatives from the Jordan Food and Drug Administration, Ministry of Agriculture, The Jordan Institute of Standard and Metrology and the Customs department.
Prior approval to import products such as live animals, fresh, chilled and frozen meat, frozen animal semen are required from the Ministry of Agriculture.
Marketing your products and services
Market entry
Jordan has limited natural resources and depends on foreign aid that tends to come in the form of project assistance. Jordan has a number of free trade agreements including, the United States and European Union. Reduced tariff rates are working favourably in the interest of products/services coming from those countries in particular the United States.
Austrade recommends the following market entry strategy:
- Connect with the Jordan private sector. Austrade can assist in identifying potential Jordanian partners and arranging a visit program
- Pursue donor’s country and World Bank funded projects
- Participate in major conferences and exhibitions with a regional focus
Links and industry contacts
Government, business and trade resources for Jordan
Agricultural Credit Corporation – www.acc.gov.jo
Department of Statistics – www.dos.gov.jo
Jordan Food and Drug Administration – www.jfda.jo
Ministry of Agriculture – www.moa.gov.jo
Ministry of Water and Irrigation – www.mwi.gov.jo
Contact details
The Australian Trade Commission – Austrade – is the Australian Government’s trade, investment and education promotion agency.
Through a global network of offices, Austrade assists Australian companies to grow their international business, attracts productive foreign direct investment into Australia and promotes Australia’s education sector internationally.
For more information on how Austrade can assist you, contact us on:
Australia ph: 13 28 78 | Email: info@austrade.gov.au
A list of Austrade offices (in alphabetical order of country) is also available.