[1]
NEWSLETTER
Editor in Chief
Stéphanie Chevalier
President
Cecilia Porras Eraso
Columnists
Giorgio Araujo
Colombina – Am...
[1]
ACCC NEWS – UPCOMING MISSIONS
DUBAI UAE. ACADEMIC MISSION FROM OCT 18 TO 26, 2013 - Visit to the
GITEX TECHNOLOGY FAIR...
[2]
HOW TO DO BUSINESS WITH ARABS?
GENERAL ETHICAL GUIDELINES
Some general guidelines govern the Islamic
code of ethics wi...
[3]
THE EXAMPLES OF QATAR AND EGYPT
Qatar
When doing business in Qatar (and the Gulf in
general) it is important for the c...
[4]
THE IMPORTANCE OF EVENTS,
MISSIONS AND BUSINESS TRAVEL
Traveling Travel is the best alternative when
starting a new bu...
[5]
REPORT
MUTUAL ECONOMIC RELATIONS BETWEEN
UNITED ARAB EMIRATES AND COLOMBIA
- Increase the value of total
exports of $2...
[6]
window of Cooperation in Agricultural, power
and fields, and experience exchange. So this
visit is considered as a fir...
[7]
Saudi Arabia
An economic development Eldorado!
Saudi Arabia is a market that rewards patience and
persistence. Saudi c...
[8]
GENERAL DETAILS ECONOMY EDUCATION
Dubai: Summer temperature up to 40°C
and in winter 20°C.
Abu Dabi: Arid and dry clim...
[9]
DIPLOMATIC MISSIONS AGENDA
 Introductory Seminar to the
Arab World:
"ARAB COUNTRIES,
ENTRY DOOR TO
ALTERNATIVE
MARKET...
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Newsletter September - October 2013 English version

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  1. 1. [1] NEWSLETTER Editor in Chief Stéphanie Chevalier President Cecilia Porras Eraso Columnists Giorgio Araujo Colombina – Amazon Pepper Mr. Mohammed Hamdan Director of Trade Promotion, Ministry of Economy – UAE María Fernanda Concha Sustainability and Corporate Communications Director Procafecol S.A. Mr. Kamel Mukharesh Vice Chairman MOKA Beirut, Lebanon Correspondents in United Arab Emirates Saudi Arabia Egypt Oman Algeria and Morocco CONTACTS Calle 125 No. 19-89 Of 502 Phone line: +57-1- 2153266 Mobile:+57-3138001004 info@ccac.com.co www.ccac.com.co September - October 2013 CONTENT • ACCC News – Upcoming Missions • Editorial • How to do business with Arabs? • Cultural Tip • Report Economic Relations U.A.E and Colombia • Juan Valdéz enters in the Middle East • Saudi Arabia - An economic development Eldorado! • Invited Cities of the United Arab Emirates • Diplomatic Missions Agenda • Services & Benefits of the ACCC The articles published compromise solely their authors and do not necessarily reflect the opinions of newsletter’s directors. Total or partial reproduction without the express permission of the publishers is forbidden. NEWSLETTER NUMBER 5 Collectible Edition How to Efficiently Access the Arab Market? We build relations, we make business
  2. 2. [1] ACCC NEWS – UPCOMING MISSIONS DUBAI UAE. ACADEMIC MISSION FROM OCT 18 TO 26, 2013 - Visit to the GITEX TECHNOLOGY FAIR "Technology Week" (October 20 to 24) (www.gitex.com) Trade show for technology enthusiasts. Gateway to the Middle East, Africa and South Asia, especially for the ICT Industry.  More than 80% of the top brands in ICT worldwide participate, + 25 000 C-level executives from key vertical markets in the industry. DUBAI UAE. II MULTISECTORAL COMMERCIAL MISSION FROM NOV 14 TO 25, 2013 - Visit to the most important GOURMET FOOD FAIR "Speciality Food Festival" (November 17 to 19) (www.speciality.ae)  Menope Middle East Natural & Organic Products (Dic 3-5) http://www.naturalproductme.com/index.php Display on products of the highest quality for the growing gourmet, Halal and organic consumer sector. Display for chefs, exclusive importers and distributors in the Middle East. This commercial event is only open to industry professionals. DUBAI, UAE. II COMMERCIAL MISSION OF CONSTRUCTION AND INFRASTRUCTURE FROM NOV 23 TO DEC 2 - Visit to "THE BIG5" FAIR (November 25 to 28) (www.thebig5.ae/) be presented in the largest construction event of the Middle East. Dear Readers: What exactly is a trade mission? It is a visit to one or more international markets to understand its operation; regulations, distribution channels, pricing, seeking networks in search for future business and enhance the commercialization of products. It also allows you to get an impression of how the target market works, through conversations with future strategic partners. The Arab market imposes the need to build personal relations before business, it is essential to present your company in person and that you show the interest you have by investing time and money. This has an incalculable effect in front of potential contacts. Participating in a trade mission is the best way to prospect in a given market, but is also an alternative to a less theoretical market research and allows perceiving the real potential of the market in question. It is all about organizing a series of visits to different distributors and potential partners who may be interested in selling their products or services. Agendas are often arranged for 6-7 days visits, including 2 or 3 daily visits. Tracking: It is essential to do any type of prospecting but if after a mission or a fair, a constant monitor of the contacts is not done, all the work will be for nothing. We always appreciate the contribution made to the Colombian businessmen by our permanent columnist, Mr. Kamel Mukharesh, through his valuable experience, giving us today a strong message. CECILIA PORRAS ERASO Founding President EDITORIAL Colombia has all the possibilities for products and services in the growing market of Saudi Arabia (KSA).  Visa Procedures.  Organization of the commercial and / or academic agenda.  Training before traveling on business and cultural tips.  Flight tickets on commercial flights (economy fare).  Permanent Transport Services.  Assistance during the trip. Double accommodation in the cities of UAE.  Translator Service.  Breakfast Buffet included.  Lunch included in the plan.  Dinner included in the plan.  Tour in Dubai, Abu Dhabi, Sharjah and Ras al-Khaimah. SERVICES INCLUDED Number 1 in the MEASA región  + 139,000 ICT professionals in 144 countries.  3.576 ICT companies from 54 countries. Major construction event of the Middle East with more than 60,000 professionals in the field. A full range of products and services will The ACCC invites you to participate in the II Multisectoral Commercial Mission and visit to the Fairs:  The Speciality food festival (Nov 17-19) www.speciality.ae/ BOOK NOW YOUR SPACE Information and Registration www.greenclick.com/ or Patricia Ángel Carreño: direccionejecutiva@ccac.com.co
  3. 3. [2] HOW TO DO BUSINESS WITH ARABS? GENERAL ETHICAL GUIDELINES Some general guidelines govern the Islamic code of ethics with relation to both one's daily life and business conduct. Muslims are required to behave islamically in their business dealings because Allah Himself is witness to their transactions. Here are some key business principles that Muslims should follow: 1. Be Honest and Truthful. Honesty and truth is especially important for Muslim business persons. The Prophet (peace be upon him) said, "Truthfulness leads to righteousness, and righteousness leads to Paradise. A man continues to tell the truth until he becomes a truthful person. Falsehood leads to al fujuwr (i.e. wickedness, evil-doing), and al fujuwr (wickedness) leads to the (Hell) Fire, and a man may continue to tell lies till he is written before Allah, a liar." [Hadith No. 8.116] 2. Keep Your Word. In a hadith narrated by Abu Hurayrah, the Prophet (peace be upon him) is reported to have said: If you guarantee me six things on your part I shall guarantee you Paradise. Speak the truth when you talk, keep a promise when you make it, when you are trusted with something fulfill your trust, avoid sexual immorality, lower your guise, and restrain your hands from injustice." [Ubadah Ibn al Samit, Ahmad, Bayhaqi] 3. Love Allah More Than Your Trade. We must love Allah even if we have to sacrifice everything else. Allah warns in the Qur'an, which is translated to mean: "If it be that your fathers, your sons, your brothers, your mates, or your kindred; the wealth that you have gained; the commerce in which you fear a decline; or the dwellings in which you delight - are dearer to you than Allah, or His Messenger, or the striving in His cause -then wait until Allah brings about His Decision: and Allah guides not the rebellious." [Al Qur'an 9:24] 4. Deal with Muslims before Dealing with Non-Muslims. 5. Be Humble in how You Conduct Your Life. Muslims must not lead a life of extravagance, and must exhibit good-will in any transactions among themselves. 6. Use Mutual Consultation in Your Affairs. “Those who hearken to their Lord; and establish regular prayer; who (conduct) their affairs by mutual consultation, who spend out of what we bestow on them for sustenance.” [Al Qur'an 42:38] 7. Do Not Deal in Fraud. Businessmen should avoid duplicity. They should treat others in the same righteous and fair manner that they themselves would like to be treated. “Woe to those that deal in fraud those who when they have to receive by measure from men exact full measure, but when they have to give by measure or weight to men give less than due. Do they not think that they will be called to account?” [Al Qur'an 83:1-4] 8. Do Not Bribe. Businessmen may sometimes be tempted to offer bribes or baqshish in order to persuade another party to give them special favors or to allow them to get away with dishonest practices. The practice of bribery is forbidden in Islam. “The Apostle of Allah (peace be upon him) cursed the one bribes and the one who takes bribes.” 9. Deal Justly. The general principle that applies across all transactions including those pertaining to business is that of justice or 'adl. Allah emphasizes this point in the Qur'an: “Deal not unjustly, and you shall not be dealt with unjustly.” [Al Qur'an 2:279] OTHER IMPORTANT GUIDELINES - Acting patient as this is a process that requires study, analysis and research for each of the sectors and markets they want to reach. - Ask for help or use the experience of others. - Be punctual or say no from the beginning, if there are limitations, this prior to any negotiation. - Stay well informed about the political, commercial and banking situation in the Arab Countries. “The merchants will be raised on the Day of Resurrection as evil-doers, except those who fear Allah, are honest and speak the truth.” [Tirmidhi, Ibn Majah, Darimi]
  4. 4. [3] THE EXAMPLES OF QATAR AND EGYPT Qatar When doing business in Qatar (and the Gulf in general) it is important for the company to visit the region and do follow-up visits to show the seriousness of the company for this market, as personal contact is very important. Depending on the type of business it is recommended for companies wishing to do business in Qatar to seek a competent legal counsel, as well as explore the market and get to know your clients or potential business partners before entering into an agreement. You need to pay attention to the consumer's characteristics, which has become increasingly sophisticated and educated in his decision processes, paying particular attention to the products of premium quality, gourmet and organic products. Furthermore, the characteristics of the Arab businessman are equally important when it comes to doing business. The general Arab businessmen are skilled negotiators, demanding buyers who examine with a critical eye the quality, presentation, price and image of the imported products. Be patient, you should always keep in mind courtesy and common sense in this market. The personal relationship is fundamental. If this last one is good, over time, your client-partner will deposit on you an overwhelming trust. Try to understand their point of view. If after some initial contacts you estimate you may eventually reach an agreement, be very generous in the use of your time, your partner will be, and he expects to feel the same from you. You must have a trading strategy taking into account the above. Indispensable, take into account Fridays and Saturdays are not days where people usually work in Qatar. What is also advisable to enter the market is to do research in order to identify who you want to work with and develop a structured business plan. Egypt Inform yourself about import barriers because it still exists in Egypt substantial protection for domestic industries and tariffs are high, especially on consumer products and these tariffs can sometimes change unexpectedly. Non-tariff barriers also affect many products; in this the professionalism of the importer is extremely important. The rush is not advisable when business dealing with Egyptians. It is convenient to go to the appointments rested and relaxed, do not look at the clock if the meetings are extended and and don't make any commitment that would oblige you to leave a meeting early. Another important aspect is that of hierarchies, Egyptian society is deeply traditional and conservative, and formal respect for hierarchy is imperative. As elsewhere in the Arab world, in Egypt personal relationships and the bonds of fidelity and loyalty have particular weigh when doing business. In addition, to strengthen business it's highly desirable to encourage direct and personal relationships with customers. Be scrupulous with formal aspects, make sure that the credit cards and contracts are properly drafted and learn about foreign investment law. Carefully choose your local agent and note that the Egyptian rarely can say no, which sometimes leads him to make promises or statements that he cannot keep. CULTURAL TIP 10 Tips on Arab Culture for Successful Business in Middle East| 1. "The Arab World" as such does not exist: Think regionally but act locally, consider that cultural and ethnic groups in each country. 2. The Family: It is always a priority, even in business. You need to understand the family to really understand the person and do business with her. 3. The Hierarchy: Extremely important in this culture. To establish links to a high level is a requirement for strong businesses in the region. 4. Bureaucracy: The Arab organizations are often bureaucratic, but not in the same way it is handled in the west which is characterized by impersonally following rules and procedures; on the contrary the arab bureaucracy handles these issues in a personal way. 5. Power Change: At least that someone is not loyal; it is rare in an Arab organization for someone to be fired for not working well. To be successful managers must maintain constant contact with their clients in order to be sure the person dealing with the decision maker. 6. Honor and prestige: Arabs grow up learning that the prestige and status are very important in life, so knowing the status of a person in the Middle East is of great importance. 7. Quality: You must be the best. Quality standards must be maintained of high quality internationally. 8. Time: In the Middle East, time is everything. If necessary negotiations can take a long time. Likewise, you must be prepared to work hard in a very short time. 9. Verbal communication: It must be a priority. The "Majlis" is a central institution in the Arab culture. Most of the time the Arabs learn through interaction, exchange of ideas, arguments and observation, preferring to receive notice orally, therefore long lectures and presentations are considered inappropriate. 10. The language: It is a tool and everything is negotiable. The Arabs have a long history in trade; therefore they see people willing to take opportunities as intelligent people, not as opportunistic. It is appropriate that the contracts are signed quickly after having established a verbal contract. Written contracts must be done legally correct, otherwise they will be considered worthless.
  5. 5. [4] THE IMPORTANCE OF EVENTS, MISSIONS AND BUSINESS TRAVEL Traveling Travel is the best alternative when starting a new business. Meet another person to close a business is critical and you must learn to adapt to different methods to make the meeting a success. Undertake a trip to the market of interest. The first contact with the outside can be done in different ways: A. Participate in an international fair. B. Accompany a Commercial Mission. C. Perform an individual trip. In any of these options it is important to have a list of importers who may be interested in your products. It is convenient to send the company information and products. In case of participating in a commercial fair, make this sort of contact is a good way to invite people to visit your stand and discover your products. International fairs are the first place to gain market share in the world. Participating in a commercial feria represents for the business the most economical way, in time and money, to promote its products or services, to study the market, visit and be visited by your customers, find distributors and complete the sales. The fairs are one of the major promotional and communication tools and at the same time more efficient. The Commercial Mission in some occasions, the national, provincial, municipal governments and chambers of commerce, organize commercial missions promoting specific regional business. The most frequent error, start by understanding that the definition of protocol is basically kindness and respect, so when the guest is wrong, the host should try to minimize the error. The point is to take into account the details (lay people with who they can talk, so they don’t stay quiet and bored). Remember that those who ignore details ignore reality. Having wrong information or misinformation about the client and his needs, excessive tropicalism and / or excessive desire to please, even beyond obvious limitations. All the above applies in reverse when we are the ones who seek a service to conclude a business. We often don't realize that a gesture as simple as giving or receiving a business card can close many doors if it's not done the right way. HOW TO PARTICIPATE IN AN INTERNATIONAL FAIR IN ARAB COUNTRIES? A fair is a powerful marketing tool, which enables small, medium and large companies to market availability or simply to publicize products and services. In turn, the visitor is provided detailed information which could be used in the buying decision process. The objectives of participating in fairs are primarily to increase sales, place where the company plans to increase her sales and thus her participation in it. The company seeks to acquire new customers and see the acceptance of new products, improving with her image the positioning and her perception from the industry and customers. There are several types of fairs, some general, some specialized, product exhibitions, sales weeks or universal exhibitions. How to Choose an International Fair? View the market potential, review the country's statistical information, determine the product you will offer, availability of export supply, products position against the competition and marketing channels. In case of participating in a fair, make sure your organization plan is consistent with the marketing strategy of the company. At a fair, good preparation represents 50 % of success and should carry special attention to the booth and the products submitted. Having a presence, attitude and impeccable attention; know your product, success also largely depends on the information management. What do you need to know about the importer? He should have a product sample (sampling), get a data sheet of its products, Prices, Discounts, production capacity, Packaging and delivery dates, and level of acceptance of its products in the home market (who they sell the product to). It is also important to know the countries where the company usually exports, the experience in the sector and the size of the company. SUCCESS STORIES AMAZON PEPPER - COLOMBINA By: GIORGIO ARAUJO We are in the Arab market since 1999. Participating in Sial Fair in Paris in 1998 we met some buyers. In 2007 we decided to showcase our products in the most important food fair of the region GULFOOD (Dubai UAE) investing in a stand year after year. During the first ones we didn't get to have the contacts that we needed for our expansion project, but after 3 years, we began to create our own network of buyers in each emirate and in every country. Our experience with the Arabs has been fabulous; we have made many friends and found even more opportunities. We enjoy it every time we go. They are people very similar to us. You get to know great people but like everywhere there are others that aren't so good, nothing above statistics anywhere else in the world. Today our products are in the best supermarkets in each of the Arab countries of the Gulf and others under his influence. My advice for Colombian entrepreneurs is to be CONSTANT. Colombian products have all chances to be accepted, we need to be noticed through our participation in commercial fairs and missions. The relation with them is what is called "face to face", they always want to meet people before doing business, but they are long- term relations. COLOMBIA has to go and look for them. In order to maintain market presence, you need to participate in future editions of the fair.
  6. 6. [5] REPORT MUTUAL ECONOMIC RELATIONS BETWEEN UNITED ARAB EMIRATES AND COLOMBIA - Increase the value of total exports of $21 Million and lower the value of imports, amounting to 12.1 Million Dollars in 2012. - High contribution of the United Arab Emirates in the volume of foreign trade rose by 63.2% and low contribution Colombia by 36.8 %. Foreign Trade between United Arab Emirates and Colombia There is a surplus in the trade balance in favor of the United Arab Emirates, for the following reasons: - Rise of the value of total exports rose by 185 percent, and reduced the value of imports rose by 27% during 2010 and 2011. - High contribution of the United Arab Emirates in the volume of foreign Trade rose by 55.3% and low contribution Colombia by a rise of 44.7 percent. There is a surplus in the trade balance in favor of the UAE in 2011, for the following reasons: Article by Mr. MOHAMMED HAMDAN Economic Relations with United Arab Emirates Agreements - 24 November 2012: the signing of the United Arab Emirates, representative of the General Civil Aviation, air services agreement with the Government of Colombia in the city of Brasilia in Brazil. The agreement was signed between the State of the United Arab Emirates, Colombia, Saif Mohammad al-Suwaidi, director of the General Civil Aviation Authority, and Santiago Castro, Director General of Civil Aviation of Colombia. - 8 May 2011: Signing agenda of Mutual Cooperation in air transport services between General Civil Aviation Authority of the United Arab Emirates, Civil Aviation Administration of Colombia. Mutual Economic Committees There is no Mutual Economic Committees between the two Countries. Visits by Delegations and Events - 7 November 2012: A meeting between the Chamber of Commerce and Sharjah Industry, and Colombian economic delegation. During the meeting, they discussed to open new fields of commerce and investment cooperation between Sharjah and Colombia promoting the United Arab Emirates schedule of strengthening Economic relations with various countries all over the world, especially with the Latin American continent because of the multiple Trade between the Gulf States and Latin America in general, and between a The United Arab Emirates State, Sharjah and Colombia in particular. - 26 October 2011: A meeting between Ambassador Abdullah Absi, director of American and Pacific office Affairs, in his office at the Ministry, with Roberto Velez Vallejo, the ambassador of the Republic of Colombia. During the meeting discussed how to enhance the Mutual relations in the political, economic, trade between the two countries. - 18 may 2011: A meeting with Ambassador Abdullah Ali Elsabossi, director of the American and Pacific affairs in his Office at the Ministry of Foreign Affairs, with Glamirro Castrro, the executive director of Asia, Pacific and Ayqonisia Affairs in Ministry of Foreign Affairs in Colombia. During the meeting, they discussed the Mutual relations between the two countries and how to enhance it, open a Colombian Embassy in Abu Dhabi. - 08 May 2011: Signing Agenda for mutual understanding of (MOU) air transport services between General Civil Aviation Authority of The United Arab Emirates, and Civil Aviation Administration of Colombia.
  7. 7. [6] window of Cooperation in Agricultural, power and fields, and experience exchange. So this visit is considered as a first step to push the commercial, economic, investment relations between the two Countries. - There was a visit of Colombian Minister of foreign affairs to United Arab Emirates on November to discuss the steps that will enhance the Commercial and investment Co- The Most important Goods of Trade between United Arab Emirates, and Colombia in 2011: - 2009: The visit of Highness Sheihk Abdullah Ben Zaied Aal Nahiaan, to Colombia to establish commercial, economic relations and mutual Links between powerful Companies in United Arab Emirates and Colombia. This will serve the interests of Two Countries since they are keen to build Commercial, Economic relations and Investments that will be held by Companies, Agencies, Businessmen and investors of Both Countries. This will be by establishing Mutual Projects, increase the visits of Commercial delegates and usual participating at Economic Events and fairs. Actually, This Participating enhances the Commercial exchange between both sides and strength the economic Co-operation generally. Additionally, Sheihk Abdullah Ben Zaied Aal Nahiaan welcomed to sign agreements of mutual Economic Co-operation with Minister of foreign affairs, especially the two agreements of taxation duality and encouraging of investments protection which play an important role in developing the business between the two sides and facilitating economic agreements between two Countries. His Highness added that this visit will open new fields in this mutual Co-operation in future, a new operation between the two Countries, the following are the results of this visit .- The Colombian Minister of Foreign affairs assured that he will open a Colombian Embassy in Abu Dhabi by 2010 and enhance the Civil Aviation trips between the two Countries. In addition he cancelled the entry visa of Colombia for Emirates and he asked for make a special day for united Arab Emirates in Colombia. JUAN VALDEZ® ENTERS IN THE MIDDLE EAST: AN ENRICHED WAY TO RETURN TO THE BEGINNING PART 2/3 By Maria Fernanda Concha Director of Sustainability and Corporate Communications Procafecol SA - Special to the ACCC Newsletter The drink, whose popularity started growing, came to Italy in the mid-seventeenth century by Venetian merchants and then spread to the rest of Europe, including the Netherlands, which also play an important role in its expansion. The production and marketing of coffee was controlled by the Arabs until the late seventeenth century, when Europeans were able to bring plants to their colonies. The coffee crossed the Atlantic and reached the New World in 1689, with the opening of the first store in Boston, USA. And from there he continued to travel the world. With all this history behind it, it is no coincidence that one of the two main species of coffee sold in the world for consumption is the Arabica or Coffea Arabica. In contrast with the species Canephora Robusta which contains more caffeine and is stronger and acid, Arabica coffee is smoother. There is no absolute certainty about how coffee came to Colombia. One of the most established versions is that the Jesuits brought the grain to New Granada in 1730, but the tradition also says that coffee came from the east of the country, brought by a travelers from the Guianas, including the Dutch one (Suriname) through Venezuela. What is known with more certainty is that the first coffee plantations developed in the east. In 1835 there was the first commercial production and, according to historical records, the first 2,560 sacks of grain were exported from the customs of Cucuta, on the border with Venezuela. It was from northeastern Colombia, more specifically the departments of Santander and Norte de Santander, where its cultivation would spread, after 1850, to the center and west of the country, through Cundinamarca, Antioquia and Old Caldas. For the sixteenth century, thanks to the Arab merchants, coffee had spread through the rest of the Middle East, Persia, Turkey and North Africa. The first coffeehouses were established in Byzantine Constantinople in 1554 (969 of the Hegira). In 1583, the German doctor and botanist Leonard Rauwolf was the first Westerner to describe the drink, "as black as ink, useful against numerous ailments, including stomach aches." "Its consumers take it in the morning, quite frankly, in a porcelain cup that goes from one to another and from which each one takes a full glass. It is made of water and the fruit of a shrub called bunnu" develops Rauwolf in his book"Reise in die Morgenlander".
  8. 8. [7] Saudi Arabia An economic development Eldorado! Saudi Arabia is a market that rewards patience and persistence. Saudi clients like to get to know you first, and are looking for evidence of long-term commitment as well as skills and technology transfer. Long-distance dealing with the market is not usually an option, and frequent visits are necessary. Fortified by record hydrocarbon revenues and massive financial reserves of more than US$1500 billion, Saudi Arabia has the ability to continue spending heavily on developing its economy for many years ahead, regardless of the price of oil. It is worthwhile noting that Saudi Arabia has a lot of untapped oil and gas fields and numerous huge mineral deposits. Saudi’s 2013 budget illustrates the need for Saudi Arabia to remain a key target for Colombian export efforts. It envisages spending of US$220 billion, 19% up on 2012, with revenues projected to reach US$330 billion. Saudi Arabia intends to spend more than US$400 billion over the next 10 years on a wide range of infrastructure investments. Ambitious plans include thousands of kilometers of new roads and railways, as well as airport expansion, new urban transport systems, investments in water, sewerage, electricity plants, telecoms and the IT sector and the construction of 4 million new homes and countless related urban buildings. Leading investment areas also include development of new oil & gas facilities, expanding the petrochemicals sector, enlarging and diversifying mining and the development of several new economic cities. Prospects for trade and investment between Colombia and Saudi Arabia are significant. Regular visits at Prime Ministerial and Ministerial level are necessary for the promotion of a bilateral relationship, but developing close contact between Colombian and Saudi businesses and people are necessary to develop and strengthen ties. Within the next 3 years new phosphates, aluminum and iron smelting industries will add billions of dollars annually to the economy. Much of this new industrial and business development in Saudi Arabia is intended to be led or achieved in partnership between local and foreign investors. The non-oil economy is of growing importance, with petrochemical sales at around US$14 billion a year. Kamel Mukharesh Vice-Chairman – Moka Libani SAL www.mukharesh.com The metals and alloys sector could handle new projects. SABIC, which is 70% government owned and Saudi Arabia’s biggest and most diversified manufacturing company is active in chemicals and intermediates, industrial polymers, fertilizers and metals. The oil production company Saudi Aramco and Dow Chemical, is meanwhile looking to become one of the largest industrial companies in the world through an initiative called Sadara Chemical Company. In its quest for diversification, Saudi Arabia promotes regional economic development. The projects are not only aimed at nurturing new industries but also at providing attractive residential communities, with social and educational infrastructure developed to international standards, where people will want to settle for lifestyle and jobs. Foreign Direct Investment (FDI) will be attracted to Saudi Arabia, especially in the new cities, which represent the key to economic development and diversification. All of this offers a range of long-term opportunities for Colombian companies. Opportunities are also being created along the whole supply chain for engineering procurement, equipment suppliers, sub- contractors and consultants. Another smart idea is to offer Colombia as a hub for Saudi food security. What is clear is that Colombia must have NOW a strategy and chart a course for entering slowly but surely this important market, based on 3- prong approach: Business, Government and Culture. Businessmen are equipped to analyze the opportunities and take calculated risks, the government should actively support business groups through bilateral visits of High-level officials and last but not least is culture, which builds bridges between the Saudis and Colombians through educational exchange programs, cultural activities and tourism. It was very difficult for me to write this monthly report from Beirut. Loud background drums distracted me. It was not drums of the legendaries John Bonham (Led Zeppelin) or Keith Moon (the Who), but the drums of WAR!.. Now that things have cooled off a bit thank God (!), I remembered my favorite professor at Stanford University saying that the best promoter of peace is business between nations and people, and that motivated me again and the ink flowed again... So I had to start with the single largest prospective business partner for Colombia in the Arab world – Saudi Arabia. Good for Business and good for Peace. Saudi Arabia is the largest economy in the Middle East North Africa (MENA) region and a member of the G20, OPEC and, since 2005, of the WTO. According to the World Bank it is the 13th most economically competitive country in the world. The International Monetary Fund (IMF) recently ranked Saudi Arabia 8th among the world’s ten high growth economies. Saudi Arabia is in the midst of a massive development program - building new industrial cities as well as further developing its current infrastructure to meet the needs of the 21st century and of a growing young population. With a population of 28 million and GDP increasing by some 6% a year, the Saudi market is an important source of high value opportunities. Colombian companies should pursue a wide range of investment and business opportunities in Saudi Arabia in a range of sectors including education, healthcare, infrastructure and trading. Colombian groups should aim to find Saudi partners and business opportunities. I’m a strong believer that people lead business, and businesses lead governments. Colombian companies should eventually set up operations in Saudi Arabia in response to the great opportunities available. Maximizing local content and employment of Saudi nationals is increasingly the route to successful business there. Alternatively, a presence via an active local partner could be a good start, whereby one or more staff is a Colombian national who is eager for the job and possess the basic and necessary skills for success. Colombian business groups should be present at major conferences, trade missions and road shows; furthermore the human contact must be initiated with cultural and educational exchanges. Go to CV Saudi Basic Industries Corporation (SABIC) has achieved production in excess of 60 million tons a year of chemicals and intermediates, industrial polymers, fertilizers and metals and is a significant force in the global petrochemicals market.
  9. 9. [8] GENERAL DETAILS ECONOMY EDUCATION Dubai: Summer temperature up to 40°C and in winter 20°C. Abu Dabi: Arid and dry climate. Temp between 24 to 40°C. Ras Al Khaimah: Desertic. Winter 12°C - 42°C summer. Sharjah: Mild winters and very hot summers, 20°C - 43°C. Dubai: Dubai produces between 50.000 and 70.000 barrels of oil, or about 11,000 m3 per day. Abu Dabi: Generates by itself 15% of the GDP of the UAE. Ras Al Khaimah: It has focused on developing its industrial sector. Sharjah: Where is located the Khor Fakkan, major port on the east coast of the UAE. There are several public and private schools as well as universities. In recent years many universities and schools have been established, focused on the education of foreigners. DUBAI One of the most important emirates that comprise the United Arab Emirates, Dubai is located in the desert, on the Persian Gulf coast allowing the entrance of saltwater, called Khor Dubai or Dubai Creek, which crosses the city from northeast to southwest. Its area is around 4113 km² and most of the population residing there is foreign, mostly from the Asian continent. The pearl trade was, until the twentieth century, the largest revenue generator for the country and from the 60's oil discovery marked a significant change in the economy and administration of the emirate, ending with the dependence on the UK authorities. Named the "Venice of the Gulf" for its economic and strategic progress, sectors that generate higher revenues are construction, trade, entrepot, financial services and of course its important touristic approach based on shopping, Dubai being "the shopping capital of the Middle East", but also thanks to its architecture both ancient and modern hosting notable buildings such as the luxury hotels Burj Al Arab and Burj Khalifa - the tallest in the world, with 828m of height-, the artificial ports of Mina Rashid and Jebel Ali, and the housing complex of artificial islands, The World and The Palm islands. Dubai is strongly influenced by Islam and the Arab and Bedouin societies, which is reflected from the rules of etiquette, dress and literature, to gastronomy and art. GUEST CITIES OF THE United Arab Emirates ABU DHABI Abu Dhabi is the capital and second largest city of the United Arab Emirates. This is in a T- shaped island on the southeast of the Arabian Gulf, covering a total area of 67,340 km2. The emirate hosts the United Arab Emirate government, important financial headquarters, national and multinational companies and headquarters of the Emirati Royal Family, the center of political life, industrial activities, and a major cultural tradition. It is also the commercial center due to its position as capital. One of the world's largest producers of oil, Abu Dhabi has actively attempt in recent years to diversify its economy through investments in financial services and tourism. RAS AL KHAIMAH The Emirate has more than 300.000 inhabitants and a variety of landscapes ranging from the typical sand dunes and red desert, to the beautiful mountains and lush green plains along a series of streams and lakes. Ras Al Khaimah has a rich heritage which includes majestic forts and museums, ideal place to witness and experience Arab traditional activities such as belly dancing, camel rides, as well as live BBQ and sailing trips along with numerous water activities. Places like Bassata Desert Village, the Bedouin Oasis or Banyan Tree Al Wadi and its magnificent spectacle of eagles are just some of the recommended sites for tourists who eager to learn more about the Arab culture. SHARJAH Historically the Emirate was one of the richest towns in the region. Third largest and most populous city of the UAE, it is the only one having coasts in both the Persian Gulf and the Gulf of Oman, Sharjah is famous for its annual book fair considered the cultural capital of the UAE. The city is also noted for its recreational areas, amusement parks such as Al Jazeirah and Al Buheirah Corniche, and elegant mosques. On its territory you can find large oasis, being Dhaid the best known of these, where a wide variety of fruits and vegetables is grown.
  10. 10. [9] DIPLOMATIC MISSIONS AGENDA  Introductory Seminar to the Arab World: "ARAB COUNTRIES, ENTRY DOOR TO ALTERNATIVE MARKETS".  General Culture, and Business Culture, myths and realities, normativity, trade and cultural barriers.  Seminar - Diploma ABM (Arab Business Model).  HALAL Certification.  Accompanying companies in the search for emerging markets.  Networks / website.  Monthly Newsletter in Spanish and English, which is distributed through our database and allies (representatives, chambers of commerce, universities).  Commercial and Academic Missions, scheduled on the dates of important thematic exhibitions. PALESTINIAN CULTURAL WEEK The Palestinian Ambassador in Colombia inaugurated the Palestinian Cultural Week in Unitrópico. With the presence of the Ambassador of Palestine in Colombia, Nabil Imad Jadaa, Governor of Casanare, Marco Tulio Ruiz, Dean of Unitrópico and International Relations Coordinator of the Chamber of Commerce of Casanare, Mrs. Adriana Bitti; took place the opening of the Palestinian Cultural Week in Casanare, scheduled for September 20, 21 and 22 in Unitrópico. This is the first international cultural week held in the Department, during which the community generally from Unitrópico and Casanare can participate in conferences, workshops, exhibitions and screenings of movies and documentaries that allow them to learn more of the history, culture, life and conflict of the Palestinian people. During the first day of the Palestinian Cultural Week at Unitrópico Auditorium, after the inaugural conference of the Ambassador, attendees participated in the conference "Development of the Nakba. Palestine and the occupation since 1947 ", offered by the political advisor of the Embassy of Palestine in Colombia, Alexander Montero, the screening of the documentary" Palestine in the eyes of Tamam Al Akhal ". In addition, the photo exhibition "Palestine: Land of Wonders and Palestine under occupation," the Conference "Cultural Shocks and Adaptation of the foreigner to the mentality and traditions of the Arab countries", by Solarius Torijano, who served for four years as cultural project Coordinator for the Government of Jordan and the screening of the film Private Address were also schedule. ACCC SERVICES & BENEFITS Recognized by Embassy of the Arab Republic of Egypt Embassy of the Kingdom of Morocco Embassy of the Democratic and Popular Republic of Algeria Embassy of Palestine Embassy of the Republic of Lebanon

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