Diversifying Our National Exports

Musa A. Al-Saket 

In the first half of 2024, six industrial products only accounted for approximately 58% of the total value of Jordan’s national exports, which amounted to around 4 billion Jordanian dinars.اضافة اعلان

The six main products were:

- Clothing and its derivatives: This category held the largest share with a value of 1 billion dollars, achieving a growth of 21.5% compared to the same period last year.

Chemical fertilizers: Exports of fertilizers totaled 620 million dollars, but saw a decline of 22.2%.

Jewelry and precious metals: Exports reached 525 million dollars, but decreased by 19.5%.

Pharmaceutical products: Exports increased by 14.8%, reaching 390 million dollars.

Raw phosphate: Exports of phosphate declined to 263 million dinars, with a decrease of 16.2%.

Raw potash: Exports of potash fell by 36.7%, recording 368 million dollars.

This performance reflects the significant role these goods play in supporting the Jordanian economy, despite challenges related to global market fluctuations for certain commodities such as phosphate and potash. 

The improvement in the exports of clothing and pharmaceuticals has helped mitigate some of the negative effects from the downturn in the other sectors mentioned above.

However, if we are to increase our national exports and achieve the growth levels required and outlined in the Economic Modernization Vision—targeting a 5.6% growth—while also creating jobs for a large number of Jordanians, it is essential to diversify our exports. 

Additionally, expanding the number of countries we export to is crucial. It is unreasonable for only seven foreign countries to account for 70% of our exports, especially since we have embassies in most countries around the world.

Therefore, the focus should be on several key points:

- Opening new markets by establishing new agreements and improving existing agreements, such as the agreement between Jordan and the European Union, which has yet to be fully utilized to benefit the Jordanian economy.

- Enhancing the competitiveness of products and industries, especially those with high added value, and providing specific incentives for them.

- Attracting foreign investment through the continuous efforts of the Ministry of Investment in highlighting Jordan’s industrial competitive advantages. 

- It is also crucial to establish an economic & export department in Jordanian embassies in countries considered attractive markets for national products, staffed with professionals and experts.

Additionally, trade agreements increase foreign investors' confidence in the Jordanian market, viewing it as a gateway to broader markets. 

These points, including trade agreements, represent an opportunity to develop the Jordanian economy by enhancing the diversity of exports, which is essential for achieving sustainability, addressing economic challenges, and most importantly, increasing economic growth and performance.