The Jordan Chamber of Industry (JCI) and the Clearance and Freight Transport Companies Association (CFTCA) on Saturday announced an intention to sign a memorandum of understanding to expedite the flow of industrial exports and imports of raw materials to and from Jordan.
President of the Jordan and Amman Chambers of Industry Fathi Jaghbir said that clearance companies play
major economic and investment roles, calling for discussing the obstacles and challenges facing their work.
Jaghbir and Daifallah Abu Aqula, President of the CFTCA, discussed mechanisms of joint cooperation to support the clearance sector, as well as other supporting sectors, which would increase the volume of national exports.
The industrial sector, Jaghbir stressed, is one of the largest economic sectors contributing 24.7 percent directly and 40 percent indirectly to the Gross Domestic Product. It holds large export capabilities that constitute 93 percent of the total national exports, and its products flow into more than 142 countries.
The sector also attracts investments to the Kingdom, accounting for 80 percent of foreign investments that flowed into the country over the last decade, with a volume of investment estimated at JD15 billion.
For his part, Abu Aqula lauded the role of the chambers of industry in backing the sectors that support the industrial sector, pointing out that the clearance sector is a major part of the production and marketing process as 535 companies provide thousands of job opportunities for Jordanians.
The supporting sector faces several challenges, namely the high operational costs including licensing fees and bank commissions on guarantees submitted to the Customs Department, the Ministry of Transport, professions licenses, office rent wages and social security.
On the other hand, challenges facing Jordanian exports include requirements set by other countries, prohibition of some goods, red tape and specifications, and high shipping fees, in addition to the production costs of labor, energy and licenses.
Source: Jordan News Agency