Amman: The Jordan Chamber of Industry announced that Jordan has achieved the top rank in the Arab world and 27th globally in terms of manufacturing industries’ contribution to the gross domestic product (GDP). This accomplishment underscores the Kingdom’s advanced national production base and deep industrial value chains.
According to Jordan News Agency, this ranking is based on a classification by the United Nations Industrial Development Organization (UNIDO). The paper released by the chamber highlights the industrial sector’s significant growth, with its added value reaching JD8.6 billion last year, a substantial increase from JD4.4 billion in 2010. This represents a cumulative growth of over 94% and an annual growth rate of about 5% over the past decade.
The development in Jordan’s industrial sector reflects enhanced production capacities, improved efficiency in manufacturing processes, and stronger economic interconnections with other sectors. The industrial sector’s contribution to the GDP in 2024 was reported to be 22.6%, with manufacturing accounting for 17.7%, extractive industries at 3.3%, and electricity and water at 1.6%.
The report identifies the industrial sector as a crucial pillar of Jordan’s national economy, contributing to growth, employment, and exports. Within the industrial sub-sectors, the food and beverage sector emerged as the leader, contributing 5.6% to the GDP, attributed to its substantial production base and widespread geographical presence across the Kingdom’s governorates.
Engineering and electrical industries followed with a 4.8% contribution to GDP, while mining industries accounted for 3.3%. The pharmaceutical industry, textiles, and chemical and cosmetics sectors also made notable contributions, reflecting a diverse and robust industrial base in Jordan.
Regarding added value from total output, the engineering and electrical industries led with 57.2%, highlighting the sector’s high knowledge and technology content. The medical and pharmaceutical industries, along with mining industries, also showed significant added value contributions, emphasizing their economic impact.
The Chamber stressed the importance of enhancing industrial added value to create better job opportunities, increase factory production capacities, and boost the competitiveness of Jordanian products in global markets. It emphasized the need for vertical integration within production chains, reducing operating costs, and facilitating access to international standards certifications to expand market reach for Jordanian exports.
The report also highlighted the importance of investing in research, development, and innovation in the industrial sector as essential strategies for increasing added value, enhancing competitiveness, and achieving sustainable growth.