اقتصاد

Head of "Jordan and Amman Industry" to "Al-Anbat": The work of 30% of the industrial companies has stopped

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Al-Anbat -
Al-Anbat-Zeina Al-Barbour

Translated by: Batool Alhajjaj

 In an exclusive interview conducted by "Al-Anbat" with the head of the Chamber of Industry of Jordan and Amman, Fathi Al-Jaghbir, about the losses incurred by the local industry as a result of the strike, in which he emphasized that the industry had clearly suffered during the past days, due to the events of the strike that affected the transport sector, including the owners of freight vehicles.  And transportation, due to the continuous and recent rise in fuel prices, specifically diesel fuel prices, which is the main cost for the freight and land transport sectors.

And he showed the close and integrated linkage of the industrial sector with the transportation sector in all its forms, by sea, air, and land, whether through the transfer of national goods to foreign markets, the transfer of national goods to local markets, or the transfer of imported raw materials to local factories, in addition to the transfer of labor in factories to and from other places to do their work.
 
He explained that the strike caused huge losses and costs to the industrial sector in particular, as the production of export operations and the import of raw materials stopped, pointing to its negative effects on the national economy in general.

Al-Jaghbir indicated that, according to the estimates of the Jordan Chamber of Industry, the volume of delays and daily losses of priority and raw goods to the national industry was estimated at about 15 million dinars, of which a large proportion was food-related goods that were quickly damaged. He added that he estimated the daily volume of industrial exports to foreign markets at about 25 million. Dinars, stressing that these are all daily losses that affected the industry in particular and the national economy in general.

He said that there are results of a questionnaire circulated on the industrial sector to monitor the size of the damage and the factories stopped as a result of stopping the shipping process. About 201 industrial companies showed, as of Saturday 12/17/2022, that they have more than 1,639 containers of production inputs stuck in Aqaba, an average of 8.15  container for each factory, pointing out that it is a number that certainly affects the continuity and sustainability of production processes.

And he continued that in terms of export shipments, the responding companies indicated that they have more than 990 export containers waiting to cross to their destination, an average of 5 export containers for each factory, which incurs factories delay fines and possibly damage to goods.

He added that this halt caused 59 industrial companies to stop working out of the 201 responding companies, meaning that nearly 30% of the industrial companies stopped their work as a result of the strike, and this is an indication of the difficulties and damages incurred by the industrial sector, which would have increased if the strike continued and was not dismantled.

  Al-Jaghbir stressed that it is not possible to talk about positive results for such events, as strikes impede the productive process of the Jordanian economy, especially since the transport sector is the main artery for the flow of goods and commodities, indicating that such events lead to the disruption of the national industry, and thus the inability of the industry to  bear more burdens in light of the suspension of its production operations.

From another perspective, Al-Jaghbir explained that it is possible to benefit from what was done after the strike was lifted because of the high fluidity of the movement of releasing goods in the port of Aqaba, and it can be built upon to continue this speed of achievement for the release of goods in the future.

And he indicated that there are expectations for the government's work during the coming period to radically address all the problems facing the transport and freight sector in a way that raises its efficiency and is certainly reflected in the competitiveness of the economic sectors as a whole, especially the industrial sector.

Al-Jaghbir concluded that whatever the positive results that will be reflected as a result of these events, they will come after many industrial establishments, commercial companies, and individual workers recorded additional losses and costs, indicating that the optimal solution lies in the joint dialogue and exchange of views at the table of the dialogue between the Government and the producers from different sectors to reach a solution that satisfies all national interests, stressing that strikes are not an ideal solution for any problem or challenge s economic and political conditions, given the country's urgent need to use every moment to advance the national economy.
 
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