DOHA: Qatar’s ongoing policy to diversify its economy into non-hydrocarbon sector is expected to get a huge boost with the opening of three proposed Economic Zones scheduled in 2016-2017. With a projected 7.6 percent growth in the non-oil sector for the current year, Qatar is already ranked as the country with highest growth rate in the real non-oil sector in the region.
The three economic zones coming up in various locations will be mainly dedicated to the start-ups, innovations and SMEs in the non-hydrocarbon sectors.
Covering an estimated four square kilometres Zone One, under development near the Hamad International Airport, is expected to target companies that produce high-value technology and manufacturing, as well as regional and domestic logistics services. This zone will also be assigned to air freight, electronics, pharmaceutical industries and global warehouses.
The nearly 12sqkm Zone Two, being planned in the south of Doha Industrial Area, and the 34sqkm Zone Three close to the New Port Project will have the massive presence of maritime and logistics. These zones will also handle small to medium industrial companies in sectors such as maritime and other industries. Logistics will have a major presence in the new zone.
Ali bin Abdulatif Al Misnad, President, Qatar Association of Freight and Logistics (QAFL) told The Peninsula recently that Qatar’s existing estimated $150m logistic industry is set to grow in a big way in medium to long term. With over 32 major projects having been launched in Qatar, and many others in pipeline, the logistic sector is poised for a major growth, he said.
According to Qatar’s Economic Outlook 2013-2014, the country’s non-hydrocarbon (defined as all economic activity other than upstream oil and gas production) GDP is expected to grow by a robust 9.8 percent in 2013 and 10.3 percent in 2014. The services sector, the largest contributor to growth in 2013 and 2014, is expected to expand by 10.0 percent in 2013 and 10.1 percent in 2014.
In 2012, manufacturing output grew by 11.8 percent. Construction grew by 10.6 percent and the Services sector expanded 9.2 percent and the transport and telecommunications sub-sector grew by 12.1 percent. The first of the three zones is likely to open by the end of 2016. The third one is expected to open by the middle of 2017.
The Peninsula
