Agro-food exports continue to increase

Five agro-industries benefited from IDAL incentives

Industrialized agro-food products accounted for nine percent of total exports in 2012. According to the Lebanese Customs, the volume of agro-food exports has grown at an average annual rate of around seven percent since 2008. In a recent report, the Investment Development Authority of Lebanon (IDAL) released figures that show the sector's progress.

The report said that since 2005, five agro-industrial enterprises totaling an investment of $16 million benefited from IDAL incentives, among which Master Chips, Poppins, Tayyibat, and Cedar’s Premium Food and Beverage.

Beverages, spirits, and vinegar had the largest share of total agro-food exports with 32 percent. Processed vegetables, fruits, and nuts came in second with 18 percent, followed by products of the milling industry with nine percent.

About 42 percent of total agro-food exports were destined to Arab countries, primarily Syria and Jordan. Gulf countries, particularly Saudi Arabia and Kuwait, came in second with around 24 percent. Western Europe’s share of these exports was about seven percent.

The agro-industrial sector generated about 32 percent of the industrial sector’s output in 2012, accounting for around three percent of the country’s GDP, according to the National Accounts.

The sector has an estimated size of $3 billion and has grown by nine percent between 2007 and 2010.The IDAL said imports of intermediary products for the industry have grown consistently by an annual five percent over the past five years.

Agro-food enterprises account for the largest share of industrial establishments, with 18 percent of enterprises. According to the Ministry of Industry, the sector provides employment for an estimated 20,000 workers.