BSEF PANEL 3
THE PRODUCTIVE SECTOR
MANUFACTURING IN LEBANON
Mr. Paul Abi Nasr, Lebanon
August 3rd, 2019 - 10:30-11:40
Together we Strengthen the roots of our youth
The Bkerke Socio-economic Forum is an initiative of
The World Patriarchal Maronite Foundation for Integral Development.
All Rights Reserved
MANUFACTURING IN
LEBANON
Creating jobs while taking advantage of a unique selling proposition
Paul Abi Nasr
Economic Impact
% of GDP Share of Performing loans $ bn
18 8
16 7
14 6
12 5
10 4
3
8 2
6 1
4 0
2
0 2012 2013 2014 2015 2016 2017
Social Impact
% workforce ■ Currently stands at 12% of the total
workforce
15
■ UNIDO study points at 2.2 jobs
10 created in other sectors for every
job created in the manufacturing
sector
5
0 2016 2017
2015
Advanced Production Capacity
Untapped Potential
■ Geographic proximity gives a unique advantage to supply the European market with
short, diversified and ‘just in time’ production runs
■ Cultural and educational make up gives a clear edge in the development phase of a
product or service. The time to market is one of the shortest .
■ Ability to bridge linguistic gaps and product support across three languages.
■ High Quality Engineering cost is one of the lowest in the region
■ Ability to adapt to various standards and production levels
■ Big free production capacity. Current exports = 2.5 $bn ; 2016 = 4.5 $bn
■ Access to an extensive university network for R&D
Invest in Manufacturing
■ According to a recent LCPS study , Lebanon produces 77 out 100 most complex
products -> more value added products
■ Enlarging a company’s product portfolio through a Lebanese manufacturing facility
is environmentally and ethically sustainable .
■ Manufacturing facilities are easy to erect , with most of the technical knowhow
locally available.
■ Access to industrial loans at relatively low interest rates compared to the rest of the
region
■ Exemption from taxes for up to 10 years, exemption from Land Registration fees …
■ High quality of life makes it easy to attract international talent and expertise
■ Tapping into a very wide and diverse diaspora with emotional links to the country.
Investing in your own interest
■ No-Hassle development of new line of products
■ Free-Trade Access to the European Market through the Euro-Med agreement
■ Free-Trade Access to the Arab countries through the Tayssir agreement
■ Free-Trade Access to the North-African Countries through the soon to be ratified
Agadir Agreement
■ Joint Ventures with locally established companies = immediate access to
manufacturing capabilities
■ Sourcing from Lebanon = Easy , Priced properly , High Quality , exempt of customs .
THANK YOU