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The Gulf – gateway to multiple electronics markets
The countries along the Persian Gulf have long formed a transition area been the European, Asian and African continents. In history, trade, not oil, sustained people in the region. Oil brought wealth about to the few in the region but the ripple effects brought about by guest-workers from Pakistan and India did spread comparative wealth to other regions. As their home-countries tried limiting imports of electronic appliances in order to sustain the domestic manufacture of imitations, the guest-workers were the first to re-export electronic products from the Gulf to their home-countries. Since then, the many American and European companies dominating the market have largely been replaced by Japanese and Korean firms. New customers and manufacturers After the breakup of the Soviet Union, new (Russian, Ukrainian etc) customers have gained financial buying power and arrived by the bulk to airports like Abu Dhabi and Dubai as transiting and staying tourists or for business purposes in the region. They make up the new target groups for the different Gulf nations’ efforts to make money by selling electronic appliances like watches, cameras, white and brown goods etc. The market turnover is expected to break the three billion dollar barrier soon. UAE: local demand In a few years, the Gulf states have prospered and created an internal demand and now constitute 40 per cent of the total. Some sources judge the internal markets to be saturated, but the Dubai Chamber of Commerce claims that the country's excellent IT and telecom infrastructure lies behind what they call exponential growth in electronics. Local demand is, according to one report, more important than reexporting in this Mid-East electronics trade hub. There are also new destination markets further South. East African consumers are the new prospects for volume sales of electronic products in the Gulf region, as are consumers in the Iranian market. The enduser profiles of the Indian, African, and Iranian markets also fit the Asian manufacturers’ profiles in prioritizing cheap goods to expensive but perhaps more sophisticated products. Growth in India As seen in the growth of the Indian middle class, this may however change, as these markets’ demands for some segments of luxury articles most certainly will grow in due time. Already, the Iranian demands for consumer electronics are growing, with a wish-list topped by products such as cell phones, computers, and audio/video equipment. The market for consumer electronics devices is projected to grow at a rate of six per cent and reach ten billion US dollars by 2013. Environmental aspects The Gulf Cooperation Council is a trade pact comprising Saudi Arabia, Kuwait, Bahrain, Oman, Qatar, and the United Arab Emirates. The industrial growth in some of these countries has called for environmental legislation as regards both chemical substances and emissions. The Common System for the Management of Hazardous Chemicals put forth in 2002, establishes minimum legislation for toxic chemical substances, but sets no provisions for notification. In brief, the use of hazardous chemicals in the member states is forbidden by this regulation, unless granted a license. This framework directive is, at least in some of the member states, supplemented by
various laws and regulations on chemical substances, labelling, classification of materials etc. Text: Hansi Elsbacher/Greentech info
This page was last changed 26 October 2009
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Greentech info - Expertise in environmental compliance various laws and regulations on chemical substances, labelling, classification of mat...