STUDY N°7 / January 2010 Invest in the Mediterranean the in Invest Mediterranean Investment Map Sectoral guidebook on public investment policies in the Mediterranean Mediterranean Investment Map Sectoral guidebook on public investment policies in the Mediterranean Study N°7 January 2010 ANIMA Investment Network Mediterranean Investment Map References This report was prepared by the ANIMA team within the framework of the Invest in Med contract. This programme is co‐financed by the European Commission through a grant contract, within the European Neighborhood Policy Instrument. It is targeted at the 27 countries of the European Union, and the 9 Mediterranean partner countries (Algeria, Egypt, Israel, Jordan, Lebanon, Morocco, Palestinian Authority, Syria and Tunisia). The Invest in Med programme aims at developing sustainable trade relationships, investments and enterprise partnerships between the two rims of the Mediterranean. The content of this document is the sole responsibility of the MedAlliance consortium and cannot be considered as reflecting the opinion of the European Union. ISBN 978‐2‐915719‐37‐6 EAN 9782915719376 © ANIMA‐Invest in Med 2009. No part of this publication may be reproduced without express authorisation. All rights reserved. Authors . The realisation of this guide has been directed by Emmanuel Noutary and co‐ordinated by Jeanne Lapujade. Other contributors : Samir Abdelkrim, Pierre Henry, Zoé Luçon and Bénédict de Saint‐Laurent (ANIMA). Maps realised with Open Carto ‐ ICIA Technologies (and Google Maps) . Various Investment Promotion Agencies of the MED region and Invest in Med partners have provided information for this guide (see also the website references and the bibliography). Neither ANIMA nor any of the partners involved may be held responsible for the data or information supplied. Any error or lack of precision should be signalled to [email protected]. ANIMA is interested in your comments, complementary information and updates. Many thanks. 1 Mediterranean Investment Map Acronyms . ANIMA: Euro‐Mediterranean Network of Investment Promotion Agencies . BPO: Business Process Outsourcing . ERP: Enterprise Resource Planning software solutions . EU: European Union (somitmes the historical members EU‐15, the new members EU‐10, and the EU‐25) . FDI: Foreign Direct Investment . GDP: Gross DomesticProduct . GIS: Geographic Information System . ICT: Information and Communications Technologies . IP: Internet Protocol . IZ: Industrial Zone . MED or MED‐9: The 9 Mediterranean partner countries of the EU: Algeria, Egypt, Israel, Jordan, Lebanon, Morocco, Palestinian Authority, Syria, Tunisia . MIPO: Mediterranean Investment Project Observatory . MICE: Meetings Incentives Promotions and Exhibitions . R&D: Research and Development . RMG: Ready made garments . SME: Small and Medium Entreprises . WTO: World Trade Organisation . VAT: Value Added Tax 2 Mediterranean Investment Map Table of contents 1. Guiding investors in the Mediterranean ................................... 8 Mapping the sectors and activity zones ........................................................ 8 Providing a quick access to operational information .................................. 8 Towards an economic Atlas of the Mediterranean ...................................... 9 Providing dynamic and interactive tools ................................................................9 A mutualised knowledge database among operators ..........................................10 2. Sector positioning in the Mediterranean ................................... 12 Panorama of the priority economic sectors ................................................... 12 Tracks for an international positioning of the Mediterranean ................... 14 The needs are still important and many opportunities remain untapped ........14 Some value chains are anchoring in the Mediterranean ......................................15 3. Algeria .............................................................................................. 20 Economic Outline ............................................................................................. 20 Modernising infrastructure for boosting national economic growth .................20 The FDI policy: an ambivalent position ..................................................................23 Strategic Map / 1. Resources ........................................................................... 26 Strategic Map / 2. Industry .............................................................................. 27 Strategic Map / 3. Services ............................................................................... 28 Strategic Sectors ................................................................................................ 29 Hydrocarbons, Energy and Mining .........................................................................29 Petrochemicals and Fertilisers ..................................................................................30 Metal, Steel and Building materials .........................................................................31 Agriculture, Agri‐Business and Fishing ..................................................................32 Drugs, Veterinary and Medical Care .......................................................................33 Electrical and Electronic Industries .........................................................................34 Information and Communication Technologies (ICT) .........................................35 Automotive and Mechanics ......................................................................................37 Tourism ........................................................................................................................38 Land Planning and Housing .....................................................................................39 Transport ......................................................................................................................40 3 Mediterranean Investment Map 4. Egypt ................................................................................................. 42 Economic Outline ............................................................................................. 42 An economy resolutely moving towards activities offering both a high added value and a strong potential for export development ..............................42 FDI to finance infrastructure development and boost exports ...........................45 Strategic Map / 1. Resources ........................................................................... 48 Strategic Map / 2. Industry .............................................................................. 49 Strategic Map / 3. Services ............................................................................... 50 Strategic sectors ................................................................................................ 51 Information and Communication Technologies (ICT) .........................................51 Drugs and Healthcare ................................................................................................52 Banking, Insurance and Other Financial Services .................................................53 Textile, Leather and Ready‐Made Garment (RMG) ..............................................54 Agriculture and Agri‐Business .................................................................................55 Energy, Water and Environment .............................................................................56 Tourism ........................................................................................................................57 Retail .............................................................................................................................58 Transport and Logistics .............................................................................................59 5. Israel ................................................................................................. 60 Economic Outline ............................................................................................. 60 A regional economic power based on innovation .................................................60 A liberal country continuously committing to economic openness ...................63 Strategic Map / 1. Resources ........................................................................... 66 Strategic Map / 2. Industry .............................................................................. 67 Strategic Map / 3. Services ............................................................................... 68 Strategic Sectors ................................................................................................ 69 Information and Communication Technologies (ICT) .........................................69 Minerals, Chemicals and Fertilisers .........................................................................70 Life sciences .................................................................................................................71 Automotive ..................................................................................................................72 Water, Energy and Environment .............................................................................73 Agriculture, Irrigation and Agro‐technologies ......................................................74 Tourism ........................................................................................................................75