Share Story
AMMAN — The industrial sector could unlock new investment opportunities by substituting imports with locally manufactured products, according to a new study by the Jordan Chamber of Industry (JCI), which identified nearly JD9 billion worth of imports with no domestic production alternatives.
The study, titled "Production Gaps and Import Substitution Alternatives: Potential Investment Opportunities", highlights significant scope for expanding local manufacturing across a range of sectors, identifying opportunities to strengthen the industrial base, create jobs and increase the sector’s contribution to economic growth.
Based on an analysis of Jordan’s foreign trade data, the study seeks to identify industrial activities that can be localised to reduce import dependency and boost value-added production within the national economy.
It showed that a substantial share of imports consists of goods not currently manufactured domestically, despite demand levels that could support viable industrial investment, the Jordan News Agency, Petra, reported.
The analysis covered 10 industrial sectors, including food industries, engineering industries, pharmaceuticals, chemicals, plastics, leather and garments, mining, construction materials, wood industries, and packaging, paper and cardboard products.
The chamber said the strongest investment prospects lie in products with high import values and persistent trade deficits, where conditions are favourable for local production and industrial expansion.
It added that investors entering these sectors could benefit from established domestic demand, as well as opportunities to expand into regional and international export markets.
The study forms part of broader efforts to promote data-driven investment planning, providing a practical guide to sectors where production gaps remain significant.
The chamber stressed that Jordan’s industrial sector has the expertise, infrastructure and capabilities required to attract new investment and develop competitive manufacturing industries.
Building on the findings, it announced plans to launch a second phase of the study, which will provide detailed investment profiles for each identified opportunity.
The next phase will include assessments of market size, export potential, supply chains and preliminary feasibility, offering investors a more comprehensive guide to potential projects.
The JCI also pledged to work with government institutions and private-sector stakeholders to promote the identified opportunities and convert them into productive industrial ventures that support job creation, expand exports and advance the Economic Modernisation Vision (EMV).
It said addressing industrial production gaps represents a strategic opportunity to strengthen economic resilience and reduce dependence on external markets.
According to the study, partial localisation of current imports could generate positive impacts on economic growth, improve the trade balance and enhance the sustainability of industrial development.
The chamber called for integrating the identified opportunities into the national investment map to help direct capital towards priority sectors and maximise the industrial sector’s contribution to the national economy, Petra reported.
