Trade Ministry to use ‘force of law’ to regulate prices – Shamali

AMMAN — Minister of Industry, Trade and Supply and Minister of Labour Yousef Shamali on Tuesday said that the ministry will use “the force of the law” to regulate the prices of any essential commodity in case of overpricing. 

Shamali pointed out that price ceilings had been set for some goods earlier including chicken, and said that there is a secure strategic reserve of all supply goods, according to the Jordan News Agency, Petra.

The ministry imports various food items from different sources, in addition to continuous monitoring of the industrial and commercial sectors to maintain sufficient stock, especially for wheat and barley, of which there is enough supply for 13 months, he noted.

He added that food prices locally have generally entered a recovery phase from the consequences of the COVID-19 pandemic and global geopolitical conditions.

The minister also stated that the ministry is conducting a continuous study of prices for 155 food items, which are mostly stable. He added that some have even seen clear reductions and noted that prices are much lower than the same period last year, showing a decrease of at least 10 per cent.

Regarding the national export strategy announced by the ministry last month as part of the 2023-2025 Executive Programme of the Economic Modernisation Vision (EMV), Shamali noted that the strategy aims to create a supportive business environment for Jordanian industrial and agricultural goods, and service, which will reflect positively on the stability and balanced growth of various economic indicators.

Shamali also said that the Industry Support Fund was established to implement the government's Economic Priorities Programme for 2021-2023, which aims to reduce production costs for the national industry, enhance its competitiveness and increase exports. 

Financial allocations for the fund will be provided by an annual budget allocation of JD30 million, totalling JD90 million between 2023 and 2025. It is expected that 680 companies will benefit from the fund, creating 5,000 job opportunities, including 700 for women, he said.

He indicated that according to the executive programme of the vision for the next three years, a centre for exhibitions would be established and developed, a national export strategy will be prepared and implemented for the next two years, and an industrial policy will be prepared to focus on value-added sectors. The later will create a suitable and stimulating environment for the textile sector and the garment sector, improve productivity and competitiveness of the pharmaceutical industry sector, and establish a specialised vocational training centre for the hybrid and electric vehicles, and heavy machinery.

The executive programme for the economic vision generally includes 183 initiatives selected from 380 to be implemented through 418 priorities, with a total cost of up to JD2.3 billion by the end of 2025, including JD670 million during 2023.

Within the high-value industries engine, the executive programme includes 64 initiatives and 116 priorities with a total cost of JD315 million, including JD91 million during 2023. Among the priorities in the industry sector within this engine are the industry support fund, the National Employment Programme (NEP), and the preparation and implementation of the national export strategy.

In the commercial sector, the vision included the establishment of a pricing database, the initiation of implementing, and supporting e-commerce, amending and approving the e-commerce law.

Regarding the results of the quadrilateral partnership, Shamali said that it aims at achieving integration in various industrial sectors, enhancing supply chain and food security and laying the foundations for broader Arab economic cooperation.

Stressing that it achieved significant successes in a short period, he referred to the announcement of a package of investment projects worth more than $2 billion and the signing of 12 agreements during the third meeting of the "Higher Committee for Integrated Industrial Partnership for Sustainable Economic Development" held recently in Amman.

He pointed out that the projects are expected to raise the gross domestic product of four countries namely Jordan, the United Arab Emirates, Egypt and Bahrain, by at least $1.6 billion and provide around 13,000 job opportunities. 

On the enhancement of the Jordanian-Iraqi economic cooperation, Shamali noted that the Jordanian-Iraqi Joint Committee, in its 29th session held in Baghdad last February, reached agreements and understandings to strengthen bilateral cooperation between the two countries in the fields of energy, trade, investment, economic estate, transport, agriculture, education, culture, youth, water, tourism, antiquities and vocational training.

Shamali confirmed that the joint economic estate project has reached advanced stages, as the Jordanian-Iraqi company, owned by the two governments, has issued an international bidding invitation to attract a developer for the project. The invitation is open to Jordanian, Iraqi and international companies to implement the project, which is located on the border between the two countries.

As for the progress made in bilateral cooperation between Jordan and Algeria, Shamali referred to a recent ministerial delegation visit to Algeria, which resulted in practical outcomes, including the signing of a roadmap for the period 2023-2025 to enhance economic cooperation between the two countries in trade, investment and other areas. Other priority sectors for the industry, energy and mining, agriculture, transport, tourism, health, social security and culture were also explored.

Regarding health cooperation, the minister said that six Jordanian hospitals have been identified to receive Algerian patients, as well as arrangements are in the final stages between hospitals and relevant authorities in Algeria.

A direct airline between the two countries has been operated by Royal Jordanian as of March 9, followed by Algerian airlines on March 15, he added.

In terms of promoting national exports, Shamali said that they have recovered from the COVID-19 pandemic and its aftermath, achieving a record increase during the last year, surpassing the growth rate achieved in 2019 before COVID-19. 

The exports increased from 6.8per cent to 33.8 per cent in 2022, reaching JD 8.08 billion. Additionally, exports continued to rise during January, according to the latest data on foreign trade. National exports only grew by 1per cent in 2020 due to the COVID-19 pandemic and its effects.

The minister also said that the unemployment rate during the fourth quarter of 2022 was 22.9 per cent, showing a decrease of 0.4per cent from the fourth quarter of 2021, and a decrease of 0.2per cent from the third quarter of 2022. 

He stressed that the government is working on multiple fronts to reduce unemployment, including through the NEP launched in April 2022, which began receiving job seekers in July last year.

So far, about 20,442 people have benefited from the NEP, having signed contracts and started working with 949 private sector institutions. Among the beneficiaries, approximately 9,890 are women, including 1,583 beneficiaries of the National Aid Fund.

The minister clarified that the goal of the NEP is to provide 60,000 job opportunities for Jordanians over two years in the private sector. The total number of registered job seekers in the programme is 54,026, while the number of available vacancies in the labour market through the programme is 57,086.