IDAL 2017investinlebanon.gov.lbINVESTAKKAR

INVESTMENT OPPORTUNITIESIN AKKAR2017

IDAL 2017

AKKAR

IDAL 2017

I. BASELINE ANALYSISOF AKKAR

IDAL 2017

AKKAR GOVERNORATE LOCATION

Akkar Total Area Size = 788 Km2

7.5% of Total Lebanese Territory

The Governorate of Akkar is located in the far North of Lebanon, covering an area of 788 km². It shares a 100 km border with Syria

BASELINE ANALYSIS

IDAL 2017

DISTRIBUTION OF POPULATION PER GOVERNORATE % | 2016

Source: UNHCR

It is the second least populated Governorate with around 330,000 inhabitants and a population density of 419 people/km²

BASELINE ANALYSIS

Akkar Total population = 330,000

Population Density = 419 people/Km2

IDAL 2017

CONCENTRATION OF POOR HOUSEHOLDS PER GOVERNORATE % | 2014

BASELINE ANALYSIS

North Lebanon including Akkar is home to around 31% of Lebanon’s poor households…

Source: World Bank. National Poverty Targeting Plan, 2015

IDAL 2017

UNEMPLOYMENT RATE BY GOVERNORATE % | 2009

Women unemployment is

13.2%

Source: The Labour Market in Lebanon – Najwaa Yacoub, Lara Bdre 2011BASELINE ANALYSIS

... Coupled with high unemployment rate in the governorate reaching 8.2% compared to a national average of 6.4%

IDAL 2017

II. COMPETITIVE ADVANTAGES OF AKKAR

IDAL 2017

The competitive advantages of the district will be assessed along 4 dimensions

AKKAR ADVANTAGES

DIMENSIONS FOR ASSESSING NORTH LEBANON

ACCESS TO RESOURCES

ACCESS TO HUMAN CAPITAL

ACCESS TO MARKETS

ACCESS TO FINANCENatural Resources Economic Activities

1.

2.

3.

4.Technical & Vocational Schools UniversitiesLabor Pool

InfrastructureExport Activities

Banks & Financial Institutions

IDAL 2017

Akkar has an undisputed wealth of natural resources, with a fertile soil and three rivers, making it the second major agricultural area in the country…

Source: CDR. National Physical Master Plan of The Lebanese Territory, 2005

SOIL CLASSIFICATION IN AKKAR | 2005 MAJOR RIVERS IN AKKAR | 2005

AKKAR ADVANTAGES

1

IDAL 2017

AGRICULTURAL DOMAIN IN AKKAR |2005

AKKAR ADVANTAGES

… with an agricultural land covering 57% of the Governorate’s territory,accounting for 45,200 ha, 43% of which is irrigated

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Source: CDR. National Physical Master Plan of The Lebanese Territory, 2005

IDAL 2017Source: Ministry of Agriculture Source: FAO, 2010

CULTIVATED AREA IN AKKAR % | 2011 AGRICUTURAL MAP OF LEBANON | 2010

AKKAR ADVANTAGES

Around 38% of cultivated lands are used for the cultivation of cereals,followed by 25% for vegetables and 18% for olives…

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IDAL 2017Source: Ministry of Agriculture

AGRICULTURAL OUTPUT IN AKKAR |2015

AKKAR ADVANTAGES

… With potatoes and citrus the most common produced and exported crops from Akkar creating opportunities for potatoes processing factories in the region

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IDAL 2017* LATEST AVAILABLE FIGURES

Source: FAO, Agriculture in Lebanon: Facts and Figures, The Core Module of the Census of Agriculture 2010

NUMBER OF AGRICULTURAL HOLDINGS WITH CATTLE % | 2010*

NUMBER OF AGRICULTURAL HOLDINGS WITH SHEEP % | 2010*

No in Akkar = 4,482

No in Akkar = 764

AKKAR ADVANTAGES

Akkar also has a rich livestock production in particular for cattle accountingfor 43% of total holdings of the country creating opportunity to boost dairy and organic fertilizers production

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IDAL 2017

DISTRIBUTION OF PACKING CENTERSIN LEBANON % | 2017

DISTRIBUTION OF COLD STORAGE HOUSES IN LEBANON % | 2017

No in Akkar= 2

No in Akkar = 1

Source: IDAL’s CalculationsAKKAR ADVANTAGES

The Governorate hosts the lowest number of cold packing centers and cold storage houses which are not enough to cater for its abundant agricultural produces

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IDAL 2017

NUMBER OF INDUSTRIAL FIRM PER SECTOR IN AKKAR | 2015

DISTRIBUTION OF INDUSTRIAL FIRMS PER SECTOR IN AKKAR % | 2015

Source: Ministry of Finance, IDAL’s calculations

AKKAR ADVANTAGES

The Industrial sector is still at its infancy stage with the Agro food sector taking the lead

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IDAL 2017

DISTRIBUTION OF PUBLIC TECHNICAL SCHOOLS BY MOHAFAZA % | 2015-2016

DISTRIBUTION OF PUBLIC TECHNICAL STUDENTS BY MOHAFAZA % | 2015-2016

Source: CERD, 2016AKKAR ADVANTAGES

In terms of access to education, North Lebanon including Akkar has the 2nd highest share of technical schools in Lebanon

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IDAL 2017

TECHNICAL SCHOOL TRAININGS LOCATION

IRC Car repair, hospitality/service and production, sewing, marketing and sales, kids animation, dolls making

15 villages in Sahel el Kayteh, Dreib Awsat, Dreib Aala, Joumeh, and Sahel

DRC with Hadatha Soft and life skills, Medical secretary, Photography, Sewing and fashion, Beauty

Trainees are from eight villages from Sahel el Kayteh and Sahel. Trainings are delivered in the center in Wadi el Jamous

DRC with Arc En Ciel Hospitality: service and production, Candle making

Halba

Office of Transition Initiatives - OTI

Cellular maintenance Wadi Khaled

Digital Opportunity Trust - Dot.

Computer, Languages, and other skills Wadi Khaled

Arab NGO Network for Development - AND

Garments, Doll making, Telephone repair, Candle making, Soap making

Michmich, Wadi Khaled, and other locations

World Vision Soft skills Middle Dreib

Rabita Nisai’ya Hair dressing, embroidery, sewing, Soft Skills (computer and English)

Halba

Mouvement Social Curtains sewing, Hospitality, Administrative assistant…and others

Halba, Bibnin, Denbo, and others

Source: BIAT

NGOS’ VOCATIONAL TRAININGS IN AKKAR

AKKAR ADVANTAGES

It is home to more than 9 vocational and technical schools, with a focus on hospitality and soft skills such as marketing…

2

IDAL 2017Source: Ministry of Education and Higher Education, IDAL Analysis

DISTRIBUTION OF REGISTERED STUDENTS IN NORTH LEBANON AND AKKAR | 2016

Registered Students = 98,760

AKKAR ADVANTAGES

… in addition to 18 universities spread between Akkar and North Lebanon enrolling around 100,000 students…

2

IDAL 2017

DISTRIBUTION OF STUDENTS IN NORTH LEBANON AND AKKAR PER MAJOR % | 2016

N in BA students = 31,405N of Engineering Students = 25,381

AKKAR ADVANTAGES

… the majority of whom graduate with a degree in business and law or engineering, accounting for around 32% and 25% of graduates respectively

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Source: Ministry of Education and Higher Education, IDAL Analysis

IDAL 2017

DISTRIBUTION OF LABOR FORCE BY ACTIVITY IN AKKAR % | 2008

Source: Mada Association. Forgotten Akkar, 2008

Labor in Agriculture= 25,592

AKKAR ADVANTAGES

30% of the local labor force is engaged in the agriculture and fishing sector

2

IDAL 2017

JOBS CREATED IN THE INDUSTRIAL SECTOR | 2012-2015

Source: ALI Industry Indicators Report 2017 AKKAR ADVANTAGES

… with much less in the industrial sector despite the slight increase over the years of the labor force engagement in industrial work

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IDAL 2017

MAP OF TRANSPORTATION INFRASTRUCTURE | 2015

AKKAR ADVANTAGES

In terms of access to markets, Akkar is located 40 mins away fromthe port of Tripoli, Lebanon’s 2nd biggest Sea Port…

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• Receives around 450 ships/year (37 ships/month)

• Total capacity = 9 million tons /year

IDAL 2017AKKAR ADVANTAGES

…and is at close proximity of the Rashid Karami International Fair, the Qlayaat airport and Tripoli Special Economic Zone

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Area of 1 million sqm

5th among the largest exhibition centers in the world

Includes an exhibition space, a guest house and a theatre with 100 seat capacity

INFRASTRUCTURE & LOGISTICS IN NORTH LEBANON

Source: IDAL North Profiling, 2015

RASHID KARAMI INTERNATIONAL FAIR QLAYAAT AIRPORT

TRIPOLI SPECIAL ECONOMIC ZONE

(TSEZ)

Provides companies with fiscal, financial, as well as non-financial incentives.

TSEZ was etablished in 2008 through law No 18 which created the framework for the zone and the authority that will regulate it.

Civil & military airport with a runway of 3km by 45m

Capacity (per year): 1 million passenger and 200,000 tons of freight

IDAL 2017

LEBANESE EXPORTS IN FRUITS & VEGETABLESBY REGIONS % | 2016

LEBANESE CROP EXPORTS% | 2016

Source: Lebanese CustomsAKKAR ADVANTAGES

The region is a major exporter of fruits and vegetables with 24% of crops being exported from the North, with potatoes the largest exported crop from Akkar

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IDAL 2017

LIST OF EXPORTERS OF FRUITS AND VEGETABLES IN AKKAR

COMPANY NAME PRODUCTS

COGENA الجمعية التعاونية الزراعية العامة في الناصرية و جوالرها Fruits and Vegetables

مؤسسة البير جرجس طعمة التجارية Potatoes

شركة مارينا لالستيراد و التصدير ش.م.م. Fruits and Vegetables

الجمعية التعاونية للتنمية و تصنيع المنتجات في عكار و الضنية م.م. Fruits and Vegetables

AKKAR ADVANTAGES

It has 4 large exporters which produce the bulk of potatoes in Akkar

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IDAL 2017

DISTRIBUTION OF COMMERCIAL BANKS IN LEBANON % | 2016

Source: IDAL Analysis

AKKAR ADVANTAGES

Despite hosting the smallest share of commercial banks in the country, thegovernorate is home to 4 micro-finance institutions available to facilitate financing

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NAME OF MICROFINANCE INSTITUTIONS

Emkan Economic & Social Development Fund (ESDF)

Vistas

Al Majmoua - The Lebanese Association for Development

IDAL 2017AKKAR ADVANTAGES

The competitive advantages of the district can be summarized as follow

DIMENSIONS FOR RATING AKKAR

ACCESS TO RESOURCES ACCESS TO HUMAN CAPITAL ACCESS TO MARKETS ACCESS TO FINANCE1. 2. 3. 4.

Natural Resources: fertile soil and water resources, and vast agricultural land covering 57% of the governorate Economic activities: 30% of the labor force is involved in the agriculture sector

Infrastructure: access to the second largest seaport, an airport, and an international fair center

Export activities: large export activities for agricultural produces, mainly for potatoes and citrus

Banks and Financial Institutions: Micro loan institutions make up for the low presence of commercial banks in the region

Technical and Vocational Schools: 28% of technical schools are located in North Lebanon and Akkar Universities: 18 universities in the North region with the majority of students graduates in business and law, and engineering Labor pool: specialized in agricultural and fishing with competitive salary

IDAL 2017

IV. INVESTMENT OPPORTUNITIES IN AKKAR

IDAL 2017

POTENTIAL CLUSTER OPTIONS FOR AKKAR

Potential clustering options for Akkar revolve around the agriculture sectorfor the production of seeds and fertilizers or specialized potato cluster with linkages in agro food

INVESTMENT OPPORTUNITIES

POTENTIAL CLUSTERS/ CRITERIA

ACCESSTO LABOR

LOW LABORCOST

AVAILABILITY OF LAND

LOW COST OF LAND

LAND INFRASTRUCTURE

AGRICULTURE CLUSTER: SEEDS, PESTICIDES, FERTILIZERS & ANIMAL FEED

VEGETABLE CUSTER: POTATOES PROCESSING + WHOLESALE MARKET / CHIPS FACTORY

For more information contact IDAL

IDAL 2017