The hoopoe - Solomon's messenger and the ancient traveler English site
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Our comprehensive guide will assist you traveling in Yemen and through the other Middle East countries.
The ancient traveler, the hoopoe, will show you a region which jumped recently from an old civilization to the modern age.
You will find travel information about the most important sights of Yemen and all Arab countries, useful travel notes, places to stay, suggested tours and more...!
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مرحبا بكم في اليمن!
حن نعزكم على رحلة حول اليمن. دليلنا السياحي سيساعدكم أثناء السفر في اليمن. الهدهد - المسافر القديم - يعرض لكم بلاد الذي دخل من قريب من حضارة قديمة إلى العصر الحديث. سوف تحصلون معلومات عن أهم المناطق السياحية، نصائح للسفر، فنادق، رحلات سياحية مقترحة و أشياء كثيرة أخرى ...!
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Yemen - overview on economy and investment possibilities
Preface
Yemen does provide different investment opportunities for foreign companies. With a need to increase agricultural production and improve erosion control, farming equipment and more sophisticated packing methods are needed. Fishing equipment producers will also find a market in Yemen, as the government seeks to capitalize on its natural resources. Since the recent accomplished border agreement between Saudi-Arabia and Yemen international companies are able to exploit the oil and gas resources of the Rub Al-Khali region.
trade exports imports agriculture fishing
mining oil gas industry and manufacturing energy
External trade
 The government's policy of opening up the economy and liberalizing import controls, in co-operation with a stable political climate, has encouraged international investors to take a new approach to the possibilities of this emerging market.
The rise in oil prices has helped to boost the current account from a deficit of 3.7 per cent GDP in 1998 to a surplus of 2.9 per cent in 1999 and 10 per cent in 2000. However, the strengthening of the oil sector and the appreciation of the Rial have provided a disincentive for diversifying into non-oil export markets. In March 2001, the IMF urged the Yemeni authorities to allow the market exchange rate to be market-determined in order to affect a depreciation thereby strengthening the drive towards developing non-oil export markets.

 Exports
 Apart from crude petroleum, which dominated exports from the late 1980s, other exports include cotton, coffee, tea, spices, fish and fish products, biscuits, hides and skins, potatoes and fruit.
Main destinations: China (approximately 30% of the total), South Korea (25%), Thailand (22%), Japan (5 %)

 Imports
 Main imports are food and live animals, machinery and transport equipment, manufactured goods, sugar products, pharmaceuticals, textiles, electrical plants. Main sources: US (approximately 9 % of total), UAE (8 %), France (8 %), Italy (7 %), Saudi Arabia (7 %)

 Agriculture
 With its fertile soil and relatively high levels of rainfall, Yemen possesses the best climatic conditions for agriculture on the Arabian peninsula. Due to its mountainous nature, terrace agriculture is common practice.
Agriculture employs almost two-thirds of the total workforce, generating approximately 17.6 per cent of GDP. The main crops are sorghum, wheat, barley, maize, millet, sesame, cotton, coffee, vegetables, dates, fruit, qat and tobacco.
The domestic market is dominated by the cultivation of qat, a widely used mild narcotic shrub. It is estimated that up to 25 per cent of irrigated land is given over to qat, which generates value added equivalent to 25 per cent of GDP.
Cereals, fruit and vegetables account for 75 per cent of output, but annual imports of grain are still required. Cereal yields are low and the climate is more suitable for fruit production. Private sector trading companies have invested in agriculture in Tihama and Marib, concentrating on bananas and citrus fruits.
There are three main agricultural projects in northern Yemen: the Southern Upland Rural Development Project, the Tihama Development Project and the Central Highlands Agricultural Project.
Drought in some places, floods in others and general manpower shortages remain serious problems. The Marib Dam provides irrigation and hydroelectricity for a region adjacent to the desert (Empty Quarter). In southern Yemen, fertile areas are severely limited and confined to the wadis, comprising only 1 per cent of the total land area. Yemen has water shortages, especially in the increasingly urbanized areas around Sana'a and other cities. Traditional methods of intensive irrigation and increased emphasis on fruit and vegetable production have resulted in overuse and growing quantities of irreplaceable fossil water are being used for domestic requirements.
In the east and north, herding is the chief activity.

 Fishing
 Fisheries are one of Yemen's greatest potential sources of wealth after oil. There are some fish exports to Europe and the Middle East.

 Industry and manufacturing
 The industrial sector contributes approximately 12 per cent to GDP and employs 10 per cent of the working population. Excluding the petroleum sector, industry accounts for only 4 per cent of GDP, and the sector is declining.
Heavy industry is mostly government-owned while the private sector is encouraged to participate in joint ventures and light industries including food processing, clothing, textiles, leather goods, jewelry, cosmetics, mineral water, fertilizers and cigarettes.
Fish processing is a growth area.
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Yemen Explorers Com.
Sana'a, P.O. Box 23091, Rep. of Yemen
 Tel.: +967-1-404838
Mobile: +967-711700938
Fax: +967-1-404837
yescom@yemen.net.ye
 yescom@y.net.ye
Design/Text: Ibrahim Al-Attab
 Photos: edition VASCO
 Host: www.digitaldevelopment.com
 
Mining
 Salt is mined at Salif, where deposits total 25 million tonnes. Gypsum and marble are extracted.
There are also deposits of zinc, lead, iron, sulfur, gold, silver, copper and nickel.

 Oil
 Oil production was 440,000 barrels per day (bpd) in 2000. Over 80 per cent of total oil production is exported. In early 2001, oil reserves were estimated at 4 billion barrels. Production is split between five main operators:
Hunt Oil, Hunt/Jannah, TotalFinaElf, Nimir Petroleum and Nexen. Nexen accounts for 230,000bpd in output while Hunt Oil produces 160,000bpd. The state-owned General Corporation for Oil and Mineral Resources handles oil developments.
The Alif, Azal and Asad Al-Kamil fields in central Yemen have been producing upwards of 220,000 bpd, most of which is refined and exported. The Shabwa area in former South Yemen produces 10,000bpd. The Marib and Masila fields produce the major part of Yemen's oil.
In November 2000, DNO of Norway began production at the Tasour field in Block 32 with initial output at 12,500bpd. In December 2000, Dove Energy of the UK discovered oil in Block 53 with output at 16,000bpd - an estimate of the size of the reserve is due in mid-2001.
Downstream, Yemen has a refining capacity of 130,000bpd with two refineries at Aden (120,000bpd) and Marib (10,000bpd). The Yemeni government plans to privatize the Aden refinery, possibly before the end of 2001.
A US$500 million refinery is to be built in Hadhramaut with a capacity of 60,000bpd. The consortium backing the project intends to complete construction by 2003.
Plans for Yemen's first private refinery are moving ahead with a feasibility study to be conducted for a refinery at Ras Isa in Hodeidah. The costs are estimated to be US$300 million. By mid-2001, there had been no announcement on the progress of the proposals.

 Gas
 Reserves of natural gas were estimated at 450 billion cubic meters, much of it non-associated, which could be used for power generation and industry. Two-thirds of Yemen's gas reserves are earmarked for export.
Total has been awarded a US$3 billion contract for the exploitation of the Marib/Al-Jawf gas reserves. Yemen's US$5 billion liquefied natural gas (LNG) project is scheduled to come on line during 2003, following major delays owing to the impact of the Asian economic crisis. The project will involve construction of gas-gathering facilities, a pipeline to the Gulf of Aden and an LNG plant. A second pipeline will carry gas for local consumption to Sana'a.
Installed electricity generating capacity is estimated at 810MW, all of it produced by oil-fired power stations. Yemen has power problems and expansion of electricity is a major priority. Plans include thermal power stations and grid extension.