World Trade Center Belfast
Qatar: Gateway to the Gulf Region
February 10, 2009
Chadi ABOU DAHER
World Trade Center Qatar
GULF MARKET PRESENTATION
FUTURALLIA CONCEPT & PROCESS
QATAR: A GATEWAY TO THE GULF MARKET
Geographic Location: Qatar has a unique central location at the hub
of Middle East, Asian, and European trade.
The Gulf Common Market was launched by The Gulf Cooperation
Council (GCC) on January 2008 has significantly boosted Qatar’s
position as a regional hub for trade and services.
GLOBAL ECONOMIC DOWNTURN
IMF World Economic Outlook
Updated on January 28, 2009
Japan Euro Area USA Brazil Russia Africa Middle East India China
2008 0.30% 1.00% 1.10% 5.80% 6.20% 5.20% 6.10% 7.30% 9.00%
2009 -2.60% -2.00% -1.60% 1.80% -0.70% 3.40% 3.90% 5.10% 6.70%
GCC High Growth Rate
GCC Real GDP Growth
0.0% 5.0% 10.0% 15.0% 20.0% 25.0%
Source: IMF, Regional Economic Outlook (October 2008)
Oil vs. Non-Oil GDP Growth 2009
0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0%
Non-Oil GDP Growth Oil GDP Growth
Average Growth Rate by Sector (Qatar 2005-2007)
Other Services 31
Finance, Insurance, Real Estate & Business Services 33.4
Transport & Communications 30.1
Trade, restaurants & Hotels 26.3
Building & Construction 29.4
Electricity & Water 41.4
Agriculture & Fishing 7.6
Oil & Gas 18.6
0 5 10 15 20 25 30 35 40 45
Contribution to GDP by Sector (Qatar – 2007)
Other Services 8.5
Finance, Insurance, Real Estate & Business Services 11.3
Transport & Communications 3.7
Trade, restaurants & Hotels 4.7
Building & Construction 6.3
Electricity & Water 1.9
Agriculture & Fishing 0.1
Oil & Gas 55.7
0 10 20 30 40 50 60
of Goods & Services of Goods & Services
(in billions U.S. dollars) (in billions U.S. dollars)
23.5 2009 18.4 2009
261.1 2007 201.9 2007
0 200 400 600 800 1000 0 200 400 600
GCC Common Market
Population: 37 million (60% nationals)
GDP $1 Trillion
GDP per capita $22,000 (2007)
50% of cumulative output,
75% of exports,
85% of government revenues
Sovereign wealth estimated at $2 trillion
Single Currency planned for 2010
Qatar’s Economic Outlook
GDP: $75 billion US Dollars (2007)
GDP per capita: $70,000 (in US Dollars, 2007)
Average GDP Growth rate (last four years)
Energy Sector: 27%
Non-energy sector: 15%
Population: 1.5 million (as of end of 2008)
World 3rd largest gas reserve
14.5bn barrels of proven oil reserves
Oil production at about 1 million barrel per day
Economic Drivers & Beneficiaries
Sustained high oil prices support budget surpluses and high liquidity
levels in GCC economies. This is accompanied by rising economic growth,
and increased investments in infrastructure development.
Key Investment themes remain liquidity driven infrastructure investments
and consumer related services.
Corporate sector involved in hydrocarbons, logistics and transportation,
real estate development & construction, retail and financial services are
the key beneficiaries.
Qatar’s Government Vision
Impressive growth rates propel the economy towards further expansion
and diversification. Government has an ambitious plan to reduce
dependence on hydrocarbons revenue from the current 60% to 25% by
2015. Government plans to spend $63 billions to boost economic diversity.
Government Diversification drive aims at fostering a knowledge-based
rather than commodity-based economy. Examples:
Education City: A center for International Universities aimed at
becoming a regional education enter. It is currently the home to
branches of American colleges such as Cornell, Carnegie Mellon,
Virginia Commonwealth, and Georgetown’s school
Qatar Science and Technology Park: (FREE ZONE) Establishing a
R&D Center hosting international companies and assisting the set-up of
technology related businesses.
Qatar National Research Fund: funding research in a range of
disciplines varying from engineering and technology to social sciences
and the arts.
Diversification plans aim at opening opportunities to the private sector
through incentives such as providing industrial zones.
Industries Qatar (www.industriesqatar.com.qa) aims to develop
industries that can use Qatar’s abundant energy supply as a
competitive advantage. It is keen to attract foreign joint ventures
offering incentives in terms of subsidized gas and electricity and
nominal land rent.
Qatar Development Bank (www.qdb.com.qa) play an active role in
the economic and industrial development by helping diversify its
industrial base through the promotion and financing of small and
medium size industrial projects.
Investment & Trade Promotion Department
(www.investinqatar.com.qa) provides incentives to international
companies that propose to transfer systematic know how in areas
supporting business and social services.
Real Estate & Construction
Qatar gas-fuelled economic expansion has resulted in an influx of foreign
workers – largely to build and run the hydrocarbon projects but also to
manage the nation’s newfound wealth.
Qatar populations is at 1.5 million double the figure recorder in 2004, and
continues to steadily grow. Supply is unlikely to meet demand for many
Approximately $125 billions worth of projects are scheduled for
completion by 2015 and plenty more have yet to be announced. Joint
ventures are sought with international companies to be able to deliver
projects on time.
According to the New Investment law of 2000, non-Qataris are allowed to
invest up to a maximum of 49% of any locally registered company (LLC)
without government approval
New Economic zones are making exceptions in areas such as finance and
As a committed member of the World Trade Organization and
international financing organizations, Qatar has completed its integration
in the international free trade and economy order. It does not levy
personal income taxes or export fees.
Customs duties are as low as 4%, and heavy equipment and spare parts
are customs duty free. With a distinguished banking system, and no
restrictions on the movement of capitals from the country, the whole of
Qatar represents a free economic zone in which investors can make
Set-up Options for Foreign Businesses
Incorporation of an LLC: foreigner can own up to 49% of shares.
Minimum share capital is $55,000.
Branch office: Authorized by the ministry of Economy & Commerce to
facilitate the performance of a public service or utility contracted by a
Representative Trade Office: can not be contracted to do business in
Qatar, but serve as a window to promote a foreign business.
Commercial Agency: this is an alternative for establishing a legal
presence. An Agent can be appointed to market goods and services within
Special Economic Zones
Qatar Science & Technology Park: is turning to SME with niche products
offering them under Qatar’s free zone regulation 100% foreign ownership,
free profit repatriation, taxes & duties lifting, and unlimited number of
expatriate employees. www.qstp.org.qa
Qatar Financial Center: opened the banking and insurance sectors to local
branches of foreign companies. It also hosts a wide range of non-regulated
services such as law & accountancy firms. It is not an offshore zone,
therefore allowing companies to operate in local currencies and provide a
full range of products to Qataris. A flat tax rate of 10% on profit shall be
applied by May 2008. www.qfc.com.qa
Energy City: is an effort to centralize the real estate and services for the oil
& gas sector while offering the same Free Zone advantages of Qatar Science
& Technology Park.
Qatar Free Zone: a 10-sq-km under development providing for a variety of
industrial clusters including chemical, media, logistics, metallurgy
Individual Tax: Neither Qataris nor expatriates are subject to individual tax
Corporate Tax: Companies wholly owned by Qatari nationals are exempt
from paying income tax in Qatar. Non-GCC firms are subject to corporate
tax up to a maximum of 35%. (to be reduced to 12%)
Companies operating at Qatar Science & Technology Park are exempt
from paying corporate taxes.
Tax-free holiday for certain sectors contributing to boosting industry,
agriculture, trade, petroleum, mining, tourism, transportation. (subject to
special approval by Ministry of Business & Trade)
VAT might be introduced in coming years replacing the current customs
duty. (most likely at 5%)
A Business Facilitator
Market Information (Basic contacts; regulations;…)
Market Intelligence (Identify Business Opportunities; Market Entry
Business Matchmaking (Identify trade partners; …)
Business Services (Secretarial services; translation; domiciliation;
temporary offices; …)
And many others …
FUTURALLIA QATAR 2009
14TH INTERNATIONAL BUSINESS DEVELOPMENT FORUM
MAY 10-12, 2009
What is FUTURALLIA?
Futurallia is an annual international business matchmaking Forum
devoted to SMEs seeking strategic, commercial, financial, and
technological alliances aimed at fostering and growing their
Over two days companies will participate at pre-scheduled face-to-
face meetings and high level networking with hundreds of
companies representing all continents.
Who shall Attend FUTURALLIA?
About FUTURALLIA Association:
A World SME Network
FUTURALLIA took place for the first time in 1990 on the initiative of the
Chamber of Commerce and Industry of La Vienne (Poitiers, France).
Since then, 13 FUTURALLIA events have been organized, in France
(1990, 1992, 1993, 1995, 1998, 2001, 2004, 2007), Quebec (2000, 2003, 2008),
Belgium (2005), and Poland (2006).
The FUTURALLIA Association was created in 2000 to unites its partners
(economic development organizations) from various regions around the
world. Futurallia aims to develop and foster exchanges between
members of its SME network. www.futurallia.com
Futurallia Qatar 2009:
Forum’s Main Functions
Business matchmaking meetings will be scheduled in 30 minutes
sessions and will take place in an open space.
A half day business briefing seminar will acquaint participants with
the modalities of doing business with the Gulf region.
A parallel exhibition shall highlight three sections:
The Partners Village: gathers Futurallia’s institutional partners
The Expert Village: brings together specialists in international
The International Village: accommodates delegation leaders
from countries represented
May 10 May 11 May 12 May 13
10:00 – 10:30 Opening Meeting #5
10:30 – 11:00 Ceremony Meeting #6
11:00 – 12:00 Seminar: Networking
12:00 – 12:30 Delegates Business in Meeting #7
12:30 – 13:00 Meeting #8 of Delegates
13:00 – 15:30 Lunch / Networking Optional
15:30 – 16:00 Meeting #1 Meeting #9 programs
16:00 – 16:30 Registration Meeting #2 Meeting #10
16:30 – 17:00 Networking Break
17:00 – 17:30 Meeting #3 Meeting #11
17:30 – 18:00 Meeting #4 Meeting #12
20:00 – 23:00 Reception Gala Dinner Int. Evening
FUTURALLIA Qatar 2009:
AN EFFICIENT AND PROVEN CONCEPT
More than 800 companies from all sectors, representing about 40
countries from all continents
GCC & Middle East: 300 companies
Europe: 300 companies
America, Africa, & Asia: 200 companies
FUTURALLIA Qatar 2009:
Promotion & Development Industrial Development
Agencies Industrial Machinery
Contractors, Construction Environment & Sustainable
materials & Engineering Development
Petrochemicals & Chemicals
Real estate Investment & Services
Biotechnologies, Health, &
Luxury Goods, Arts & Clothing Cosmetics
Electronics, Information & Aeronautics
Packaging & Printing
Furniture, Household & office
equipments R & D, Education
Food & Beverage Products & Transportation & Logistics
Equipments Communication & Media
Consumer Goods Professional Services
Sports & Animal Equipments Others
FUTURALLIA Qatar 2009:
Confirmed Participating Countries
1. Algeria 17. Malaysia
18. Latin America
3. Belgium 20. Northern Ireland
4. Canada 21. Oman
5. China 22. Palestine
7. France 25. Romania
8. Germany 26. Russia
9. India 27. Senegal
12. Ivory Coast 31. UAE
13. Kazakhstan 32. UK
14. KSA 33. Ukraine
More to come …
FUTURALLIA Qatar 2009:
How does it work?
Futurallia is promoted through an international network of Delegation Leaders
responsible for promoting the Forum &recruiting participants.
Delegates create their own profiles and indicate their specific interests on a
secured website especially designed for Futurallia.
A month before the Forum the online catalogue is open, and delegates select 20
meeting preferences in order of preference.
The special matchmaking software draws up a meeting schedule for each
participant, which will be handed on the first day of the event.
Company: Online Catalogue
Participant 2 1
Participant 2 1
Participant 2 1
Participant 2 Meeting Choices
Open Online Catalogue
Final Meeting Choices
FUTURALLIA Qatar 2009:
Registration at Futurallia should be made through the appointed
delegation leader your country.
All-inclusive package is available at Euro 1,350 per delegate.
Three night accommodation at a class A hotel
All transportation in Qatar
Up to 12 personalized business meetings
Welcome reception, gala dinner, international evening, and two
Seminars & exhibition access
Insertion in Forum Catalogue
One year access to Futurallia 2009 database
Futurallia Qatar 2009
Qatar Airways, the official carrier of the Forum, is offering all
participants traveling to Qatar 25% discount on IATA published
fares or 15% discount on Qatar Airways market fares, whichever is
The following conditions apply:
1. Tickets will be valid on all Qatar Airways online destinations
2. Tickets will be issued by Qatar Airways offices only
3. Discounts will be applicable to all three classes: First, Business,
4. The organizer, WTC Qatar, should provide an official letter for
the issuance of tickets
5. Correct names to be provided on booking
6. Tickets should be issued between April 15 & May 13
7. Travel Period should be starting between May 1st &
Visa on arrival is available for the residents of 33 countries including
USA, Canada, Iceland, West European countries, some East
European countries, Japan, Singapore, Malaysia, Hong Kong, South
Korea, Brunei, Australia and New Zealand, besides the nationals of
the GCC countries.
Visit visas for the residents of the GCC countries and their
companions are issued at border points
Airport visa cost 100 QAR ($27)
Airport visa is valid for two weeks, and can be extended for another
Payment can be made by either cash or credit cards.
Passports must be valid for six months after the date of return.
Exit visas are not required.
Entry visas for businessmen coming from places other than the
countries mentioned above need to be arranged beforehand.
WTC Doha will apply and issue all visas
Submit electronic copy of passports at least two weeks before arrival
Passports must be valid for at least six month
Cost of visa application is 250 QAR ($70)
Visa application fees are non-refundable
Airport Pick-up: Arranged on May 9 & May 10 by buses. Flight details and
pre-booking is required
Hotel / Venue Shuttle: Daily transportation is arranged from hotel to
exhibition center and dinners
Taxi / Limousine: private taxis and limousine will be available at the
exhibition center and hotel for private transportation. Normal fares apply.
Airport drop-off: Arranged on May 13 by buses. Flight details and pre-
booking is required.
Qatar International Exhibition
Regarded as Qatar's finest event location, The Doha Exhibitions Center offers
world class facilities for business and leisure tourists alike. Event organizers
and delegates are offered a wealth of support. Located in the heart of the
capital city, Doha, DEC is an ideal venue for Exhibitions and Expos.
Temperature in May will be in the average of 31°C
Available at certain hotels. Can not be bought without a license, and can not
be imported by visitors.
In Collaboration with:
Chadi Abou Daher
World Trade Center Qatar
Tel: +974 435 4141
Fax: +974 442 3048