German SMEs target the Middle East

However, the response proved the sceptics wrong. Almost 80 businessmen turned up for this event on September 17, and the mood was far from pessimistic. 'We are welcomed by our Arab business partners with open arms', was the message of several German exporters, who had just returned from the Middle East.

Chancellor Schroeder's strict refusal to go to war against Iraq seems to have opened many doors in the Arab markets. This is true not merely for the big players, but also for the highly specialised and efficient, small and medium sized companies, which traditionally form the background of the German economy.

As a matter of fact, after years of stagnation, Germany's trade with Arab countries is doing quite nicely. In 2001 alone, the trade volume exceeded EUR4 billion, up by 30%, albeit with a huge imbalance in Germany's favour. Hans-Dieter Spohn of the Economics Ministry described this as 'scandalous' from the Arab point of view and in urgent need of remedying.

With the process of political and commercial re-thinking underway in the Arab world after September 11th, the Germans are fortunate not to have a colonial past and seem to be more popular in the region than some other countries.

For more than a decade, the Bielefeld IHK, not exactly a giant establishment, but rather a regional body looking after the interests of the typically smaller German-type businesses in Eastern Westphalia, has managed to be a focal point of professional advice and assistance reaching out far beyond their native boundaries for everyone intending to do business with the Arab countries.

This time, the IHK decided to concentrate its symposium on trading opportunities with the 'smaller' Gulf countries, i.e. Bahrain, Qatar, Kuwait and the U.A.E., and once again, the organisers of the event succeeded in bringing to their picturesque town at the foot of the Teutoburger Forest all relevant experts in this field.

These included the German ambassadors to Bahrain and Kuwait, the Middle East specialists of the economics ministry in Berlin and the highly reputed Hamburg N.U.M.O.V. Association, the delegates of the German economy in the GCC countries and Iran, legal experts specialised in trade legislation and contractual law in the Middle East and many other of Germany's 'old hands' in the Gulf.

The participants from all branches of German industry were able to take home very detailed counselling on how to set up an LLC, PJSC or branch office in the Gulf and avoid the contractual pitfalls in the new market. They were expertly introduced to the current business opportunities in Dubai, Abu Dhabi, Manama, Kuwait and elsewhere and listened intently to reports from people already on the spot who related their predominantly positive experience. All in all, they felt encouraged to go ahead with their plans in spite of the current uncertainties. Gulf countries, watch out for the Germans!


More information to be obtained from:

The German Industry and Commerce Office, Dubai
P.O.Box 7480
Tel +971-4-3970001
info@ahkdubai.com
www.ahkdubai.com