Chinese Commodities Fair Sharjah to open at Expo Centre Sharjah on December 4

The five-day solo country event, sponsored by the People's Republic of China's Ministry of Commerce and organised by Chinamex and Expo Centre Sharjah with the support of the Sharjah Chamber of Commerce and Industry (SCCI), will host over 600 reputed Chinese enterprises.

These companies from over 30 provinces, cities and self-administrative regions of China will represent a wide range of industries including machinery, engineering, electrical, light industry equipment, textile, and building material among others.

Exhibits at the fair will cover vehicles and accessories, hardware and tools, machine tools and parts, household electrical apparatus, electronic and information products, foodstuff, daily commodities, utensil and kitchen items, garment, household textile and yarn, light and decoration items, building materials and pottery, household furniture, petro-chemical products, equipment, instruments and meters, and foreign investment projects and capital attraction projects.

Currently, trade between UAE and China is on the rise.

In 2003, bilateral trade between UAE and China reached US $ 5.8 billion. In 2004, the figure is expected to be much higher as till August 2004, trade between the two countries amounted to US $ 5.1 billion. During this period, China exported goods worth US $ 4.43 billion to the UAE, registering an increase of 45.5 %.

As far as Chinese investment in the UAE is concerned, till the end of 2003, the number of Chinese enterprises registered in the country exceeded 350 with investments totaling US $ 50.1 million.

Trade between China and the GCC states as a whole also is growing. It surged from US $ 1.5 billion in 1991 to US $ 16.9 billion in 2003.

'The past editions of the Chinese Commodities Fair Sharjah had been highly successful. The total number of visitors registered during the last two editions exceeded 93,000. This included over 19,000 trade visitors from 64 countries. The total transactions during these two sessions amounted to US $ 950.61 million,' said Mr. Mohamed Salem Al Mosharrekh, Board Member, Sharjah Chamber of Commerce and Industry, at a media briefing on CCFS 2004, at Expo Centre Sharjah on November 24, 2004.

'These figures are an indication that the CCFS is an established and most cost effective platform for Chinese enterprises for penetration and expansion in the Middle East market. For companies based in the Middle East region, the CCFS offers the most comprehensive bouquet of Chinese products and services under a single roof,' he added.

At present, a large portion of Chinese exports to GCC states is constituted of electronic items, garments, fabrics, telecommunication equipment, toys, watches and machinery.

GCC states on the other hand, which control 45 % of the world's recoverable oil deposits, are the top crude oil suppliers to this most populous nation and the fastest growing market in the world.

China's reliance on oil from the Middle East is set to sharply increase in the future as its own crude resources are depleting fast.

'The successful holding of the CCFS in the past has had a very positive impact on Sharjah's influence in China. The exhibition has promoted UAE as a whole and Sharjah in particular as the region's major trading hub,' said Mr. Hao Feng, Chairman of Chinamex.

'Chinamex constantly aims to promote bilateral trade and investment between UAE and China. Over the years, it has become a ligament of economic cooperation between China and other countries in the Middle East as well.

The GCC states are at present China's eighth largest export destination and ninth largest import source worldwide. Though China-GCC cooperation in the construction, energy and two-way investment sectors have witnessed steady progress, the bilateral trade volume are still not significant when compared with each side's total trade volume.

Currently, China's share of the Gulf market is less than US $ 25 billion, or about 5 % of the region's trade volume.

China is now keen to attract investment from the GCC states in hydropower, energy and mining, and transport and telecommunication. It is also keen to enhance cooperation in service trade, high-tech and labour sector.

'The CCFS has established itself as a foundation for forging a strong base for long term cooperation in Sino-GCC relations. The coming edition of the CCFS will further strengthen that relationship and also provide a major boost to two way trade,' said Mr. Fasahat Ali Khan, Acting Director General, Expo Centre Sharjah.

'Economic integration between China and the GCC bloc will further strengthen once the Free Trade Agreement (FTA) is established between the two. There will be a very positive and significant impact on the inflow of investments from China to the region as and when the zero tariffs come in to effect,' he added.

For Chinese enterprises, Mr. Khan said, there was immense potential in the Middle East region in the IT, water treatment, food processing, petro-chemical and agricultural sectors. There was also scope for cooperation between construction companies in China and the region to tap the huge reconstruction market in Iraq, he said.

According to Mr. Khan, for the GCC states that are looking for new markets for their petro-chemicals, aluminium and other products, China could be the perfect answer.

'The CCFS is aimed at providing a solid platform to both China and the GCC bloc for fulfilling their trade and investment aspirations,' said Mr. Khan.

The CCFS 2004 will be open from 10 am to 1 pm for trade only and from 5 pm to 9 pm for both trade and public. Children below 14 years will not be allowed.