News updates

Endeavour organized a roundtable last week and entitled “bet on small and medium enterprises of high growth in Lebanon” with the aim of encouraging business collaboration between these companies as suppliers to larger companies.  Participants in the event included, Eddie Maroun CEO and founder of “Anghami”, Jamil Qurbani, founder of “Green Studios”, Mohammad Rabah, founder of “ZRE”, Nadim Khater, Commercial Director of “Touch”, and Tarek Al-Saadi, CEO of Endeavour- Lebanon. “Executive” magazine Editor in Chief, and “Concept Capital” Head of board, Yasser Akkawi, moderated the discussion and highlighted a number of key points namely, first, the importance of large private sector companies working in collaboration with emerging companies, and second, the challenges that small and medium enterprises face in while trying to achieve partnerships with large businesses. Akkawi also pointed out to the service advantages that emerging companies can offer to large ones compared to large household names private companies.  The discussion also covered the common difficulties facing small, medium and large companies because of poor internet services, complicated administrative and governmental procedures and other obstacles.
Source: Al-Mustaqbal 30 April 2014

The Minister of Economy and Trade, Alain Hakim, represented Prime Minister Tammam Salam, in inaugurating Beirut International Franchise Forum and Exhibition – BIFEX 2014 organized by the Lebanese Franchise Association LFA.  The event which is held under the auspices of the president of the Republic, Michel Suleiman, included an inaugural session followed by 4 working sessions and was attended by the President of the Lebanese Economic Organizations, Adnan Al Kassar, the European Union Ambassador to Lebanon, Angelina Eichhorst, IDAL Chairman and General Manager, Nabil Itani, and the Chairman of the Federation of Chambers of Commerce, Industry and Agriculture in Lebanon, Mohamed Chucair. The first working session, was marked by the launching of the national strategy to revive economic activity in main streets, while subsequent sessions will focus on economic diplomacy and external marketing of Lebanese products.

The Minister of Industry, Dr. Hussein Hajj Hassan, highlighted in his keynote address the importance of the franchise sector which stimulates growth and investments and creates employment opportunities and pointed out to the deficit in the balance of trade and the importance of working towards increasing exports.  He also noted that the government should develop an economic policy which is clear on how it intends to address the current crisis. The Minister of Tourism, Michel Pharaon, who represented the President of the Republic, spoke about a plan that his Ministry will prepare for the summer and which will be announced within the coming few days.  Pharaon is expecting an improvement in his sector with the return of expatriates and tourists.

For his part, Hakim spoke about “Economic Resistance’ and noted that the salvation of the economy depends on everybody’s income and all should therefore bear the responsibility of the current crisis.  He called for taking measures which will stimulate investment, consumption, tourism and shopping in Lebanon.  Minister Mashnook noted that the GCC countries are reconsidering their travel warning of last year and he added that the government is putting in place a security plan for Beirut after Tripoli and the Beqaa and he hopes for good results.
Source: Al-Safir, Al-Diyar, Al-Hayat, 30 April 2014

Six women judges swore oath yesterday at the Higher Shura Council presided by Judge Shukri Sader and with the attendance of the Council members and the president of the Institute of Judiciary Studies, Judge Nada Dakroub and the Institute director Suhail Abboud in addition to a number of chambers’ presidents within the Council.  The graduating women judges are Lama Ajaj Yaghi, Hiba Antoine Breidi, Caren Iskandar Amatouri, Rayan Ali Roummani, Michelle Melhem Mezher, Lama Adel Izrafel. After the ceremony, judge Sader addressed the new judge interns and told them that they are the new generation and will have to study for three years at the Institute.  Their training will include theoretical knowledge and they will also serve at the Council and will be distributed amongst the different Chambers so as to familiarize with the nature of their work.  He asked them to work along the line of their oath, to build their character, and to undertake life changes so as to be in harmony with the Council. Judge Sader hoped for a better future generation for the Council.  Judge Dakroub presented the curriculum of the Institute which includes training workshops, various meetings and conceptual learning.
Source: Al-Mustaqbal 30 April 2014

The Beirut Arab University organized in its campus in Debbyeh the seventh edition of its job fair under the auspices of Minister of Labor, Sejaan Azzi.  The job fair hosted 51 companies working in different sectors namely finance, banking, health, engineering, industry, petroleum, and others… Representatives of these companies presented to the participating students those available jobs which match their specializations.  Represnetatives also gathered the CVs of the students.  The Dean of the School of Engineering, Dr. Adel el Kurdi, explained the objectives of this event namely to facilitate the matching between graduates and the job market and to introduce students to the needs of the job market as well as ensure that the University is contributing to meeting the needs of the local, regional and international job markets.
In his speech, the Minister of Labor lamented having to receive requests for work permits for foreigners at a time when capacities are available amongst the Lebanese and he called for giving priority to employing young Lebanese.  He called on the youth to revolt and challenge their parents and the political elite and to work to build their country.  The president of the University, Dr. Jalal Adoui, called on students and young people not to surrender to the presently difficult economic conditions but to arm themselves with hope and will and to find jobs as well as to gain communication skills in addition to their university degree.
Source: Al-Nahar 29 April 2014

“All for the Industry” headed by Fady Gemayel won the elections at the Association of Lebanese Industrialists with a significant margin compared with its opponent, the “Industrial Decision” list headed by Ramez Bou Nader.  The elections were held last Saturday and the head of the winning list, Gemayel, described the process as distinguished by its sportsmanship competition and democratic spirit.  He called on all, notably the opposition list, to join forces against their major challenge namely protecting the rights of industrialists, developing the local industry, creating a conducive environment, opening new markets and making best use of existing capabilities.
Former president of the Association, Nehmat Ephram, spoke of the achievements made during his mandate between 2010 and 2014.  He added that despite the difficult circumstances during that period as well as the stalemate at the public and political level, the membership increased from 656 to 743 members during that period. The Committee of the New Association met after the declaration of the results and the internal elections were conducted as follows: Fady Gemayel President, Ziad Bikdash first deputy, George Nasraoui second deputy, Khalil Sherri secretary-general, Nazareth Sabounjian financial secretary, Mounir Bissat external-relations secretary, as well as Walid Assaf and Shawki Dakkash and Adnan Ataya and Michel Daher as members.
Source: Al-Safir, Al-Akhbar, Al-Nahar 28 April 2014

The General Director of the Ministry of Agriculture, Louis La7hud, undertook a reconnaissance visit to the Masnaa border post last week.  During his visit, La7hud noted that the priorities of the Ministry is to ensure the quality of exported products and to work towards improving the quality of local agricultural production namely in terms of adherence to the standards and criteria of the World Health Organisation.  He added that any exported product is subjected to lab tests, most of which are free of charge, and are undertaken at the laboratories of the Ministry or those affiliated to the Lebanese Agricultural Research Institutes.  This procedure, he added, is non negotiable. Finally, La7hud also reiterated the importance of food safety as this has a positive impact on exports and is likely t open new markets for local health agricultural products.  He concluded by giving strict instructions for strengthening the import and export of agricultural products so as to ensure the safety of consumers in Lebanon.
Source: Al-Safir 28 April 2014

A roundtable was held yesterday at the Grand Serail in Beirut within the framework of the weekly “Rendez-Vous at the Serail” organized by PM’s wife Ms. Lama Salam. The Minister of Economy and Trade, Mr. Alain Hakim, attended the event and spoke about the findings of the latest IMF report regarding the importance of women’s role in labor and in the economy.  He called for the participation of women in the economy and for their empowerment so that they are able to play this role.  He added that his Ministry is seeking to set up and modernise businesswomen councils in addition to nominating women to vacant posts at the Chambers of Commerce, Industry and Agriculture.
Former Minister Wafa Dika Hamze spoke about the social and cultural obstacles to women’s economic participation namely in terms of the impact of the family as well as the educational system which reinforce women’s traditional roles as well as poorly conducive laws and administrative procedures. The General Director of the Central Administration of Statistics, Maral Tutelian presented the general indicators related to women’s educational achievements and their participation in economic activity and in the job market.  She added that the percentage of women’s participation in the labor force does not exceed 27% against 73% for men.  Women are also quasi absent as employers and take up only 18% of leadership posts. For her part, Maha Yehya, the researcher at the Carnegie centre highlighted the seven main gaps which hinder women’s economic participation namely citizenship, accessing capitals, education, job market, health and insurance, dominant cultural system and education.  She concluded by stressing the need to adopt new agendas to achieve better effectiveness and equality and to reform labor laws.
Source: Al-Mustaqbal, Al-Nahar 25 April 2014

As Safir newspaper published a review report on the Lebanese food industry and its role in the national economy notably in terms of its share of export and the employment opportunities it creates.  The report analysed the various challenges that this sector faces, similarly to the overall industrial sector, namely strong foreign competition in local and external markets, a galloping production cost and the absence of government support.
The report noted that Lebanon exports products worth USD 3.7 billion annually including all kind of manufacturing and non-manufacturing industries.  Of total volume of exports, 40% consists of food products which represent 11.38% of the total export value in USD.  The director of the Syndicate of Lebanese Food Industries, Samir al Mir, noted that despite the fact that these exports witnessed a significant growth since 2011; the sector is still struggling especially given the neglect of all consecutive governments.  To be noted that the sector employs some 30670 workers or 23.3% of the total workforce employed in the industrial sector.  It includes 4456 factories of which 180 are establishments that are registered with the syndicate.  Al Mir praised the decision to decrease export tax by 50% noting that industrialists do not want direct support from the state but are looking for smart protection mechanisms which would drastically reduce their production costs, facilitate the penetration of Lebanese products into the international market and increase its competitiveness, while pointing out to the project to set up the national food council which is still awaiting approval since the idea was conceived.  He also referred to the failed plans to create industrial cities wondering why successive governments have failed to give due consideration to this important matter that will greatly strengthen and develop the industry in all parts of Lebanon.

The president of the Syndicate of Lebanese Food Industries, Georges Nasraoui, detailed the demands which are likely to boost the sector qualitatively and quantitatively namely decreasing production cost and improving infrastructure.  He also highlighted the importance of this sector in terms of its contribution to creating jobs and to fostering innovations in addition to developing agriculture as well as attracting local, regional and international investments.  
Source: Al-Safir 23 April 2014

An Nahar newspaper published an interview with Paul Shukrallah, Berytech’s responsible, who clarified that the institution was created in 2001 with the main aim of curtailing immigration of the youth and limiting brain drain through facilitating the set up of private companies.

Shukrallah noted that memorandum # 331 issued by the Lebanon Central Bank allocates an amount of USD 440 million in support of investments in emerging companies in Lebanon, through funding support provided by  various institutions including Berytech. This memorandum did not specify any set conditions or a definite action plan, and, thus, Berytech continues to work according to its original action plan.  He added that Berytech is supporting innovators in many fields, while aiming to create a favorable environment for innovators to enable them to start their enterprises and for young people to kick off their businesses. Berytech also helps young people in managing businesses, adding that Berytech currently hosts some 70 to 80 companies distributed in various centres within and outside Beirut. Finally, Shukrallah noted that Berytech moved beyond its initial work priority which was defined in 2008 and which focused essentially on ICT initiatives, to included trade and commerce, and that new premises set up in 2012 on Beshara el Khoury Street in Beirut are now totally occupied by new innovative companies.

Source: Al-Nahar 24 April 2014

The National Federation of Trade Unions of Workers and Employees submitted a memorandum to the Minister of Labor, Sejaan Azzi, in which it addresses a number of key areas of concern namely trade union freedoms, the freedom to organize  in the public sector, strengthening the inspection department in the Ministry of Labor, competition with foreign labor, securing a permanent employment status to daily workers and adjusting salaries in addition to the realities of the trade union movement and other issues of concern.

In this memorandum, the National Federation calls for revising the minimum wage which is now insufficient to meet citizens’ basic needs as well as speeding up the salaries’ adjustment process for employees in the private and public sector.  The memorandum highlights the growing gap between salaries and existing services on the one hand and the high cost of living and poverty line on the other due to the sharp drop in purchasing power and which has exceeded 50% as a result of financial and monetary policies followed as well as halting subsidies on essential goods.  The National Federation called for increasing the minimum wage to LBP 1 million and 200 thousand per month and for integrating benefits such as transportation and school subsidies into the salary.

Finally, the memorandum deplored the current situation of the trade union movement in Lebanon because of the political interventions which have affected its autonomy and effectiveness.  As a result, the General Confederation of Lebanese Workers (CGTL) is no longer the sole representative of the interests of workers.

Source: Al-Safir 23 April 2014