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As the new government has yet to address pending agricultural files, Bshareh MPs, Sethrida Geagea and Elie Keyruz, demanded the current Minister of Agriculture, Ghazi Zeaiter, to urgently implement the cabinet decision of October 6th 2016 which stipulates the distribution of subsidies to apple growers (c.f: http://bit.ly/2jPodKx).  Citing relevant sources, An Nahar newspaper noted that the distribution of compensation is set to start next March as the Ministry of Finance has already transferred funds amounting to LBP 40 billion to the Higher Council of Relief.  Zeaiter also noted that he has discussed with the Egyptian authorities a number of issues during his last visit to Cairo including apple export to Egypt.  The president of the association of Lebanese farmers, Antoine Howayek, noted for his part that the issue is larger than that of apple export.  Howayek said that compensation for apple growers is but a temporary solution as the crisis has yet to be resolved and is likely to recur within the coming few months.  In addition, citrus growers in South and North Lebanon are still suffering from marketing challenges notably due to the closure of the Lebanon-Syria border.  Within the same vein, the member of the Syndicate of citrus and fruit exporters, Abdallah Fadel, called on relevant ministries as well as on IDAL to raise the level of subsidy from LBP 100,000 per ton to USD 300.  He also called on the government to waive taxes on agricultural drugs as a way to relieve farmers’ burdens.  The vice president of the coalition of Southern Farmers, Rida Fadel, raised red flags calling on the government to find marketing outlets especially for citrus produce in Akkar and ensure that immediate mechanisms be put in place for that matter including halting the illegal entry of products from Syria. (Al Mustaqbal and the Daily Star, January 21st, 30th and 31st 2017)

 

American Techstar accelerator, a major global player in this field, organized last Friday a discussion session about the importance of emerging companies in the Internet of Things sector.  The purpose of this event was to support a number of emerging business to kick off and start their operation in Lebanon.  To be noted that the Internet of Things is an advanced IT concept which assumes that all daily equipment can be connected to the Internet and can receive data to perform tasks without human intervention.  A number of concerned experts in the digital economy in Lebanon took part in this event.  Although the head of the selection of eligible companies is Lebanese, Christopher Badawi, yet, this is the first time that this programme targets Lebanese companies.  Badawi assessed a number of companies active in this field and consequently selected a few to partake in this programme.  Badawi further noted that the selection criteria are tough but that the programme will provide selected companies with USD 120000 in a first phase and in the second phase, the selected companies will be able to exchange contracts wuth large international companies in the digital world such as Bosch, General Electric, Verizon and PWC.  Badawi considered that memorandum 331 issued by Central Bank in 2013 helped in developing and encouraging emerging companies in Lebanon but these still face some challenges such as the continuous electrical interruptions as well as internet speed. (L’Orient le Jour, January 30th 2-17)

 

“Al-Mashreq Center for Strategic Affairs” convened a workshop which is a part of a series entitled: “challenges and solutions in the labor market: specifying the gap between demand for labor and supply and closing it “.During the workshop which was held in Beirut – Badaro, participants reviewed key challenges facing the labor market in general, and questioned the general perception related to scarce work opportunities in Lebanon while focusing on work opportunities from the perspective of graduates. Participants also expressed their dissatisfaction with existing unemployment data in Lebanon and came up with a set of recommendations that may contribute towards closing the gap in the labor market and maintaining the quality of supply and the validity of demand for labor. Recommendations included: 1) orienting students in schools and universities and encouraging them to specialize in a specific area according to the requirement of the labor market at the time, as well as spreading awareness among them, 2) linking universities with the labor market and strengthening coordination among them, 3) encouraging male and female students to enrol in vocational and crafts schools, and not only universities, through Raising awareness on the importance of that sector and its specialties and the needs of the market for such spécialisation, 4) continuing monitoring of universities and institutes on the part of concerned agencies (mostly the Ministry of Education) and conducting annual evaluation of their performance, 5) strengthening government institutions such as the national institution for employment, and paying attention to the infrastructure (electricity, water, internet, and transport), 6) and finally looking into the possibility of reforming outdated and harsh labor laws. (Al Diyar, January 23, 2017)

 

The office of “Anti-Drug of the Internal Security Forces” seized in 2016 around 7.5 tons of hashish in Lebanon, 200 Kg of cocaine, 15 million packages of captagon and amounts of various other drugs. In addition, the said office detained 548 persons who deal with drugs, according to what the head of the office, Brigadier Ghassan Shamseddine told to the newspaper L’Orient le Jour.  Shamseddine also emphasized that 50% of the hashish manufactured in Lebanon is consumed locally, whereas the rest is exported to Europe, especially through Egypt and Libya. Through his conversation, Shamseddine presented the most prominent achievements of the office in fighting this trade, revealing the arrest of several smuggling networks throughout the past year, the most prominent being the arrest that was made two weeks ago, where 400 thousand packages of captagon were seized at a store equipped with tools and materials for manufacturing captagon, and another in Beirut airport, where the entry of four laboratories for manufacturing captagon that were coming from India was halted. These equipment were supposed to enter as university laboratories. Shamseddine concluded the conversation by demanding that the government find alternative crops to replace hashish in Lebanon such as saffron since the weather in Beqaa resembles that of some areas in Iran. (L’Orient le Jour, January, 26, 2017)

 

Following the first report on the program of the “Marine Bridge for Lebanese Exports”prepared by IDAL, where it conceded the disappointing results in its first year (see new:http://bit.ly/2k282L1), the president of the Gathering of Farmers in Beqaa, Ibrahim Tarshishi, emphasized in a press interview that the ‘Marine Bridge Program’ failed drastically.  He added that this necessitates that the Council of Ministers introduces some modifications on its mechanism of operation. In the same context, Tarshishi pointed out that IDAL disbursed funds allocated for subsidies to owners of the ‘roro’ ship that handled the exportation, that is to one party only, describing what happened as monopoly, which resulted practically in the decrease in the quantities of agricultural production that was exported from approximately 500 thousand tons, to 350 thousand tons, and to a decline in prices exceeding 50%, since there were only one or two trips every 10 days, whereas there is a need for organizing one trip every one or two days. On the other hand, Tarshishi recommended that subsidies be provided directly to merchants and exporters, He also called for a more intensive shipment cycle, at much better prices, and for allowing exporters the right to select the ‘roro’ shipping agency.  

In the same vain, the president of the Association of Lebanese Industrialists, Fadi Gemayel, met a delegation from Northern Metn industrialists, to discuss the present situation and ways to address challenges, adding that his association has prepared several working papers in order to absorb financial losses, resulting from the drop of exports, which since 2012 have reached USD 1 billion. (Al Mustaqbal & Al-Diyar, January 22 &25, 2017)

 

Following the debate caused by the decision to close Syrian-run businesses in Tripoli (c.f: http://bit.ly/2kmND3S  ) the Minister of Labor issued last Friday, a clarification statement saying that the closures followed a series of warnings addressed to the owners urging them to comply with current laws related to work permits. The Statement went on to say that the intention of the Ministry of Labor is not to undermine livelihoods, but to implement laws in effect concerning foreign labor, adding that the ministry is in favor of legal and honest competition under the rule of law. 

Along the same lines, a number of women, whose identity was not identified, blocked the road of Suq Al Jammal in Shiyah southern suburb of Beirut, yesterday in protest against Syrian labor. According to the ‘Al-Nashra’ website, demonstrators threatened to escalate their action and forcibly evict Syrians if authorities do favorable respond to residents’ demands. (Al-Diyar, January 21 and 24, 2017)

 

Previous related news: 

Ministry inspection campaign targeting foreign labor

http://www.weeportal-lb.org/news/labor-minister-pledges-protect-domestic-workforce-foreign-competition">Labor minister pledges to protect domestic workforce from foreign competition

 

The ‘Berytech’ incubator launched yesterday a program to establish an ‘Agrytech’ center which is an innovation center specialized in agri-food in Lebanon, with joint financing from the Embassy of Netherlands and ‘Berytech’ worth USD 3.3 million. The new program aims at including the best emerging companies that own the latest innovations in the agri-food sector, while providing them with relevant technical and business resources in addition to social support. The program called on small and medium businesses that own creative solutions that are specific to the value chain in the agri-food sector to register in that sector. The program will also provide grants up to USD 40 thousand, and support for a period up to one year to each of the emerging companies, according to the deputy general manager in Berytech, Rami Abu Jawdeh. Furthermore, Jawdeh added, the center will provide the opportunity for 30 emerging companies per year to receive support and to develop their business concept.  Following that, 15 companies will be selected to implement the project, and 8 companies only will be supported until the end of project implementation. Along the same lines, the Charge D’Affaires of the Dutch Embassy Han-Mauritz Skhaifeld, focused in his speech on the ‘importance of economic growth and creation of job opportunities in achieving increased stability and prosperity in Lebanon, adding that this program is a part of a larger contribution of EURO 86 million targeting Lebanon. (Al Mustaqbal, The Daily Star, L’Orient le Jour, January 20, 2017)

 

Ministry inspection campaign targeting foreign labor

Labor minister pledges to protect domestic workforce from foreign competition

 

The Annahar newspaper in its issue of January 14, published an interview with the The director general of La Regie Libanaise Des Tabacs et Tombacs (REGIE), Nassif Siqlawi, to examine the success of this institution, especially after agreements with international companies were signed, and to find out if the regional ambition of “REGIE” contradicts with its policy of support for local products. In this context Siqlawi pointed out that the agreement with “Imperial Tobacco” the owner of Gitanne and Gauloise  and other, is an introduction to agreements with other international companies, emphasizing that manufacturing foreign products as it is the case with local  products is part of the exclusive mandate of REGIE. Siqlawi added that the manufacturing process is achieved through exclusive mandate of the REGIE, this situation will result in increase of profits of “REGIE” and allows it to continue to support the Lebanese tobacco. When the newspaper asked about the right of REGIE to dispense with treasury money for community support within the framework of its social responsibility, and do the social security or electricity administration have the right to conduct a similar action, Siqlawi clarified that “REGIE” has become one of the most important public institution in Lebanon that are profitable and supportive of the general treasury (7.5% of total treasury revenues come from REGIE), consequently its legal status differs from that of the Electricity of Lebanon and the Social Security; Siqlawi continued by pointing out that a wide review by the agency on legislation as well as a consultation of the Ministry of Justice gave the “REGIE” the right to “provide grants to philanthropic institutions and to government administration. It is noteworthy that during the last five years, “the REGIE” contributed to government treasury with 75.5 % of the revenue from the tobacco sector which amounted to USD 2,666 billion. (Annahar January, 14, 2017)

 

L’Orient le Jour shed light in its yesterday’s issue on hydroponics which is  an agricultural technology that is based on growing plants without soil, through using water, minerals and nutrients, and air pumps; it is mostly based on a network of pipes arranged vertically or horizontally. In this context, the newspaper presented some agricultural projects in Lebanon which rely on that technology; Ali Makhzum the owner of the project ‘Life Lab’ https://www.facebook.com/LifeLabBD, stated that this type of cultivation even though it requires a large capital at its start, provides a high quality yield crop year round since space can be utilized as much as possible, which can increase the amount of the crop yield; also it saves water and does not demand much labor force. Also Makhzum pointed out that plants grow in a healthy environment and consequently there is no need for pesticides. It is worth noting that ‘Life Lab’ is an emerging enterprise, whose project won the Hyundai Startup competition in 2015, and it is a farm consisting of agricultural tents with a horizontal hydroponics system located in Al-Koora, its total area is approximately 400 square meters. Also Tarek Al-Khury, another owner of a farm in Al-Koora, emphasized that he started first in cultivating organic products then he shifted to this agricultural technology, after hearing about the successful experience of Life Lab. The total area of Al-Khury farm is 100 square meters and he pointed out that the costs of the primary supplies such as pipes and minerals are high around $175 per one cubic meter, but he emphasized that he will surely compensate for these costs on the first harvest season. (L’Orient le Jour, January 18, 2017)