MENA: The strategic supply chain location

MENA has been quietly climbing the ranks and making its name in the procurement world.

Glovendor’s MENA Procurement Network

100+

Product & Shipping Vendors across 4 Verticals

12+

Sourcing Agents across 7 Countries

97%

Project Success Rate

Top Destinations

Tunisia

UAE

Egypt

Azerbaijan

Turkey

Saudi Arabia

Morocco

Overview

The Middle East and Africa Factory Automation and Industrial Controls Market is expected to register a CAGR of approximately 6.8% during the forecast period (2021 - 2026). North Africa has been steadily growing as a manufacturing region and offers great opportunities.

Trends

Gulf countries particularly the UAE and Saudi Arabia are seeing a construction boom and are investing in technology.

Political stability in North Africa continues to improve.

MENA continues to diversify production to other sectors outside of oil and gas.

Several large businesses in the automotive, aerospace, electronics, and textile sectors have opened factories, or are seeking new suppliers, in North Africa.

Benefits

Highly skilled engineering workforce

Oil and gas production infrastructure

Lower labor costs than Europe

High availability of raw materials and natural resources

Many free trade agreements

Infrastructure improvements and technological advantages

Risks

Geopolitical issues

Slower innovation than China

Only specialized products

Corruption and bureaucratic issues in some countries

Top Products

Textiles

Oil & Gas

Fruits & Dry Fruits

Gems & Precious Stones

Building Materials

Verdict

MENA is a great manufacturing choice with its close proximity to Europe, low labor costs, improving infrastructure, and access to raw materials. It is the right choice for you if you work with products that MENA specializes in. Although there are some risks associated with the region, with the right partner those can be mitigated.

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