Tuesday 25 September 2012

Day four (Monday) : daily summary

Author : Jeff Pearse, Wubin

Oman / Salalah appears to be expanding very quickly and would be a great country to do more business with. However we would be competitive with countries much closer and be prepared to lower prices using subsidies such as India and Turkey. Price is king and quality is a complex juggling act. Barley for human consumption needs to be white. That's it. All labs in flour mills we've seen use the same equipment and processing that we use at CBH.

Salalah flour mills have 450,000mt a year throughput with wheat sourced from India and Turkey. They are producing 1500tonne a day of flour and 13 tonne per day of pasta using very modern infrastructure.

The Salalah port authority focus on safety has meant that in the last 3 years the LTI rate has improved from 45 to 12. This year only 2 LTI's and they are proud of this achievement. The Salalah port has grown from 650 containers in 1998 to 4 million in 2011 making it the 29th largest in the world. A 20 year expansion plan will vastly increase the capacity, all of this in an area surrounded by Somalia and Yemen, quite a contrast.

Some interesting local facts are that there are lots of roads, lots of cars, lots of car dealerships, which is helped by fuel being 40c per litre.

END

Al Ghurair Resources - Dubai, UAE

Have posted a shot of our meeting with Al Ghurair in Dubai. CBH have a good trading relationship with them and they are both traders and end users, with processing operations in the Middle East, including UAE, Lebanon, Algeria, but also in Sudan and Sri Lanka.

This meeting followed an excellent lunch in a traditional style restaurant close to the meeting place.

IFFCO - Sharjah, UAE

Some photos of our visit to IFFCO at Port Khalid in Sharjah. IFFCO is a significant food manufacturer in the Gulf region in all aspects of food and beverage.

Salalah, Oman - Salalah Port tour

I have posted a few pictures of the Port tour of Salalah Port. Proudly in the top 30 ports in the world and seeking more business. This terminal handles 3.5 million TEU's with capacity for more. It also host the vessels serving from various countries in the anti piracy task force, due to the geographical location of the piracy activity.

More words to follow later in the daily summary.