Amman, June 15 (Petra) -- The industrial sector could unlock billions of dinars in new investment opportunities by replacing imports with locally manufactured products, according to a new study by the Jordan Chamber of Industry that identified nearly JD9 billion worth of imports without domestic production alternatives.

The study, titled "Production Gaps and Import Substitution Alternatives: Potential Investment Opportunities," found significant room for expanding local manufacturing across a wide range of sectors, highlighting what it described as promising opportunities to strengthen the industrial base, create jobs and increase the contribution of industry to economic growth.

According to the chamber, the findings are based on an analysis of Jordan's foreign trade data and aim to identify industrial activities that can be localized to reduce reliance on imports and increase value-added production within the national economy.

The study revealed that a substantial portion of imports entering the local market consists of products that are not currently manufactured domestically, despite the existence of demand capable of supporting viable industrial investments.

The analysis covered ten industrial sectors, including food industries, engineering industries, pharmaceuticals, chemicals, plastics, leather and garments, mining, construction materials, wood industries, and packaging, paper and cardboard products.

The chamber said the strongest investment prospects are concentrated in products that record high import values and persistent trade deficits, while offering favorable conditions for domestic production and industrial expansion.

It noted that investors entering these sectors would be able to capitalize on established local demand, while also benefiting from opportunities to expand into regional and international export markets.

The study forms part of broader efforts to promote investment based on market data and economic indicators, providing investors with a practical roadmap to sectors where production gaps remain significant.

The chamber stressed that the industrial sector possesses the expertise, infrastructure and accumulated capabilities needed to attract new investments and support the development of competitive manufacturing industries.

Building on the findings, the chamber announced plans to launch a second phase of the study that will provide detailed investment profiles for each opportunity identified.

The next phase will include in-depth assessments of market size, export potential, supply chains and preliminary investment feasibility, offering investors a more comprehensive guide to potential projects.

The chamber also pledged to work closely with government institutions and private-sector stakeholders to promote the identified opportunities and transform them into productive industrial ventures that support employment, expand exports and contribute to the goals of the Economic Modernization Vision.

It emphasized that addressing industrial production gaps represents a strategic opportunity to strengthen economic resilience and reduce dependence on external markets.

According to the study, localizing even part of the current import bill could generate positive impacts on economic growth, improve the trade balance and enhance the sustainability of industrial development.

The chamber called for integrating the identified opportunities into the national investment map to help channel capital toward priority sectors and maximize the contribution of industry to the national economy.

//Petra// RZ