Jordan ranks 1st in Arab world for manufacturing industries' contribution to GDP
The Jordan Times
AMMAN — Jordan Chamber of Industry (JCI) confirmed on Saturday that Jordan is ranked "first" in the Arab world and 27th globally for the contribution of manufacturing industries to GDP.
In a policy paper prepared by the JCI’s Studies and Policies Department, the ranking, based on data from the UN Industrial Development Organisation (UNIDO), reflects the maturity of Jordan’s productive base and the depth of its industrial value chains, compared with economies that rely on low value-added primary production.
The paper showed that the industrial sector’s added value reached JD8.6 billion in 2024, up from JD4.4 billion in 2010, a cumulative increase of more than 94 per cent and an average annual growth rate of around 5 per cent over the past decade.
The sector contributed 22.6 per cent to GDP 2024, including 17.7 per cent from manufacturing, 3.3 per cent from extractive industries and 1.6 per cent from electricity and water, reaffirming industry’s central role in driving economic growth, job creation and exports.
Food and beverage industries ranked first among sub-sectors, contributing 5.6 per cent to GDP, followed by engineering and electrical industries at 4.8 per cent and mining at 3.3 per cent.
Among medium and small-scale sectors, the pharmaceutical industry accounted for about 1.9 per cent of the GDP, followed by the garments sector at 1.8 per cent, while the chemical and cosmetics industries contributed 1.5 per cent.
The chamber noted that this reflects the diversity of Jordan’s industrial base and the multiplicity of local production chains.
High value-added sectors included engineering and electrical industries, accounted for 57.2 per cent of total production, followed by pharmaceuticals and medical supplies at 47.7 per cent, and mining at 44.3 per cent, highlighting their strong technological and knowledge-based capacities.
The chamber stressed that enhancing industrial added-value contributes directly to creating higher-quality job, expanding factories’ production capacities and increasing the competitiveness of Jordanian products in global markets, particularly in sectors with high local content.
It also underscored the importance of strengthening vertical integration within production chains, reducing operating costs, and facilitating access for industrial enterprises to international standards and conformity certificates to open new export markets.
The JCI further stressed the need to invest in research, development and industrial innovation as key tools to boost added value, enhance the competitiveness of the national industry and achieve sustainable economic growth.