Qatar is an excellent place for trade and investment which South Korea will explore further to boost its trade from around $12bn on last year to a much higher level in the coming years, Korean Ambassador to Qatar Joon-ho Lee said on the sidelines of the Korea-Qatar Business Forum in Doha yesterday.
We see enormous potential for both countries to take trade and in particular investments which is yet low from the South Korean side to the next level, Lee said.
Relations between Korea and Qatar has grown steadily since its establishment in 1974. Qatar is the largest LNG exporter to Korea and Korea’s second largest trading partner in the Middle East.
Qatar and Korea have been the best partners and have contributed to each other’s development since beginning diplomatic ties, Lee said.
Many Korean companies have been partners in major infrastructure and landmark projects of Qatar including the National Museum of Qatar, the Doha Metro, Lusail Plaza Tower and the North Filed LNG project.
Qatar is ranked as one of the leading countries according to the World Bank Doing Business Index in the region.
Investments between the two nations marked a milestone this year with QatarEnergy awarding a contract for the North Field expansion project to a Korean company early this year. The 20-year LNG supply agreement was inked mid this year with QatarEnergy placing the first round of LNG shipbuilding order with the Korean company.
However, Korean investments in Qatar has been at an insignificant level leaving ample room for expansion. Qatar accounts for only around 0.3 percent in Korean investment in the GCC region in 2017-2021.
Ties between Korea and Qatar will improve with the 90-day visa exemption program which will facilitate a hassle-free travel between the two countries, the Korean Ambassador said adding that imparting the know-how and technology is an area that Korea will be looking at supporting Qatar.
We are expecting around 5,000 Koreans to view the World Cup which will turn out to be a spectacular event. Lee said.
Korea is facing new challenges such as world-wide inflation, energy, climate crisis and digital divide which makes it all the more important for Qatar and Korea to expand cooperation and establish partnerships in areas such as digital technology, healthcare, smart farming, renewable energy and finance.
Many Korean companies specialized in agriculture and smart farming shown interest in helping Qatar in strengthening food security and self-sufficiency measures according to the Ambassador.
The use of high tech equipment and Artificial Intelligence (AI) have helped countries to increase crop-yield and productivity.
Petrochemicals, renewable and food security, military equipment and hydrogen are some of the potential industries that Korea and Qatar are hoping to explore in the medium to long term.
According to statistics of Qatar’s exports to Korea in 2020 petroleum gas accounted for 61.1 percent, crude petroleum 25.8 percent and refined petroleum 7.26 percent and some of the major imports from Korea comprised engine parts, electric batteries, cars, air conditioners accounting for 4.5 percent, 3.9 percent, 7.7 percent and 2.1 percent.
Samsung Corporation (Engineering and Construction), Hyundai Engineering and Construction, Doosan Heavy Industries and Constructions and LG are some of the global brands in Qatar.
