According to allcitypopulation, Somalia is a country located in the Horn of Africa on the east coast of the continent. It is bordered by Djibouti to the northwest, Ethiopia to the west, and Kenya on its southwest border. The northern part of Somalia is characterized by rugged mountains while the rest of the country is mostly flat desert terrain. The Jubba River flows through Somalia and empties into the Indian Ocean at Kismayo. According to Petwithsupplies, the capital city of Somalia is Mogadishu with a population of 2.3 million (estimated 2020). Other major cities include Hargeisa (in Somaliland), Merca, Bossasso (in Puntland), Berbera (in Somaliland), Kismayo.
The economy of Somalia has traditionally been dependent on agriculture, which accounts for about 65 percent of employment. Livestock raising, fishing, and forestry are other important economic activities. Livestock products constitute about 40 percent of total exports and include hides, skins, sheep and goat hair, ghee (clarified butter), and frankincense. Other exports include bananas, sorghum, maize (corn), sugarcane, fish, charcoal, myrrh (an aromatic resin), and frankincense. The main imports are petroleum products as well as manufactured goods such as foodstuffs, machinery and equipment for infrastructure development projects such as roads and ports construction materials for housing projects including cement; iron rods; steel; timber; plastics; furniture; electrical appliances; telecommunications equipment; pharmaceuticals; medical supplies; vehicles spare parts; textiles including fabrics for garments manufacturing industry among others.
Foreign Trade of Somalia
Somalia’s foreign trade is largely conducted with countries in the Middle East, particularly the United Arab Emirates and Saudi Arabia. The UAE is Somalia’s largest trading partner, with imports from the country accounting for nearly 70 percent of total imports. Major exports from Somalia include livestock products, such as hides and skins, sheep and goat hair, ghee (clarified butter), and frankincense. Other exports include bananas, sorghum, maize (corn), sugarcane, fish, charcoal, myrrh (an aromatic resin), and frankincense.
The main imports to Somalia are petroleum products as well as manufactured goods such as foodstuffs, machinery and equipment for infrastructure development projects such as roads and ports construction materials for housing projects including cement; iron rods; steel; timber; plastics; furniture; electrical appliances; telecommunications equipment; pharmaceuticals; medical supplies; vehicles spare parts; textiles including fabrics for garments manufacturing industry among others. Additionally, remittances from Somalis living abroad are an important source of income for the country.
Somalia has also been actively trying to attract foreign investments into the country which have been hampered by years of civil conflict. Prior to the outbreak of civil war in 1991 there were several large-scale investment projects in Somalia that were supported by foreign donors such as World Bank loans. However since then much of this investment has dried up due to insecurity in the region. The government has recently launched a number of initiatives to try attract new investors such as offering incentives such as tax holidays or reduced taxes on certain investments that meet certain criteria. Additionally, they have also established a special economic zone in Mogadishu which offers companies preferential access to resources such as electricity and water supply infrastructure services at competitive rates in an effort to make it easier for businesses to operate within Somalia’s borders.
Major Trading Partners of Somalia
Somalia’s major trading partners include the United Arab Emirates, Saudi Arabia, Yemen, Italy, India, Kenya and Ethiopia. The UAE is Somalia’s largest trading partner with imports from the country accounting for nearly 70 percent of total imports. Major exports from Somalia include livestock products such as hides and skins, sheep and goat hair, ghee (clarified butter), and frankincense. Other exports include bananas, sorghum, maize (corn), sugarcane, fish, charcoal, myrrh (an aromatic resin), and frankincense.
The United Arab Emirates has been a major trading partner of Somalia since the early 2000s when it began importing large quantities of livestock products such as hides and skins as well as other agricultural products such as bananas and sorghum. In addition to this the UAE has also become a key source of investment into Somalia mainly in the form of construction projects such as housing developments and infrastructure projects including roads and ports development. UAE companies have also invested in the telecommunications sector in Somalia with one company having a monopoly over mobile phone services in the country.
Saudi Arabia is another key trading partner of Somalia mainly due to their close proximity to each other which makes it easier for them to conduct trade between them. Saudi Arabia is also an important source of investment with companies investing in various sectors including housing developments; infrastructure projects; telecommunications; oil exploration; mining; fisheries; pharmaceuticals; medical supplies etc.
Yemen is another important trading partner of Somalia mainly due to its close proximity which makes it easier for them to conduct trade between them. Yemen is an important source of imports for Somalia including foodstuffs; machinery and equipment for infrastructure development projects such as roads and ports construction materials for housing projects including cement; iron rods; steel; timber etc.; electrical appliances; telecommunications equipment etc.
Italy has been an important trading partner for Somalia since colonial times when Italy occupied parts of what is now known as modern day Somalia until 1960 when they withdrew from the region after gaining independence from Italy on July 1st 1960. Despite this long history Italy still remains an important trading partner today with Italian companies investing in various sectors including oil exploration; mining operations; fisheries industry among others while Italian imports include foodstuffs; machinery and equipment for infrastructure development projects such as roads and ports construction materials for housing projects including cement among others.
India has been an important trading partner since before independence with Indian companies investing in various sectors in Somalia which includes oil exploration operations amongst others while Indian imports include foodstuffs machinery equipment pharmaceuticals medical supplies etc.. India also provides substantial aid to Somalian government programs which helps support economic growth within Somali nation itself
Kenya has been an important trading partner since colonial times when they were both under British rule until 1963 when Kenya gained independence from Britain on December 12th 1963 despite this long history Kenya still remains an important trading partner today with Kenyan companies investing in various sectors within Somali nation itself while Kenyan imports include foodstuff machinery equipment pharmaceuticals medical supplies vehicles spare parts textiles fabrics garments manufacturing industry amongst others
Ethiopia has been another key trading partner since colonial times when they were both part of British East Africa until 1941 when Ethiopia gained independence from Britain on May 5th 1941 despite this long history Ethiopia still remains an important trading partner today with Ethiopian companies investing in various sectors within Somali nation itself while Ethiopian imports include foodstuff machinery equipment pharmaceuticals medical supplies vehicles spare parts textiles fabrics garments manufacturing industry amongst others. Ethiopia also provides substantial aid to Somali government programs which helps support economic growth within Somali nation itself.
Major Imports and Exports of Somalia
Somalia is a major trading partner in the East African region and has been trading with countries such as India, Kenya and Ethiopia since before independence. Somalia’s major exports include livestock, hides and skins, fish and seafood, frankincense and myrrh, charcoal, bananas, sugar cane and other agricultural products.
Livestock is one of Somalia’s main exports. Somali pastoralists have been raising livestock for centuries. Cattle are the main livestock in the country and are exported to countries such as Saudi Arabia, Kuwait and Yemen. Sheep, goats and camels are also exported to these countries as well as to other African countries such as Ethiopia.
Hides and skins are another major export from Somalia. The hides are used for leather goods such as shoes or bags while the skins can be used for clothing or home decor items. Somali hides are mostly exported to Italy, Germany and China while some of them also go to India.
Fish and seafood is another important export from Somalia with a wide variety of species being caught off its coast including tuna, mackerels, crab, lobster etc.. These seafood exports go mainly to Europe but also make their way into Asian markets such as China or Japan.
Frankincense and myrrh have been exported from Somalia since ancient times. It is still an important export today with most of it going to European markets although some goes to Asian markets too. Frankincense is used in perfumes while myrrh is used for medicinal purposes or religious ceremonies like incense burning in churches or temples.
Charcoal is another important export from Somalia with most of it being sent to Arabian Gulf States where it is used for cooking fuel or heating fuel during winter months when temperatures drop significantly in those regions. Charcoal is made from burning wood which makes it an environmentally friendly product since no trees need to be cut down in order for it to be produced unlike petroleum based fuels like oil or gas which require large amounts of land for drilling operations thus causing environmental damage when done on large scales over long periods of time.
Bananas are an important food crop in Somalia that can be found growing throughout the country’s tropical climate regions. This fruit is mainly exported to other African countries but also makes its way into Europe and the Middle East. Finally, sugar cane is another important export from Somalia which can be found growing in most parts of the country. Sugar cane is used to make jaggery and molasses which are consumed throughout the region and exported to other markets.