Page 35 - Azerbaijan State University of Economics

Dr. Hashim Al-Ali, Mukhallad Omari, Orouba AlSabbagh: The Jordanian sectoral linkages, leading
sectors and import leakages

Jordanian suppliers in order to generate the greatest effect, and hence real development

elsewhere in the national economy. Iron and steel, rubber, painting and paper and paper product

industry appear to be such industries; however, this is due to the replacement of large imports of

raw iron, rubber, paper and paints, by assumed domestic production which, particularly in the

case of iron, and to lesser extent rubber, would not be very feasible. The five machinery and

equipment sectors, such as; electrical machinery, machinery and equipments, domestic

appliances, engineering instruments and other transport equipments sector, all show significant

gains in importance, this suggests for a greater scope of better integration between themselves

and with the rest of the economy. The recent growth of a quite few of firms operating in these

sectors activities is, no doubt, part of the reason for their present dependence upon imports.

Table 2. The Sectors with Highest Domestic and Total Linkages in Jordan
Backward Forward
Rank Domestic Total Rank Domestic Total
Refinery & Refined Crude Oil &
Air Transport Air Transport 1
1 products Natural Gas
Travel, Tour Refinery &
2 Operators Services Construction 2 Road Transport Refined products
Fertilizers & Iron and Steel Iron and Steel
3 Insecticide Industry 3 Trade Industry
Electrical Other Chemical
Construction 4 Banking Sector
4 Machinery Products
Meat & Fish Machinery and Crops & Other
5 Products Equipments 5 Electricity Agriculture
6 Dairy products Dairy products 6 Others Services Trade
Bricks, articles of Rubber 7 Crops & Other Non Ferrous
7 cement concrete products Agriculture Metal Industry
Other Transport Paint Industry 8 Business Services Road Transport
8 Equipments
Sea Transport & Domestic Paper & Paper
9 Ports Appliances 9 Real estate Products
Paper & Paper Iron and Steel
Postal Services 10 Electricity
10 Products Industry
Engineering Telecommunication
Vegetables 11 Banking Sector
11 Instruments Services
Other
Poultry and Eggs Transport 12 Air Transport Others Services
12 Equipments

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