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Economy and business in Sudan

According to countryaah, Sudan is Africa's third largest land area. Although the northern part of the country is mainly desert, Sudan has more natural resources, between other large areas of agricultural assets and significant deposits of more minerals. However, long-standing conflict of choice has hindered development and growth, and Sudan is still among the least developed countries in the world. Large distances, climatic conditions and partial international isolation that result from the policy of the current regime have also contributed to poor conditions for the development of society and living conditions for the population. In the Human Development Index, Sudan is ranked 167 out of 189 (UNDP 2018).

Business and Economy of Sudan

Oil exports started in 1999, and it quickly became the most important source of income. As a result, Sudan saw significant growth in gross domestic product (GDP) from 1999 to 2011, but a large part of its oil revenues disappeared when South Sudan was self-sustaining in 2011. GDP per capita was 4100 US dollars in 2017, and this has been extensive inflation in recent years. In December 2018, protests erupted in many cities in Sudan as a result of price rises on commodities such as bread and fuel.

Causes of underdevelopment and stagnation

Particularly in the 1980s and 1990s, the civil wars between southern and northern Sudan brought drought to famine and major refugee traumas - both internally displaced refugees and refugees in neighboring countries. The war actions spread mostly in the south, so this area was hardest hit. The civil war also led to the extraction of the oil and gas deposits, which were first proven in 1977, did not occur until 1999. One of the causes of the war in the south was uncertain whether these resources should be controlled and exploited. The civil war also prevented the completion of the Jongleik Canal, which would have reduced evaporation of the Nile water in the Sudd Delta. Water from the Nile is crucial for irrigated agriculture in both Sudan and Egypt.

A new civil war broke out in Darfur in 2003, and this in turn created one of the continent's most serious humanitarian disasters in Sudan.

Aid

Because of the civil wars, where the affluent population no longer had the opportunity to cultivate the land, Sudan has depended heavily on foreign aid and relief.

All new development aid from the United States lasted holding back from 1990 in protest against the lack land democratization and support to organizations like the United States regards as terrorists. In 1991, Britain also suspended its aid, and then the EU. The assistance from Kuwait and Saudi Arabia was also canceled as a result of Sudan's position in the Gulf War in 1991. Nautical aid, especially to southern Sudan and later to Darfur, was undone by the sanctions, but it was difficult to reach with aid both because of the war and the opposition from the Sudanese government. The US will lift its sanctions against Sudan only in 2017.

Agriculture and primary industries

Sudan is essentially an agricultural community, partly with agriculture, partly with livestock farming, and less forestry. The employment sector is still around 80 per cent of the working population (CIA, 2017 estimate), but far more depend on some agricultural production to survive. Most of the production takes place at the self-storage level, and the sector accounts for about 40 per cent of the gross domestic product (CIA, 2017 estimate).

Sudan's exports are dominated by agricultural products, with the exception of the period 1999 to 2011 when it was oil exports.

Agriculture

Agriculture is the most important trade route in Sudan in terms of both employment and income. The agricultural sector is geared towards self-storage, but Sudan also exports cotton, sugar and peanuts.

Around 30 percent of Sudan's land can be used for agriculture, while 40 percent is pasture and forest. These cultivated areas are located mainly in the south between the great rivers Kvitnile, the Blue Nile and Atbarah. Anna agricultural land is found along the Nile and in the plains west of the country. Of the total agricultural area of ​​Sudan, only about 21 percent is cultivated, with varying productivity. Parts of the cultivable area often lie fallow for many years, often due to water scarcity.

The most important agricultural products are cotton, peanuts, sorghum, millet, halibut and sugar cane. It also grows beans, lentils, mangoes, papaya, banana, sweet potato and sesame seeds.

Between the major rivers in the south, mechanized farming is based on large-scale irrigation. Between the Kvitnile and the Blue Nile to the south-east of Khartoum lies the Gezira plant, where the water is hosted in canals from dams to a large cotton district. There is also an extensive cotton industry here. Sudan has about two million hectares of irrigated land; about half at Gezira - which is the world's largest agricultural plant under lease.

Along the Nile, the fertile riverbank is cultivated with water pumped up from the river. In recent years mechanized farming has also been created in the desert where one drops the groundwater and uses it for irrigation.

In the west, the soil is cultivated after the rainy season.

Control of the Nile's water resources is a matter of dispute with Egypt, which, like Sudan, is entirely dependent on the Nile waters for agriculture in particular and the economy more generally.

Nomadism

Animal Hald with ein nomadis k or semi-nomadic lifestyle is important for a part of the population, particularly in dei north physician Delane of the country. The most important livestock are goats, sheep, camel and cattle. Exports of live animals - especially to Egypt, Saudi Arabia and other Arab countries - have traditionally been an important source of income. About 25 per cent of the land area benefits from grazing. In addition to the nomadane, many small farmers also have several pets.

Forestry

Sudan has about 80 percent of the total occurrence in the world of Arabic rubber. In Sudan, this is mainly produced from the Acacia senegal tree, and Arabic rubber is the only forestry product in Sudan that provides significant export revenue. About twelve percent of the land area is classified as forest. Almost all productive forest is state owned, and most of the harvest goes to fuel.

Fishing

Sudan has only a short coastal strip in the east, and fishing in the Red Sea is not particularly developed. Inland has fished from both the Nile and Nasser Lake a certain significance, and it is in particular Nile perch as host fished.

Mining and energy

The development of the petroleum sector was given high priority in the second half of the 1990s with investors from China, Malaysia and C anada. The oil field that was once in production was Heglig and Unity, both of which lie in a contentious border area with today's South Sudan. To export the oil, a 1610 kilometer long oil pipeline was built from the oil field in southern Kordofan to the new shipping terminal Marsa Bashayir south of Port Sudan on the Red Sea. Former President Omar al-Bashir opened the export terminal on May 31, 1999, and the first oil tanker left the port with 600,000 barrels of oil on August 27, the same year. Oil exports led to Sudan's first trade surplus in 1999.

In 2006, Sudan had proven oil reserves of about 560 million barrels, while the country's energy ministry estimated that they would collect reserves for about five billion barrels. Oil exploration has been confined to several areas in southern Sudan and present-day South Sudan, but it is expected that major precursors will also be found in the northwestern part of Sudan and on the Red Sea in the east. Daily oil production in 2005 averaged 363,000 barrels, with oil accounting for about 70 percent of total export value.

Sudan has rich mineral deposits, but they are to a limited extent extracted commercially. Inadequate infrastructure and lack of investment have prevented the utilization of precursors of other iron ore, manganese, silver, chrome, plaster and marble. Sudan also has rich gold foundations, dating back to the Bronze Age.

In 2016, Sudan had an installed capacity for generating 3227 MW of electrical energy, approximately equally distributed between heat and hydropower plants. The country has five hydropower plants with a total output of 1593 MW. The largest power plant is the Merowe plant, which has an installed output of 1250 MW. The power plant is located at the Nile, 350 kilometers north of the capital Khartoum. The development of the power plant was very contentious since around 60,000 people had to relocate. Plans to build a new 300 MW hydroelectric plant further north on the Nile, referred to as the Kajbar plant, have also met with protesters in the capital.

In Sudan, lack of electricity has long been a barrier to economic development. In recent years, the consumption of electrical energy has increased from 1.28 TWh in 1990 to 12.6 TWh in 2016, which represents an annual growth of over nine per cent. Despite this growth, 35 per cent of Sudan's population still has access to electric power (figures from 2018).

Industry

Sudan's industrial sector is underdeveloped, and is essentially agricultural-based, primarily cotton cultivation, which started on a large-scale already in 1926. Sudan has the world's largest cotton weaving mill as its premier industrial complex. Sugar refining is another important industry.

The industry is also largely dominated by the processing of food and drink. With the oil boom in the first decade of the 2000s, both Coca-Cola and Pepsi opened new and larger factories in Sudan, and a Turkish company opened a large trading center in Khartoum.

The country also produces between other cement and artificial fertilizers, as well as consumables for substitute import, for judged soap, vegetable oil and shoes. An oil refinery north of Khartoum was opened in 2000, and it meets Sudan's need for petroleum products.

Four free trade zones were created in 1992 in an attempt to attract investment, and one free trade zone on the Red Sea was established in 1999.

Foreign Trade

Sudan has large trade deficits abroad; and the country relies on foreign aid, which for a period has kept our back from many donor-based political conditions.

Sudan's main export goods are oil, cotton, peanuts, arabic rubber and live animals, as well as hides. Imports include other machinery, petroleum and petroleum products, chemicals and foodstuffs. The most important trading partners are China, Egypt, Saudi Arabia and the United Arab Emirates.

Samferdsle

The transport network in Sudan is poorly developed and represents a serious obstacle to economic development. It is about 48,000 kilometers by road, of which 3160 kilometers are included as main roads. Large parts of vegans in the south are useless doctors in the rainy season. Atbara is a hub for railways from the port city of Port Sudan on the Red Sea, from Wadi Halfa on Lake Nasser in the north and from Khartoum and the area further south. The total track length is 4784 kilometers, as well as 1400 kilometers which serve the cotton plantations in al-Gezira. The Nile is an important link between the north and the south, and a total of approximately 4,000 kilometers of navigable rivers are found, of which 1723 kilometers are the property for full-year traffic. The most important port cities are Port Sudan and Suakin. Khartoum has an international airport.

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