JEDDAH, 23 May 2006 — Investment and trade between Saudi Arabia and Austria have marked a substantial increase. The two-way trade in 2005 totaled 640 million euros in 2005, according to Austrian Consul Dr. Hartwig Seuchter.
Saudi exports to Austria were 340 million euros and Austrian exports to the Kingdom 300 million euros in 2005. “Both have marked a significant increase over the previous year,” he told Arab News on the sidelines of a Vienna Tourist Board (VTB) presentation on Austria’s summer attractions organized by VTB Consultant Zakir Siddik at Jeddah Moevenpick Hotel on Sunday.
Austrian imports into the Kingdom include pharmaceutical products, electrical equipment, heavy trucks and energy drinks. Bilateral trade has been on the upswing since the visit of a high-level Austrian delegation to Riyadh recently.
Bilateral relations at all levels will once again come up for review and discussion at the Saudi-Austrian Joint Economic Commission meeting scheduled in Vienna from Sept. 5-7.
One of the latest developments in bilateral cooperation is the order Austria has received from an iron and steel company for a 500 million euro “directed action plan,” the consul said.
On the investment side, Saudis in particular and Arabs in general have been evincing keen interest in Austria’s real estate sector, especially hospitality industry. An Arab group recently acquired a mineral water bottling plant in a place south of Vienna, Seuchter said.
“We’ve been getting a number of inquiries from established Saudi companies for partnerships and investment,” he said, adding that a major Riyadh company has been considering a franchise proposal with an Austrian firm. Saudi investors are also looking into hotel projects.
Saudi students have also been exploring the prospects of pursuing higher education in Austria, notably in engineering and medicine. About 500 students from the Kingdom are currently studying in Austrian universities.
Referring to tourism, which contributes 10 percent to Austria’s GDP, Seuchter said the country had remained one of the top 10 destinations for world tourists. Annually, 20 million tourists visit the country. They represent 90 million overnight stays. As many as 300,000 Arabs visited the country in 2005, marking a 40 percent increase over 2004. “Vienna and the rest of Austria offer rich history, culture and landscape, and this year one of the greatest attractions is the 250th birth anniversary of Mozart, the music legend,” he said. The Danube Canal — the “Small Danube” on the perimeter of the historic center for basking in the summer sun — has become a destination for urban alfresco fans, boasting a new “Bathing boat” and plenty of inviting riverside spots.
Siddik said in his presentation that Arabs mainly stayed in five-star hotels, averaging a stay of 3.88 days as against 2.50 days for non-Arab tourists. About 60 percent of Arab tourists in Austria are from the Kingdom.
He said Vienna had become a new hub for architecture and design. A “Round Table” exhibition at Belvedere Palace, the celebration of Mozart’s music and life, a “Vienna discount” card for shopping, spas and a new hot chocolate treatment are among the among the other attractions for tourists this summer.