Natural Honey Production: Investment Chances [Archives:2000/43/Business & Economy]

archive
October 23 2000

Mahyub Al-Kamali
Hundreds of Yemeni families work in keeping bees producing natural honey. And many private sector merchants help in increasing this important food product, marketing it to consumers or exporting it to foreign markets. This yields them encouraging financial profits to continue their investments with no loss.
Although the production of good natural honey happens in seasons when fruits and plants flourish on which bees feed, investors persist on storing the produced honey, preserving and marketing it without cheating by mixing honey with sugar or feeding bees on inappropriate herbs.

Marketing and Profits
In a field survey on the natural honey production in Yemen, its volume and the benefit of marketing it, honey wringer or squeezer owners say that marketing honey and selling it to local consumers or exporting it get merchants good profits to the tune of 25% of the invested capital in a year.
Although these profits are not stable in the local consumer market during the whole year, Ali Qifan, a merchant, says Investors cover their profits from other sales mixed with natural honey and used for different medical purposes. He also said Estimations indicate that, in Yemen, commercial quantities of about 150 tons of honey are produced every year. Hundreds of families look after their own hives of bees and they employ some workers to help them in waxing.

Dawani Honey Exported to The Gulf
The natural honey production map ranges on many Yemeni Areas first of which is Hadhramout which produces about 35 tons a year and exports a big ratio of it to the Gulf States specially the so-called Dawani Honey. This is the best honey produced in November when a tree called Al-Sedre, Christs thorn, grows buds on which the bees feed.
Merchants say that Shabwa Governorate comes next in producing about 29 tons of natural honey. Al-Mahweet produces 15 tons, Hajjah 8 tons, Tehamah 13 tons, Osaimat 5 tons, Ibb 4 tons, Taiz 4 tons while other areas produce about 35 tons that are locally consumed.
From the field survey, we realized that working in beekeeping is a hard job for beekeepers for they keep on moving their hives from one place to another to ensure pasture land for them and the continuation of honey production. Beekeepers divide the available pasture lands into six types. Honey is named after the pasture land on which bees feed.

Investment Chances
Mohammed Al-Gaafari, a merchant, says that there are big chances for investment in the field of increasing the production of honey, its manufacturing, and marketing it abroad. So far, the government has encouraged those who work in this field and has held seminars to instruct producers how to preserve the hives they own. However, this matter requires more investment.
Al-Gaafari adds that the prices of Yemeni honey are very high for the local consumer, a kilogram of good honey costs more than 150 dollars. Therefore, the merchants go to the capital city to sell honey to tourists, government officials and businessmen.

A Medicament better than Viagra
Honey commercial shops confirm that the natural honey sales increase in case it is prepared as a medicament for impotent patients.
Specialists in honey wringers say that preparing the bridegrooms mixture which consists of honey paste and 45 herbs from the bees pasture lands is more useful than the Viagra pills and it is of no danger to the bridegroom.
Despite the fact that the government encourages the private sector investment, honey trading center complain of progressive taxation starting with tax payment of 50 dollars at establishing the center and then adding 10% is paid every year for permit to pursue business.

Increasing of production and exportation
The increase of natural honey production will help develop the foreign exports specially that the markets to which this product is exported are confined to the Gulf markets and to Germany.
Obviously, the various bee pastures in Yemen owing to the change of climate and rain seasons provide chances for investors to establish farms and special factories to increase the production of good honey and its volume of export bringing valuable revenues to the country.

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