Qatar offers huge business benefits and World Cup football!

Qatar is one of the richest countries in the world in respect of per capita income. And as the Persian Gulf state gets ready to host the 2022 FIFA World Cup, entrepreneurs across the world are eagerly eyeing the considerable opportunity which the billion-dollar competition represents.

Qatar

Qatar

According to figures supplied by the Indian embassy in Qatar, India’s bilateral trade with Qatar increased from $1.2 billion in 2005 to $4.6 billion in 2010. Indian exports to Qatar increased from $380 million to $900 million during this period. Qatar’s exports to India amounted to $3.7 billion in 2010.

India, in particular, enjoys a strengthening economic relationship with Qatar, with trade between the two countries growing annually. Qatar supplies huge amounts of liquefied natural gas (LNG) to India as well as other exports.

Certainly, setting up a business in Qatar brings with it a string of benefits. Added to these is a politically stable environment and a modern, 21st century business banking infrastructure well able to serve the needs of both the small and largest of private enterprises, and great access to personal loans.

India is Qatar’s fourth largest export market after Japan, South Korea and Singapore. In terms of Qatari imports, India ranks tenth, providing the Persian Gulf state with machinery and equipment, transport equipment, textiles, food products, ores and minerals.

The embassy says, “India has signed a long term agreement to purchase 7.5 million tonnes of LNG every year from Qatar; the first shipment took place in 2004. In addition, India has been buying spot cargoes. India also bought 4 million tonnes of crude oil from Qatar in 2011.”

A large number of Indian companies such as L&T, Punj Lloyd, Voltas, Simplex, TCS, Tech Mahindra, Satyam Mahindra, Wipro and NIIT have set up offices in Qatar and have secured major contracts and business. Indian professionals constitute an important component of the half-million-strong expat Indian community.

Doha-in-Qatar

Doha-in-Qatar

Indian and other foreign-owned businesses enjoy a great number of concessions from a Qatari government keen to encourage commerce and to diversify the economy away from over-reliance on the country’s huge oil and gas wealth. There have been a number of changes to the law in recent years to allow this to happen and to further enhance the free-market framework operating within the country.

Foreign investors can now enjoy 100%  ownership in a range of business sectors including information technology, consultancy, distribution, and services related to sport, culture and entertainment.

Company set-up specialists KMD Consulting says Qatar offers the business sector all the advantages of a highly developed economy, with infrastructure and services which match the highest international standards, facilitating efficiency, quality and service.

KMD Consulting adds, “The Qatar government’s economic development strategy has been very successful and the investment incentives, infrastructure, banking services, insurances and political and social stability are contributing factors in creating an excellent business climate for business start-ups.”

The business benefits they list include no income tax or social security deductions payable on wages and salaries; no taxation payable on exports and customs duties of 5%;  full repatriation of capital and profits overseas in a foreign currency; a corporate tax rate of 10%;  inexpensive workforce and easy recruitment procedures; high quality offices and residential accommodation; and luxury hotels, hospitals, schools and shopping malls.

Sounds like Qatar is the place to be. Click here for more about starting a business there.

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