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Jacaylbaro

Somaliland Fosters Trade in Frankincense and Myrrh

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HARGEISA, Somaliland — In the mist forests of the Golis Mountains in northern Somalia, clouds roll in off the sea. Up and over the mountain ridges, they evaporate into the desert air.

 

 

There, in the southern slopes, stumpy trees grow as if anchored to the mountainside by some unknown force. From the hand-slashed bark of these stubborn, spiky trees leak droplets of a gum that hardens into a chewy resin.

 

 

These aromatic gums are the biblical frankincense and myrrh. Harvested and dried, they have been highly valued trade items for thousands of years. The gums are simply processed and exported. They look like dirty little stones, and they find their way out of Somalia's wild north and into European perfumes, Christian churches, Arabian households and Chinese medicines.

 

 

Somaliland is the northern territory of Somalia that functions largely independent from the war-torn south, although it is not officially recognized as an autonomous country. The production and trade in the aromatic gums of frankincense and myrrh is an important economic activity for Somaliland.

 

 

Guelleh Osman Guelleh, general manager of Beyomol Natural Gums in Hargeisa, told GlobalPost that he exports 330,000 pounds of frankincense and myrrh every year. Much of his product is distilled abroad for use in perfumes.

 

 

 

 

 

 

“The main market for us is in southern France, in Grasse. Ninety percent of what we sell goes there to be used in perfumes,” said Guelleh who studied in the United Kingdom before returning to Somaliland in 1999 to set up his gum exporting business.

 

 

The only processing done in Somaliland itself is sorting and grading the gums according to size and color but Guelleh hopes that will change, one day.

“It’s a technical issue because it is not a simple process to distill for the perfumery industry. You need to show reliability of quality and consistency of supply, you need to be able to process the same way the French do,” he said.

 

 

Nevertheless, exporting the unrefined gums alone is a profitable enterprise earning Guelleh up to $60,000 a year. Overall Somaliland's economy is estimated to be worth $50 million, of which 95 percent is exports of livestock.

Guelleh’s business operates out of Somaliland, where successive governments of the self-declared independent province have a laissez-fair policy toward private enterprise that borders on disregard.

 

 

“Somaliland is fantastic for doing business because the government keeps out of the private sector,” said Guelleh enthusiastically. Regulations are minimal, taxes non-existent. “Somaliland allows you to do your business and they don’t interfere.”

It was not always this way. During the years when Somalia was under the military rule of Mohamed Siad Barre, the government-owned Frankincense and Gums Trading Agency nationalized the sector and the crop was part of the corrupt state bureaucracy. But since the collapse of Barre’s regime and Somaliland’s declaration of independence in 1991, gums, like the rest of the economy, have been making a slow recovery.

 

 

Myrrh is extracted from the Commiphora myrrha tree that grows on the lower slopes. Frankincense comes from the Boswellia carteri tree that grows at higher altitudes. Both are used in herbal medicines, essential oils and perfume, not to mention religious ceremonies. Christians often incorporate frankincense and myrrh into traditions, given the fact that the Three Wise Men are said to have offered them to baby Jesus.

 

 

Lesser known in the Western world is "maidi" a type of frankincense that is extracted from the Boswellia frereana tree and is popular in the Arab world as a naturally scented chewing gum. This high quality gum — pure white in color — is sought after and sells for $12 per kilogram, six times the price of the best inedible frankincense.

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Puntland economy in 2002

 

41107_148734875152243_100000471944646_41

 

These are the number of processing plants in puntland back in 2002. Alot has changed since then. Today we have boat factory that creates boats and dhows small/medium sized ships. We have 3 fishery plants not 2 anymore. Habo fishery plant has been added to the las qoray/qandala fishery plants.

 

There is also a rice plant that has been added since 2002 and probably more industries that im not aware of and will learn with due time.

 

These are puntland industries. Stay away get your own ideas somaliland.

 

The next industries are OIL, Revamp on the Fishery Sector. Were talking billions of malaysian investment into the fishery sector and new cotton factory...Proof is below

 

33520_147998225225908_100000471944646_41

33520_147998218559242_100000471944646_41

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AYOUB   

^ The question is; who is copying whom?

 

You say 2002, this is from New York Times. New York, N.Y.: Nov 26, 1999.

 

That entrepreneurial spirit is perhaps the greatest strength of the Somalilanders, half of whom still live as nomads with their camels and goats.

 

In a few years, businessmen there have created one of cheapest telephone systems in Africa: international calls are $1.50 a minute in the day and only 80 cents at night.
Traders are working to export frankincense and myrrh, and exploration has begun for oil and gemstones
.

 

Source

I bet you don't even know that the name Puntland itself was coined by Somalilanders before they decided to go with Somaliland. Did you bother asking yourself how Garow and Galkayo can be "Puntland" when they were never part of the ancient land named the Punt?;):D

 

Overall Somaliland's economy is estimated to be worth $50 million, of which 95 percent is exports of livestock.

There is difference between budget and economy.

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If that article of new york post is true. It says oil exploration started in 1999 yet no one seismeic study has been done nor any drilling. So that article is total garbage Frankincense doesnt grow in sanaag siiba galbeedkeeda...Sanag bari haa iyo bari...its well known frankincense, fishery, oil are puntland industries just get your own. Anigu kuluma haysto you SOMCABLES good luck with it hadayba dhacdo weeye which I doubt

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