Advoc exports to Iraq to resume early 2004

Shipments of 6,000 tonnes of vegetable oil on hold to Iraq by the Abu Dhabi Vegetable Oil Co (Advoc) will resume early next year when the internal situation there improves, said a top company official yesterday.

Advoc, a private joint stock company, secured a $7.5 million contract from the UN World Food Programme to supply 9,000 tonnes of vegetable oil to Iraq after the war.

The first shipment of 1,000 tonnes was made in June, followed by two shipments of 1,000 tonnes each in July.

"Shipments of oil are on hold because of various reasons, especially the situation in Iraq. We expect to start shipments in early 2004 as the contract has been extended," Colin Smith, general manager, Advoc, said.

Advoc, which has a facility at Mina Zayed in Abu Dhabi, has secured contracts from Saudi Arabia and others.

"The company has some significant business from Saudi Arabia. We also have our regular contracts for exports and some other new contracts, government contracts and standard contracts," he said.

It has also developed new products, he added.

Set up five years ago by individuals, including members of the Abu Dhabi royal family, Advoc has an annual production capacity of around 60,000 to 80,000 tonnes per year. Some 10-15 per cent of this goes into the domestic market while the rest is exported to regional markets.

"Our main export markets are the GCC and some Middle East countries."

Advoc has exported to Iraq in the past but this contract is the first after the war this year.