An electronic market initiative launched recently by the federated Gulf’s business chambers is expected to stimulate trade and commerce for the region’s companies, particularly small and medium enterprises (SMEs), in a manner they have never experienced before.

The initiative, introduced by the Federation of Gulf Co-operation Council Chambers (FGCCC) and operating under the Gulf TradaNet brand, provides a comprehensive range of services under a single umbrella in both English and Arabic.
 This is the first time that a regional provider has made available services of such a comprehensive degree, said Gulf TradaNet general manager William Rowe.
 Traders can explore business prospects from a wide database and finalise transactions for goods and services of any kind.  The system eliminates waste in the business cycle by allowing traders to interact with parties featured in the electronic market or likely to come in as a result of enquiries placed on line, said Rowe.
 “We have laid down a technical infrastructure and a series of pre-defined business processes that are available on line in a secure and safe technological and commercial environment,” he said.
“We provide a suite of electronic business services at an extremely cost-effective price because we’re providing them to everybody. Our costs are lower so we can pass on that benefit to end-users.” The registration fee is $1,000 and the monthly charge $100.
Importantly, access is available to a members’ directory of 325,000, all of whom are registered under the chambers of commerce.
The system also provides members the chance to upgrade and add information about themselves or their businesses and products, including accounting information.
An attractive feature is that Gulf TradaNet enables companies to build their own websites. “We provide them with the tools to create a website, while they themselves do it at no additional cost,” said Rowe. The importance of this facility can hardly be exaggerated. Members can place on line their catalogues and undertake transactions, the system even enabling members of the public to find and buy products on line. It facilitates the sending of online quotations and tenders, for example.
“The services are cost-effective and SMEs may not have thought of using the technology in the past because access was expensive,” commented Rowe. “Earlier they had to go to different organisations for different services and these services may not have been integrated.
“All you need is a PC and a connection to the Internet.”
Gulf TradaNet has a local representative in each Gulf state to provide local information, as a result of which a Gulf-wide database and system is established.
The electronic market place also facilitates reverse auctions where the seller is a bidder and where sellers and buyers can present their best offerings and prices.  One of the advantages of the exercise is that the interested parties could hail from a wide geographical base. Reverse auctions are growing in importance because of the online interaction and also because in many cases they encourage the offering of value-added services away from the price quoted.
Gulf TradaNet’s services enable members to have access to product data that would otherwise not have been possible. The system provides easy-to-follow trade leads, a tool that leads them to product suppliers. For example, a search in trade leads for olive suppliers could fetch contact details of a number of parties dealing in the commodity as well as vital information about their businesses.
Important services of Gulf TradaNet include:
Trade Net – an area where the member posts his offers to sell or buy. He can browse other users’ listings for offers matching his business needs.
Tender Net – It ensures that the purchasing process is rigorously applied, engages a broader number of stakeholders in the purchasing process and fosters closer, more collaborative working relationships with suppliers. Types of tenders include open tenders, closed tenders, sealed bid tenders, matric tenders and reverse auctions and tender advertisements.
Document Net – The system enables its members to manage all sent and received documents in one space efficiently and cost effectively.
Documents such as Quotation Request and Quotation Response, Purchase Order and Purchase Order Acknowledgement can be created and exchanged with other members, then archived for future access.
Procurement Net – It offers a comprehensive catalogue management solution for companies of all sizes. The e-catalogue solution has the flexibility to address changing business requirements and can be fully customised to support everyday needs.
 Gulf TradaNet also extends sophisticated business services for organisations that have implemented ERP systems. “The services allow ERP systems for separate companies to communicate and to share data with each other, which is actually technically complex but very important for large companies,” Rowe explained.
 “The move towards creating a region-wide e-market through the Gulf TradaNet brand, as a reflection of the FGCCC’s vision, is a major infrastructure project and we are proud it has taken off,” said Rowe. “Its impact will be felt across the region, allowing members to save both time and money. It is particularly beneficial to small and medium enterprises. While some larger companies may be able to afford the IT required, SMEs have had little or no access to the technology, and this had stifled the growth of business-to-business commerce.”
Rowe said the company had already generated a great deal of interest.  “We have customers but we still are in the process of launching our service in the various Gulf states, a process that could take several months,” said Rowe.
“We are working with the GCC business chambers in the Gulf states on a series of awareness and education seminars to inform traders of the benefits of e-business and the benefits of joining the service. We’re also providing training seminars on e-technology and how to make businesses more efficient.”
The FGCCC awarded Nesma Advanced Technology, one of Gulf TradaNet’s main shareholders, the contract to establish an electronic e-marketplace under the Gulf TradaNet brand (URL: https://www.gulftradanet.com).  Other shareholders of Gulf TradaNet, which has its technical headquarters in Riyadh and administrative offices in Bahrain, include Hasibat, a Kuwaiti conglomerate. 
Nesma Advanced Technology is a leading Saudi conglomerate playing an important role in the development of Saudi industry.  One of the largest domestic telecom contractors in Saudi Arabia and one of the largest Internet service providers in the GCC, it also has a strategic focus on construction, contracting, trading, retail, telecoms and electromechanical services.
Hasibat provides a mix of information technology services, solutions and products to various industries in Kuwait and the region. Hasibat Holdings is part of the Arabi Group of Companies, which includes Gazelle Express, Gulf Business Forms, Daleel International, Arabi Engineering, Arabi Aviation and Arabientech.