Identify the business environment in Brunei

• An industry involved in the extraction and collection of natural resources, such as copper and timber, as well as by activities such as farming and fishing. • A company in a primary industry can also be involved in turning natural resources into products.

• Primary industry tends to make up a larger portion of the economy of developing countries than they do for developed countries.

• Oil and gas is the primary resource fuelling Brunei Darussalam's economy, accounting for more than half of the nation's GDP.

While making efforts to sustain and strengthen the oil and gas industry, through the development of new upstream and downstream activities, the Government of His Majesty the Sultan and Yang Di-Pertuan of Brunei Darussalam is also pushing hard for economic diversification

Manufacturing, primary resources and tourism have been identified as a pillar of diversification.

The development of the Brunei Halal brand, the shift to agribusiness, and export oriented manufacturing, food processing and services are just examples of new initiatives of the government, which should prove attractive for investors and entrepreneurs alike.

New high technology investments such as biotechnology based on natural tropical forest biodiversity and high technology manufacturing, information and communication technology (ICT) and high technology farming and fisheries is also actively promoted. 

Fully developed industrial and primary resources sites are available in strategic locations all over the country, to locate manufacturing activities, agricultural and fisheries-based food processing, farming, aquaculture fisheries, services industries and other promoted activities.

A total of more than 51,000 employment opportunities have been created by the manufacturing, primary resources and tourism sectors. 

Development in the primary resources sector continues to show encouraging progress in terms of production, yield and earnings.

The change towards commercial and business orientation resulted in more intensive production spurred by the introduction of new technologies and quality breeds of livestock and fisheries, and varieties of crops.

Crude oil and natural gas production account for about 90% of its GDP. About 167,000 barrels of oil are produced every day, making Brunei the fourth largest producer of oil in South-east Asia. It also produces approximately 895,000,000 cubic feet (25,300,000 m3) of liquefied natural gas per day, making Brunei the ninth-largest exporter of the substance in the world.

Brunei depends heavily on imports such as agricultural products (e.g. rice, food products, livestock, etc.), motorcars and electrical products from other countries. Brunei Darussalam imports 60% of its food requirements, which around 75% of those food imports come from the ASEAN countries.

To achieve its target for food self-sufficiency, Brunei renamed its Brunei Darussalam Rice 1 to Laila Rice during the launch of the "Padi Planting Towards Achieving Self-Sufficiency of Rice Production in Brunei Darussalam" ceremony at the Wasan padi fields in April 2009. In August 2009, the Royal Family reaped the first few Laila padi stalks, after years of multiple attempts to boost local rice production, a goal which was envisioned about half a century ago. 

In July 2009 Brunei launched its national halal branding scheme, Brunei Halal, with an aim to export to foreign markets.

Main export partners

Japan, Indonesia, Australia, South Africa and USA

Main import partners

Singapore, Malaysia, Japan, China,

Thailand, USA and UK

Main industriesPetroleum,

petroleum refining, liquefied natural

gas and construction

Main exportsCrude oil and

liquefied natural gas

Main importsMachinery,

transportation equipment,

manufactured goods, food stuff and chemicals

Gross Domestic Product (GDP)

2009 2010

(BND million dollars)

Amount % Amount %

Oil and Gas 9,417.0 60.3%

10,461.8 62.0%

Non oil and gas 6,194.3 39.7%

6,405.5 38.0%

TOTAL 15,611.3 100%

16,867.3 100%

BRUNEI'S GDP 2010

Oil and GasNon oil and gas

38%62%

Breakdown of Gross Domestic Product (GDP)

2009 2010

(BND million dollars)

Amount % Amount %

Agriculture, forestry and fisheries

141.9 0.9 128.2 0.8

Industry 10,210.9 65.4

11,262.9 66.8

Services 5,258.5 33.7

5,476.2 32.4

TOTAL 15,611.3 100%

16,867.3 100%

1%

67%

32%

Breakdown of Brunei GDP in 2010

Agriculture, forestry and fisheries

Industry

Services

Exports & Imports

2009 2010

(BND million dollars)

Amount ($) Amount ($)

Exports of Goods and Services

11, 362.7 13, 736.6

Imports of Goods and Services

5,587.2 5,544.7

$

2009 2010

Comparison of Brunei’s Export & Import in 2009 & 2010