The weapons industry of Bosnia and Herzegovina (BiH)continued to record growth in the first six months of this year, achieving a total volume of exchange of 309 million BAM. Exports from this sector amounted to 238 million BAM, which represents a growth of 37 percent compared to the same period last year. On the other hand, imports also recorded a significant increase of 82 percent, reaching a value of 71 million BAM.
Although the coverage of imports by exports recorded a slight decline, it still remains at an impressive level of 334 percent, which confirms the dominance of exports over imports in this sector. The total volume of exchange of weapons industry increased by as much as 45% compared to the same period last year, reflecting the continued rise and importance of this sector for the economy of BiH.
The largest part of exports is ammunition, which generated an income of 174 million BAM, which is 73 percent of total exports. Explosives are the second most represented export product with a share of 24 percent, while military weapons were exported in the value of 4.4 million BAM, or 1.8 percent of the total export.
Leading export partners
The main export partners of the weapons industry of BiH in the first six months of 2024 are led by the United States (U.S.) with exports worth 54 million BAM, which is 22.69 percent of total exports. Followed by Serbia (25.5 million BAM), Turkey (22.3 million BAM) and the Slovak Republic (20.7 million BAM). Bulgaria, Iraq, Saudi Arabia, Romania, Bangladesh and Great Britain are among the top 10 partner countries. In total, the top ten exporters account for as much as 81.05 percent of exports, while the rest is accounted for by smaller partners.
Imports focused on raw materials
When it comes to imports, the key products are explosives, which are raw materials for the production of final products, primarily ammunition. The import of explosives accounted for as much as 80 percent of the total import in the first half of 2024, in the value of 56 million BAM. The largest import partners in this sector were the U.S. with 33.22 percent participation, Serbia (24.04 percent), Egypt (12.10 percent) and Croatia (7.97 percent).
Weapons industry in BiH has a long tradition that goes back to the period of Yugoslavia, when this industry was a significant factor in the economy of the former state.
It experienced its golden age during the 1970s and 1980s, when numerous production facilities were opened throughout the country. Factories in Konjic, Travnik, Gorazde, Banja Luka, Hadzici… produced weapons, ammunition, explosives, and various types of military equipment that were exported around the world, but also served the needs of the domestic army. At that time, this industry employed tens of thousands of workers and represented the backbone of the economy in many areas of BiH.
After the war, the industry was faced with numerous challenges, including damaged infrastructure, failed companies…Since 2010, it has experienced continuous growth. Companies like “Igman” from Konjic, “Pretis” from Vogosca, and “Unis Ginex” from Gorazde represent the backbone of this industry. These companies produce various types of ammunition, explosives and other military equipment, and their products find customers on the international market, Forbes writes.
E.Dz.
