ISMA1LIA. Egypt. Dec 11: Egypt's 125-year-old Suez Canal faces greater competition from existing world trade routes than from plans for new transport networks following peace between Israel and Jordan, a senior official said yesterday, reports Reuter.

Mohammad Ezat Adel. Chairman of the Suez Canal Authority, said n^w westerways or roads in. the region could not challenge the canal's preeminent position as the main link between the Red Sea and the Mediterranean.

Proposals for canals linking the Dead Sea with the Red Sea or Mediterranean would be used only for power generation and irrigation, he added.

Adel told Reuters the Suez Canal faced greater threats from land trade routes further afield, such as Siberian and Chinese rail links carrying goods from the Far East to Europe.

Suez Canal revenues fell three per cent in the first nine months of 1994 10 1.421 billion dollars. Canal authorities blame changing pattern in world trade, but say they are well-placed to capitalise on increased regional trade following progress tn the Middle-East peace process.