Industry
From The Report: Abu Dhabi 2013
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The government of Abu Dhabi continues to invest in a series of large industrial developments as it endeavours to diversify the economy beyond hydrocarbons, a key aim of its Economic Vision 2030. In the coming five years, growth in the sector is likely to be driven primarily by expanded upstream activity. Aluminium is seen as a segment ripe for expansion, with a number of new companies setting up shop in the emirate and a unique “hot metal road” being built as an efficient aluminium transit system. The petrochemicals sector is also seeing massive expansion, though uncertainties in the global economic climate could temper its growth in the long term. In retail, total retail space is expanding at one of the fastest rates in the region. International brands are looming larger, especially at the top end of the market, where expensive cars and other luxury goods are being sold at record volumes. And while concepts that work well in other parts of the world – such as e-commerce – are not necessarily guaranteed a strong future in Abu Dhabi, the fact that so many developers and retailers are pouring into the emirate is a strong indication of its growth potential. This chapter includes interviews with talks to Mohammed H Al Qemzi, CEO, ZonesCorp; Suhail Al Ameri, CEO, General Holding Corporation (SENAAT); and Khaled Salmeen, Executive Vice-President, Abu Dhabi Ports Company.

Articles from this Chapter

Overview

New frontiers: Sector development has focused on non-oil segments with the creation of industrial zones
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The government is investing in a series of large industrial developments as it endeavours to diversify the economy beyond hydrocarbons, a key aim of its Economic Vision 2030, a master development strategy that is to reshape the emirate’s economy over the next two decades. In the coming five years, growth in the sector is likely to be driven primarily by expanded upstream activity in the steel, aluminium and petrochemicals segments. But in addition to this, the emirate ultimately hopes to retain…

Interview

OBG talks to Mohammed H Al Qemzi, CEO, ZonesCorp
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Interview: Mohammed H Al Qemzi How is Abu Dhabi attracting industrial investment while competing with its GCC neighbours? MOHAMMED H AL QEMZI: Each country within the region has its own advantages and disadvantages. The UAE has very prudent policies set by our rulers, and this has made Abu Dhabi a solid market for capturing investment. Many international companies have come to Abu Dhabi because the industrial sector is one of the key segments of the economy that the government is focusing on. Our…

Interview

OBG talks to Suhail Al Ameri, CEO, General Holding Corporation (SENAAT)
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Interview: Suhail Al Ameri What developments are under way in value-added manufacturing and metals production? SUHAIL AL AMERI: SENAAT is a key contributor to the industrial diversification of Abu Dhabi’s economy through various investments. Emirates Steel (ES), for example, is the largest integrated steel manufacturer in the UAE; the commissioning of Phase II (A) takes the project’s total capacity to more than 2m tonnes and the overall investment to date is approximately Dh10bn ($2.7bn). Another…

Analysis

Retaining value locally: Diversifying the economy through petrochemicals and manufacturing
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With an ambitious expansion plan in its petrochemicals and chemicals sector, Abu Dhabi is most notably pushing ahead in plastics and fertilisers. The several new petrochemicals projects due to come on-line in 2013-17 should make a substantial contribution to Abu Dhabi’s Economic Vision 2030 by creating a more diversified economy in which a larger part of the hydrocarbons value chain is retained locally, as well as by providing extra inputs for what the emirate hopes will be an expanded manufacturing…

Interview

Major player: OBG talks to Khaled Salmeen, CEO and Managing Director, Kizad
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Interview: Khaled Salmeen What industries are being targeted for the Kizad industrial zone project in order to align it with the objectives of Economic Vision 2030? KHALED SALMEEN: Kizad is a key enabler of the Abu Dhabi government’s Economic Vision 2030 plan to diversify the emirate away from an economic dependence on oil. The industrial zone is expected to contribute up to 15% of Abu Dhabi’s non-oil GDP by 2030. The targeted industries have been highlighted by the Economic Vision as primary…

Overview

Destination: shop: Potential is high pending the completion of new developments
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As developers rush to cash in on Abu Dhabi’s retail market, which they deem to be relatively untapped and undersupplied, total retail space is expanding at one of the fastest rates in the region. International brands are looming larger, especially at the top end of the market, where expensive cars and other luxury goods are being sold at record volumes. Food retailers, by contrast, are facing tougher times, as government price controls weigh on profit margins. Yet even here, as in much of…