Industry & Retail
From The Report: Abu Dhabi 2014
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In a bid to develop a sustainable and diversified economy, non-hydrocarbons industry is becoming increasingly important, and the government of Abu Dhabi has set ambitious growth targets for the sector over the coming two decades. The emirate is developing the infrastructure to achieve these aims, with the objective of creating an attractive environment for industrial investment across a range of sectors.
Rising wages are supporting growth in the retail market, with workers paid a total of $44.67bn in 2012. Consumer lending is also on the rise, increasing by $4.16bn across the UAE in the first six months of 2013. Domestic demand drives the market, though the tourism sector also offers opportunities for retailers. Additional retail supply over the coming year is expected to shake up the sector. Mall operators and retailers recognise that this may cause some short-term turbulence, but that the sector’s longer-term prospects are more than encouraging.
This chapter contains interviews with Mohammed Al Qemzi, CEO, ZonesCorp; Khaled Salmeen, CEO and Managing Director, Khalifa Industrial Zone Abu Dhabi; and Saeed Abdul Jalil Al Fahim, Chairman, Al Fahim Group. It also contains viewpoints from Suhail Mubarak bin Athaeeth, CEO, Senaat; and Saeed G Al Romaithi, CEO, Emirates Steel.

Articles from this Chapter

Overview

Return on investment: Efforts to diversify the manufacturing base are paying off
OBG
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In a bid to develop a sustainable and diversified economy, non-hydrocarbons industry is becoming increasingly important, and the government of Abu Dhabi has set ambitious growth targets for the industrial sector over the coming two decades. The emirate is developing the infrastructure to achieve these aims, with the objective of creating an attractive environment for industrial investment across a range of sectors. The emirate’s competitive cost base and good access to global markets is likely…

Interview

OBG talks to Mohammed Al Qemzi, CEO, ZonesCorp
OBG
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Interview:Mohammed Al Qemzi Will the increasing selection of industrial zones in the GCC impact the performance of existing zones? MOHAMMED AL QEMZI: A systematic approach is required by all GCC countries to ensure their industrial zones accommodate the long-term needs of the manufacturing sector. There are many lessons to be learned from the fits and starts of industrial zones around the world over the past few decades. Any investments into new industrial zones should be assessed for their…

Analysis

Higher standards: Improving quality should provide new opportunities for local producers
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In line with Abu Dhabi’s plans to increase the quality and value of the manufacturing sector in the emirate, the government has been putting in place a new quality and conformity regime. The drive to improve standards in the sector should create new opportunities for local producers to increase their international competitiveness, enabling them to penetrate new markets and bolster the value of products at home. Certifications In the vanguard of this push for quality is the Abu Dhabi Quality and…

Interview

OBG talks to Khaled Salmeen, CEO and Managing Director, Khalifa Industrial Zone Abu Dhabi (Kizad)
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Interview:Khaled Salmeen What is being done to attract greater levels of investment toward not only metals but diversified industries, such as petrochemicals, pharmaceuticals and food processing? KHALED SALMEEN: At Kizad we take great care in catering to all the clusters within our industrial zone. No one cluster has more importance than another, and as a result our marketing and business development teams have opted for a focused approach when pursuing prospective investors in all clusters.…

Analysis

A key component: Adding manufacturing capacity for aluminium products
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Abu Dhabi is emerging as an important global supplier of aluminium. As capacity expansions push the emirate towards the top of the rankings, plans are in the works to build additional manufacturing capacity around the material for finished and semi-finished products. Indeed, over the coming years, the aluminium cluster at the Khalifa Industrial Zone Abu Dhabi (Kizad) will become a central component of the emirate’s total industrial output. Capacity Upgrade Emirates Aluminium (EMAL), which…

Viewpoint

Suhail Mubarak bin Athaeeth, CEO, Senaat, on developing downstream industries
OBG
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In the 1970s, the government of Abu Dhabi perceived the importance of diversifying its economy away from hydrocarbons. The vision of the late Sheikh Zayed bin Sultan Al Nahyan, the UAE’s first president, was crystallised when his son, Sheikh Khalifa bin Zayed Al Nahyan, president of the UAE and ruler of Abu Dhabi, set up the pillars of Abu Dhabi Economic Vision 2030. With unequivocal determination, Abu Dhabi is pushing ahead with its expansion plans in the metals sector. New metals projects due…

Viewpoint

Saeed G Al Romaithi, CEO, Emirates Steel, on the UAE meeting regional steel demand
OBG
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As steel consumption continues to grow in line with heightened demand in the region, the UAE is well positioned to meet rising production capacity requirements. After witnessing steady growth for the better part of the last decade, the global steel industry suffered a setback due to the global financial crisis in 2008, as consumers utilised existing inventories rather than buying new stock. The industry then witnessed a turnaround in 2009 and has continued to grow thereafter, in sync with global…

Overview

Room to grow: Strong fundamentals are driving the expansion of both retail space and offerings
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A raft of additional retail supply being brought to the islands and suburbs of Abu Dhabi City over the coming year is expected to shake up the sector on many fronts from brand penetration to rental dynamics. Mall operators and retailers recognise that this may cause some short-term turbulence, but that the sector’s longer-term prospects are more than encouraging. Fundamentals The basic demand drivers for retail development within the emirate look strong. The annual population growth rate…

Interview

Support from all sides: OBG talks to Saeed Abdul Jalil Al Fahim, Chairman, Al Fahim Group
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Interview:Saeed Abdul Jalil Al Fahim How is the private sector supporting economic diversification to be in line with the Abu Dhabi Economic Vision 2030? SAEED AL FAHIM: The private sector is fully engaged in supporting the Abu Dhabi Economic Vision 2030 through the partnerships established to develop new industries and the take-up of the opportunities that the new economic and industrial zones offer. The hospitality sector’s infrastructure expansion in terms of hotel stock, retail, food…