Trade generated by Machinery and Equipment Sector in Jafza doubles to AED 115 billion in five years
4th Strategic Customer Forum highlights growth opportunities for industry in premier Free Zone
Jafza announced today that companies in the Machinery and Equipment Manufacturing sector within the free zone have doubled trade volumes in the last five years, recording transactions worth AED 115 billion in 2010, compared to AED 59 billion in 2005.
Commenting on the importance of the sector, Talal Al Hashimi, Managing Director, EZW-UAE Region said: “The Machinery and Equipment Manufacturing sector has demonstrated steady growth in the last five years. The industry within Jafza is made up of 1,219 companies and represents 20% of the total number of companies operating in Jafza. The sector has traditionally been important for Jafza since the free zone was established 26 years ago. With significant investments in top of the line infrastructure facilities and services, Jafza has consistently nurtured the growth of the industry over the years.”
According to the latest figures available, trade generated by companies in this sector made up half of Jafza’s total non-oil trade during 2010.
Mr Al Hashimi was speaking to industry leaders at Jafza’s Strategic Customer Forum focused on customers in the heavy equipment and manufacturing sector. The Forum was recently held at Jafza premises, as part of a series of events initiated to accelerate communication with key clients in various industries.
Top industry representatives that attended the Forum included senior officials from Emerson FZE, Anixter, Cleveland Bridge, Lucy Switchgear, ITR Middle East, Kimoha, FG Wilson, Weir Engineering, Flowserve, Emirates Transformers and L&T among others.
They met with high-level Economic Zones World officials and Jafza partners including Dubai Customs, DP World, Environment Health and Safety (EHS) Department, and Dubai Chamber of Commerce & Industry to discuss operational issues. Mr. Tariq Bin Ghalaita, VP, Global Commercial and Customer Relations, led and moderated the discussions at the Forum. The attendees discussed rising industry costs, immigration policies, federal rules and regulations and ways to enhance operational efficiency.
The Strategic Customer Forum also discussed in detail the growth potential in the machinery and equipment sector and way forward to capitalise on emerging opportunities for Jafza companies.
Vinesh Bhimani, Managing Director, Kimoha Entrepreneurs Limited, who attended the Forum said: “Forums such as the one organized today give us a feeling of belonging; no wonder we the members would end up becoming Jafza’s non-resident Ambassadors in our own countries.”
Naveen D’Souza, Vice President, FG Wilson Engineering FZE said: “I am extremely pleased with the Jafza customer forum which provides an excellent opportunity to voice our opinion and find quick resolve to issues. The transparent approach enables clear communication between the customers and Jafza.”
A recently released Saudi American Bank Group (SAMBA) study expects GCC economies to grow seven per cent in 2011, led by 5.7 per cent in the Kingdom of Saudi Arabia and 4-4.5 per cent in the UAE and Kuwait. A large part of the growth is to come from the infrastructure and industrial sectors.
According to a recent report by MEED, more than $300 billion worth of major projects are to be awarded across the Middle East through 2012. The projects are under construction or in bidding across the industrial, commercial, hospitality, residential and retail segments. These new projects are going to be key drivers of growth in the machinery and equipment sector in the region.
The Strategic Customer Forum was the fourth in a series of industry events initiated by Jafza. The first three forums were held for clients in the Logistics, Chemical, Oil & Gas, and Automotive sectors.