UAE at Hannover Industrial Fair

Hannover / WAM

The 2016 Hannover Messe International Industrial Fair in Hannover, Germany kicked off on Monday with a big participation of the United Arab Emirates which was represented by a large pavilion led by Abu Dhabi Department of Economic Development (DED) in coordination with the Ministry of Economy. The pavilion covers an area of over 900 square meters and hosts the presence of 10 government agencies and 30 factories.
After the inauguration of the UAE Pavilion, Sultan Bin Saeed Al Mansouri, UAE Minister of Economy, said that the UAE’s industrial sector has been positioning itself as one of the main pillars of the country’s national economy and one of the vital tools needed in supporting the policy of diversifying income sources, noting that the country will rely heavily on the industrial sector in the post-oil period.
He pointed out that the local industrial sector is famous for its diversified products, which includes volume- and capital- intensive light and heavy, industries such as aluminium, iron, aircraft components, and other important sectors where the UAE has made great progress. Such industries have also helped boost the competitiveness of the national economy and made it more durable.
Al Mansouri added that the formal figures indicate the rapid development of the industrial sector and also reflect the great interest to further strengthen it. The total volume of investments in various industrial fields in the UAE reached AED 127.609 billion in 2015 as compared to AED121.189 billion in 2014 and AED125.609 in 2013 and AED 74.464 billion in 2008.
Following the inauguration of the UAE pavilion at Hannover Messe which is running from April 25 to April 29, 2016, Al Mansouri emphasized that the Ministry’s figures and statistics demonstrate the continued success of the industrial sector, with investment volumes recorded for the UAE’s industrial plants exceeding AED 127 billion in 2015 as compared to AED 125 billion in 2014.
He also stated that the value of foreign investments in the UAE’s industrial sector doubled over the last eight years, rising from AED 74.464 billion in 2008 to more than AED127 billion by the end of 2015. The food and beverage industry accounts for 31 per cent of total foreign investments, followed by basic metal industries at nearly 25 per cent, non-metallic ores at 15 per cent, and oil refining products at 6.7 per cent.
He said that the UAE’s participation at Hannover Messe 2016 showcases the UAE Government’s efforts to support the industrial sector and encourage investments in it–promoting its position as a key driver for economic development. He also mentioned the significance of opening new channels of collaboration and intensifying joint efforts to exchange expertise in order to enhance this vital sector’s role as a main supporter of a strong national economy, in line with the rapid economic changes in the world.
He said that the total number of workers in the industrial sector in the UAE up until 2015 reached around 435,930 as compared to 417,756 in 2013 and 427,636 in 2014. The total was only 356,839 back in 2008.
He explained that the increase of employment in the industrial sectors over the last few years clearly demonstrates the industry’s development and growth through Foreign Direct Investment expansion and the establishment of new specialized plants across the UAE.
Al Mansouri concluded by commending the Abu Dhabi DED ‘s role in leading the UAE pavilion at Hannover Messe 2016 and consolidating the country’s presence in the international event, which is attended annually by industry-leading countries and state-of-the-art companies from around the world.
For his part, Ali Majed Al Mansouri confirmed the stable and continuous growth of Abu Dhabi’s industrial sector over the last few years. He said that the sector has been attracting significant local and foreign investments through the seven advanced industrial areas across the emirate. This progress serves as further encouragement for efforts to cultivate growth in the industrial sector and raise investments further within the next few years.
“Abu Dhabi is witnessing great advances in its industrial sector which will attract more investors and capital from all over the world. These will help in the development of necessary facilities for addressing crucial issues such as energy prices and the import of production materials, aside from providing suitably priced land for industrial investments to accommodate local and international companies and investors,” said Ali Majed Al Mansouri during his opening speech at the UAE pavilion.
He further explained that Abu Dhabi Economic Vision 2030 places a great deal of emphasis on non-oil trade activities in an effort to increase its contribution to the GDP in order to further drive the economic diversification process of Abu Dhabi. He added that Abu Dhabi has made great strides in this regard and will continue to develop its manufacturing industry activities.
He added that an industrial development bureau has been established as a regulatory board which will be dedicated to implementing the industrial strategy and upgrading the industrial sector’s performance in Abu Dhabi. They will perform such tasks while supervising operational authorities in the sector beside the Khalifa Industrial Zone and the Higher Corporation for Specialized Economic Zones. The new bureau is currently preparing to survey local industrial facilities to create a new database.
He said that by the end of 2015, Abu Dhabi and its three major zones, including Abu Dhabi, Al Ain and the Western Region, had a total of 1,425 registered factories under the industrial development bureau, distributed as 1,079 in Abu Dhabi, 306 in Al Ain, and 40 in the Western Region.

He pointed out that there are a total of 371 factories for metal industries in Abu Dhabi, while there are 336 factories for building materials, 183 are for fiberglass, plastic and sponge, 154 for carton, wood and paper, 139 for chemicals, 105 for food, 73 for appliances and equipment assembly, 40 for clothes, and 24 for recycling.

“The industrial sector’s performance indicator and the results of surveys on Abu Dhabi’s industrial facilities show continuous improvement within the sector starting from 2013. This is largely due to the steps taken by the Abu Dhabi Government to develop significant projects, coupled with improvements in the securities market and increasing demand and gains in the business and investments,” added Al Mansouri.

He said: “The UAE and Abu Dhabi have implemented strong and efficient policies within the energy sector, especially in oil and gas, to ensure the proper use of natural resources and ensure their sustainability in supporting development projects; increase the standard of living of citizens; provide job opportunities; and attract more foreign investments to encourage the private sector to actively participate within this vital sector.”

The Minister of Economy and the Chairman of Abu Dhabi’s Department of Economic Development visited the UAE pavilion and reviewed the nature of the exhibitors’ participation and the promising investment opportunities they offer to investors and businessmen visiting Hannover Messe, which will help attract more industrial investments into the country.