Kizad expansion set to boost growth

New facility construction is geared to attracting more firms to the zone

Khalifa Industrial Zone Abu Dhabi (Kizad), which currently has 200 companies operational with investments of Dh60 billion, is expected to grow further with new facilities being created, a senior executive told Gulf News in an interview.

“We are expanding our facilities in Kizad to attract more companies to the free zone. We are building new warehouses as part of logistics city and have recently launched a construction city to cater to the needs of building materials industry in the country,” said Edwin Lammers, vice-president of commercial and business development in Kizad.

He said they are working on two more projects, including a food city for the food processing industry and a polymer park, which will bring polymer converters to Kizad.

Some of the big companies operating in Kizad include Emirates Global Aluminium (EGA), Jiangsu Provincial Overseas Cooperation and Investment Company Limited (JOCIC), Cosco Shipping, Agility Logistics, among others.

Logistics will be a key for the growth of Kizad, Lammers said adding that the recent agreement of Abu Dhabi Ports with MSC Mediterranean Shipping Company will bring a gamechanging effect on the free zone.

“It [MSC shipping] will bring connectivity. You will see that a lot of established business in the region will look at Kizad and they want to establish here.”

MSC Mediterranean Shipping Company will invest Dh4 billion to develop a container terminal at Khalifa Port and the money will be spent on operational equipment as well as in deepening the berths to handle some of the world’s largest shipping vessels.

The Swiss-based global transportation and logistics firm signed a 30-year concession agreement with Abu Dhabi Ports last month in this regard.

Chinese firms are also investing in a big way in Kizad. Since July 2017, fifteen Chinese companies signed lease agreements for land in Kizad with a total investment of $1 billion (Dh3.67 billion).