Industrial sector playing key role in Abu Dhabi’s economic agenda
Abu Dhabi — Thirty-seven projects covered by industrial licences entered into production in Abu Dhabi last year, 85 per cent higher than last year, it was announced.
The total investment value of the new licences was estimated at Dh6.4 billion distributed among 29 factories in Abu Dhabi, six in Al Ain and two in the Al Dhafra area.
The figures were announced in the annual report on Industrial Activity Movement in Abu Dhabi, released by the Industrial Development Bureau of the Department of Economic Development.
By the end of 2017, a total of 1,647 industrial licences were operational in the emirate, including over 1,157 licences in Abu Dhabi, 398 licences in Al Ain, 47 licences in Al Dhafra and 45 licences for industry pioneers.
The report said that licence activities included over 160 for chemicals; 428 for metals; 393 building materials; 210 for fibre glass, plastic and sponge; 176 for wood, cardboard and paper; 125 for food; 86 for equipment and devices; 43 for clothing and leather industries; and 26 for recycling.
Khalifa bin Salem Al Mansouri, Undersecretary of the DED, noted that the government of Abu Dhabi was keen to enhance the role of the industrial sector as one of the main engines of the Abu Dhabi economy by targeting particular industrial areas, some of which depend on major existing industries in the emirate, in line with the strategic
The shift from government investment in the industrial sectors to investment in policies and initiatives... will improve competitiveness Khalifa bin Salem Al Mansouri, Undersecretary of the Abu Dhabi DED
plan objectives adopted by the Industrial Development Bureau, in order to achieve the objectives of the axis of economic development set by the Abu Dhabi plan.
The report included a number of indicators, the most important showing that 86 new licences were issued in 2017, up from 22 in 2016. 37 licences moved to the production stage, compared to around 20 in 2016.
Licences renewed for projects already in production were at 684, up from 650 in 2016, while 287 licences in the ‘under process’ stage and yet to come into production were renewed, up from around 257 the previous year.
According to Al Mansouri, the Industrial Development Bureau is working to align its strategic objectives with those of the Abu Dhabi government in the coming years by focusing on providing an investment environment that supports the industrial sector and which meets the needs of foreign and local investors, such as industrial funding, intellectual property protection and foreign ownership laws and others.
He noted that “this will require a major change in the growth of the industrial sector, through the shift from government investment in the industrial sectors to investment in policies and initiatives that will improve competitiveness and maximise the attractiveness of the emirate of Abu Dhabi for investors willing to get involved in industrial activities in the emirate.”