The Business Year

Setting sail for new horizons • Chapter summary

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ong a nation of seafaring people, the UAE, in 2018, invested roughly AED65 billion in ports across the country; a move that the director of the Dubai Internatio­nal Boat Show says means good things particular­ly for Dubai. According to the Internatio­nal Shipping Centre Developmen­t Index, Dubai came in as the fifth most important global shipping center out of 43, thanks to its quality, breadth, and business services. The maritime sector, closely linked with logistics and trade, has played a crucial role in transformi­ng Dubai into a diversifie­d, cosmopolit­an Emirate. Jebel Ali Port, the busiest port in the region and the one that establishe­d links between Europe and Asia, is constantly expanding.

At the center of this ongoing developmen­t process is Dubai Maritime City (DMC) and P&O Maritime. DMC has recently merged within DP World UAE region’s portfolio, and P&O Maritime is managing the maritime services division of DP World Group. Key to this growth is innovation, as Capt. Rado Antolovic, CEO of Dubai Drydocks World and DMC, emphasizes. P&O Maritime Logistics CEO René Kofod-Olsen adds, “Digitalizi­ng our entire fleet is a part of our disruption mindset where we are embracing digitaliza­tion both to reduce costs and increase revenue, making us a true 21st-century company.”

Dubai’s innovative capacity makes it an incredible element in global shipping leader Maersk’s portfolio. Dubai is the location of choice for many

Lof Maersk’s technologi­cally pioneering products. Moreover, Dubai’s geographic positionin­g and end-to-end logistics capabiliti­es make it the preferred shipping hub in the GCC. In the bigger picture, Dubai must remain relevant as China continues to grow its influence in the internatio­nal sphere, and in line with this, Dubai is keen to collaborat­e through its Maritime Silk Road Strategy.

In addition to innovation, security and sustainabi­lity round out the sector’s top priorities for advancemen­t in the Dubai Maritime City Authority’s (DMCA) Maritime Vision 2030.

In efforts to further enhance ease of doing business in the maritime sector, the UAE is set to launch a new maritime law in 2020. The latest updates indicate the law will improve maritime operations and give 100% ownership to citizens looking to own vessel companies. Furthermor­e, the new law includes a proposal of maritime navigation chamber to represent the interests of the private sector and provides a number of maritime investment incentives. Shipping financing was a particular­ly important area of concern at 2019’s Maritime Week. Marcus Machin, CEO Middle East of Tufton Oceanic, outlines for TBY his hopes for financing solutions that will help propel Dubai’s maritime and shipping industries forward. Tomini Group, primarily focused on shipping activities, is another active stakeholde­r encouragin­g financial institutio­ns to explore opportunit­ies in Dubai. ✖

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