Media ININ Economy We Trust
Aug 15th
Efforts are accelerating to double the size of the manufacturing sector in Abu Dhabi to 172 billion dirhams and to contribute to increasing non-oil exports to 178.8 billion dirhams by 2031.
The increase in the total operating factories to 966 confirms the ease of doing business in Abu Dhabi and the growth of foreign direct investment.
The growth of total license investments that have moved to the production stage to 15.36 billion dirhams, at a rate of 85.7%, which enhances productivity, global competitiveness and sustainable economic growth.
Signing several strategic partnerships to promote growth, hone talent, and advance the transition to a smart and circular economy.
The Abu Dhabi Industrial Strategy, which was launched by His Highness Sheikh Khalid bin Mohammed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Chairman of the Abu Dhabi Executive Council, in June 2022, succeeded in promoting the strong growth of the manufacturing sector in the emirate, which establishes its position as the most competitive industrial center in the region.
The first year since the launch of this strategy witnessed steady growth and remarkable activity in all three phases of the factory licensing process in the Emirate of Abu Dhabi, which includes (Ruwad), i.e. the initial license to establish the factory, the construction phase, then the actual production phase and the start of operations.
During its first year, which extends from July 2022 to June 2023, Abu Dhabi’s industrial strategy contributed to achieving a growth rate of 16.6% in the number of new industrial licenses (pioneers), which increased from 204 licenses to 238 licenses. The first half of 2023 also witnessed the issuance of 116 new industrial licenses (Rowad), an increase of 63.3% compared to the first half of 2022.
Likewise, the value of investments in factories that moved to the production stage amounted to 15.36 billion dirhams, registering a growth of 85.7% compared to last year. June 2022, while the number of factories operating in the emirate has now reached 966, compared to 922 at the end of the first half of 2022.
His Excellency Ahmed Jassim Al Zaabi, Chairman of the Department of Economic Development – Abu Dhabi, said: “Guided by the vision of our wise leadership, the Department of Economic Development is redoubling its efforts to enhance the competitiveness of Abu Dhabi through a new and comprehensive strategy aimed at developing various economic sectors, in which the industrial sector is a major focus. The Abu Dhabi Industrial Strategy was launched, Which provides an integrated framework and a road map to lead the development of the sector in the emirate, a new stage in the economic landscape, as it focuses on employing advanced technology in order to ensure harmony between achieving the goals of human development, sustainability and growth.
His Excellency added: “The strong growth of the industrial sector is evidence of the resilience of Abu Dhabi’s economy. The industrial sector, which contributed to 16.4% of the non-oil GDP of the Emirate of Abu Dhabi last year, and represents 49.9% of the total size of the manufacturing sector in the UAE, continues its development and growth. This is supported by the effective implementation of the initiatives and programs of the industrial strategy in order to consolidate the competitiveness of the sector by increasing access to finance, enhancing the ease of doing business, and attracting more domestic and foreign investments.
Abu Dhabi’s industrial strategy, which is supervised by the Department of Economic Development – Abu Dhabi, aims to consolidate the emirate’s position as the most competitive industrial center in the region, double the size of the sector to 172 billion dirhams, provide more than 13,600 specialized job opportunities, and contribute to increasing non-oil exports to 178.8 billion dirhams by 2031.
To achieve these goals, Abu Dhabi is investing 10 billion dirhams in 6 ambitious programs that include developing competencies and skills, the fourth industrial revolution, the circular economy, developing the industrial sector system, strengthening the local supply chain, and developing the value chain.
Since the launch of the strategy, the Industrial Development Office, the arm of the Department of Economic Development for the development of the industrial sector, has launched many initiatives such as the industrial talent program to develop, train, qualify and attract manpower with the aim of meeting the growth in demand for specialized jobs in the knowledge economy. The office also launched the “Technology Pioneers” initiative, which is a pilot program to provide workers in the food industry in Abu Dhabi with the skills of the Fourth Industrial Revolution, and the first batch of the program graduated in May 2023.
Other initiatives launched by the Industrial Development Bureau included the establishment of the Smart Manufacturing Empowerment Center to support the transition to the technologies and approaches of the Fourth Industrial Revolution, the Smart Manufacturing Incentives Program to support the digital transformation of small and medium-sized companies operating in the industrial sector by adopting smart manufacturing methods and processes, and the Value Chain Development Program to improve and enhance to improve investment environment in the industrial sector.
In addition, the Department of Economic Development – Abu Dhabi has signed a number of agreements with leading international companies to promote industrial innovation and digital transformation, and nurture emerging talents, by training UAE nationals through local, global and virtual programs on technology, business and behavioral skills.
– a positive look.
According to preliminary data on the performance of the industrial sector in Abu Dhabi during the first half of 2023, the general outlook for the growth of the sector during the current year is positive, especially with the growth in the number of investors and industrial projects during the first 6 months of the year, which witnessed the following:
116 new industrial licenses (pioneers) were issued, an increase of 63.3% compared to 71 licenses in the first half of last year (2022).
And the growth in the value of government tenders won by companies that obtained an ICV certificate in the first half of 2023, by 58.7%, to rise to 1.54 billion dirhams, compared to 0.97 billion dirhams in the first half of last year.
as witnessed
