ABU DHABI (WAM)
Dr. Sultan bin Ahmed Al Jaber, Minister of Industry and Advanced Technology and Chairman of the Industry Development Council, presided over the sixth meeting of the Industry Development Council, which aims to enhance the performance and competitiveness of the UAE’s industrial sector, providing more investment opportunities, enablers, and quality policies.
These efforts aim to stimulate the local industrial investment ecosystem, enhance its contribution to the country's sustainable economic and social development goals, mitigate climate action, and support Operation 300Bn, along with the Make it in the Emirates initiative.
During the meeting, the council reviewed several vital industrial topics to promote the growth and development of the national industrial sector, including enablers and incentives for industrial development, legislative aspects, several proposed laws, and increasing the attractiveness and competitiveness of local products. This comes in light of the continuous successes of the UAE's industrial policies, including the Make it in the Emirates Forum, which has achieved significant milestones in enhancing the role of the industrial sector and its contribution to the GDP.
The Industry Development Council reviewed the KPIs of the industrial sector during 2023, which showed an increase in the sector's contribution to the GDP, reaching AED205 billion, a 55 percent growth compared to 2020. The sectors leading this growth were petrochemicals, metal products, and construction, which contributed the most to industrial-added value. The value of the UAE industrial exports in 2023 increased to AED187 billion, a 61 percent growth compared to 2020, with metals, food, and beverages leading the exports.
The Industry Development Council also discussed the outcomes of the Make it in the Emirates 2024 forum and the action plan for the next edition in 2025. The forum focuses on attracting local and foreign investments in the industrial sector, highlighting the competitive value and investment enablers and incentives, and showcasing procurement opportunities from major national companies for locally manufactured products.
Among the prominent outcomes of the third edition were procurement opportunities worth AED143 billion for 2,000 products that can be manufactured locally and the announcement of investments worth AED20 billion. In addition, the Forum witnessed the announcement of new electricity tariffs for factories in the northern Emirates and the provision of financial solutions for the industrial sector through a joint financing system worth AED2 billion.
The attendees reviewed the targets of the fourth edition of the Make it in the Emirates forum in 2025, aiming to organise an exceptional edition, emphasising the importance of members' contributions and support to achieve the goals of the fourth edition and deliver an outstanding event.
The Industry Development Council discussed the outcomes of the industrial census project and the data integration plan. The industrial census project was completed in collaboration with the Federal Competitiveness and Statistics Centre (FCSC), economic departments, and local statistical centres. The project recorded the participation of more than 7,362 establishments with a response rate exceeding 80 percent for large and medium-sized companies, providing accurate and important data that support future planning.
The council also discussed the initiative's progress in connecting renewable energy production units to the electrical grid to regulate the connection of production units to the distribution network. This initiative enables consumers, including factories, to produce electricity from renewable energy sources and diversify the state's renewable energy sources to optimise natural resources, contribute to environmental protection by reducing the carbon footprint, and decrease electricity demand during peak times from distribution networks. The latest developments of the project and the completed stages of the first phase were reviewed, along with the next steps.
The meeting reviewed the implementation of the new electricity tariff for the industrial sector in the northern Emirates, which will be applied to the industrial sector in Ajman, Umm Al Qaiwain, Ras Al Khaimah, and Fujairah. The new tariff adjustments aim to enhance competitiveness and increase investments in the industrial sector in the northern Emirates.
Other discussions included topics related to the GCC Industrial Cooperation Committee, including the definition of the Gulf national product and the projects for Gulf industrial integration.
The council also discussed the impact of implementing the policy for valorising industrial waste, such as iron and scrap. The policy aims to enhance the competitiveness of the national product, reduce production costs, increase national added value, and boost the production capacities of industrial establishments. It also aims to mitigate the impact of global market price fluctuations for waste, increase the use of waste as input in manufacturing industries such as iron, paper, and oils, and support the transition towards a circular economy in the country. This project has improved the availability of required waste for industries relying on these wastes, especially iron scrap, paper waste, and used cooking oils, achieving greater integration into the circular economy by increasing the use of waste as production inputs in manufacturing industries such as cardboard, iron, and biofuels.
On this occasion, Dr. Sultan Al Jaber said, “Our leadership's directives focus on enhancing the role of the industrial sector for its crucial role in national economic growth, its contribution to raising the GDP, achieving the country's economic goals, and enhancing the UAE's position as an attractive international economic hub. The country offers numerous incentives and enablers, financing solutions, and anticipates future technological transformations and changes in the industrial sector, which enhances international competitiveness and contributes to the development of UAE products."
He added, "The Industry Development Council presents a model for effective partnership to promote sector growth. The council's meetings confirm the ability of the Ministry of Industry and Advanced Technology and all partners in the public and private sectors to set and implement plans to develop the industrial sector in the country, especially with the achievements made towards the national strategy for industry and advanced technology over the past few years, resulting in initiatives and programmes and what we look forward to in the coming years."
Dr. Al Jaber called on the members of the Council to continue following up on agenda discussions, as all partners have essential contributions to the development of the industrial sector. The 2023 industrial sector performance figures indicate actual growth in the industry, with policies positively impacting this sector due to their comprehensiveness, addressing all detailed files, from energy to the industrial census project and the data integration plan, industrial relations with the GCC countries, and the development of the Make it in the Emirates forum in 2025.
Dr. Thani Al Zeyoudi, Minister of State for Foreign Trade and Vice Chairman of the Industry Development Council, affirmed that the UAE, in implementing the forward-looking vision of the wise leadership, continues its efforts to develop the industrial sector to enhance its competitiveness, increase its contribution to the GDP, and foreign trade, of which industrial exports constitute a significant part, making this sector one of the most prominent participants in foreign trade.
Dr. Al Zeyoudi said, "The sixth meeting of the Industry Development Council discussed several important issues to achieve national targets for advancing the Emirati industrial sector and increasing its global competitiveness. In the council, we continue to work together to support efforts at both federal and local levels, in partnership with the private sector, to enhance investment attraction, create a suitable business environment, invest in future industries and technology, develop legislation, and provide all possible incentives to promote Emirati industries, improving their quality and competitiveness locally, regionally, and internationally."
The meeting was attended by Dr. Thani bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade and Vice Chairman of the Council, Omar Al Suwaidi, Under-Secretary of the Ministry of Industry and Advanced Technology, and Mohammed Abdulrahman Al Hawi, Under-Secretary of the Ministry of Investment, Hanan Mansoor Ahli, Managing Director of the Federal Competitiveness and Statistics Centre (FCSC), Ahmed Mohammed Al Naqbi, CEO of Emirates Development Bank (EDB), Muammar Abdulla Abushehab, CEO of Tawazun Council, Osama Amir Fadl Assistant Under-Secretary of the Industry Accelerators Sector, Ministry of Industry and Advanced Technology, and Rapporteur of the Industry Development Council, Ahmed Al Kaabi, Assistant Under-Secretary for the Electricity, Water, and Future Energy at the Ministry of Energy and Infrastructure (MoEI)
The meeting was also attended by Rashid Abdulkarim Al Balushi, Under-Secretary of the Department of Economic Development in Abu Dhabi (ADDED), Sheikh Abdullah bin Nasser Al Nuaimi, Director of the Business Development Administration at the Department of Economic Development in Ajman (Ajman DED), Abdulrahman Al Shaib Al Naqbi, Chairman of Ras Al Khaimah Statistics Center (CSSRAK), Hady Badri, CEO of Dubai Economic Development Corporation (DEDC), Mohammed Obaid bin Majid Al Aleeli, Director General of the Department of Industry and Economy at the department, Mohammed Obaid bin Majid Al Alili, Director-General of the Department of Industry and Economy in Fujairah.
Through its meetings, the Industry Development Council works to unify efforts to strengthen the role of the industrial sector and support integrated national efforts at federal and local levels to create a suitable and attractive business environment for local and international investors in the industrial sector. It also aims to enhance industrial competitiveness regionally and globally, establish a system of work, procedures, and incentives in the industrial sector, and discuss strategic initiatives supporting these directions. This includes encouraging local and foreign industrial investments, following up on previous achievements, and discussing future plans.