Today's Edition
Mays Ibrahim (ABU DHABI)
The UAE is rapidly establishing itself as a global hub for investors, entrepreneurs and innovators, according to experts speaking at the 2024 edition of the Global Manufacturing and Industrialisation Summit (GMIS2024) held in Abu Dhabi on Thursday.
The summit was part of the Abu Dhabi Business Week, being held at ADNEC this week.
The remarks were made during a panel discussion, delving into the UAE's forward-thinking approach to creating a future-ready, sustainable investment environment.
Key among the initiatives driving this vision is the "Make it in the Emirates" programme, an industrial incubator aimed at boosting local manufacturing and attracting foreign investment.
Make it in the Emirates offers a comprehensive, multi-faceted approach that drives a diversified industrial strategy, with a scalable model that other nations can easily adapt and implement, said Dr. Farah Al Zarooni, Assistant Undersecretary for Standards and Regulations at the Ministry of Industry and Advanced Technology.
Al Zarooni detailed how the programme's success lies in three key pillars: robust government-industry partnerships, quality infrastructure and a climate conducive to innovation and investment.
The UAE's industrial strategy has fostered a transparent and partnership-driven approach that has allowed the country to leap ahead in industrial development, she noted.
This is evident in the UAE's recent jump to 5th place globally in the United Nations Industrial Development Organisation's (UNIDO) Quality Infrastructure for Sustainable Development Index, up from 11th place in 2022, according to Al Zarooni.
The UAE's focus on developing quality infrastructure, coupled with a streamlined regulatory framework, has been critical in attracting foreign investors while simultaneously supporting domestic growth, she added.
Massimo Falcioni, Chief Business Officer at the Abu Dhabi Department of Economic Development (ADDED) and Chief Competitiveness Officer at the Abu Dhabi Investment Office (ADIO), echoed Al Zarooni's sentiments, noting that the government-led industrial strategy is already paying dividends.
One of the primary goals of the Abu Dhabi industrial strategy is to double the size of the manufacturing sector, aiming for a value of Dh172 billion.
Falcioni noted that the emirate is already making significant strides toward this target, with the current figures indicating rapid progress.
In his keynote speech during the opening of GMIS2024, Mohamed Kamali, Chief Trade and Industry Officer for the Abu Dhabi Investment Office (ADIO) revealed that since the strategy's launch in June 2022, Abu Dhabi's industrial GDP has risen from Dh83 billion to Dh101 billion by the end of 2023.
Moreover, Kamali highlighted a notable increase in government incentives aimed at strengthening the local supply chain.
By March 2024, Dh21 million had been allocated to companies holding local content certificates - a 33% rise from the previous year - underscoring the UAE's focus on bolstering local production, he said.
"Beyond the numbers, this growth is the result of a dedicated commitment to boosting non-oil GDP, advancing the knowledge economy and championing innovation. These efforts are accelerated by Abu Dhabi's adoption of advanced technologies as a key catalyst powering industrial sector growth," he added.
Abu Dhabi's commitment to industrialisation is further exemplified by the Industrial Development Bureau (IDB), which plays a pivotal role in facilitating growth within the sector.
Falcioni noted that initiatives such as the "Industry Rowad" programme - which enables entrepreneurs to register industrial licences in just three days - are key to ensuring streamlined business operations and quick market entry.
Another noteworthy initiative from the IDB is the Electricity Tariff Incentive Programme, which rewards manufacturers who optimise energy use with discounts on electricity and gas, promoting sustainability and cost-effectiveness in industrial processes.
Additionally, IDB incentivises companies to adopt advanced, automated technologies by covering up to 50% of equipment costs for industries aiming to implement Industry 4.0 solutions, according to Falcioni.
Also speaking in the panel, Khalid Bin Hadi, Managing Director of Siemens Energy UAE said that Abu Dhabi is rapidly becoming a global hub for technology, investment and innovation.
Siemens Energy has recently established its fourth global innovation centre in Abu Dhabi, in partnership with ADIO.
This initiative is part of a broader effort to foster collaboration and drive technological innovation in areas such as AI, blockchain and advanced manufacturing, helping to cultivate the next generation of talent, Bin Hadi explained.
