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GCC States Economy & Development

January 12, 2015


$200bn to be invested in GCC rail project
UAE project moving ahead as planned: Etihad Rail

More than $200 billion will be invested in the GCC rail project, according to the Omani Minister of Transport and Communications.

"Over $200 billion will be invested in over 40,000km of rail across the GCC. This provides a good environment to attract companies, manufactures, human resources and capital to the region," said Dr. Ahmed bin Mohammed bin Salim Al Futaisi, opening the GCC Rail and Metro Conference 2015 in Muscat on Sunday.

More than 500 representatives from 25 countries will be present at the two-day conference.

"Our challenge will not just be in how to ensure the success of executing these projects from a technical and operational point of view, but on how to exploit the socio-economic potential of these massive investments so to ensure the multiplier effect into our economies," the minister added.

Speaking at the conference, Faris Saif Al Mazrouei, Acting CEO, Etihad Rail, said, "The market will get an extra sector in which to expand, providing opportunities for both the public and private sector.

"We are currently in stage one of testing and commissioning – things are moving ahead as planned."

"The GCC rail project is one of a kind, ambitious and complex in nature," said Dr. Ramiz Al Assar, Resident World Bank Adviser, GCC for the Arab states of the Gulf. "It will link six member states as a regional transport corridor, further integrating with the national railway projects, deepening economic social and political integration, and it is developed from a sustainable perspective."

Dr. Rumaih M. Al Rumaih, CEO of Saudi Arabian Railways (SAR), said, "SAR is building a massive network of 5,000km. Already 1,400km is operational, with the ability to transport phosphate and bauxite from mines to the manufacturing facilities at the port in Ras Al Khair. Since the line became operational, we have transported more than 6.5 million tons of phosphate. The benefits of using the railway are tangible – we’ve saved 70 per cent of the fuel that would have otherwise been consumed by trucks."

He added that the impact on the environment is huge – there will be an estimated 50 per cent reduction of CO2 by using trains to transport goods.

$200bn to be invested in GCC rail project - Emirates 24/7
13 January 2015

UAE is region’s third largest crude steel producer

This was highlighted on the third day of the Metal Middle East, Tube Arabia, and Arabia Essen Welding and Cutting (AEWC), the region’s trio of exhibitions for metal, pipes and welding industries.

The UAE has produced 2.1 million tonnes of crude steel in the first 11 months of 2014, making it the region’s third largest producer, recent figures released by the World Steel Association have revealed.

This was highlighted on the third day of the Metal Middle East, Tube Arabia, and Arabia Essen Welding and Cutting (AEWC), the region’s trio of exhibitions for metal, pipes and welding industries. The exhibitions generated multi-million dollar deals in sale of machineries on the third day, with even higher expectations for the concluding day.

Satish Khanna, general manager, Al Fajer Information and Services, co-organisers of the three mega shows along with the two German giants Messe Düsseldorf and Messe Essen, said: “We are not surprised with the response in three days. Tubes and metal industries are witnessing accelerated growth, driven by several factors, especially expansion and development of oil and gas operations, infrastructure projects, urban areas and populations.”

“This usually brings benefit to all the allied sectors,” Khanna added.

“We have huge expectations for the concluding day, as trade visitors are thronging the venue until the final hours. The UAE is witnessing a rapid population growth and urbanisation, along with the expansion of energy-intensive industries. These products form the arteries of societies, transporting water, sewage, gas and crude oil, without which life as we know it would be unsustainable.”

Jeen Joshua, exhibition group manager, Al Fajer Information and Services, said: “Today, steel is one of the most common materials in the world. We rely on it for our housing, transport, food and water supply, energy production, tools and healthcare. Nearly everything around us is either made of steel or manufactured by equipment made of steel.”

He added: “According to an estimate, for every newborn baby there is a need for two metres of new pipeline, which is an indicator of the growth potential for these key sectors. We are extremely delighted with the footfall so far for our exhibitions. It is quite unique to have such related shows into one platform, which ensures a larger number of exhibitors coming into Dubai at one time and offer a wider choice to buyers.”

UAE is region’s third largest crude steel producer - Khaleej Times
14 January 2015


Here’s why a slump in oil prices will not impact UAE
The minister said that the UAE would move ahead with plans to boost its oil and gas production capacity.

Slump in world oil prices will have no impact on the UAE’s vibrant economy, Suhail bin Mohamed Faraj Fares Al Mazrouei, the UAE Minister of Energy, emphasised on Tuesday.

The minister told the Gulf Intelligence UAE Energy Forum in Abu Dhabi that the UAE would move ahead with plans to boost its oil and gas production capacity and the UAE Strategy 2030 will continue to focus on energy management, efficiency and rationalisation. The UAE’s refining capacity, he said, would increase to one million barrels per day by 2015.

“The UAE is not worried about its national economy due to the decline in the world oil prices... Its economy is strong and based on a policy through which the government seeks to reduce dependence on oil year after year. The UAE economy was not affected by previous instances of decline in oil prices and it will not (happen now), thanks to its economic wellbeing,” Al Mazrouie stressed.

“It is the market fundamentals, not any producer, that determines the prices,” he said, adding that the OPEC has no intention to hold an emergency meeting before its official scheduled meeting in next June nor does it plan to reduce output for the time being.

The minister believed that current oil prices were not sustainable and expected the world economy to grow at rates higher than those of today. He also urged not to jump to any conclusion in regard to the current oil prices while there is a prospect for economic recovery and renewed hope about an increase in demand for oil and gas.

He noted that the low oil prices provided an investment opportunity for all parties, adding that the current situation provides a fitting opportunity for reviewing contracts amidst falling oil prices.

He said that Mubadala Petroleum and Abu Dhabi National Energy Company (TAQA) can seize the investment opportunity in the world markets according to their international strategic objectives.

The Forum brings together the UAE national energy industry and its international partners at the start of each year in an intimate and robust knowledge exchange on the most pressing issues facing the energy industry.

International guest speakers include Aldo Flores-Quiroga, Secretary General of the International Energy Forum, Lord David Howell of Guildford, former UK Secretary of State for Energy, Xiaojie Xu, International Advisor to China’s National Energy Administration, and Narendra Taneja, President of the World Energy Policy Summit.

Here’s why a slump in oil prices will not impact UAE - Khaleej Times
January 18, 2015

UAE aviation industry to contribute $53b by 2020
Sector expected to provide up to 750,000 jobs

The UAE’s aviation sector is expected to contribute $53 billion (Dh194.5 billion) the country’s economy by 2020, providing up to 750,000 jobs, aviation industry experts said on Sunday at the Future Air Transportation Systems Summit, currently taking place in Dubai.

In the next 20 years, the UAE’s aviation sector is expected to stand next to that of the US and China, according to Jeff Johnson, vice president of Boeing International and president of Boeing Middle East.

He said that the UAE will need more than 55,000 pilots and 62,000 technicians in the same period as a result of its growing aviation industry.

Looking at the Middle East, 3,000 aeroplanes are set for delivery in the next 20 years — triple the current capacity, Johnson said.

Asked about challenges in the aviation industry, Johnson said they included safety, airspace management, infrastructure, finance, and human skills.

“We’ve got a worldwide fatality accident rate of about 0.33 per million departures, and when you look at the anticipated growth, we’re talking about five per cent growth over the next 20 years.

It’s going to be critical that industry, government, [and] regulators team together to make sure that we approve that rate, and we’re able to absorb the growth,” he said.

Meanwhile, air traffic in the UAE is expected to double by 2030, with the country’s General Civil Aviation Authority (GCAA) expected to handle 5,100 aircraft movements per day, according to Ahmad Al Jallaf, assistant director general at GCAA’s Air Navigation Services.

The figure marks an increase for the 2,250 movements per day registered in 2014.

“The UAE, in isolation, cannot be in a position to cope with such traffic growth, and this is why the UAE is taking the lead to work with Middle East partners and states to achieve continuous enhancement to the air traffic system because we need the region to be able to manage air traffic,” Al Jallaf told Gulf News.

UAE aviation industry to contribute $53b by 2020 | GulfNews.com
January 20, 2015

UAE targets Dh750bn non-oil exports in 2021
Al Mansouri says non-oil exports should cross Dh500bn in 2018

As part of national initiative for developing exports, the UAE targets to achieve Dh750 billion non-oil exports in 2021, said Sultan Saeed Al Mansouri, UAE’s Minister of Economy.

Al Mansouri, who presented the initiative to the Ministerial Services Council for discussion at a meeting on Sunday, said that it is aimed at enhancing the UAE’s non-oil trade balance through an exportation structure that enjoys sustainable and balanced growth. This, according to Al Mansouri, means that the UAE national non-oil exports should exceed Dh500 billion in 2018 and then go up Dh750 billion in 2021.

The initiative, he added, will allow Emirati exports to make their way into new and emerging markets, diversify industrial exports and increase the share of foreign trade in the country’s Gross Domestic Product (GDP).

The initiative is based on the Economy Ministry's vision for a knowledge-based competitive and diversified economy that is led by nationals as well as on the economic aspect of the UAE Vision 2021.

UAE targets Dh750bn non-oil exports in 2021 - Emirates 24/7


January 19, 2015


Sheikh Ahmed bin Saeed Al Maktoum unveils Fakeeh Academic Medical Center commemorative plaque at Dubai Silicon Oasis

Saudi firm invests Dh1bn in Dubai healthcare
Facility will offer robotic surgery and will also house a university

Saudi Arabia’s healthcare firm Dr Soliman Fakeeh Hospital (DSFH) will invest Dh1 billion in the development of a medical facility offering robotic surgery and a university in Dubai spread over 150,000 square meters.

The Fakeeh Academic Medical Center (FAMC) in Dubai Silicon Oasis will be constructed in two phases. Phase 1 of the project is set for completion in 2017 and will include the delivery of a 150-bed smart hospital. Phase 2 of the project will be completed in 2019, and will step-up the capacity of the hospital with an additional 150-beds. This phase will also add an academic component to the project through the opening of the research-focused university, said a press statement.

Sheikh Ahmed bin Saeed Al Maktoum, Chairman of Dubai Silicon Oasis Authority (DSOA), unveiled the commemorative plaque of the medical center.

Commenting on the project, Sheikh Ahmed said: “Dubai plans to attract 500,000 medical tourists a year and boost its economy by up to Dh2.6 billion in the next five years. By hosting FAMC at DSO, we reiterate our complete support to this project throughout the implementation of the prestigious medical facility.”

The DSO-based medical center will be the first smart hospital in the region, comprising IT-enabled patient rooms fitted out with health-monitoring technology. The technology will ensure the hospital conforms to the highest standards of sanitation and significantly reduce possibilities of medical errors. In addition, it will simplify everyday operations and workflow, make documentation easier and free-up quality time for nurses to focus on personalized patient-care.

Robotics surgery, automated medication dispensing system

The 300-bed facility will offer robotics surgery and feature an automated medication dispensing system. The hospital will also include five centers of excellence that specialize in diabetes and endocrinology, muscles, bones and joints, emergency medicine, pulmonary medicine and cardiology.

The ceremony was attended by Engineer Essa Al Haj Al Maidoor, Director General, Dubai Health Authority; Dr Mohammed Al Zarooni, Vice Chairman and Chief Executive Officer, Dubai Silicon Oasis Authority; Dr Mazen Fakeeh, President and Chairman of Dr Soliman Fakeeh Hospital; and Emad Adnan Madani – KSA Consul General in Dubai, as well as officials from the public and private sectors.

Dr Mazen Fakeeh, said: “The second phase of the project, which will be completed in 2019, will also include a university established in partnership with one of the largest universities in the world. The medical university will deliver the latest curriculum through the most modern teaching methods. Poised to be the beacon of medical education in the region, the university will also provide student access to the academic hospital to conduct integrated research. The teaching facility will be located within smart buildings, offering the latest modern equipment and laboratories.

Saudi firm invests Dh1bn in Dubai healthcare - Emirates 24/7
February 20, 2015

Dubai factory soon to be world’s biggest tea maker
Lipton’s Dubai factory sources its tea supplies from 15 different countries

The desert here may not grow tea commercially, but a factory by the sea in Dubai is en route to having the largest stand-alone tea facility that supplies to the rest of the world, Gulf News has learnt.

Inside Dubai’s Jebel Ali Free Zone (JAFZ), on the edge of the Arabian Gulf, hundreds of Lipton staff feverishly work to produce the equivalent of 2 million cups an hour of tea. That’s over 50 million tea cups per day — or almost 20 billion tea cups a year.

“The Lipton Jebel Ali (LJA) Factory has grown by more than 50 per cent in the last five years,” said Ahmad Kadous, Supply Chain Director of Unilever Gulf, told Gulf News. “Unilever is, by far, the largest tea company in the world, in terms of branded tea sales. However, Lipton Jebel Ali Factory is on its way to becoming the largest tea factory within Unilever. This will be achieved during 2015,” he said.

Unilever bought the Lipton brand in 1971 and Brooke Bond in 1984.

Rainforest Alliance, which conducts research on agriculture and independent environmental impact through partner universities, has named Unilever as the world’s largest tea company.

In 2009, the Jebel Ali factory produced around 22,000 tonnes, said Kadous. By end-2014, the production volume has increased by 50 per cent to 33,000 tonnes (33m kg), thus making it the biggest branded tea company in the world, said Kadous.

Next to water, tea is the most widely consumed beverage in the world. Still, the world’s demand for tea seems insatiable taste: Americans alone consumed well over 79 billion servings of tea in 2013, according to the Tea Association of the USA.

And it is perhaps no coincidence that Al Khaleej Sugar, also based in Dubai, now has the world’s largest stand-alone sugar refinery, producing 1.5 billion metric tonnes of sugar annually not far from the Lipton factory in JAFZ.

Tea growers

Dubai, whose topography is marked by mostly flat sandy desert and the western Hajar Mountains (Hatta), does not grow its own tea. Most of the world’s tea is grown in mountainous areas about 3,000 to 7,000 feet above sea level in mineral-rich soil between the Tropics of Cancer and Capricorn (a strip of earth extending from Mexico to China in the north to Brazil and the northern Australia in the south).

Backed by years of experience and a well-established established source-to-refinery infrastructure that helps it curb global volatility in tea prices due unpredictable weather disturbances — Lipton’s Dubai factory sources its tea supplies from 15 different countries, of which the top three today are Kenya, India and Vietnam.

From Dubai, the Jebel Ali factory exports to 50 countries worldwide, covering a wide swathe of the globe.

Why does it matter to have this factory in Dubai?

“Dubai is a strategic location as it is situated between the tea-growing areas and the tea consuming markets,” said Kadous. “Also, being located in a free zone offers us the tax benefit on the raw materials we import. Finally, Jebel Ali Free Zone, is one of the world’s largest ports which gives us the advantage of shipping in and out in an efficient and quick manner.”

JAFZ, itself, which first opened in 1985, is now world’s largest such zone, and home to about 7,100 companies.

Dubai factory soon to be world’s biggest tea maker | GulfNews.com
March 23, 2015



Dubai International Airport is world's busiest A380 hub
Dubai International had 15,098 A380 flights to 39 destinations during 2014

Dubai International Airport has been named the world’s leading hub for Airbus A380 operations in 2014, according to Dubai Airports’ 2014 Yearbook.

Dubai International had a total of 15,098 A380 flights to 39 destinations around the world during 2014, sharply up from the 10,608 A380 scheduled flights to 26 destinations recorded in the previous year. The figures are based on published airline industry flight schedule data.

The growth in A380 movements was driven by the expansion of the Emirates A380 fleet, with more than 50 A380 aircraft currently in operation. A380 flights were operated by both Emirates Airlines, the world’s biggest operator of the double-decker aircraft, and Qantas.

The next busiest A380 airport was London Heathrow with 5,434 A380 flights to 11 cities, followed by Singapore’s Changi airport with 5,398 A380 flights to 18 destinations.

The Dubai Airports 2014 Yearbook, which was published online, also provided an in-depth update of the organisation’s expansion plans at both Dubai International and Al Maktoum International at Dubai World Central and lifts the lid on new services and products aimed at improving our passengers’ airport experience in 2015.

Dubai International Airport is world's busiest A380 hub - Emirates 24|7
22 March 2015


United States gets a taste of Dubai success

Delegation promotes investment credentials

Partnership opportunities for the UAE and US in critical industry sectors as well as job creation and knowledge transfer through bilateral exports and investment are in focus as a delegation of representatives from key government and government-related entities in Dubai started their tour of four major US cities from Saturday.

Trade between the UAE and US reached Dh91.3 billion ($24.9 billion) in 2014 as the UAE remained the top export destination for the US in the Middle East and North Africa (Mena) for the sixth year in a row.

The delegation, coordinated by Dubai Investment Development Agency (Dubai FDI), an agency of the Department of Economic Development (DED), will address business leaders and trade representatives in Boston (Massachusetts), Atlanta (Georgia), Chicago (Illinois) and the national capital Washington, DC as part of their 10-day US itinerary.

Transport-related exports to the UAE have enabled the state of Georgia alone to create 7,158 additional jobs between 2006 and 2013, while Chicago, a major exporter of construction equipment and machinery to the UAE, has generated over 1,500 additional jobs.

Washington, DC has investments from Dubai World, Dubai Holding, Dubai Aerospace Enterprises and Emirates airline, among other UAE entities within the capital district while Massachusetts has varied joint initiatives from the UAE, including the Harvard Medical School — Dubai and a Boston University dental school in Dubai Healthcare City.

The Dubai delegation will conduct presentations, discussions and informal meetings in the host cities with the objective of introducing Dubai as a competitive business destination with a wide regional coverage and demonstrate Dubai’s interest in developing mutually beneficial partnerships with US companies and entrepreneurs.

The delegation comprises senior executives from Dubai such as the Dubai Corporation for Tourism and Commerce Marketing (DCTCM), Jebel Ali Free Zone Authority (Jafza), Dubai Multi Commodities Centre (DMCC), Emirates airline, Emirates SkyCargo and Dubai Exports, the export promotion agency of the DED.

“Trade relations between the UAE and the US have continued to flourish, especially in critical economic sectors. For both sides, it’s the right time to seize the moment and take our engagement to a new level wherein businesses can successfully pursue new market opportunities and new jobs can be created for citizens. Dubai can convincingly address the US investor community with the proven advantages of our bilateral engagement till date,” said Fahad Al Gergawi, chief executive officer (CEO) of Dubai FDI.

Engineer Saed Al Awadi, CEO of Dubai Exports, said the co-ordinated efforts of DED agencies have helped the local business sector to promote the emirate as an export and re-export destination for foreign trade. “We have seen a 22.3 per cent growth in UAE exports to the US in 2014 compared to 2013, largely due to rising exports and re-exports of consumer electronics, precious stones and other non-oil commodities,” added Al Awadi.

Issam Kazim, CEO of DCTCM, said: “We look forward to supporting their efforts by showcasing Dubai as an attractive destination not only for investment, but also in terms of lifestyle and tourism. I have no doubt that the road show will be a great success for all parties involved.”

Ibrahim Mohamed Aljanahi, Deputy CEO — Commercial, of Jafza, said that the free zone is already home to more than 340 US multinationals that include a large number of Fortune 500 companies. “Dubai remains the gateway and trade and commerce hub for the entire Middle East that ranks among the fastest growing regions in the world. Jafza has been attracting large multinationals from across the world, including the US,” said Aljanahi.

Ahmad Hamza, Director of Operations, DMCC, said that the US mission is a valuable way to way to engage with key stakeholders and identify new areas for collaboration as they seek to attract more fast-growing corporations to the DMCC free zone.

March 23, 2015

Dubai’s foreign trade worth Dh1.331tr in 2014
Imports accounted for Dh845b last year, while exports and re-exports were valued at Dh114b and Dh372b

Dubai’s foreign trade grew 0.15 per cent to Dh1.331 trillion in 2014, up from Dh1.329 trillion in 2013, according to a statement from the Dubai government on Monday.

Imports accounted for Dh845 billion last year, while exports and re-exports were valued at Dh114 billion and Dh372 billion, respectively.

Direct trade accounted for Dh818.8 billion of total foreign trade value while free zones contributed Dh488.7 billion and the customs warehouses accounted for Dh23.8 billion. The figures were released by Dubai Customs, according to the statement.

“The steady growth for Dubai’s non-oil foreign trade, with the powerful performance in other economic sectors, open new horizons for plenty of promising opportunities; yet, shouldering us more responsibilities toward careful planning and smart implementation of these plans. We are looking forward for stronger commercial ties and expanded network of trade partners, underlining Dubai’s position as a global hub for international trade,” stated Shaikh Hamdan Bin Mohammad Bin Rashid Al Maktoum, Crown Prince of Dubai and Chairman of Dubai Executive Council.

Phones were the largest significant traded commodity, up 9 per cent to Dh178 billion, computers also saw 9 per cent growth to Dh53 billion and the trade of personal-use and transportation vehicles rose 30 per cent to Dh68 billion, according to the statement.

The emirate’s tourism sector recorded 8 per cent growth in jewellery trading, adding up to Dh55 billion to the economy. Petroleum trade rose 10 per cent to Dh39 billion, while trade in rotorcraft and light aircraft increased 16 per cent to Dh22 billion. “Air jets turbine engines trade” increased 7 per cent to Dh20 billion, “satellite receivers trade” rose 8 per cent to Dh17 billion.

Dubai’s foreign trade worth Dh1.331tr in 2014 |GulfNews.com
1 April 2015

Oil accounts for less than third of UAE GDP
Non-oil sectors contributed 69% to GDP in ’14.

Oil used to account for more than 90 per cent of the UAE gross domestic product (GDP) in the 1970s. However, the contribution of non-oil sectors to the GDP rose to 69 per cent at the end of 2014. Today, oil accounts for less than a third of the UAE’s GDP.

These figures were revealed by Sultan bin Saeed Al Mansouri, Minister of Economy, at the Annual Investment Meeting (AIM 2015), held under the patronage of His Highness Shaikh Mohammed bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai, at the Dubai International Convention and Exhibition Centre.

Al Mansouri added: “As part of the progress witnessed by the UAE, foreign direct investment (FDI) plays an important role in our economic achievements. The UAE has been able to assume a leading position as an attractive destination for foreign investments. We ranked first among Arab countries and 22nd globally in the Global Investment Index for 2015.”

Participants at AIM attributed Dubai and the UAE’s investment appeal to world-class infrastructure and professional environment, unparalleled logistics services, an advanced air, land and marine transportation network, in addition to investor-friendly legislation, tax-free regime, safety and economic stability.

Dawood Al Shezawi, CEO, AIM’s organising committee, said: “The meeting has been successful in enabling knowledge exchange among experts, professionals, academics, consultants and others from more than 144 countries.”

The fifth edition of AIM is helping forge partnerships and build bridges between countries as well as facilitate cultural exchanges.

AIM is in sync with the UAE’s vision to enhance the investment environment in the country, reflected in the Ministry of Economy introducing new legislation to protect investments through a series of bills that will soon become laws.

Al Shezawi added: “A session about FDI in education and skills development was organised on day two. It discussed ways and means to enhance the technological contribution of foreign firms. A skilled workforce is key to building strong, sustainable and balanced growth.”

Another session on ‘New developments in FDI in the energy sector’ discussed the collapse in oil prices, with implications for the global economy and growing economies in general and for the Middle East in particular being immense. It looked at the far-reaching implications on emerging markets as well.

Also, a ministerial roundtable saw ministers share views on the policies they would like to see enforced at the international level and offered recommendations too. AIM also threw light on Expo 2020 hosted by Dubai and its impact on attracting bulk investments.

On the second day, a session was also organised on trends in national and international FDI policies and implications for national policy makers. It was pointed out that countries developed their outward FDI frameworks to help their firms invest abroad — the new frontier of national FDI policy making.

Oil accounts for less than third of UAE GDP - Khaleej Times
DP World, Dubai Ports World


3 April 2015

DP World buys Canadian port for $457million

The purchase of Fairview Container Terminal presents growth opportunity

DP World, one of the world’s biggest port operators, said on Thursday it had agreed to buy Canada’s Fairview Container Terminal from Deutsche Bank for $457 million in order to tap a “growth opportunity in a market with attractive and growing demand”.

Fairview is a purpose-built terminal in Prince Rupert, British Columbia, with an efficient sea-rail link and has a current capacity of 850,000 TEU that is poised to rise to 1.35 million TEU following a just-announced phase-two expansion.

DP World, which has a portfolio of more than 65 marine terminals across six continents, said in an e-mailed statement that Fairview, its second terminal in Canada, was bought on a debt-free basis. The transaction is subject to Canadian regulatory approval and DP World expects to complete the deal in the second half of 2015.

DP World already operates the Centerm Terminal in Port Metro Vancouver in Canada.

The Dubai-based ports operator said the concession period runs to 2034 with an extension to 2056 after the completion of phase two.

The transaction will provide significant benefits to Canada, including to the Province of British Columbia, to the City of Prince Rupert, to First Nations communities, and to importers, exporters and consumers, the statement said.

The company said implementation of the phase two expansion of Fairview is expected to be completed in the first half of 2017. It will add capacity and efficiency to Canada’s Asia-Pacific Gateway and Corridor. Expansion is projected to create more than half-a-million hours of construction work and more than 500 jobs.

Sultan Ahmed bin Sulayem, chairman of DP World, said that with a second terminal in Canada, the company is extending its global footprint.

“The value proposition is compelling and the addition of capacity to our portfolio will contribute to DP World’s continued growth and the delivery of shareholder value.”

Mohammed Sharaf, group chief executive officer of DP World, said Fairview Container Terminal offers the fastest access for vessels travelling between Asia and North America. The terminal also offers the highest productivity rates on the West Coast and an efficient rail link to the hinterland.

The long-term concession and ability to build beyond the current phase two of expansion presents a fantastic opportunity for DP World, said Sharaf.

“We are delighted to announce this transaction and look forward to further enhancing the port’s operations under DP World management,” he said.

DP World recently signed an agreement with the Maldivian government to develop the archipelago’s ports and logistics industry.

For 2014, DP World posted an 11.8 per cent rise in net profit to $675 million compared with $604 million in the prior year. Last year’s revenue was $3.41 billion, up 11 per cent from 2013. DP World invested $807 million across its portfolio in 2014, adding two million TEU.

Business - DP World buys Canadian port for $457million
April 18, 2015

UAE ranks 16th globally in exports: WTO
UAE merchandise exports reached $359 billion

The UAE has retained its high ranking among the world's top 16 exporter nations, according to the World Trade Organisation's Report on International Trade Trends.

The report, released recently in Geneva, shows that UAE ranks16th among global exporters and is the number one market for merchandise exports in the Mena region.

In imports, UAE ranks 19th and is the most important market for merchandise imports in Mena.

The WTO report says UAE merchandise exports reached $359 billion, which is 1.9 per cent of the total world exports. UAE imports grew by 4 per cent and it accounted for 1.4 per cent of the total world exports.

Regionally, UAE accounts for 28 per cent of the Middle East merchandise exports and 33 per cent of imports during 2014.

According to the report, UAE ranks 19th among global importers of services.

The total value services imports to UAE is $72 billion, which constitutes 1.5 per cent of the total global imports of services.

However, this rank goes up to 13 when EU is considered as a single bloc.

The UAE exports of services increased to $ 17 billion, ranking 25 globally, if EU is considered a bloc.

Economy Minister Sultan bin Saeed Al Mansouri said: "UAE has become a major player in international trade. Our country bolstered its position in global trade scene and we expect it will continue to do so for the coming years.

“The trade policy of the UAE, advanced infrastructure, strategic location and legislative environment are all factors contributing to the continuous growth of our trade sector.

“During the past few year, enormous efforts were exerted to increase the level of competitiveness of the UAE and increase the opportunities of growth and development in all sectors, including trade."

The report showed that global trade saw modest growth by 2.4 per cent during 2014 and projected growth to reach 3.3 during 2015 and 4 per cent during 2016.

The reports states that many risks and challenges affected the growth of global trade including geopolitical tensions, monetary policies, exchange rates fluctuations, slowdown of growth in emerging economies and decrease in oil prices.

The reports says that abolishing protective measure, easing access to markets and reforming global trade rule can boost international trade.

2014 saw growth in developing countries exports with 3.3 per cent increase, a bigger growth than that of developed countries, which was 2.2 per cent.

Developing countries imports grew by 2 per cent while developed countries imports grew by 3.2 per cent .

The reports projects developing countries imports to increase by 3.7 per cent and 5 per cent in 2015 and 2016 respectively. Developing countries exports are expected to grow by 3.6 per cent in 2015 and 4.1 per cent in 2016.

The merchandise exports of the Middle East region dropped by 4 per cent during 2014 compared to 2013 while imports increased by 1 per cent for the same period. The services exports from the region increased by 6 per cent in 2014 compared to 2013 while services imports grew by 9 per cent. UAE’s share of the region’s services imports stand at 27 per cent while it accounts for 14 per cent of the total services exports of the region.

UAE ranks 16th globally in exports: WTO - Emirates 24|7
8 May 2015


Emirates Group profit up 34%, marks 27th straight year of growth
Records 27th straight year of growth on robust shows from flagship airline, dnata.

The Emirates Group announced on Thursday its second highest profit in history of Dh5.5 billion for fiscal year ended on March 31, 2015 — a jump of 34 per cent over the previous year — to mark 27th consecutive year of profit and growth.

The group — comprising the world’s fastest growing carrier Emirates airline, SkyCargo and airport handling company dnata — said it ended 2014 on a strong note despite the many global and operational challenges.

The group also claimed new capacity milestones at both its airlines and dnata, as it pressed ahead with expand global footprint expansion, while strengthening its business through strategic investments.

The group’s revenue reached Dh96.5 billion, an increase of 10 per cent over last year’s results, and the cash balance remained strong, growing to Dh20 billion, Emirates chairman said at a Press briefing.

While the group’s flagship airline posted a profit of Dh4.6 billion on a revenue of Dh 88.8 billion, dnata recorded a profit of Dh906 million, it highest-ever in 56 years. Emirates SkyCargo reported a nine per cent revenue surge to Dh12.3 billion.

Shaikh Ahmed bin Saeed Al Maktoum, Chairman and Chief Executive of Emirates airline and Group, described 2014-15 was “a turbulent year” for aviation.

“The fall in oil prices provided cost relief in the second half of our financial year, however it did not offset the hit to our profitability caused by significant currency fluctuations, nor the hit to our revenue from operational adjustments in addressing the Ebola outbreak, armed conflicts in several regions, and the 80-day runway upgrading works at Dubai International airport,” said Shaikh Ahmed, who is also President of Dubai Civil Aviation Authority.

“Achieving our 27th consecutive year of profit and one of our best performances to date, is testimony to the strength of our brands and business fundamentals, as well as the dedication and talent of our workforce,” said Shaikh Ahmed.

The strong rise of the US dollar against currencies in many of Emirates’ and dnata’s key markets had an Dh1.5 billion impact to the group’s bottom line, while the 80-day disruption at Dubai International Airport had an estimated impact of Dh1.7 billion on group revenue.

“Every year brings a new set of challenges. In addressing these, we are always guided by the best interest of our people, our customers, and our long-term goals. As a group, we keep a close eye on our top and bottom lines, but we never take our foot off the gas pedal when it comes to investing to enhance our business performance, and looking after our people,” Shaikh Ahmed said.

In 2014-15, the group collectively invested over Dh20.2 billion in new aircraft and equipment, modern facilities, the latest technologies, and staff initiatives. “This was the second highest amount ever in one financial year after last year’s record investment.”

The group’s employee base across its more than 80 subsidiaries and companies increased by 11 per cent to over 84,000-strong representing over 160 different nationalities. “Looking ahead, the ongoing uncertainty for many currencies and economic markets around the world will continue to pose a challenge, as will the looming threat of protectionism in some countries. However, we move into the new financial year with confidence, and a strong foundation for continued profitability with our strong balance sheet, solid track record, diverse global portfolio, and international talent pool. We will continue our journey of steady and rational growth, and work even harder to meet and exceed our customers’ expectations,” said Shaikh Ahmed.

In line with the overall profit increase, the group declared a dividend of Dh2.6 billion to the Investment Corporation of Dubai.

UAE is the most competitive market in Middle East, amongst the top 10 globally: Shaikh Mohammed

The UAE is the most competitive market in the Middle East and amongst the top 10 globally, His Highness Shaikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, has affirmed.

“This did not happen by accident. Building on our heritage, our founding fathers charted the path for our nation’s economic progress and prosperity more than 40 years ago. The UAE has always embraced competition and free market principles from our earliest days as a small trading post until today, Shaikh Mohammed said in the forward of the Emirates Group annual report 2014-2015.

Shaikh Mohammed said,” If we want the best talent, the best companies, and the best opportunities for our country, there is no room for protectionism. We have to be imaginative and innovative.

“If we want successful industries, we must invest in the right infrastructure and base our decisions on market need and commercial funding. Above all, we must never rest on our laurels.

“Dubai’s strategy for economic development and diversification has always been underpinned by these principles. In the aviation sector, the UAE’s Open Skies policy has brought over 140 airlines to operate at Dubai International airport today, connecting our city to 260 other cities spanning six continents around the world. Emirates, our home carrier, has to compete in an open marketplace with all of these other airlines. No short cuts, no protection, no subsidies. It must stand on its own feet and work hard to stay ahead of the competition.

“To date, Emirates and dnata have generated dividends of Dh 14.6 billion for the Dubai government. Those dividends have been ploughed back into the economy, helping fund essential infrastructure projects including the various phases of expansion at Dubai International airport and Dubai World Central.

“In 2013, aviation contributed US$26.7 billion to Dubai’s GDP, supporting 416,550 jobs. By 2020, aviation is projected to support over 750,000 jobs and contribute US$53.1 billion to GDP.

“This is not a surprise. Although Dubai and the UAE have thriving seaports, given our geography, air transport will remain the most important means of access for international travellers, as well as for the shipment of time-critical goods for the foreseeable future. That is why we invest in the aviation sector with a strategic long-term view, and strive to make every facet of this sector worldclass, based on international best practice.

“Economic success is of course only one indicator when we look at the overall picture and the long-term goals of Dubai and the UAE, just as the Emirates Group’s strong financial track record is only one aspect of its success.

“The well-being of our citizens and residents remain a top priority. I’m proud that the UAE is ranked the 14th happiest country in the world, and 1st among Arab countries, in the second United Nations World Happiness Report, which covers 156 nations. Just as I’m proud that our home grown companies like the Emirates Group, attract the most talented people from around the globe to live and work here the UAE, making our country one of the world’s most diverse, competitive, and dynamic.

“Ours is an environment that encourages enterprise, and we will continue to build a country where citizens and residents can enjoy peace and prosperity, and where the public and private sectors work together to achieve meaningful results for the communities we serve. “

Business - Emirates Group profit up 34%, marks 27th straight year of growth


May 08, 2015


Etihad Airways named 'Airline of the year' in China
Airline operates 21 services between Abu Dhabi and 3 major cities in mainland China

Etihad Airways, the national airline of the United Arab Emirates, has been named ‘Airline of the Year’ at the 14th Annual China Travel & Meeting Industry Awards 2015.

This prestigious award was announced during a gala ceremony in Shanghai this week, attended by over 200 senior executives from the Chinese travel and meeting industry, in recognition of the Etihad Airways’ market-leading product and service offering.

The airline currently operates 21 services between Abu Dhabi and three major cities in mainland China - Beijing, Chengdu and Shanghai. In addition, its presence in Greater China will be strengthened from 15 June 2015, with the start of a daily service to Hong Kong.

Peter Baumgartner, Chief Commercial Officer of Etihad Airways, said, "We have experienced the rapid growth of China’s travel market firsthand since commencing our services to the country seven years ago. Despite strong competition from other airlines, Etihad Airways is today established as a carrier of choice for Chinese travellers, due to our extensive network connections, convenient flight timings and superior products and services.

"We are delighted to be named Airline of the Year at the China Travel & Meeting Industry Awards and look forward to expanding our Greater China network next month, with the launch of a daily service from the financial and tourism hub of Hong Kong to Abu Dhabi and beyond."

The China Travel & Meeting Industry Awards are jointly organised by ‘Travel Weekly’ magazine and Events China. The ‘Airline of the Year’ award follows a string of accolades for Etihad Airways in China this year, including ‘Best First Class Cabin’ from Top Travel in March, and ‘Best Business Class Cabin’ at the Annual Travel Awards in February.

Etihad Airways named 'Airline of the year' in China - Emirates 24|7
March 23, 2015

China replaces India as Dubai’s biggest non-oil trade partner

China is now Dubai’s biggest non-oil trade partner, government figures show.

Trade with China totalled Dh175 billion in 2014, up from Dh135.7bn the previous year.

That represents an increase of 29 per cent – enough to push India off the top spot as Dubai’s major non-oil trade partner.

Non-oil trade between Dubai and India totalled Dh109bn last year. The United States accounted for Dh83bn of trade, while Saudi Arabia was the UAE’s largest Gulf trade partner, with a total trade value of Dh52bn.

Overall non-oil trade totalled Dh1.33 trillion in 2014 – an increase of 0.15 per cent against 2013’s figure of Dh1.32 trillion.

Non-oil exports and re-exports accounted for Dh486bn, while Dubai imported Dh845bn of goods and services.

Dubai’s appetite for smartphones accounted for the biggest chunk, with trade in the devices totalling Dh178bn in 2014, an increase of 9 per cent against the previous year.

Direct trade accounted for Dh818.8bn of Dubai’s total non-oil trade, while free zones accounted for Dh488.7bn.

Jebel Ali Free Zone, which reported its full-year results this month, added 650 new businesses last year, leading profits to grow by 50 per cent across 2014.

Demand for warehouse space near Dubai World Central, and around the area of Dubai’s mooted logistics corridor, is strong, real estate analysts said.

Dubai aims to become one of the world’s leading logistics hubs.

“Historically, trade has always been a prime economic activity commonly practiced by the people of the UAE, and today the trade sector plays a significant role in our overall economic development,” said Sheikh Hamdan bin Mohammed, Crown Prince of Dubai.

“Within the framework of our comprehensive developmental strategy, trade has integrated with other sectors to secure diversification of our national income confirming our ability to sustain solid growth,” he said.

China replaces India as Dubai’s biggest non-oil trade partner
May 18, 2015

ICBC's Dubai branch launches $500m 5-year bond
ICBC is China’s largest bank by assets

Industrial and Commercial Bank of China has launched a $500 million five-year debut bond issued by its Dubai branch, which is set to price later on Monday, a document from lead managers said.

The bank, China's largest by assets, set the final spread at 120 basis points over U.S. Treasuries, the document stated, tighter than the initial price guidance of around 145 basis points over treasuries announced earlier in the day.

The deal, rated A1 by Moody's, has garnered orders in excess of $3.5 billion from investors so far, an earlier document showed.

ICBC picked Citigroup, Emirates NBD, National Bank of Abu Dhabi and itself to arrange the transaction.

ICBC's Dubai branch launches $500m 5-year bond - Emirates 24|7


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