Guide to Doing Business
Download 184.33 Kb.
|
- Navigate this page:
- Business Environment
- Some Major Projects
- Some Areas of Economic Activity
3. DUBAI AND THE NORTHERN EMIRATESAlthough the federal capital of the UAE is Abu Dhabi, Dubai is the country's commercial hub. Dubai and the Northern Emirates of Ras Al Khaimah, Fujairah, Sharjah, Ajman and Umm Al Quwain accounted for over 95% of the goods that Britain exported to the UAE in 2005. Dubai ranks as one of the worlds leading trading centres and offers a gateway to a market of more than one billion people, covering the Commonwealth of Independent States (CIS), East Africa, Asian sub-continent and the Middle East including the more challenging markets of Iraq and Iran. The top six exporters to Dubai in 2006 were China, India, the US, Japan, Germany and the UK in that order. The five countries that imported most from Dubai in 2005 were India, Pakistan, Kuwait, the US and Iran. StrategyIn recent years Dubai has grown rapidly and diversified its economy away from oil, which in 1975 accounted for 54% of Gross Domestic Product (GDP) and in 2000, 10%. Today it represents just 5%. The service sector has been of central importance in achieving diversification. In February 2007 HH Sheikh Mohammed bin Rashid Al Maktoum, UAE Prime Minister and Vice-President, and Ruler of Dubai, outlined the Dubai strategic plan - 2015. The plan aims to maintain Dubai's high rate of economic growth. It states that growth will be based on key 'building blocks' including tourism, trade, transportation and finance. Social development forms a central part of the strategy with commitments to improving performance in education, health, culture, social assistance and the workplace as the only way for securing sustainable economic prosperity. The strategy will support the development of the arts, raise education and skill levels for UAE nationals, improve health insurance provision and introduce international accreditation for hospitals and more rigorous medical licensing. The strategy also places emphasis on the development of an integrated transport system, sustainable development and the environment and infrastructure needs including urban planning, energy, electricity and water. Business EnvironmentIn summary Dubai offers:
Dubai's importance is also as the region's business hub and re-export centre. In fact, it is the third largest re-exporter after Hong Kong and Singapore. A number of factors have enabled Dubai to achieve this status:
Some Major Projects
Involves the creation of three of the largest man made-islands in the world in the shape of date palm trees. The first of the three islands off the Jumeirah coastline is well advanced. The second island, Palm Jebel Ali is near the Abu Dhabi border at Ras Hasyan. Work on the third palm at Deira is now underway. Each island will accommodate hotels, villas, apartments and shopping malls.
estimated cost is £2.3 billion. The project involves the construction of a new concourse, a cargo terminal, aprons, taxiways, roads, tunnels, drainage, sewerage, water supply, VIP pavilion, engineering complex and a fuel farm.
estimated cost is £2.7 Billion and will be built on a 3 billion sq. ft area. Dubailand will include 45 mega projects and 200 subprojects. Once completed the project is expected to attract 200,000 visitors daily and will boast one of the biggest malls in the world, Mall of Arabia. In addition to attractions such as aviation world, global village, safari, gold world, motor racing, kids world, snow world, water park, light and sound world and film city. Approximately seven projects will be completed by 2008 forming the first operational phase of Dubailand.
On completion, Burj Dubai is expected to be the tallest building in the world. The surrounding development will include the world's biggest shopping mall, offices and residential complexes, hotels and a host of recreational facilities. Construction on the project is well underway and due for completion sometime in 2008.
In November 2002, Sheikh Mohammed bin Rashid Al Maktoum, announced the development of Dubai Healthcare City as part of Dubai’s 2010 strategic vision. The £1.125 billion project is designed to transform Dubai into a global hub for specialised healthcare, medical education and research. The first phase will comprise the medical cluster. The following phase will be the wellness cluster, incorporating spas and leisure facilities.
Dubai's Nakheel Corporation is creating 300 islands, positioned to form the shape of the world map, about five km off the Dubai coastline. The development will be 5.5 km in length and width and will cover 60 million sq. ft, including 10 million sq. ft of beach. A series of waterways, canals and lakes have been integrated into the overall design. Some Areas of Economic Activity
The Department of Economic Development (DED) is encouraging Foreign Direct Investment in a broad selection of manufacturing sectors. There are plans to develop a science and technology based industrial park called Dubai Silicon Oasis, which will be located in Nad Al Sheba, the South-Eastern part of Dubai City. The site will cover 600 hectares and will be dedicated to leading edge semiconductor and microelectronics manufacturing industries. The Dubai authorities are aiming to attract leading global technology companies to construct state-of-the-art research, development and design, manufacturing and fabrication facilities in Dubai.
According to the UAE Contractors’ Association, the UAE construction market was worth approximately £20 billion in 2003 and is the largest sector after oil and gas. With Dubai’s development as a major international tourist centre and regional business and manufacturing base, this growth is set to continue and there are plans to construct up to 45 new hotels in Dubai over the next 5-10 years. High oil prices have helped sustain high levels of activity in the construction sector.
Dubai aims to attract 15 million tourists a year by 2010. It continues to develop as a popular tourist centre with new projects such as a US$1 billion Festival City on the Creek waterfront in Al Garhoud which includes shopping malls, restaurants, a convention centre, marina and hotel. Dubai has also established itself as the sports capital of the Middle East, hosting world class international events that attract some of the biggest names in their respective sports. There are currently three championship standard golf courses in the emirate and more are planned. Dubai hosts the world’s richest horse race - the Dubai World Cup - and is also on the ATP tennis tournament circuit and the European PGA Tour (Desert Classic). In the last two years, international pop stars and bands have also made appearances in Dubai, adding further credibility to Dubai’s aim to make itself a leading leisure destination. The number of tourists visiting Dubai has increased substantially in recent years. Figures for the first quarter of 2004 showed that passenger numbers at Dubai airport increased by 25% to 5.3 million over the same period for 2003. Visitors to Dubai for Q1 2004 increased by 17% over 2003 to 1.5 million.
Dubai was one of the first countries in the Gulf to offer public access to the Internet and now enjoys the highest PC and Internet penetration in the Middle East. It has a thriving retail market for computer hardware and software. In Dubai alone there are over 3,500 retail outlets for computers and accessories. The import and re-export market continues to expand and Dubai offers opportunities to access other gulf markets, North Africa, the Indian subcontinent and the CIS. The market was valued at £700 million in 2003, with the UK supplying over 15% of IT related imports. The development of the Technology, E-Commerce and Media Free Zone (TECOM), which includes Dubai Internet City, Media City and Knowledge Village, offers British companies hi-tech business facilities and services, from infrastructure to software development, broadcasting and education programmes.
The UAE’s rapidly growing population was put at 4.1 million in 2005. Dubai’s population was estimated at 1.2 million. This growth has posed challenges for the country’s healthcare services. The UAE is the Middle East’s biggest per capita healthcare spenders and considerable public expenditure is being devoted to improving and expanding health services (see also Dubai Healthcare City above).
Dubai is the foremost re-distribution centre in the region and the long-term outlook for re-exports is good. Dubai’s direct re-export trade was valued at £5.5 billion in 2003. It is the world's third largest re-export centre after Honk Kong and Singapore. In 2004 the five main re-export destinations by value were India, Iran, Iraq, Switzerland and Pakistan.
The Northern EmiratesThe Northern Emirates of Sharjah, Fujairah, Ajman, Umm Al Quwain and Ras Al Khaimah each have their own commercial profile and economic priorities. There are increasing numbers of new factories and light industries developing in the smaller emirates as they all strive for economic growth. Each emirate has a port, most of which are running at near capacity and have expansion programmes to cope with increasing demand. Major industries for the smaller emirates include agriculture, tourism and niche manufacturing ventures.
The third largest of the emirates and home to two-thirds of the UAE's manufacturing base. It has a fast growing international airport, two free zones and two active ports, one on the Gulf and one at Khor Fakkan, Sharjah's East Coast enclave. The emirate is more conservative than Dubai; alcohol is illegal and Sharjah's 'decency' law requires that people dress more conservatively than in Dubai.
Situated to the Northeast of Sharjah and home to a variety of factories producing goods including foodstuffs, beverages, tobacco, textiles, leather goods and paper products and ready made garments. Over the years the emirate has successfully diversified its economic base by adding other industrial sectors such as chemicals, plastics, printing and publishing and the manufacturing of light engineering products. Ajman also has a thriving boat building industry, manufacturing boats ranging from traditional wooden dhows to more sophisticated luxury yachts.
North East of Umm Al Quwain, RAK is the main farming area of the Northern Emirates. Mining is also one of the foremost activities; there are two quarries and four cement plants. There are also factories producing tiles and ceramics, glass tableware and pharmaceuticals. Some oil exploration is underway. With a deepwater port situated near the Straits of Hormuz Ras Al Khaimah is in a good location. The emirate has established a free zone and is also developing a $1 billion resort and hi-tech park - ‘Jazirat Al Hamrah’ - combining luxury waterfront residential and resort apartments with a technology park. The new 500-hectare free zone will be part of Ras Al Khaimah’s ‘Three Park’ system and will add to the existing business park and industrial park. There is also considerable agricultural potential, with 15% of land is under cultivation. Several large companies are also involved in dairy products, livestock and poultry production.
Fujairah is situated on the Gulf of Oman. Fujairah port was deepened and extended in 1985 in order to attract new shipping lines and new business. The port gives access to the UAE without the need to enter the Gulf through the Straits of Hormuz and is among the top three bunkering ports in the world. A number of ongoing projects include power generation, water desalination and hotel construction.
The emirate has a variety of industrial developments with a cement factory, manufacturing units producing pipes and corrugated sheets. Agriculture is an important part of the local economy and a number of different crops are grown. The emirate is also home to a large poultry farm. Directory: res res -> General text for tender (recommendations) for Pilkington Profilit™ Contents Page res -> North Carolina Inclusion Initiative Mapping Where Children with ieps are Being Served Purpose res -> Make Me a Superhero – Resilient People Sir Chris Hoy born 23 March 1976 res -> Occupational health and safety res -> Practice learning res -> Principal’s Report 2013-2014 res -> Charter School Enrollment Data Annual Report res -> The Rise of Video Games Section “Word” Matt Spencer Download 184.33 Kb. Share with your friends:
|