Tag: Industrial Electrical Suppliers in UAE

Edamah, the real estate arm of the Kingdom’s sovereign wealth fund, Bahrain Mumtalakat Holding Company “Mumtalakat”, has recently signed a 25-year lease agreement with Bahrain Titanium, a subsidiary of Interlink Metals & Chemicals AG (Interlink), for a 50,000 sqm industrial plot at Askar, for a Titanium multiphase facility valued at upwards of USD 200 million. Securing the establishment of this landmark first-of-its-kind project and milestone agreement was supported by Bahrain Economic Development Board. On the heels of being awarded a Golden License, which fast-tracked the lease signing and land allocation, the establishment of the Bahrain Titanium facility cements the island nation’s position as an established exporting hub for the world, contributing to its economic diversification and enhancing its global competitiveness.

Interlink chose Bahrain as the destination for its groundbreaking project due to Bahrain’s strategic location, along with its well-established exporting capabilities. During the first phase of the project, Bahrain Titanium will operate an electron-beam furnace (EB), for the production of commercially pure titanium slabs and ingots, as well as a vacuum-arc (VAR) furnace, for the production of titanium alloys. The first phase of the project will have a 4,000 tonnes capacity per annum with further projected increases in capacity in the future. The first stage will be followed by a comprehensive downstream expansion into forged bars and round and tubed titanium products.

H.E. Noor bint Ali Alkhulaif, Minister of Sustainable Development and Chief Executive of Bahrain Economic Development Board (Bahrain EDB) said, “The agility of Team Bahrain ensured this strategic project hit the ground running. Benefiting from facilitated duty-free access to 24 markets globally, the Switzerland-based manufacturer is a welcome addition to Bahrain’s well-diversified economy, adding value with their niche experience and expertise. As an export-oriented project, this deepens Bahrain’s ties with key markets, serving as a gateway for leading players in the logistics and manufacturing industry to tap into the Middle East and North Africa market and beyond.”

The facility will be purpose-built to serve fast-growing industries such as medical, aerospace, automotive, and energy, meeting the increasing global demand for titanium products, a niche commodity gaining traction worldwide surging Bahrain’s exports to international markets.

H.E. Abdulla bin Adel Fakhro, Minister of Industry and Commerce, said, “Marking the first specialised Titanium facility to be established in the region, Interlink has earned a solid reputation as one of the largest traders and suppliers of titanium in the world. Bringing these international institutions to Bahrain plays a pivotal role in enhancing the diversity, quality, and overall investment value of the national industrial sector, which contributes to increasing Bahrain’s economic competitiveness and elevating its standing as a leading export hub on the global map.”

H.E. Shaikh Abdulla bin Khalifa Al Khalifa, CEO of Mumtalakat and Chairman of Bahrain Real Estate Investment Company (Edamah), added, “We are pleased to sign this agreement with Bahrain Titanium, which marks a crucial step in facilitating their local operations enabling them to take advantage of Bahrain’s strategic location and world-class logistics infrastructure. As the first facility of its kind, this landmark signing underscores our commitment to expanding and diversifying Bahrain’s robust property portfolio with premium projects that foster innovation across priority sectors of the economy, in line with the national vision.” Igor Raykhelson, Chairman of Interlink Metals & Chemicals, said, “As part of Interlink’s roadmap for global expansion, Bahrain was a clear destination of choice given its Free Trade Agreement ratified with the US, strategic location, competitive operating costs, and availability of experienced and highly skilled local talent. The blueprint for the new Bahrain-based plant outlines the use of state-of-the-art technology and advanced manufacturing processes to meet the highest industry standards in energy efficiency and waste management, with a minimal carbon footprint.”

Source:https://www.bahrainedb.com/latest-news/edamah-signs-lease-agreement-with-interlink-for-over-usd-200-million-facility-in-bahrain

Bahrain has achieved the ranking of 1st in the Middle East and North Africa (MENA) in trade, investment, and financial freedom for the third consecutive year according to the 2024 Index of Economic Freedom, an annual guide published by The Heritage Foundation, Washington’s leading think tank. With an economic freedom score higher than the world and regional averages, Bahrain’s overall performance additionally improved on a global comparative, climbing 14 positions since last year.

Nada Al Saeed, Chief of Strategy at Bahrain Economic Development Board (Bahrain EDB) said, “Economic freedom, backed by sound regulatory environments and market openness are strongly linked to achieving progress and sustainable economic growth. Securing top rankings and achieving a robust performance across pivotal indices of the Heritage Foundation cements Bahrain’s established position as a financially liberal and open regional hub of trade and maintaining these favourable standings remains our priority at Bahrain EDB as we work towards ensuring the island nation remains attractive to investment.”

By assigning weighted scores and analysing macroeconomic data across 184 economies, the 2024 Index assesses both quantitative and qualitative factors across four key pillars to determine economic freedom, namely rule of law, government size, regulatory efficiency, and open markets. Bahrain performed quite well across several pillars, where the overall investment framework was found to be streamlined, positive, and transparent, where both foreign and domestic investors were determined to have facilitated access to a wide range of financial services. Bolstered by a well-institutionalized and efficient regulatory environment, Bahrain’s business freedom and monetary freedom score were additionally determined to be higher than the world average.

The Heritage Foundation 2024 report stated, “Despite the challenging global economic environment, the country (Bahrain) continues to be a dynamic business hub. Its openness to global commerce is sustained by a competitive regulatory environment. Enhancing the foundations of economic freedom by further improving the rule of law and fiscal policy remains critical to ensuring the country’s ongoing evolution.” With its long history as a trading hub, Bahrain has demonstrated a vested commitment to diversifying its economy and fostering a business-friendly investment environment, prioritising the development of a robust, digitally ready economy, and consistently pioneering regulatory policies and legislative frameworks to ensure its international competitiveness. Over a span of two decades, Bahrain’s economy secured an impressive average annual growth of 8%, surpassing the global average of 5%, wherein nominal GDP increased from around USD 10 billion in 2002 to over USD 44 billion in 2022.

Source:https://www.bahrainedb.com/latest-news/bahrain-ranks-1st-in-mena-in-trade-investment-and-financial-freedom-for-the-third-consecutive-year

In the first ten months of 2023, local banks have experienced a notable decline in the monthly financing they extend to the industrial sector, marking a significant 32.4 percent decrease from the corresponding period in 2022. The total monthly financing dropped from 1.359 billion dinars in 2022 to 918.7 million dinars in 2023. Insights from the Central Bank of Kuwait’s October statistics reveal a monthly upswing of 32.6 percent, with financing reaching 18.5 million dinars. However, this figure depicts a substantial 52.3 percent year-on-year reduction from 157.9 million dinars in October 2022.

Examining the trajectory of financing within the industrial sector, February 2022 saw the pinnacle with financing exceeding 414 million dinars. In contrast, the sector witnessed its lowest point in September 2023, with financing reaching approximately 56.8 million dinars. This decline in financing to the industrial sector coincides with a reduction in new monthly credit facilities, aggregated over ten months, by 1.8 percent.

The total credit facilities dwindled from 19.28 billion dinars in 2022 to 18.921 billion in 2023. However, every month, credit facilities surged by 36.2 percent, totaling 1.875 billion dinars in October, up from 1.376 billion dinars in September. The accumulated balance of industrial financing provided by local banks witnessed a 5.7 percent annual dip, totaling 167.6 million dinars.

This decline is evident when comparing October 2022’s figure of 2.922 billion dinars to October 2023’s reduced balance of 2.754 billion dinars. While this balance decreased by 2.2 percent and approximately 61.9 million dinars compared to December 2022, it increased monthly by 0.4 percent, amounting to 11.6 million dinars. This positive shift came after registering 2.743 billion dinars in September. In contrast, the total cash credit facilities provided by banks across all sectors showcased a growth of 1.3 percent during the initial ten months of 2023, amounting to 677.9 million dinars.

Monthly, this figure increased by 0.5 percent, reaching approximately 296.2 million dinars in October, up from 52.828 billion dinars at the end of September. On an annual basis, the total cash credit facilities increased by about 998.6 million dinars, surpassing 52.126 billion dinars in October 2022. The industrial sector has faced a multitude of challenges over the last three years, emerging as one of the main sectors adversely affected by the COVID-19 pandemic. The imposition of bans and the suspension of corporate activities, coupled with disruptions in the supply and production chain, has led to significant setbacks for the industrial sector. Additionally, the sector has suffered from reduced demand and limited new projects within the country. These multifaceted challenges have had a substantial impact on local industrial projects, clearly reflected in the decline in funding received by the sector during the initial ten months of 2023 compared to the same period last year.

Source:https://www.arabtimesonline.com/news/kuwait-banks-financing-of-the-industrial-sector-declined-in-1st-10-months-of-23/

The financing provided by local banks to the industrial sector saw a significant increase in January compared to December 2023, rising by 123.5% to 148.9 million dinars from 66.6 million dinars. This surge represents a noteworthy boost in funding for industrial activities within Kuwait. Moreover, on an annual basis, this increase amounted to 38.3% from 107.6 million dinars in January 2023. The rise in financing indicates a positive trend in supporting industrial development and growth in the country. Simultaneously, the accumulated balance of industry financing also witnessed growth, indicating sustained investment in the sector.

The balance increased by 1.5% monthly, reaching 2.686 billion dinars in January 2024 from 2.646 billion dinars in December 2023. Despite this monthly increase, there was a 6.1% decrease in the accumulated balance compared to January 2023, where it stood at 2.861 billion dinars. While there was a slight decline from the previous year, the ongoing investment in industry financing underscores the importance of this sector in Kuwait’s economic landscape.

Monthly statistics from the Central Bank of Kuwait for the year 2023 provide further insights into the dynamics of financing within the industrial sector. Total monthly financing to the industrial sector witnessed a notable decline of 31% during the fiscal year, amounting to 1.033 billion dinars in December 2023 compared to 1.499 billion dinars in December 2022.

This significant reduction reflects various challenges faced by the industry sector, including the impacts of the COVID-19 pandemic and disruptions in global supply chains. Moreover, December 2023 saw a staggering 90.7% decrease in financing compared to the same period in 2022, dropping from 73.8 million dinars to 7.2 million dinars. This drastic decline underscores the volatility and uncertainties that characterized the industrial sector during the past year.

However, despite these challenges, the resilience of the industry sector remains evident, with ongoing efforts to navigate through turbulent times and adapt to changing market conditions. The industry sector has faced numerous challenges over the past three years, exacerbated by the COVID-19 pandemic. Restrictions on corporate activities, disruptions in supply chains, and decreased demand have all contributed to the sector’s struggles.

Additionally, bureaucratic hurdles in completing transactions, reliance on imported goods, and high rental prices for industrial facilities have further compounded the challenges faced by industrial enterprises. Despite these obstacles, the Kuwaiti government continues to prioritize the development of the industrial sector and has implemented various initiatives to support its growth. These efforts include addressing bureaucratic inefficiencies, promoting domestic manufacturing, and enhancing infrastructure to facilitate industrial activities. By addressing these challenges and capitalizing on emerging opportunities, the industrial sector in Kuwait can overcome current obstacles and realize its full potential in driving economic growth and prosperity.

Source:https://www.arabtimesonline.com/news/kuwaiti-banks-increase-industrial-sector-financing-by-123-5-in-jan/

GCC countries and Türkiye will start negotiations on a free trade agreement to boost economic ties between the various parties.

Gulf Cooperation Council (GCC) Secretary General Jasem Mohamed Albudaiwi and Republic of Türkiye Minister of Trade Dr. Omer Bolat have signed an agreement to start negotiations on a Free Trade Agreement (FTA) in a move that, according to Albdaiwi, proves the robust and strategic partnership the two sides enjoy.

Albudaiwi also said that the agreement also showcases successful regional and international cooperation in the field of commerce, economy, and finance.

GCC-Türkiye trade
He said the close cooperation between Türkiye and the GCC countries helps boost economic relations, adding that there is mutual desire to further cooperate to expand trade and investment.

Albudaiwi stressed that Gulf countries are engaged in free trade negotiations with other nations, to open up trade opportunities, promote economic cooperation, and open up markets for their goods and services, adding that this is part of the bloc’s endeavour to diversify sources of income and foster economic growth.

Source:https://www.arabianbusiness.com/politics-economics/gcc-seeks-free-trade-agreement-with-turkiye-for-uae-saudi-arabia-qatar-kuwait-bahrain-and-oman

Sports industry is valued over $5 billion in 2023, policy advocate specialist, Phiwe Hlatshwayo, cited the global sports market report 2023.

Hlatshwayo affirmed that Africa’s sports industry has potential to drive economic growth and development.

She emphasized the transformative power of sports in shaping Africa’s future, elaborating that sports is a tool for social cohesion, equality, economic growth, and international cooperation.

Hlatshwayo highlighted during a speech, titled, “the business of sports in Africa” the economic impact of sports, citing examples like the 2010 World Cup in South Africa contributing significantly to the national GDP.

“The 2010 World Cup in South Africa contributed over $5 million to the national GDP. The 2010 World Cup also generated direct impact on labor with over that with 1000s of jobs being created through infrastructure construction, hospitality, which showed the potential for the business of sports to significantly shape Africa’s economic future,” she stated.

Hlatshwayo referred to the challenges, saying that the continent faces challenges such as lack of financing, and reliable data.

“It’s imperative that we gather pertinent data to inform decision makers bridge the talent management gap. Investing in sports education and training in schools is vital to identify and nurture young talent,” she said.

She concluded the speech by sports has the power to build hope, unity, and cohesion in Africa.

This came during a presentation on the second day of IATF2023 which is currently being held in Egypt from Nov. 9 to 15.

The IATF2023, which is the third edition of the Intra-African Trade Fair, provides a platform for businesses to access an integrated African market of over 1.3 billion people with a GDP of over $3.5 trillion created under the African Continental Free Trade Area, according to the African Union.

Source:https://www.egypttoday.com/Article/3/128371/Sports-industry-valued-at-5B-in-2023

Qatar is investing approximately $1.5 billion in Egypt’s industrial sector in 2024, according to Head of the Egyptian Commercial Service, Yahya Al-Wathiq Billah.

This announcement marks the first mention of Qatar’s new investments in Egypt since the agreement between the two nations in March 2022, which outlined investments and partnerships worth a total of nearly $5 billion.

Al-Wathiq Billah’s highlighted a 47% increase in trade volume between the two countries in 2022, although specific figures were not disclosed.

The Qatar Egypt Investment Forum, inaugurated by Minister of Trade and Industry Ahmed Samir, served as a significant platform for fostering economic cooperation and exploring investment opportunities between Qatar and Egypt.

The forum, attended by Qatar’s Minister of Commerce and Industry, Mohammed bin Hamad bin Qassim, showcased Qatar’s commitment to Egypt’s economic growth. Bin Qassim stated that Qatar had already invested over $5.5 billion in Egypt’s financial, real estate, and energy sectors.

During the event, Saud Omar Al Mana, the CEO of the Qatari Al Mana Group, made a notable announcement. Al Mana revealed plans to inject initial investments totaling approximately $60 million into the Egyptian market throughout 2024.

The investments from Qatar are expected to have a substantial impact on Egypt’s industrial sector, promoting growth and creating new job opportunities.

Source:https://www.egypttoday.com/Article/3/128511/Qatar-commits-1-5-billion-investment-in-Egypt%E2%80%99s-industrial-sector

Italy’s Mapei invests about $25 million to establish a factory in Egypt with a production capacity of up to 100 thousand tons annually. This came during Prime Minister Mostafa Madbouly’s inspection of Mapei’s factory during his tour to visit factories on the 10th of Ramadan City and El Obour City.

The Regional Area Manager Middle East & East Africa at Mapei, Andrea Perini said that the factory extends over an area of 28,000-meters established on two stages with a total investments of 25 million dollars stating that the first stage of the factory was finished. The factory is scheduled to open next year.

Perini asserted that the factory employed 100 workers, highlighting that the production capacity of the factory is 100 tons annually.

Madbouly highlighted Egypt’s keenness to deepen local production and encourage and empower the private sector, pointing out that the Egyptian market is huge and encourages pumping investments in it.

Earlier this year, The Central Agency for Public Mobilization and Statistics (CAPMAS), said that the trade volume between Egypt and Italy increased in 2021 by 29 percent to reach $5.8 billion compared to $4.5 billion recorded in the previous year.

Moreover, Italian investments in Egypt increased by 40.3 percent during the first quarter of the financial year of 2021/22, reaching $448.8 million.

Source:https://www.egypttoday.com/Article/3/128595/Italian-Mapei-completes-first-phase-of-its-25M-factory

The Minister of Industry, Ahmed Samir, announced the signing of 12 agreements and partnerships in nine integrated industrial projects, with a total investment exceeding $2 billion during 2023. These projects span sectors such as agriculture, pharmaceuticals, metals, chemicals, and electric cars, and are part of the industrial partnership initiative involving Egypt, the Emirates, Jordan, and Bahrain.

Samir highlighted the ministry’s achievements throughout 2023, emphasizing its commitment to developing the Egyptian industry and boosting exports to global markets.

In terms of industrial lands, the ministry allocated 1,099 plots covering a total area of 4.167 million square meters to investors in 2023. The total number of units in industrial complexes reached 3,298 across 16 complexes. The Housh Issa Industrial Complex in Beheira Governorate was inaugurated, featuring 864 industrial units in various sectors.

Operational licenses for 23,446 industrial facilities were granted, along with 9,970 industrial records across diverse activities. The ministry issued 872 building permits. Additionally, 1,945 studies were conducted to explore customs reductions for sectors like transportation, household appliances, lighting tools, fractional motors, and various products.

In the field of product development, 2,717 studies were carried out, encompassing government agencies’ needs, determining local component percentages for tenders, and value-added certificates. Furthermore, 3,619 technical studies were conducted for tender requests, accompanied by 22,345 technical inspections and 370 technical consultations for hazardous chemicals.

The Ministry facilitated 80 contracts for the sale of industrial lands, covering an area of 752.5 thousand square meters. The annexation of six industrial zones was completed, amounting to LE 219.5 million.

Environmental approvals for licenses numbered 10,915, and 2,110 civil protection inspections were conducted for prior notification licenses.

In relation to the Rubiki Leather City, the first phase reached 100 percent completion, the second phase 85 percent, and the third phase 98 percent. The efficiency of the first phase of sewage stations was enhanced by 95 percent.

Moreover, contracts for 113 industrial units were handed over to 60 investors in the two industrial complexes in New Fayoum.

Source:https://www.egypttoday.com/Article/3/129499/Over-2B-investment-in-9-key-Egyptian-industrial-projects-during

The Suez Canal Economic Zone (SCZONE) signed five major framework agreements, valued at a $234 million. These agreements have been reached with private sector companies operating across various industrial sectors.

The total investment amount will be divided into LE 1.2 billion and $195 million. The SCZONE aims to leverage these agreements to capitalize on Egypt’s resources and provide incentives to attract more investors.

Here’s a breakdown of the five agreements:
Apparel manufacturing: Aurajlo Company for Garment Industry will construct a state-of-the-art apparel manufacturing facility spanning over 75,000 square meters. The project, valued at $150 million, will operate under the usufruct system, effectively granting the company the right to use and develop the land for a defined period
Plastic recycling: A subsidiary of the Youssef Allam Group will embark on an ambitious PET plastic recycling project. With an investment of $15 million, the facility will cover an area of 10,000 square meters
Textile and Dyeing: Jade Textile is set to establish a cutting-edge textile and dyeing project, spanning an impressive area of 100,000 square meters with total investments of $65 million
Pharmaceutical manufacturing: Orchidia Pharmaceutical Industries will build a pharmaceutical factory across 10,000 square meters with investments exceeding LE 1 billion
Wood industry: El Hamd Company’s wood industry project will occupy an area of 12,700 square meters with investments amounting to LE 129 million

The Chairman of SCZONE, Walid Gamal El Din, revealed that these five agreements are just the beginning, as negotiations for an additional 50 agreements are currently underway.

Source:https://www.egypttoday.com/Article/3/129951/SCZONE-inks-234M-deals-for-five-industrial-projects