DUBAI - The paint industry has been recording strong growth of 10 to 15 per cent for the past three years due to the prevalent construction boom in the UAE, according to industry sources.
According to a survey, it is estimated that the paint industry in Dubai produces 150 million litres of paints per annum and out of this only 40 per cent is used by the local market and the rest is exported.
Moreover, the cost of paints and related products is around 2 per cent of construction costs, as billion of dollars are spent on construction projects, the paint manufacturers are highly optismistic about huge growth of the paint market and future is bright for this industry.
In the UAE, most of the paint manufacturers are going for expansion and producing different kinds of paints which includes, paints for bulidings, industries, marine works, automobiles paints, coatings for floor protection, powder coatings and many more.
Recently, Berger Paints achieved 25 per cent growth in revenues and launched a new product, Vintage Finish which is targeted for the new construction projects in the UAE and the region.
"This product gives an exterior textured paint that gives an ancient look and feel recreating the magic of a bygone era and this new product will increase the revenues of the company and achieve good growth this year," according to an official from the company.
ICI Paint's Dulux range also achieved sales of more than 133 million in the Middle East and in Dubai the company has introduced a 'Decorater Service Centre' which offers professional consultation to customers on how to choose the right colours for their homes.
ICI Paint's Sharjah plant is operated by Easa Saleh Al Gurg Group owned Al Gurg Leigh's Paints takes care of the UAE market requirements and exports to Qatar, and Oman.
According to the business manager of Dulux paints, "The last two years in particular have seen a sharp increase in demand, coinciding with the construction boom."
This year, in March Jotun Paints commissioned its new plant worth Dh70 million in Al Quoz Industrial area to cater the increase demands of the construction sector. The company wants to go hand-in-hand with Dubai into the future and constantly improving their technology, products and services to meet the challenges of the market.
It has already been involved in some of the projects which includes, Burj Al Arab, Royal Mirage, Jumeirah Beach Hotel, Emirates Towers and the Madinat Jumeirah Hotel.
According to Erik R Aaberg, managing director of Jotun Paints UAE, and "Jotun increased its sales budget by 15 per cent compared to 2003 and has developed Protective, marine and decorative paints specially for the harsh climate of the UAE. It was Jotun's marine paint product range that paved the way for its entry in to the local and regional markets."
He also added: "This new factory has been designed according to Jotun's stringent Health, safety and environment standards and employ computerised processes, thereby keeping manual load handling to a minimum."
In the UAE, most of the projects are still in their initial construction phase, there is prediction for encouraging growth, which can be maintained well into the rest of the decade.
BY MOUSHUMI DAS CHAUDHURY
© Khaleej Times 2004
