UAE - The Dubai Airport Free zone Authority (Dafza) on Sunday said its total foreign trade grew Dh55.8 billion, or 62 per cent, to Dh146 billion last year, while also investing Dh780 million in new expansion projects.

The free zone said in its annual report that the surge in trade was largely due to the strong growth in exports and re-exports, which stood at Dh83.3 billion in 2018, an increase of Dh39.5 billion and a 90 per cent growth versus 2017. Imports increased by 35 per cent to reach Dh62.5 billion. This resulted in a significant surplus in Dafza's trade with Dh21 billion in 2018.

Its contribution to Dubai's foreign trade reached 11 per cent versus 7 per cent in 2017. The authority said its budget also increased to Dh1 billion for 2019.

In terms of companies, Dafza in 2018 increased by 6 per cent the number of international companies that form 35 per cent of total registered companies in the free zone. SMEs account for 65 per cent of total investors.

Sheikh Ahmed bin Saeed Al Maktoum, Chairman of Dafza, said trade is one of the key sectors driving Dubai's growth, supported by the emirate's long-standing of being a gateway for global trade. Dafza's results achieved in 2018 are a direct reflection of Dubai's strong economic growth and in line with the path taken by Dubai's leadership for revenue diversification.

Sheikh Ahmed, who is also President of the Dubai Civil Aviation Authority, Chairman of Emirates airline and Chief Executive of the Emirates Group, said that the results confirm Dafza continues to play a vital role in achieving the strategic goals of strengthening Dubai's economy, with foreign direct investment through attracting global capital and major multinational organisations. This also encourages investors to establish their business within a stable economic environment and to expand their investments operating locally in the UAE and regionally through Dafza.

Dr Mohammed Al Zarooni, director-general of Dafza, pointed out that during the past year, Dafza has sought to strengthen its presence among private sector companies regionally and globally by developing major initiatives and joint projects between the private and government sectors.

Dafza's data revealed that non-Arab-Asian countries accounted for 46 per cent of Dubai's trade in 2018, amounting to Dh66.5 billion. Arab countries ranked right behind at 27 per cent with a value of Dh39.5 billion, where GCC countries comprised 62 per cent at a value of Dh24.5 billion. European countries came in at third place with 22 per cent of trade valued at Dh32 billion.

As per Dafza's top countries rank in foreign trade, India ranked first with a value of Dh24.1 billion, accounting for 16.5 per cent, followed by China with a value of Dh24 billion accounting for 16.4 per cent, and Switzerland came in third place with Dh23 billion accounting for 15.6 per cent.

Machinery and electrical equipment were the top trading goods valued at Dh79 billion with 54 per cent share, followed by pearls, precious stones, metals and jewellery, which made up 38 per cent at a value of Dh56 billion. Optical, medical and scientific equipment, as well as watches and audio and visual materials represented 4 per cent at a value of Dh5 billion. Finally, the group of chemical products and related industries made up 2 per cent at a value of Dh2.4 billion and others at 2 per cent with value of Dh3.6 billion.

 

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