DUBAI: Dubai Airport Freezone Authority, DAFZA, has played a key role in boosting Dubai's economic growth, with a 12 percent contribution to the emirate’s foreign trade in 2019, compared to 11.2 percent in 2018, out of a total trade value of AED1.37 trillion recorded last year.
This came as a direct result of the incentives and business facilitation services provided by DAFZA that have enhanced the attractiveness of the free zone to foreign investors.
DAFZA's foreign trade exceeded AED164 billion (approximately $45 billion) in 2019, compared to AED146 billion in 2018, with a 12.6 percent growth. This was driven by more than 15.8 percent growth in imports worth AED72.4 billion. There was AED91.8 billion in total exports and re-exports with 10.2 percent growth, allowing DAFZA to achieve an AED19.4 billion trade surplus in 2019.
India was DAFZA's biggest trade partner in 2019 with 18.3 percent valued at AED30 billion, followed by China with 17.3 percent at AED 28.4 billion. Switzerland was third with 16.3 percent at AED 26.8 billion. In terms of imports, India ranked first with 40.7 percent at AED29.4 billion, followed by China with 39.2 percent at AED28.4 billion. Switzerland ranked first in exports and re-exports and accounted for 27.4 percent at AED25.1 billion, followed by Iraq with 12.3 percent valued at AED11.3 billion.
In terms of goods, machinery and electrical and electronics equipment ranked first with 55 percent of the total foreign trade in 2019, with a value of AED37.4 billion for imports and AED53 billion for exports and re-exports. This was an increase of 14.3 percent or AED11.3 billion in DAFZA’s total trade. This was followed by precious stones and metals with 38 percent of the total import value at AED29.6 billion and AED32 billion in terms of exports and re-exports. This meant an increase of 10.4 percent worth AED5.8 billion. Both sectors represent 92.6 percent of DAFZA's total trade.
H.H. Sheikh Ahmed bin Saeed Al Maktoum, Chairman of DAFZA, said that the authority's foreign trade results were a result of its leading position as a hub for international companies and investors, connecting key commercial hubs worldwide, and its vital role in accelerating access to global and regional markets, including Dubai's market.
He went on to note that such results are positively reflected in Dubai's economy as DAFZA has been actively contributing to its sustainable growth over the past twenty years.
His Highness explain that DAFZA's integrated system is one of the main reasons for the great achievements accomplished so far.
"It has enhanced Dubai's reputation as an attractive destination for global investors. DAFZA will continue working in line with these frameworks in order to build a flourishing future that is based on technology and innovation, concentrating on achieving its goals which include attracting more international investment," he added.
DAFZA witnessed an impressive growth in operations of its hosted multinational companies, cementing its position as an attractive destination for companies, looking to benefit from DAFZA's portfolio of exceptional services, incentives and business facilities.
In 2019, DAFZA's total revenues of multinational companies increased by 36.6 percent compared to the same period in 2018. The total space occupied by multinational companies increased by more than 135 percent.
© Copyright Emirates News Agency (WAM) 2020.