By Saud Abu Alshawareb, Executive Vice President of Industrial at TECOM Group PJSC
1. How does Dubai Industrial City’s infrastructure support African FMCG manufacturers seeking to expand their reach to Middle Eastern markets?
Established with an intelligent masterplan in 2004 by TECOM Group PJSC, Dubai Industrial City is the home of more than 1,000 local, regional, and global manufacturing leaders, including F&B industry innovators and heavyweights, and 300+ operational factories. It is located at the crossroads of Europe, Asia, and Africa in Dubai, the ideal hub for companies looking to access multiple markets through a centrally connected base. Through Dubai Industrial City, manufacturers can access the city’s well-developed logistics infrastructure, including the Jebel Ali Port, Al Maktoum International Airport, Etihad Rail, and critical national and regional road networks to easily import raw materials and export finished goods.
2. Can you please elaborate on Dubai Industrial City’s F&B zone and what advantages and value proposition it offers to global companies?
One of Dubai Industrial City’s six sector-specific zones, the F&B space is a dedicated area that offers ready-to-use infrastructure, including industrial lands, storage and logistics spaces, and cold-storage facilities, helping companies save time and money on setting up their operations. Spanning 23.5 million sq.ft., the F&B zone is home to global and regional industry giants such as Asmak, Barakat Quality Plus, and Silver Line Gate Group. The dedicated space enables national socioeconomic and environmental mandates by supporting advanced agricultural practices and sustainable production as well as encourage the cross-pollination of ideas and eliminate wastage by advancing collaboration.
In 2023, 12 new F&B customers joined Dubai Industrial City, representing 15% growth in the F&B customers compared to 2022. This growth cements the district’s role as a proponent of advanced manufacturing and the regional circular economy. The new F&B customers represent cumulative investments worth AED 800 million and will have access to the region’s large and growing market for F&B products.
3. Do you have any examples or case studies of any African FMCG/food manufacturing companies that have set up and expanded through their presence at Dubai Industrial City?
Companies from all over the world have an address at Dubai Industrial City, and I anticipate interest from Africa to also continue growing as the UAE explores Comprehensive Economic Partnership Agreement (CEPA) deals with countries like Kenya to create new opportunities in key markets. The UAE’s participation in the BRICS group also presents an opportunity for our customers to further grow ties with the world.
4. What infrastructure and competitive advantages does Dubai offer global FMCG companies?
Dubai offers several competitive advantages to global FMCG companies, including a business-friendly environment with visionary leadership, world-class infrastructure, and strategic support to start and scale up for all kinds and sizes of businesses. The city is a global hub that can help to nurture innovation and spur the global vision for a circular economy and advanced manufacturing by bringing together talent from all over the world to achieve Industry 4.0.
5. Dubai Industrial City recently reported 15% growth in F&B customers in 2023 – what are the key factors driving this growth?
Rising demand for F&B products in the Middle East and Africa region is a significant driver for growth in the segment, and the availability of ready-to-use infrastructure and support services at Dubai Industrial City also supports the expansion of our F&B zone with local, regional, and international customers who want to reach a broader market from Dubai.
Our alignment with government strategies that benefit our customers also contributes to our market position. Dubai Industrial City signed strategic partnerships with the Ministry of Industry and Advanced Technology (MOIAT), the Ministry of Climate Change and Environment (MOCCAE), the Emirates Development Bank (EDB), and Dubai’s Department of Economy and Tourism (DET) during the launch of the ‘Make Brilliance’ global awareness campaign in May 2023, and these partnerships power the growth of our community.
6. How is Dubai Industrial City strengthening Dubai’s position as a global hub for food manufacturing companies?
Dubai Industrial City is strengthening Dubai’s and the UAE’s position as a global hub for food manufacturing companies through its continued alignment with government priorities. As part of our strategic partnership signed with DET during the launch of ‘Make Brilliance’, Dubai Industrial City will raise awareness of how the Dubai Economic Agenda ‘D33’ is creating new opportunities for the manufacturing sector. Dubai Industrial City and MOCCAE’s strategic partnership aims to boost food security to support the ‘National Food Security Strategy 2051’ and promote ‘UAE Net Zero 2050’ as well as advanced technology to strengthen the local food production sector.
Meanwhile, EDB extended its commitment to provide our customers with AED 1 billion in the next 3-5 years as part of its tripartite agreement with Dubai Industrial City and MOIAT, and we are deepening our collaboration to advance the ‘Make it in the Emirates’ initiative under the ‘Operation 300bn’ strategy to locally manufacture products. Dubai Industrial City remains committed to supporting such strategic visions to empower its community of manufacturers for years to come.