Dubai-GCC exports booming
The export and re-export sector in Dubai with other GCC countries rose by 51 per cent in 2012. Saudi Arabia proved to be the largest export market for Dubai, a study released yesterday by Dubai Chamber of Commerce and Industry said.
Exports and re-exports of the Dubai-Chamber members to GCC countries reached a total of Dh136.7 billion last year. This marked a 51 per cent growth when compared to 2011.
Saudi Arabia value of Dubai exports was clocked at Dh71.6 billion, accounting for 27 per cent of the total value of Dubai exports and 52 per cent of the total export to the GCC region. “As we see a promising opportunities in Saudi market, Dubai Chamber will set up its representative office in Saudi Arabia soon this year to promote the businesses between the two countries,” said Hamad Bu Amim, Director General of Dubai Chamber.
Irfan Al Hassani, a UAE based economist, said, that proximity and ease of movement of goods within the GCC had made the GCC countries the busiest export and re-export destinations for Dubai Chamber members. “In addition to the increasing demand, the location of Dubai as a main business hub in the GCC as well as the government’s friendly policies and regulations for trading across borders all together have led to this energetic trade flow.”
Exports to Qatar and Oman had actually expanded at higher rates of 26 per cent and 35 per cent respectively. However, the study showed that the respective values were much lower at Dh20.2 billion and Dh10.2 billion. Double-digit growths were also noted for exports to Kuwait at 17 per cent to Dh17.2 billion; and to Bahrain 11 per cent to Dh3.4 billion.
Meanwhile, trade between companies inside Dubai’s customs territory and those in the free zones and duty shops of the UAE narrowed by four per cent to Dh13.7 billion, the report said.
The study also highlighted that despite the downturn in export to Egypt during the period of unrest, demand immediately recovered and even expanded with the conflict resolution. This is reflected in the annual growth of 34 per cent in Dubai Chamber members’ exports to the country, with the value increasing from Dh4.4 billion in 2011 to Dh5.9 billion in 2012. Similarly, exports to Libya expanded considerably following the conflict resolution; growing by 279 per cent to reach Dh4.2 billion in 2012.
- From the best of both worlds, to the worst of both worlds: Canadian citizenship no longer a 'piece of cake' for GCC expats
- Jumping on the IMF's bandwagon: Kuwait quietly embarks on subsidy-slashing journey
- Even the numbers are on the feminist side: companies with females in top management yield higher returns
- Kingdom in debt, Kingdom in danger: Saudi Arabia's pending deficit raises frightening possibilities
- 'Dead aid': is there any hope left for South Sudan's economy?