UAE investors foresee infrastructure construction opportunities in Lebanon
Some industry experts are predicting that in light of recent current events which have left Lebanon in dire need of reconstruction projects, some sectors in the UAE may be affected.
Khalid Maniar, managing partner of Dubai-based chartered certified accountants Agn Mak, said that local companies could benefit from Lebanon's future re-building by supplying skilled construction labor needed to work on complex infrastructure and property reconstruction projects, according to Gulf News.
The possible participation of UAE firms saw a recent rally on the Abu Dhabi market, with cement companies alone accounting for Dh31 million worth of transactions in the market following the ceasefire earlier this week.
The trend follows soaring cement prices earlier this year, followed by fears of over-supply and a price crash, encouraging suppliers to offload stock.
UAE companies such as Union Cement, Gulf Cement and Ras Al Kaimah Cement generally focus on local markets. However, some experts predict that resources pulled from other parts of the Gulf will create gaps in current demand for cement which could be filled by local companies.
Others, however, feel that such a scenario is not likely. Mike Richardson, general manager of Ras Al Khaimah Cement, said any benefit to the company from a possible re-construction of Lebanon would be "extremely indirect".
"I do not envisage our cement going to Lebanon. We supply to the UAE market and to Iraq on a small scale and we are already at full production," he said.