Volvo Group Middle East inaugurates new distribution and training facility at Jebel Ali Free Zone
Volvo Group Middle East, a recently established subsidiary of Volvo Group which is one of the world’s leading providers of commercial transport solutions, today (Monday, March 20, 2006) inaugurated its newly-built facilities in Dubai--the Regional Parts Distribution Centre and the Regional Competence Development Centre—at Jebel Ali Free Zone.
The two centres were formally opened in the distinguished presence of the Ambassador of Sweden, Bruno S Beijer, Jamal Majid Bin Thaniah, Vice Chairman, Ports & Free Zone Authority and the Vice President Marketing, Jafza Hamza Al Haddad. The new facilities will help Volvo Group Middle East to strengthen supplies of spare parts, improve the competence of its retailers and importers, and allow the Group’s many divisions to operate from a single address in Dubai.
Welcoming the Volvo subsidiary, Jamal Majid Bin Thaniah said: “Volvo Group Middle East’s new facilities speak for the success of Jafza’s new plans for drawing more Fortune 500 and multinational companies to the free zone’s business-friendly environs, and help us to achieve our vision for the development of Dubai as the Middle East’s top destination for investment in industry, trade and commerce.”
“We have embarked on an expansion plan under which an additional 216 warehouses are being built on about 40 million square metres of land. This will house the assembly and light manufacturing companies in industries such as electronics, electrical/mechanical equipment, car assembly, primary materials, logistics activities and packaging, food and beverages that we hope to bring into the expanded South Zone,” he added.
Operations have already commenced at the new centres located on Volvo Group Middle East’s 47,500 square metre complex in Jebel Ali Free Zone. The Regional Parts Distribution Centre (RPDC) makes spare parts available to dealers of Volvo Trucks, Mack Trucks, Renault Trucks, Volvo Construction Equipment and Volvo Buses in 17 countries.
These include the GCC states of UAE, Saudi Arabia, Oman, Qatar, Kuwait and Bahrain, neighbouring Iran, Yemen, Iraq, Afghanistan and Pakistan, the Levantine countries of Lebanon, Jordan and Syria, besides Egypt, Ethiopia and Sudan in North Africa.
The RPDC spacious warehouse occupies 8,000 square metres of land and currently holds over 20,000 part numbers, of which 10,000 parts are for trucks and buses; 8000 parts for construction equipment; 2000 parts for Mack trucks and 200 parts for Renault trucks.
Srinivasan Muralidhar, General Manager, Volvo Group Middle East said: “Volvo sees a great advantage in setting up the Parts Distribution Centre at the Jebel Ali Free Zone, which as the region’s dynamic industrial hub, offers logistical support through its connectivity to regional ports, airports and the road network. This strategic location will allow the Centre to ensure better and speedier availability of parts. By greatly reducing supply times to key regional markets, the Centre will be able to improve customer service, decrease the amount of capital tied up in transit inventory and will help dealers to focus on growing their businesses.”
The RCDC has been set up to train the importer personnel who in turn will train local personnel. Competence coaching personnel will also be based at the 1800 square metre Centre, which is equipped with training rooms for vehicles/machines and components and can conduct training sessions for over 100 persons on any given day. A well laid-out first floor of the RCDC building will also house the representative offices of the Group divisions--Volvo Trucks, Volvo Construction Equipment and Volvo Buses.
A representative of Volvo further added: “Our goal is to equip our retailers and importers with the competence required to drive their business and to support our vision. Through a local presence, our Group’s Volvo Trucks, Volvo Construction Equipment and Volvo Buses divisions have decided to increase the focus on competence development within the region. We expect our joint efforts to generate synergies for our importers. A regional presence will also help to enhance our involvement in supporting and coaching our importers to develop local personnel.”
The Jebel Ali Free Zone accounts for nearly 80 per cent of Dubai’s free zone trade. In the two decades of its existence, JAFZ has emerged as the Middle East and North Africa (MENA) region’s leading business hub, attracting more than 5000 diverse companies from 120 countries to its customer-centric structure, tax-free incentives, personal and corporate tax holidays, 100 per cent foreign ownership, state-of-the-art infrastructure and its connectivity with major ports, airports and other industrial clusters.