The Dubai Export Development Corporation (EDC), an agency of the Dubai Department of Economic Development, Government of Dubai, revealed that the value of top plastic films exported by Dubai (Polypropylene, PET,PVC) in 2009 edged about AED 304 Million, according to its Plastics Films, Production and Export Capabilities Report for 2010.
Polypropylene, Dubai's top plastic films' export commodity, has seen steady growth in direct trade since 2004 despite a sharp decline in both, imports and exports in 2009.It is noteworthy that exports substantially exceeded imports edging AED 212 Million in 2009. Re-exports, however, indicated a gradual increase during 2009-2008. The annual average of Polypropylene Free Zone trade is valued at relatively less than direct trade.
Chief Executive Officer of EDC, Engineer Saed Al Awadi commented on the figures reported, "Dubai has experienced exceptional growth in the trade of, not only plastic, but a diverse range of commodities, owing to its central geographical location, impeccable quality products and keen business sense. EDC is continually encouraging local exporters to use these to their advantage and aim for a wider reach and an international customer base."
Target export destinations of Polypropylene included major regional markets such as Egypt, India and Pakistan, with shares between AED 20 Million and AED 35 Million, and distant countries like Italy and Brazil. Main sources of imports were the neighbouring India and Oman. Re-exports were made largely to Pakistan, and Free Zone trade of smaller value were carried out with some regional and European nations.
Unlike other plastic films, PET trade saw a substantial rise with both, imports and exports, touching AED 70 Million during 2009, following a sharp increase in trade volumes since 2006. Free Zone trade was minimal, with a high fluctuation rate.
The top destination of PET films direct exports in 2009 was Egypt, other destinations include Europe, Africa,, USA and Japan, whereas Japan was the top supplier to Dubai. Re-exports were made to regional destinations, largely Iran and Pakistan and Free Zone trade was also primarily regional.
Direct trade in Polymers of Vinyl Chloride was medium, compared to other plastic films. During 2008, imports touched a maximum of AED 90 Million, exports AED 50 Million and re-exports totalled less than AED 10 Million per year between 2003 and 2008. Free Zone trade saw a decline in 2009.
Though Polyethylene exports remained less than 2 Million AED per year during 2000-2009, imports, however edged 10 Million AED in 2008 falling to only 7 Million AED in 2009, indicating an opportunity for import substitution.
Plastic films find promising markets in Europe .In 2008 EU Polypropylene imports registered more than 4 Billion US$ and PET edged 2 Billion US$. There also small but growing markets for these two products in Africa and Asia
According to the Industrial Marketing Intelligence (IMI) database, created by the Gulf Organization for Industrial Consulting (GOIC), Dubai is home to 66 manufacturing units in the sector of plastic sheets, films, plates etc, that have a total investment of AED 257 Million, and employment strength of around 2,800.
