Danube invests AED 50 million in a new facility in Ajman
Company’s expansion aimed at leveraging rising demand for building materials in the Gulf
Danube Building Materials, a leading player in the construction, interior decoration and shop-fitting industry, has announced its plans to invest AED 50 million in the construction of a new facility in Ajman, which is set to commence its large-scale operations in three months. With aims of increasing its production volume to address the mounting building material requirements in the Gulf region, the new facility is expected to supply high quality construction materials to major profile projects in the emirate, including Emirates Commercial City, Ajman Eye City, Al Helio Downtown, Al Zorah Beach project, Marmouka City, Wafi City and Ajman International Airport, along with other projects in UAE.
As the demand for grade ‘A’ building materials continues to drive-up regional construction costs, which have risen by about 30 per cent in the past 12 months, Danube has recognised the need to establish a new hub to add to its factories in China, Bahrain and the UAE. The new plant will span 120,000 sq.ft. in Ajman’s Al Jarf area, where high quality wood, laminates, multi-density fibreboards (MDF), steel, aluminium, glass, hardware and sanitary solutions, low to high - end flooring, ceiling, doors and kitchen fixtures will be manufactured in bulk.
“Our expansion into Ajman, which closely follows the recent launch of our plant in China, is a testament to the rapid growth pace at which we are moving at to leverage the booming construction market in the region,” said Rizwan Sajan, Chairman, Danube Building Materials. “The fact that Danube is the first company to establish a dedicated facility for top grade construction materials to service the many multi-billion Dirham projects planned for Ajman reflects our confidence in this emirate, and highlights our commitment to supporting the growth of the regional market.”
Danube has identified Ajman as an ideal location for its new facility due to the massive infrastructural developments being undertaken in the emirate, in addition to its conveniently accessible location. As a result, total investment in Ajman real estate has crossed the AED 400 billion mark in 2007, with the launch of multimillion dirham waterfront ventures, high-end commercial projects and budget residential houses strengthening its repute as the newest real estate destination in the UAE. The company is also targeting the growing number of high profile projects that are being constructed in Ajman, which will largely benefit from the availability of high quality building materials within close proximity to the construction site.
“The burgeoning opportunities in Ajman have motivated us to undertake this massive investment, which we expect to mirror the success of the emirate especially in the real estate front. With the current economic uptrend across the region, we are gearing up to develop and offer more top-quality products and further expand our operations,” concluded Sajan.
Danube is one of the largest building suppliers in the UAE and the region with an extensive portfolio of 10,000 selections ranging from MDF, plywood, timber, laminates, veneers to sanitary fittings, hardware, ironmongery, aluminum and glass among others. In 2004, the company began its operations in Jebel Ali with a 19,000-square metre warehouse cum office, which serves as its regional hub and caters to booming markets in UAE, Oman, Bahrain and India.
