UAE-Germany trade set to grow 10%, hit Dh66 billion in 2016

dubai - German exports to the UAE saw a 15 per cent increase in 2015

Trade between the UAE and Germany is set to grow 10 per cent year on year in 2016 to reach an estimated Dh66.11 billion, it was revealed.

The Abu Dhabi Department of Economic Development, or Added, recently organised an introductory forum about the European market, which was attended by representatives of a European Union (EU) delegation in the UAE, the Abu Dhabi Quality and Conformity Council, the German-Emirati Joint Council for Industry and Commerce and National Health Insurance Company.

The forum aimed to shed light on the size of trade and investment in the joint market of the EU - a 500 million consumer market that is considered the world's biggest joint market, and the most open to developing countries.

Dr Dalia Abu Samra-Rohte, deputy CEO of the German-Emirati Joint Council, said the UAE is the first trade partner with Germany in terms of exports to the Middle East and North Africa region, as German exports to the UAE have seen a 15 per cent increase in 2015 compared to the previous year.

"The size of the trade exchange between the two countries and its steady growth reflects the success of the medium- and long-term strategy between the two countries and the strong will for more joint investments at the present," Dr Abu Samra-Rohte said.

She said German exports to the UAE have the lion's share of this exchange, valued at 83 per cent or Dh55 billion, which makes the UAE one of the most important partners for the German economy. UAE exports to Germany, meanwhile, reached Dh11 billion.

Dr Adeeb Al Afifi, director of Added's foreign trade and export support, said the significance of the EU market for Abu Dhabi stems from the fact that European countries have had the highest contribution in the gross direct foreign investment in the emirate in 2014, with about 40.7 per cent of the total direct foreign investment in the emirate.

"The Added's foreign trade and export support directorate offers local businessmen and investors the service of directing exports, which facilitates access to information about export to global markets, thus helping exporting organisations or potential exporters to take the right decisions in collaboration with governmental departments," Al Afifi noted.

He said this forum, which has drawn participation from a number of exporting firms in Abu Dhabi, is the first in a series of introductory forums and workshops to be organised by Added in 2016 to acquaint local businesses with global markets. Subsequent forums will cover other markets with high potential for exports and investment.

In the forum, Dr Wolfgang Penzias, trade counsellor of the EU delegation to the UAE, gave a presentation on the European market and the key benefits offered to companies and economic partners in a transparent regulatory environment and a safe investment-driven legal framework.

"The policy of the EU aims to open new markets for exporters, labourers and investors through trade agreements to reduce custom tariffs and eliminate other obstacles. The EU tries to maintain the global trade system and to make sure that this system can cope with an ever-changing world," Penzias added.

- haseeb@khaleejtimes.com