Busy days in store for UAE construction sector

dubai - Rise in soil testing frequency means more projects are getting off the ground

An uptick in soil testing frequency indicates that the construction sector in the UAE will remain buoyant even as the value of total projects under construction or in various stages of planning in the GCC hit $2 trillion.

According to a top official of Geoscience Testing Laboratory (GTL), a subsidiary of Prime, the region's leading quality and compliance solutions provider, the UAE construction market is forecast to grow by 6.6 per cent in 2016.

Mary Jane Alvero Al Mahdi, the chief executive officer of GTL, said, quoting BMI Research, the value of the UAE's construction industry is set to reach Dh181 billion in 2017 from about Dh162 billion this year. It also predicts an average annual growth of more than six per cent for the following three years.

A Meed report puts the value of construction projects planned for the Gulf region at $2 trillion, with Saudi Arabia and the UAE topping the chart.

Al Mahdi also ruled out investor concerns of stalled projects in the UAE being at the risk of material corrosion.

"There is an increase in frequency of soil testing than before, which indicates that a number of projects are either in the planning stage, or on the verge of being developed," said Al Mahdi.

Soil investigation is the first part of construction as it sets up the platform for the design of a project.

"One needs to know the strata of the soil and only then the load bearing capacity of a structure can be designed. We understand from our experience that an increase in soil testing frequencies indicates that developers are serious about the project and plan to go ahead with it," said Al Mahdi.

Driven by the boom in the construction sector, GTL reported a 15 per cent increase in net revenue in 2015, 60 per cent of which was from their construction projects.

"We are already seeing positive impact in our business. Before a building is constructed or a swimming pool and fountain is set up, we will have to first conduct environmental testing and ensure that these projects pass the air, water and soil standards. They have to be free from any contamination," Al Mahdi said.

GTL currently has 200 projects in its construction division and is expecting an increase in volume of proposals and work orders from Dubai and Abu Dhabi.

"If the materials from the very beginning comply with the requirements, then nothing obstructive will happen. In the UAE, there are set specifications. And reputed institutions, like us, do check these materials to ensure the quality. Besides, contractors use anti-corrosion inhibitors to protect these structures," she said.

The construction material division carries out tests as per international standards and specifications with core services offered including testing of soil, aggregates and rock, concrete, steel products, asphalt, cement, water and geosynthetics.

- issacjohn@khaleejtimes.com