Dubai records 36pc trade growth in ’05

DUBAI — Reinforcing its reputation as the trading hub of the Middle East, Dubai has achieved a 36 per cent growth in trade during 2005.

By A Staff Reporter

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Published: Mon 26 Jun 2006, 10:49 AM

Last updated: Sat 4 Apr 2015, 1:12 PM

According to trade traffic statistics compiled by the Statistics Department of Dubai Ports, Customs and Free Zones (PCFC), total trade through the emirate surged to Dh480 billion during the year as compared to Dh351 billion in 2004.

The compounded average growth rate between 2000 and 2005 has also recorded significant 194 per cent growth. In 2005, direct trade grew 30 per cent to reach Dh280 billion, free zone trade increased 47 per cent to Dh178 billion, and customs warehouse trade grew 49 per cent to Dh21 billion.

Total imports increased from Dh229.8 billion in 2004 to Dh308.3 billion in 2005, while exports jumped from Dh64.5 billion to Dh92.4 billion during the same period. Re-exports increased from Dh57 billion in 2004 to Dh78.8 billion in 2005.

The significant growth in trade reflects the overall growth of Dubai and the UAE, and signals the country's arrival as one of the major trading nations in the region. The figures also indicate that Dubai has further enhanced its reputation as a major re-export hub, with re-exports recording a 38 per cent year-on-year growth.

The remarkable surge in exports also point to increased activity in the manufacturing sector in the UAE, especially in the free zones.

Machinery, electrical and electronics equipment formed the bulk of total imports with a 23.7 per cent share, followed by semi-precious and precious stones and metals and imitation jewellery at 23.6 per cent. Vehicles, aircraft and transport equipment accounted for 11.4 per cent of imports, with other products combining to make up the remaining 41 per cent.

Base metals and products made from it comprised the majority of total exports with a 29 per cent share, followed by prepared foodstuffs and mineral products at 17.4 per cent and 6.5 per cent respectively. Other miscellaneous products together formed the remaining 46 per cent.

In re-exports, semi-precious and precious stones, metals and imitation jewellery commanded a 33.9 per cent share. Machinery, electrical and electronics equipment had a 26.5 per cent in total re-exports while vehicles, aircraft and transport equipment had a 9.4 per cent share.

India replaced China as Dubai's leading trading partner in 2005. Total imports from India last year were worth Dh24 billion, with China coming next at Dh22 billion, followed by the USA, UK and Japan. India also constituted Dubai's largest export market with total exports of Dh881 million, ahead of Pakistan which accounted for exports worth Dh833 million. Kuwait, USA and Iran rounded out the list of Dubai's top five export markets.

India also maintained its position atop the list of top re-export destinations. Total value of re-exports to India in 2005 was pegged at Dh18 billion, while re-exports to Iran amounted to Dh11.8 billion.

Iraq, Switzerland and the Netherlands followed next with Dh5.4 billion, Dh3.6 billion and Dh2.9 billion respectively.

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