Industrial sector contributes 10.7% to Abu Dhabi’s non-oil GDP in 2020

Abu Dhabi’s industrial sector contributed 10.7 per cent to non-oil GDP in 2020 and 6.3 per cent to overall GDP, according to the Industrial Activity Index Report for 2020.

The report, issued by the Industrial Development Bureau of Abu Dhabi Department of Economic Development, revealed that 51 industrial facilities started production last year with a total investment of Dh3.9 billion. Overall, 35 facilities went into production in Abu Dhabi, 11 in Al Ain and 5 in Al Dhafra, reflecting the growing role of the industrial sector in driving the emirate’s sustainable economic development. Metal, food and chemical, and equipment and machinery accounted for half of the new facilities.

Mohamed Ali Al Shorafa, Chairman, ADDED, underlined Abu Dhabi Government’s efforts to promote the role of the industrial sector as a key driver of sustainable economic development by enhancing foreign direct investment and by providing incentive packages.

Al Shorafa noted the new investments coming into Abu Dhabi despite the pandemic situation impacting economies and investments around the world, reflect investors’ confidence in the emirate. Several incentives, initiatives and advantages make Abu Dhabi a centre for attracting investments across the region.

About 283 industrial licenses were registered in the emirate, including 171 ‘industry pioneer’ licenses, 61 ‘under construction’ licenses and 51 ‘production’ licenses. The total industrial licenses in Abu Dhabi have now reached 1,694, including 839 facilities placed into production, 546 facilities under construction, and 309 industry pioneer licenses.

The report indicated that the total investment value for Abu Dhabi industrial facilities ‘under construction’ and ‘into production’, has amounted to over Dh553 billion during 2020, including Dh362 billion for the total of 839 industrial facilities that placed into production and Dh181 billion for about 546 industrial facilities under construction.

The report said the chemical industries constitute the highest investment value, reaching Dh211 billion, followed by energy and sustainability with Dh202 billion, construction and glass industries Dh44 billion, equipment and machinery Dh10 billion, food Dh8 billion and other industries around Dh6 billion.

There were 903 field visits done last year, including 638 periodic visits to follow up on industrial facilities’ compliance with industrial licensing requirements, 104 visits for technical modification to the licensed industrial activity, and 161 visits to follow up on the application of safe industrial production standards. — ashwani@khaleejtimes.com