- March 5, 2021
- Posted by: Sandeep
- Category: Business & Economy

Abu Dhabi’s Industrial Sector a Major Contributor towards Non-Oil GDP
The report, issued by the Industrial Development Bureau of Abu Dhabi Department of Economic Development revealed that Abu Dhabi’s industrial sector contributed to approximately 10.7% of the non-oil GDP and 6.3% to the overall GDP for the year 2020. More than 51 industrial facilities started their production last year in UAE, which had a total investment of AED 4 billion (USD 1 billion). More than 35 of these facilities went into production in Abu Dhabi, while 11 in Al Ain and 5 in Al Dharfa. The rise in industrial facilities in UAE, especially in Abu Dhabi, reflects the growing role of the industrial sector in driving the emirate’s sustainable economic development. Metal, food, chemicals, equipment and machinery accounted for more than 50% of the new facilities.
Major Industrial Facilities in Abu Dhabi Comprises of:
- Metal
- Food
- Chemicals
- Equipment
- Machinery
Abu Dhabi Government has taken measures to promote the role of the industrial sector as a key driver of sustainable economic development. Some of the major factors that they focused on are enhancing Foreign Direct Investment (FDI) and by providing incentive packages for the business operating in the sector. Despite the pandemic situation impacting economies and investments around the world, Abu Dhabi has seen a streamlined investments from the FDI during the year 2020. This reflects investors’ confidence in the Emirate. Several incentives, initiatives and advantages make Abu Dhabi a centre for attracting investments across the region.
Abu Dhabi Industrial Sector – Performance
More than 283 industrial licenses were registered in Abu Dhabi, among which 171 were ‘industry pioneer’ licenses, 61 were ‘under construction’ licenses and 51 ‘production’ licenses. The total industrial licenses in Abu Dhabi reached 1,694, for the year 2020 with the overall value estimated to be AED 553 billion (USD 145 billion), including licenses to 839 facilities that were already under production, with an estimated value of AED 362 billion (USD 98.5 billion), 546 facilities which were under construction with an estimated value of AED 181 billion (USD 49.2 billion) and 309 industry pioneer licenses.
Chemical industries constitute the highest investment value, reaching AED 211 billion (USD 57.5 billion), followed by energy and sustainability with AED 202 billion (USD 55 billion), construction and glass industries AED 44 billion (USD 12 billion), equipment and machinery AED 10 billion (USD 2.7 billion), food AED 8 billion (USD 2 billion) and other industries around AED 6 billion. (USD 1.6 billion)
Investment Opportunities in Abu Dhabi Industrial Sector
Over the past 15 years, Abu Dhabi has invested more than AED 51 billion (USD 14 billion) to establish robust industrial infrastructure. It continues to be a key contributor to GDP and major contributor to diversification strategy, moving away from oil and gas based growth. The sector benefits from consistent commitment from the Abu Dhabi Government in line with the Abu Dhabi Economic Vision 2030, and offers businesses cutting edge facilities supporting advanced manufacturing techniques. These provide significant investment opportunities in the Abu Dhabi Industrial Sector.
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