Capital's 'Kizad' free zone fires interest

Industry Insights Forum: Abu Dhabi Ports Company is seeing strong interest in industrial firms looking to set up facilities at its Khalifa Industrial Zone of Abu Dhabi (Kizad) project in Taweelah - with video.

Left to right: Abu Dhabi Ports Company officials Khaled Salmeen, the executive vice president of industrial zones, Tony Douglas, the chief executive, and Capt Mohamed al Shamsi, the vice president at ports, at yesterday's forum.
Powered by automated translation

More than 100 companies have applied to set up operations at a new free zone in Abu Dhabi since marketing of the huge project began five months ago.

Industry Insights Forum: In-depth coverage and video reports on Kizad

Last Updated: May 03, 2011

Abu Dhabi's future economy takes shape at free zone The planned Khalifa Industrial Zone of Abu Dhabi, a huge infrastructure project combining onshore manufacturing and a port, is designed to be a major plank in the emirate's diversification of its economy away from oil and gas. Read article

Kizad's key players talk numbers Khalifa Industrial Zone of Abu Dhabi's major players put the project into perspective. Read article

Khalifa Port will help take strain of rise in shipments Mina Zayed Port and Musaffah ports are expected to handle 30 per cent more shipments this year. Read article

Abu Dhabi's huge venture to bring in $40bn Kizad is set to play a central role in transforming Abu Dhabi's economy from a reliance on hydrocarbons Read article

Khalifa Industrial Zone of Abu Dhabi (Kizad), a Dh26.5 billion (US$7.21bn) industrial park and ports project in Taweelah that covers an area four times larger than Abu Dhabi Island, is scheduled to open at the end of next year.

It will mark a new chapter in the industrialisation of the emirate, offering tenants 100 per cent foreign ownership in an industrial zone for the first time.

"We have received applications in the triple digits and as such we have processed a huge number of those in terms of offers and signing agreements," Khaled Salmeen, the executive vice president of industrial zones at Abu Dhabi Ports Company (ADPC), told The National's Industry Insights forum yesterday. The company has also signed preliminary approvals with more than 25 companies and hopes to announce the first wave of industrial tenants in the second half of this year.

Kizad, near the border with Dubai, is Abu Dhabi's largest infrastructure project to date. Its funding commitments until the end of next year stand at Dh26.5bn for the 51 square km first phase of development, including industrial space and an offshore port.

The entire project is expected to generate tens of thousands of jobs and cover almost 420 sq km over the coming years as industrial companies invest in steel, aluminium, plastics, construction, food, glass, paper and pharmaceuticals.

Its largest tenant to date is Emirates Aluminium (Emal), which has been operating a smelter on the premises since December 2009.

ADPC has received more than 30 applications for companies in the aluminium industry wanting to set up at plots around Emal, including downstream producers such as rolling mills.

Mr Salmeen said some of the greatest interest had been from companies looking to set up at Kizad's aluminium and logistics zones.

"We do have double-digit [application] numbers in steel and engineered metal products, and a few in chemicals and petrochemicals," he said.

It has had more than 10 applications each from companies in the food and construction industries, several proposals from paper-products companies, and has signed a preliminary agreement with a glass maker, Mr Salmeen said.

ADPC is halfway through a six-nation international roadshow, after touring the US, UK and Germany this year. Its visit to Germany coincided with the Hannover Messe trade show and included more than 180 meetings in five days.

This month, ADPC officials are due to travel to India and South Korea, followed by China next month.