Sheikh Mohammed inaugurates Dh5.5 billion Dubai Food Park
Dubai Park to be located in Dubai Wholesale City
Dubai unveiled plans for a Dh5.5 billion food business park to boost the emirate's competitiveness as the region's leading food re-export hub.
The Dubai Holding project, inaugurated by Sheikh Mohamed bin Rashid Al Maktoum, Vice President and Ruler of Dubai, aims to combine logistics and government services in a location that is close to both Jebel Ali Port and Al Maktoum International Airport, which will eventually serve more than 200 million passengers when fully operational.
“The development projects by Dubai Holding strongly support Dubai's economic diversification and are strategically designed to help ensure Dubai is well equipped for the future," said Abdulla Al Habbai, chairman of Dubai Holding. "This vision requires dedication and hard work, and a careful approach to planning and execution in line with the ambitious Vision of Dubai's leadership.”
Food trade makes up 11 per cent of the UAE's GDP and the food industry is forecast to grow by 70 per cent to Dh23 billion. The country imports about 85 per cent of its foodstuff needs, according to government statistics. The yearly current cost of importing food is about US$100bn and is set to rise more than four-fold to over $400bn by 2025 as the population grows, according to the Ministry of Economy.
The UAE is also the biggest re-export hub in the region, sending goods to GCC countries and farther afield in the Middle East and Africa. Imports account for between 80 and 90 per cent of food consumption in the GCC, where food self-sufficiency is unattainable because of the high temperature, low rainfall and scarce renewable freshwater sources.
Dubai Food Park, the first of its kind in the region, is being positioned as one-stop shop for the food sector and will aid with a comprehensive range of government services such as customs, clearance, licensing, food safety and supervision. It is located in Dubai Wholesale City and will occupy 48 million square feet, within 10 minutes drive from Al Maktoum International Airport and 15 minutes from Jebel Ali.
“Through the development of Dubai Food Park, we seek to provide an advanced infrastructure that meets the current and future needs of this robust sector," said Abdulla Belhoul, chief executive of Dubai Wholesale.
The project has been established to meet the growing demand from the food sector in the UAE and wider region, growing populations and the development of the tourism sector, Mr. Al Habbai said.
"There is an increased need for specialised logistical services that ease supply chain costs, as well as for more dedicated spaces to accommodate the fast-growing operations of food companies in Dubai.”
Updated: July 11, 2017 09:07 PM