|
Listen to this article
 |
In a monumental development for Ras Al Khaimah’s industrial sector, His Highness Sheikh Saud bin Saqr Al Qasimi, UAE Supreme Council Member and Ruler of Ras Al Khaimah, recently presided over the official lease signing ceremony between the Shandong Timber and Wood Products Association (STWPA) and Ras Al Khaimah Economic Zone (RAKEZ). This pivotal agreement marks a significant expansion in the emirate’s industrial landscape with the establishment of the Zhong A Shandong Industrial Park.
Investment and Expansion Plans for Zhong A Shandong Industrial Park
The Zhong A Shandong Industrial Park, with an initial investment of USD 360 million, is set to transform the industrial scene in Ras Al Khaimah. The project’s first phase will cover over 450,000 square meters across Al Ghail and Al Hulaila within RAKEZ. The park’s footprint is expected to expand to over 1 million square meters in Al Ghail over the next three years, showcasing a major commitment to industrial growth.
Upon completion, this ambitious project is projected to attract more than 60 new companies specializing in sectors such as wood processing and food and beverage production. The park will generate over 3,500 new jobs within five years, underlining its significant contribution to the local economy.
Global Presence of Shandong Timber and Wood Products Association
STWPA, renowned for its global influence, operates similar industrial setups across China, Indonesia, and Ethiopia. The association supports over 1,700 wood companies worldwide, accounting for 10% of the global wooden furniture production, with an annual output valued at USD 55 billion. This extensive experience positions STWPA as a crucial player in Ras Al Khaimah’s industrial expansion.
Strategic Importance of RAKEZ and Its Role in the Park’s Development
RAKEZ, a key regional economic hub, is instrumental in facilitating this development. RAKEZ aims to bolster Ras Al Khaimah’s manufacturing sector by providing ready infrastructure and support for Chinese investors. The zone has already seen interest from food and beverage and plywood manufacturers, illustrating its growing appeal as a prime investment destination.
Ramy Jallad, Group CEO of RAKEZ, emphasized the strategic significance of the Zhong A Shandong Industrial Park. He stated, “The establishment of Zhong A Shandong Industrial Park is a strategic milestone indicative of our efforts to amplify Ras Al Khaimah’s economic landscape through international partnerships. With nearly 30% of the emirate’s economy driven by manufacturing activities, we are excited about the additional value and economic vibrancy this park will bring about.”
Jallad also highlighted the enhanced ties with China, noting that this project aligns with RAKEZ’s mission to provide a nurturing environment for international investors. He further elaborated on RAKEZ’s role in facilitating access to the thriving MENA markets, underscoring the growing interest from global investors.
The UAE’s Role in Global Trade and Investment
The UAE plays a pivotal role in China’s global trade strategy. As China’s largest trade partner in the Arab region, the UAE facilitates the re-export of approximately 60% of Chinese trade to over 400 cities across the MENA region. This strategic positioning underscores the UAE’s rapid ascent in foreign direct investment (FDI) league tables, affirming its status as a preferred location for international investment.
The UAE’s commitment to enhancing its trade and investment environment is further demonstrated by its growing number of international trade agreements. These agreements create a robust foundation for global companies to establish manufacturing operations within the UAE, contributing to its favorable investment climate.
RAKEZ’s Engagement with Chinese Businesses
Recognizing the importance of Chinese businesses in diversifying Ras Al Khaimah’s industrial base, RAKEZ actively engages with Chinese entrepreneurs, government officials, and media representatives. Through strategic meetings, roadshows in Chinese cities, and regular hosting of Chinese delegations, RAKEZ fosters a thriving environment for business and investment.
These efforts have attracted over 200 Chinese companies to RAKEZ, spanning various sectors, including recycling, LED lighting, engineering, and packaging. This diverse portfolio of industries highlights RAKEZ’s success in cultivating an attractive investment landscape for international businesses.
The Future of Zhong A Shandong Industrial Park
The Zhong A Shandong Industrial Park represents a forward-looking initiative that aligns with Ras Al Khaimah’s vision for industrial growth and economic diversification. By attracting global players like STWPA and supporting the establishment of new businesses, the park will play a crucial role in shaping the emirate’s industrial future.
As the park progresses through its development phases, it will continue to offer valuable opportunities for investment and job creation. Its impact on the local economy will be substantial, reinforcing Ras Al Khaimah’s position as a leading hub for industrial and economic activity in the region.
Conclusion
The lease signing ceremony for the Zhong A Shandong Industrial Park is a testament to the strategic partnerships between Ras Al Khaimah and international investors. With significant investments, expansive growth plans, and a focus on creating new job opportunities, this project marks a pivotal moment in the emirate’s industrial expansion. As Ras Al Khaimah continues to attract global businesses and strengthen its economic landscape, the Zhong A Shandong Industrial Park will be a cornerstone of its success.
