Abu Dhabi’s industrial sector sees 51 percent rise in licenses in 2023

Abu Dhabi's industrial strategy drives growth and diversification in the sector
Abu Dhabi’s industrial sector sees 51 percent rise in licenses in 2023
In 2023, 46 foreign firms participated in 15 different industrial activities

Abu Dhabi is experiencing a significant surge in its industrial sector. The Abu Dhabi Chamber recently revealed that the number of industrial licenses in the emirate, excluding free zones, saw a 51 percent increase to 363 by the end of 2023. This surge in industrial licenses signals Abu Dhabi’s emergence as an industrial powerhouse in the region.

Moreover, the launch of the Abu Dhabi Industrial Strategy has further supported the transformation of the industrial sector. The strategy is championed by Sheikh Khaled bin Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Chairman of the Abu Dhabi Executive Council. The strategy aims to expand Abu Dhabi’s industrial sector and increase its contribution to the gross domestic product. The strategy also aims to double the size of the manufacturing sector to AED172 billion and create 13,600 skilled jobs. Moreover, it seeks to increase Abu Dhabi’s non-oil exports by 143 percent to AED178.8 billion by 2031.

Furthermore, it aims to improve the UAE’s ranking in global industrial competitiveness indicators. Notably, the UAE ranks first in the region on the UNIDO Competitive Industrial Performance Index and 29th globally.

Foreign participation

The Abu Dhabi Chamber’s statistics reveal a growing presence of foreign companies in the emirate’s industrial sector. In 2023, 46 foreign firms participated in 15 different industrial activities, further supporting Abu Dhabi’s industrial sector. Thirteen foreign companies operated in mining support services. Meanwhile, the manufacturing sector and basic metals sector saw significant foreign participation with five and four companies, respectively.

This diverse participation underscores Abu Dhabi’s attractiveness for industrial investments and its commitment to fostering a conducive business environment.

Read: UAE industrial exports surge to $50.9 billion in 2023, marking 61 percent growth

Diverse industrial activities

Abu Dhabi’s industrial sector encompasses a wide range of activities. This includes the manufacturing of wood products, paper, rubber, plastics and fabricated metal products. Additionally, the sector includes services such as waste management, beverage manufacturing, machinery production, and electricity and water supply. This diversity underscores Abu Dhabi’s comprehensive approach to industrial development and its commitment to fostering innovation and growth.

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