ABU DHABI, 27th January, 2022 (WAM) -- The UAE has successfully enhanced the growth and development of the industrial sector, with the Ministry of Industry and Advanced Technology overseeing a historic rise in industrial exports from the UAE to foreign markets, which totaled approximately AED120 billion (around US$33 billion) in 2021.
During the Federal National Council session, addressing the development of the UAE's industrial sector, Dr. Sultan bin Ahmed Al Jaber, Minister of Industry and Advanced Technology, was joined by Sarah bint Yousif Al Amiri, Minister of State for Advanced Technology.
"The ministry's achievements within just a year of its establishment speaks volumes of the team's efforts to support and enhance the industrial sector in the UAE, as well as boost the roles of startups and entrepreneurs, SMEs, and large players," Al Jaber said.
He also announced that the significant increase in the UAE's industrial exports coincided with a major surge in factories commencing production in 2021, with 220 new facilities going into service. These facilities benefited from the UAE's comprehensive National Strategy for Industry and Advanced Technology, which aims to boost the industrial sector's contribution to the GDP from AED133 billion to AED300 billion by 2031.
Highlighting the National In-Country Value (ICV) Programme, Al Jaber revealed that it has succeeded in circulating AED41 billion (US$11 billion) back into the local market, further promoting local companies. Moreover, 45 public entities and 13 major national institutions and companies joined the National ICV Programme.
"The Ministry also launched the UAE Industry 4.0 programme to accelerate the adoption of advanced technology, boosting productivity, competitiveness, and efficiency. We also launched several major initiatives and projects which aim to support startups, entrepreneurs, and SMEs. Moreover, we announced the Emirates Development Bank's strategy, which is the financial enabler of MoIAT's strategy, as well as a competitive financing initiative for priority industries," he added.
In 2021, we assessed 104 companies as part of the Smart Industry Readiness Index plan to assess 200 companies by mid-2022.
He noted the establishment of the Industry Development Council to oversee the implementation and progress of the National Strategy for Industry and Advanced Technology. The past year also witnessed the establishment of the Emirates Research and Development Council, which will play an active role in governing expenditure, redirecting it towards national priorities, and setting up a centralised reference for decision-making.
In coordination with Etihad Credit Insurance, a set of financing initiatives for UAE exports to global markets, loan repayment guarantees for SMEs, and programmes to secure intellectual property rights for start-ups are being provided.
The Ministry of Industry and Advanced Technology has adopted pillars, including advanced technology, standards and metrology, national in-country value, building on sectors with competitive advantages such as heavy industries and chemicals, as well as focusing on vital industrial sectors such as agricultural technology and pharmaceuticals, as well as creating a competitive environment for future industries such as hydrogen and space.
Collectively, these factors have helped the UAE achieve a quantum leap in the Competitive Industrial Performance Index issued annually by the United Nations Industrial Development Organisation (UNIDO), rising five places globally from 35th to 30th in 2021.