Dubai: Dubai Industrial City has completed the infrastructure of about 30 per cent of its area after investing Dh588 million in the projects over the past four years, it said in a statement to Gulf News.
Power, water, sewage, irrigation and telecom systems are now up and running on 15 square kilometres out of the total 55 square km that the City is spread over, the statement said.
In an interview with Gulf News, Abdullah Bel Houl, managing director of the City, said investments in buildings and construction ranges from Dh600 million to Dh700 million.
The City expects to see ten to 15 per cent growth in 2012 as industrial real estate picks up, investors seek Dubai for its safe haven status amid political turmoil in the region and the fast-growing food and beverage sector in the UAE expands further, he said.
Industries make up just 20 per cent of the City, he said. Of its 500 investors, 150 are industries and 350 are units such as warehouses, labour camps and offices.
In 2012, the City is expecting investments of Dh180 million from three companies — local pipe manufacturers Gulf Eternit, perfumer Rasasi, and Caparol Paints who will collectively occupy about 3.3 million square feet, Bel Houl said.
The manufacturing sector could account for ten to 13 per cent of GDP next year based on the number of inquiries the City receives from industrial investors, the potential of the market and the growing food and beverage sector, he said.
Dubai Industrial City offers incentives to investors who could see up to a 20 per cent reduction in indirect or operational costs when setting up there, Bel Houl added.
Infrastructure projects in the City are going on to create a “comprehensive industrial base” in Dubai, a statement from the City said.
“We expect the present project, which is part of a larger one covering the City, to cope with future demand and growth of the destination,” Bel Houl added.
To date, over 40km of new roads have also been laid as part of the infrastructural work. The road network seamlessly connects Dubai Industrial City’s six dedicated clusters — food and beverage, base metal, mineral products, chemicals, transport equipment and parts, and machinery and mechanical equipment.
Also, over 139km of water lines, 189km of telecom ducts, 91km of drainage lines, 80km of sewers as well as 53km of irrigation lines have been laid.
Additionally, construction of a direct access roundabout on Emirates Road near the entrance to the City has begun.
The roundabout, which is being constructed in association with the Dubai Roads and Transport Authority, will facilitate both civilian and commercial traffic into and around the industrial destination.