Badami: construction boom spurs growth

A-MAP, the UAE-based distributor of automotive spare parts has reported battery unit sales of nearly Dh5 million ($1.3 million) to the regional construction industry and its associated sectors in the first half of this year.

A-Map, which operates a network of branch offices in Asia, Africa and North America, says that sales of Solite batteries – the original equipment manufacturer (OEM) for automotive batteries in both Hyundai and Kia vehicles, and for which A-Map is the region’s exclusive distributor – has been responsible for its fleet and corporate department growing by 70 per cent over the first half of 2013.

The rocketing sales of vehicle batteries is something that the organisation attributes to two phenomena; the GCC governments’ plans to invest $1 trillion to develop their infrastructure and the expansion of the fleet car market in the UAE.

“The incredible growth of our fleet and corporate department that has been undertaken over the period of just one year is a direct result of both the booming construction sector in the GCC, particularly the UAE, Qatar and Saudi Arabia, and the increased sales of cars to UAE fleet operators,” said Asad Badami, managing director of A-Map.

Badami revealed that the burgeoning construction sector is creating an increased demand for power units from operators of heavy plant machinery that is essential for the blueprinted projects earmarked for the region. According to a recent report by Deloitte, the professional services firm, these projects include the estimated $400 billion plans to build schools, houses, universities, a new railway infrastructure, airport extensions and road improvements in Saudi Arabia, as well as the on-going development in Qatar to ready the country for their hosting of the 2022 FIFA World Cup.

“Over the past 12 months we have secured some important new contracts with major players within the construction, recycling and genset industries to supply batteries for their heavy equipment,” said Badami.

These include 20 top-tier companies including Al Faris Rental, one of the region’s biggest heavy equipment rental companies, and Beaah, the Middle East’s award-winning fully integrated environment and waste management company, as well as Byrne, Speedy, DP World, S.S Lootah, Dutco and Averda among others.

“The growing fleet car market is reflective of greater confidence in the regional economy. Larger companies are now happy to put money into fleet cars to service their respective businesses and the tourism trend is up, meaning that taxis are vital to ferry visitors to the UAE around,” concluded Badami.