November 2018

Gulf Industry Magazine helps you catch up with the numbers behind economic and industrial developments in the region.

Saudi ports’ cargo volume up 2.18pc

THE total tonnage of cargo volume handled by Saudi Arabia’s ports during September reached 22.29 million tonnes, marking a 2.18 per cent increase over the same period last year, according to data released by Saudi Ports Authority (Mawani).

The number of vessels in Saudi ports during the month of September reached 1,056, said the Saudi Press Agency report.


Dubai non-oil growth slowest in April

GROWTH in Dubai’s non-oil private sector ended the third quarter on a weaker footing, with the latest expansion being the slowest since April, according to the latest Emirates NBD Dubai Economy Tracker.

A contraction in employment and softer output growth contributed to the slight loss of impetus. Nonetheless, September’s overall improvement in business conditions remained solid overall. The seasonally adjusted Emirates NBD Dubai Economy Tracker Index – a composite indicator designed to give an accurate overview of operating conditions in the non-oil private sector economy – fell to 54.4 in September, down from 55.2 in August. Scoring above the 50.0 no-change mark, the latest figure signalled a solid overall expansion, albeit one that was below the historical average. At the sector level, travel & tourism was once again the weakest performing category at 51.3 in September, followed by construction (53.8) and wholesale & retail (55.5) respectively. A reading of below 50.0 indicates that the non-oil private sector economy is generally declining; above 50.0, that it is generally expanding. A reading of 50.0 signals no change.


Saudi AC market set for 3.1pc growth by 2024

SAUDI ARABIA’S air-conditioner market is poised for solid growth over the next six years registering a CAGR (compound annual growth rate) of 3.1 per cent during the 2018-24 period, said a report by 6Wresearch.

The kingdom is one of the biggest and most promising markets for air-conditioners in the GCC region, predominantly due to its geography, climate, high per capita income as well as rapid growth in population, stated the research company in its “Saudi Arabia Air Conditioner Market (2018-2024)” report.

The country had experienced a decline in the air conditioner market primarily due to slump in oil prices over the past few years. Saudi Arabia has been an oil-based economy for over two decades. However, the country’s drive to reduce dependence on oil sector is a major step towards transforming the economy. Moreover, the GDP of Saudi Arabia declined by 0.7 per cent last year but is expected to grow by 1.7 per cent in 2018, majorly due to government reforms like Saudi Vision 2030, it stated.

As part of its Vision 2030 plan, the country›s non-oil revenues increased by 1.5 per cent in 2017 as compared to the previous year and is further expected to expand by 3.7 per cent in the aftermath of slump in oil prices.

The report said that the development of non-oil sectors, economic diversification, recovery of government spending, and expansion of infrastructure would fuel the growth of AC market in Saudi Arabia.


Middle East power tools market to grow by 9pc

THE Middle East power tools market is projected to grow at a compound annual growth rate (CAGR) of 9.0 per cent during 2018 to 2024, according to a recent report by 6Wresearch, a global market research and consulting firm.

The Middle East power tools market witnessed a steady growth during 2014-17 led by buoyant construction activities primarily in UAE and expansion of manufacturing and industrial sectors, said the report.

The report, titled “Middle East power Tools Market (2018-2024)”, estimates and forecast the overall Middle East power tools market by technology types, verticals, tools types and countries. Oil crisis led to slowdown in the construction activities across several key markets across Middle East region primarily Saudi Arabia. Additionally, Turkey which is one of key contributors to the power tools market in the Middle East had witnessed political and economic instabilities, it added.

With stabilisation of oil prices, government spending is expected to firm up and construction market is likely to regain momentum. Additionally, major global events such as World Expo 2020 in Dubai and Qatar World Cup 2020 are expected to stimulate the growth in the region leading to increased demand for power tools. Additionally, rapid expansion of manufacturing and automotive sectors would further fuel the growth of power tool market, said the report.


Abu Dhabi-Oman trade up 54.5pc

THE total trade between Abu Dhabi and Oman reached some Dh1.7 billion ($462.80 million) during the first five months of 2018, with a 54.5 percent increase, compared to the same period in 2017. The registered trade between Oman and Abu Dhabi from January to May 2018 accounts for 56.6 percent of the total trade between the two sides in 2017, a Wam news agency report said quoting official figures.

Oman is among the most active GCC countries, in terms of trade with Abu Dhabi, after Saudi Arabia, which occupies the first position, reports the Statistics Centre Abu Dhabi (SCAD).

 According to the details of the trade exchange between the two sides, imports to Abu Dhabi from Oman reached around Dh1 billion in the first five months of the current year, compared to Dh456 million in the same period in 2017. The value of re-exports reached Dh113 million, while exports totalled Dh620 million. Non-oil trade between the two countries reached some Dh3 billion in 2017, according to SCAD.


Robust growth seen for digital signage industry

DIGITAL signage offers huge opportunities for growth in Oman and the rest of the Middle East and North Africa (Mena) region, according to industry experts International Expo-Consults (IEC), Masonlite and LG.

The digital signage market in this region is a very mature digital network. Unlike most industries where technology is being imported from the rest of the world, many digital signage strategies concept, designs and initiatives are coming from the region. IEC is the organiser of the largest signage, graphics and imaging exhibition in the Mena region – SGI Dubai.

“Digital Signage gives more mileage than static signs and therefore plays an important part in drawing the attention of customers. Whether it is kiosks or wall screens, digital signage has such an impact on the viewer that it leaves a long-lasting impression and conveys the message in a most effective manner,” Sunil Purushothaman, general manager, Masonlite, said.

“Digital signage uses less power compared to conventional signage and emits less pollution. Digital signage powered by solar panels will be the ultimate achievement for the future,” he added.

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