UAE Plans to Double Re-Exports by 2030

Vice President and Prime Minister Sheikh Mohammed bin Rashid Al Maktoum chairing the cabinet session (WAM)
Vice President and Prime Minister Sheikh Mohammed bin Rashid Al Maktoum chairing the cabinet session (WAM)
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UAE Plans to Double Re-Exports by 2030

Vice President and Prime Minister Sheikh Mohammed bin Rashid Al Maktoum chairing the cabinet session (WAM)
Vice President and Prime Minister Sheikh Mohammed bin Rashid Al Maktoum chairing the cabinet session (WAM)

The UAE approved 24 national initiatives seeking to double its re-export by 100 percent within the seven coming years through benefiting from the 50 commercial offices worldwide.

The initiatives include the establishment of a national re-export committee, which mainly contributes to supporting an increase in re-export rates. They mainly focus on developing new specialized areas in coordination with local governments and a value-added program for re-export.

The initiatives were launched during a cabinet session chaired by Vice President and Prime Minister Sheikh Mohammed bin Rashid Al Maktoum.

Sheikh Mohammed said: "We will double the country's re-export by developing specialized areas in cooperation with local governments, establishing the International Trade Links Center, launching supportive programs, and increasing foreign investments in the service sector.

The cabinet reviewed UAE's economic achievements during 2022 under the Comprehensive Economic Partnership Agreement (CEPA) with India.

The volume of non-oil trade between the two countries reached $21.5 billion by September 2022, achieving 23 percent growth in the same period in 2021 and 133 percent in 2020.

The volume of UAE non-oil exports to India recorded $5.3 billion in the same period, with a growth rate of 12 percent compared to the same period in 2021 and 154 percent compared to 2020.

"The meeting reviewed more than 19 initiatives to attract talent to the country. The UAE ranked second globally in the Competent Senior Managers indicator. Our goal is to attract the best talents in the world as we continue to empower and enable our Emirati talents and national cadres," according to Sheikh Mohammed.

The Vice President indicated that the session reviewed the Higher Commission Free Trade Negotiations results.

The UAE "signed four international agreements with four countries. The positive impact of international agreements is reflected clearly in the numbers of the UAE's foreign trade."

Sheikh Mohammed stated, "The meeting approved hosting the International Union for Conservation of Nature World Conversation Congress (IUCN) in 2025, which attracts more than 10,000 experts from more than 160 countries. The UAE will remain a leading hub for sustainability, nature conservation, and protection."

The cabinet approved a new federal law to replace the Federal Law on Maritime Commercial law, a Federal Decree Law about reorganizing the Higher Colleges of Technology (HCT), in addition to a ministerial decision adopting the UAE's approach for aircraft and unmanned aerial vehicles (Drones) products and systems in the country.

During the meeting, the cabinet approved ratifying the Comprehensive Economic Partnership Agreement with Türkiye and Côte d'Ivoire.

It also ratified the country's accession to the Arab Customs Cooperation Agreement, the Digital Economy Partnership Agreement (DEPA), and the Agriculture Innovation Mission for Climate.



Saudi Transport, Logistics Sector Set for 10% Growth in Q2

An investor monitors a trading screen at the Saudi financial market in Riyadh. (AFP)
An investor monitors a trading screen at the Saudi financial market in Riyadh. (AFP)
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Saudi Transport, Logistics Sector Set for 10% Growth in Q2

An investor monitors a trading screen at the Saudi financial market in Riyadh. (AFP)
An investor monitors a trading screen at the Saudi financial market in Riyadh. (AFP)

As Saudi companies start reporting their Q2 financial results, experts are optimistic about the transport and logistics sector. They expect a 10% annual growth, with total net profits reaching around SAR 900 million ($240 million), driven by tourism and an economic corridor project.

In Q1, the seven listed transport and logistics companies in Saudi Arabia showed positive results, with combined profits increasing by 5.8% to SAR 818.7 million ($218 million) compared to the previous year.

Four companies reported profit growth, while three saw declines, including two with losses, according to Arbah Capital.

Al Rajhi Capital projects significant gains for Q2 compared to last year: Lumi Rental’s profits are expected to rise by 31% to SAR 65 million, SAL’s by 76% to SAR 192 million, and Theeb’s by 23% to SAR 37 million.

On the other hand, Aljazira Capital predicts a 13% decrease in Lumi Rental’s net profit to SAR 43 million, despite a 44% rise in revenue. This is due to higher operational costs post-IPO.

SAL’s annual profit is expected to grow by 76% to SAR 191.6 million, driven by a 29% increase in revenue and higher profit margins.

Aljazira Capital also expects a 2.8% drop in the sector’s net profit from Q1 due to lower profits for SAL and Seera, caused by reduced revenue and profit margins.

Mohammad Al Farraj, Head of Asset Management at Arbah Capital, told Asharq Al-Awsat that the sector’s continued profit growth is supported by seasonal factors like summer travel and higher demand for transport services.

He predicts Q2 profits will reach around SAR 900 million ($240 million), up 10% from Q1.

Al Farraj highlighted that the India-Middle East-Europe Economic Corridor (IMEC), linking India with the GCC and Europe, is expected to boost sector growth by improving trade and transport connections.

However, he warned that companies may still face challenges, including rising costs and workforce shortages.