Adnoc boosts local manufacturing target to Dhs90 billion by 2030 - GulfToday

Adnoc boosts local manufacturing target to Dhs90 billion by 2030


Dr Sultan Ahmed Al Jaber and other top dignitaries during the Make it in the Emirates’ forum on Monday in Abu Dhabi.

Adnoc announced on Monday at the “Make it in the Emirates” forum an increase in its local manufacturing target for critical industrial products in its procurement pipeline to Dhs90 billion ($24.5 billion) by 2030 to propel UAE’s economic diversification, strengthen the industrial sector and expand local manufacturing capabilities.

The third edition of the “Make It in the Emirates Forum” opened by Dr Sultan Ahmed Al Jaber, Minister of Industry and Advanced Technology on Monday in Abu Dhabi. Organised by the Ministry of Industry and Advanced Technology (MoIAT) in collaboration with the Abu Dhabi Department of Economic Development (ADDED) and ADNOC Group, the forum attracted major local and global industrial institutions.

The new target is part of Adnoc’s expanded In-Country Value (ICV) programme which aims to drive an additional Dhs178 billion ($49 billion) back into the UAE economy by 2028.

Adnoc’s previous 2027 target for local manufacturing of Dhs70 billion ($19 billion) worth of products was delivered ahead of schedule following the award of two contracts for metal pipes and valves worth Dhs16.8 billion ($4.6 billion) to local manufacturers.

Al Jaber said, “In line with the wise directives of the UAE leadership, Adnoc continues to play a pivotal role in enabling economic, social, and industrial growth in the UAE. Since the launch of Adnoc’s In-Country Value programme in 2018, we have successfully collaborated with strategic partners to transform this initiative into an integrated national economic programme to boost the UAE’s economic development.

“Having successfully delivered on our target to create Dhs70 billion in local manufacturing opportunities ahead of schedule, Adnoc is now boosting its local manufacturing target to Dhs90 billion to strengthen the UAE’s industrial sector. This expanded initiative will support the UAE’s economic diversification, attract local and international investors, and provide high-skilled private sector jobs for UAE Nationals. Additionally, it will stimulate entrepreneurial growth and drive sustainability in Adnoc’s supply chain. We invite local and international manufacturers to take advantage of our ICV programme and participate in the UAE’s industrial growth journey.”

The contracts include Dhs8.8 billion ($2.4 billion) for metal pipes to PM Piping Petroleum Equipment, Ajmal Steel, and the Emirati-owned Al Gharbia Pipe Company; and Dhs8 billion ($2.2 billion) for mechanical valves to Samamat, Camtech Manufacturing, Tisco Valves Manufacturing, PTPA, MT Valves and Industries.

Adnoc’s expanded ICV programme will provide a dedicated micro, small and medium enterprises (MSMEs) accelerator programme to enable Emirati businesses and local mSMEs to conduct business across Adnoc’s supply chain.

The programme will also introduce incentives to embed sustainability in local supply chains by encouraging investors to adopt clean technologies and best-in-class environmental, social, and governance (ESG) practices. It will accelerate the adoption of artificial intelligence (AI) in Adnoc’s supply chain and enable micro, small and medium enterprises (MSMEs) to participate in strengthening the resilience of the UAE’s industrial base.

Since the launch of “Make it in the Emirates” in 2021, Adnoc has more than tripled its direct spend with local manufacturers for industrial products within its procurement pipeline.

Earlier, the “Make it in the Emirates” exhibition features 44 major industrial institutions showcasing locally manufactured products, as well as innovations and solutions supporting the development of the industrial and technological sectors.

Under the theme “Invest. Innovate. Grow.,” the forum features local and international participation, including senior government decision-makers and officials, as well as CEOs, entrepreneurs, investors, industrialists, experts, innovators, and representatives of financial institutions.

This edition builds on the success of the previous two, which generated around Dhs120 billion worth of local procurement opportunities in priority sectors such as pharmaceuticals, energy, telecommunications, space, healthcare, and food and beverages.

These opportunities include 1,400 products available for local manufacturing, which are identified to enhance industrial resilience and self-sufficiency by supporting import substitutions.

The forum will feature a series of panel discussions exploring the UAE’s industrial strategy, Operation 300bn, AI integration in industry, the UAE’s ambitions to attract investments in the space sector, and how green technology can be deployed to decarbonise industry.

The forum was attended by Viacheslav Iarin, Minister of International and Foreign Economic Relations of the Sverdlovsk Region, Mohammed Fadel Al Mazrouei, Minister of State for Defence Affairs, Amna Al Dahak, Minister of Climate Change & Environment,  Sarah Al Amiri, Minister of State for Public Education and Advanced Technology, Faisal Abdulaziz Al Bannai, Advisor to President for Strategic Research and Advanced Technology Affairs, and Chairman of EDGE Group, Eng. Awaidha Murshed Ali Al Marar, Chairman of the Abu Dhabi Department of Energy (DoE), and Ahmed Jasim Al Zaabi, Chairman of the Abu Dhabi Department of Economic Development (ADDED), alongside a number of senior officials from federal and local authorities, and several heads of leading local, regional, and international companies.


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