Egypt, UAE, Jordan, Bahrain ink $2 bln of industrial deals
Companies from Egypt, the UAE, Jordan, and Bahrain have on Sunday signed industrial agreements with an investment value worth over $12 billion.
The signing ceremony took place at the third Higher Committee meeting of the Industrial Partnership for Sustainable Economic Development in Amman.
The meeting included the signing of 12 agreements across nine industrial projects. The projects are expected to create around 13,000 job opportunities and boost national GDP in the partnering countries by more than $1.6 billion, the UAE news agency WAM reported.
It was in the presence of Sultan Bin Ahmed Al Jaber, UAE Industry and Trade Minister and UAE’s special envoy for climate change; Ahmed Samir, Egyptian Industry and Trade Minister; Yousef Al Shamali, Jordanian Industry, Trade, and Supply Minister; and Abdulla Adel Fakhro, Bahraini Industry and Commerce Minister.
Egypt’s Minister of Industry and Trade Ahmed Samir underlined his country’s commitment to enhancing multilateral efforts with the UAE, Jordan, and Bahrain to boost industrial integration among Arab nations and support economic relations.
“The economic crisis the world is currently experiencing demonstrates the necessity of achieving industrial integration among Arab states. It is clear we must strengthen regional partnerships and include the private sector as a major partner in implementing sustainable development plans and helping the Arab region to prosper.”
“Recent geopolitical and economic challenges demand stronger bonds among Arab nations and more robust economic partnerships. These partnerships can help to enhance resilience against future crises as well as achieve self-sufficiency and sustainable economic development.” The Egyptian minister added.
Jordan’s Prime Minister Bisher Al-Khasawneh also attended the signing ceremony of the partnership agreements along with the industrial ministers from the four countries.
Al-Khasawneh stressed the importance of this partnership in strengthening bilateral relations and economic development, along with the importance of the industrial sector’s role within participating countries.
For his part, Sultan Bin Ahmed Al Jaber, UAE Industry and Trade Minister, said: “We are keen on collaborating and complementing regional efforts to achieve integrated sustainable economic development.”
“This partnership is beginning to yield tangible results. It represents an exceptional model for industrial partnerships among private sector companies. It is testament to our collective ability to plan, integrate, and progress towards achieving our objectives, all while we are still at the beginning of this fruitful partnership.”
Al Jaber added: “We call on companies in our respective countries to enter these partnerships and put forward proposals for projects that benefit from the capabilities of our countries and from our competitive advantages, resources, and expertise. As governments, our responsibility is to support these projects, enhance partnerships and provide the economic environment that enables their success.”
Meanwhile, Jordan’s Minister of Industry Al Shamali said: “Since launching this partnership, we have witnessed a multi-faceted boom that heralds the start of a profound and sustainable transformation in the relations between our industrial sectors.
“The first aspect of this shift was reflected in the economic discourse adopted by officials and media, who highlighted the benefits that our countries will reap through pursuing industrial integration. This is an integrated Arab effort directed by the highest political levels of the four countries.
Abdulla bin Adel Fakhro, Bahrain’s Minister of Industry and Commerce, said: “The partnership offers a real opportunity to increase the efficiency of supply chains through the integration of industries in the region, which is a pillar of Bahrain’s industrial strategy.
“Bahrain has proposed more than 10 industrial projects with an estimated investment value of over $2 billion. These include mature projects and projects in their early stages. The locations of these factories vary, as we believe that all partner countries should benefit from them.” His Excellency also invited the partnership to hold its next meeting in 2023 in Bahrain.
12 Major Agreements
Soda Chemical Industries
Egyptian company, Soda Chemical Industries announced an investment of $500 million to produce sodium carbonate, soda ash, which is the main raw material in many industries, such as the glass and detergent sector.
The facility will have a production capacity of 500,000 tons per year. The company signed the MoU for a strategic partnership with the Emirates Flat Glass Company, owned by Dubai Investments, to purchase the final product.
M Glory Holding
UAE-based automotive manufacturer, M Glory Holding announced the launch of a major manufacturing project with an investment of $550 million.
The project will establish three electric vehicle factories with specialised production and assembly lines in the UAE, Jordan, and Egypt. Production capacity is expected to reach 40,000 compact crossover SUVs during the first three years of operation.
M Glory Holding signed the MoU with Jordan Design and Development Bureau and Egypt’s Arab Organisation for IndustrialiSation (AOI) as manufacturing partners, and with Bahrain’s GARMCO to supply aluminum sheets.
The agreement reflects how the partnership aligns with sustainability objectives and the UAE’s presidency of the upcoming COP 28.
CFC Group
Emirati investor-owned CFC Group announced it will invest $400 million to build an industrial complex for fertilisers and chemicals in Egypt. It signed MoUs with Egypt’s Misr Phosphate Company and Jordan-based Arab Potash to supply raw materials.
The industrial complex is expected to have an annual production capacity of half-a-ton of fodder and potash fertilisers, and 1.1 tons of chemicals.
Global Aluminium
Emirates Global Aluminium announced a $200 million investment to set up a silicon metal plant in the UAE with a production capacity of 55,000 tons annually. It signed the MoU with Jordan’s Manaseer Group to supply the required crystalline silica.
Manaseer Group announced the expansion of a $70 million magnesium oxide plant in Jordan. Once completed, the plant will have a total production capacity of 270,000 tons per year, which will be exported to the UAE. It will sell its products to Emirates Global Aluminium. The production is set to start in 2024.
Globalpharma
UAE’s Globalpharma announced a partnership with Egypt’s Nerhadou to develop advanced technology for the manufacturing of medicines and supplements.
The two companies signed an agreement to transfer technology to two Jordanian companies – Savvy Pharma and Triumph. Both projects will start in 2023 with a total investment value of $60 million.
Production capacity is expected to reach 5 million packages annually per product.
Itqan
Jordanian company Itqan reached a technology transfer partnership and contract manufacturing agreement with Globalpharma and ADCAN Pharma to manufacture syringes, aerosols, and inhalers. It also signed an MoU with Egypt’s Marcyrl for the transfer of technology in manufacturing biosimilars in Jordan at a total investment of $10 million, with the aim of launching products by the fourth quarter of 2024.
Alpha Biotic
Bahrain-based Alpha Biotic signed two MoUs for knowledge and technology transfer as well as contract manufacturing with Jordan’s Dar Al Dawa and Egypt’s EIPICO to manufacture medical solutions as well as oncology and other pharmaceutical products.
The project is at an investment worth up to $174 million over two phases. Its production capacity is expected to reach 350 million pills annually.
Gulf Biotech
Bahraini company, Gulf Biotech announced plans to set up a plant to manufacture raw materials for vaccines and other products at investments worth up to $103 million and a production capacity of 105 doses annually. It signed earlier this month a technology transfer agreement with Egypt’s BioGeneric Pharma.
35 New Projects Underway
During the meetings, Omar Al Suwaidi, Undersecretary of the UAE Ministry of Industry and Advanced Technology and Head of the Partnership’s Executive Committee, presented an update on the partnership’s progress, including the results of the workshops, investment opportunities, and future plans.
Al Suwaidi noted that more than 100 companies have participated in the metals, textiles and petrochemical workshops held over the past six months. The partnership has also received 35 proposals for new projects, he added.
“The proposals were discussed during workshops held by the Executive Committee in Amman. The workshops also helped to prepare an implementation plan for enablers in the agriculture, food, fertilisers and pharmaceutical sectors. During the workshops, the UAE and Jordan made a pharmaceutical mutual recognition agreement,” Al Suwaidi stated.
“The committee is studying the feasibility and economic impact of projects in various sectors, along with partnership opportunities with the private sector. The committee will continue to search for new projects and evaluate and enable projects, including a fertiliser factory in Jordan at an estimated cost of $800 million.”
During the meeting in Amman, the Executive Committee of the Integrated Industrial Partnership for Sustainable Economic Development has sent recommendations and a report to the Higher Committee for approval. It also discussed a number of potential projects and listened to representatives of industrial companies who presented proposals for projects.
Upcoming Meeting in Bahrain
Bahrain’s capital, Manama will host the fourth meeting of the Higher Committee for the Integrated Industrial Partnership for Sustainable Economic Development, where more joint projects are set to be discussed.
The first meeting of the Supreme Committee for the Integrated Industrial Partnership for Sustainable Economic Development took place in the UAE’s capital of Abu Dhabi.
