Dubai: A steel mill operator with two factories in Jebel Ali Free Zone has been granted full ownership rights by Dubai FDI for a new plant that it is planning to build in “mainland” Dubai.
This is as part of the UAE and emirate-level initiatives to grant 100 per cent ownership to businesses operating in key sectors. This time, Conares will build a new steel mill with a forecasted capacity of 100,000 tonnes. A new operating company will be set up and this will have full ownership of the project even though it will be located outside of the free zone.
Last year, the hospital operator Aster confirmed that it was assigned with the 100 per cent rights. The chocolate company MARS was the first to make the switch under the new regulatory regime.
The facility is being set up to tap demand from new infrastructure-development projects in the region and promote a ‘Made in UAE’ product range.
“We are amongst the top steel manufacturers operating 24×7 to serve the upcoming projects in the region,” said Bharat Bhatia, CEO. “Our operations are well aligned with the region’s requirement for infrastructure development. We foresee a good demand for our products for ongoing and upcoming projects in the UAE.
The new FDI regulations will attract new breed of investors to set their businesses here. With the government safeguarding interests, more industries shall be encouraged to come forward and set up their units.”
The business of trading and re-exports is slowly fading out. Value addition is the only way forward
– Bharat Bhatia of Conares