The Abu Dhabi Department of Economic Development (Added) has launched a programme to incentivise land use for manufacturers in high-priority sectors to drive industrial growth.
Under the initiative, which forms part of the recently launched Abu Dhabi Industrial Strategy and is being administered by the Industrial Development Bureau of Added, incentives will be offered with rates of as low as Dh5 ($1.36) per square meter, Abu Dhabi Government Media Office said in a statement on Wednesday.
Beneficiaries will also have options for long-term contracts.
The programme will “bring about extended ripple effects benefiting various aspects of the economy”, the statement said.
chairman of Added
Manufacturing and industrial sub-sectors currently covered under the incentives programme include logistics, food, energy, heavy industry, health care and bio-pharmaceuticals, and information and communication technology.
“Incentivising land use is a vital strategic subsidy for businesses, advancing their growth and development objectives, and enhancing their capital expenditures and cash flow management,” said Mohamed Al Shorafa, chairman of Added.
“We listened to our private sector partners and added a relief benefit to our roster of support schemes already in place,” he added.
“Abu Dhabi prides itself on supporting global businesses and our investor community … our efforts help to balance the economic equation and ensure that businesses have a sustained growth path.”
Companies applying for land incentives privileges should have active business plans; manufacturing techniques that employ sustainable business practices and technological advancements; Emiratisation and plans for further developing highly skilled labour and task forces; and criteria that contribute to Abu Dhabi’s macroeconomic road map, the statement said.
The UAE economy recovered fast from Covid-19 pandemic-induced disruptions in 2021, with a similar trend continuing into this year.
Economic support measures and government initiatives — such as residency permits for those who have retired and remote workers, in addition to the expansion of the 10-year golden visa programme — also helped to improve market sentiment.
Various initiatives, such as the rental-rebate exercise sanctioned during the pandemic, helped Abu Dhabi-based businesses perform well.
“Though the pandemic upended conventional professional behaviours, Abu Dhabi’s resilient businesses and entrepreneurs sustained cautious growth during this volatile period thanks to the emirate’s agility and highly beneficial public-private business partnership ecosystem,” Mr Al Shorafa said.
