An Emirati businessman steeped in a rich farming tradition is reaping the rewards of his enterprising approach to agriculture.
A real estate boss by day, Abdullatif Al Banna, 56, spends many an evening tending to the thousands of pineapples he grows each year at his farm in the desert of Al Aweer in Dubai.
May is the month when he harvests more than 4,000 of the tropical fruit, spread across four greenhouses.
They are grown hydroponically ― without soil and using water-based nutrient solutions.
Sweet success
“The pineapples are very sweet. I don't think we can buy pineapples that are this sweet from the market,” Mr Al Banna said, as he collected the fruit from the plants.
“These are the sweetest I have eaten in my life,”
The farm was established in 2005 for growing dates.
But a decade ago, Mr Al Banna decided to experiment with pineapples and find a way to ensure they thrive in the challenging UAE desert climate.
He and his family are now enjoying the fruits of his labours over the years — literally, as Mr Al Banna prefers to distribute his tropical harvest among relations and friends, rather than sell it.
“I brought 300 pineapple plants to check which environment they grow best in. We put some under the open sky, some inside a greenhouse and some underneath the shade of trees,” he said.
“The ones in the greenhouse were the most successful.”
Following in family footsteps
Born in 1966 in Deira, Mr Al Banna said his interest in farming was passed on by his father.
“My father was teaching us since we were young. We had a farm in Jumeirah — where there is now Burj Al Arab. In front of that area, we grew dates in the 1970s. My father would take us there and tell us about farming.
“We would also go to Ras Al Khaimah for picnics and farming. Those were beautiful days.”
Mr Al Banna said his father encouraged him to travel to Egypt in 1999 and start farming there.
Now he spends part of his day at his real estate company in Business Bay in Dubai and his evenings at the farm. Mr Al Banna and his family live next to his land.
In addition to pineapples, he grows wheat during the cooler months, producing enough for his family.
He also owns a farm in Ras Al Khaimah, where cucumbers, tomatoes, green leafy vegetables and chillies are grown in 40 greenhouses.
Growing from strength to strength
It’s not easy to grow pineapples in the UAE’s extreme climate, Mr Al Banna says.
“It requires a cool greenhouse, with not more than 30°C, 29°C or 28°C temperature, and a little bit of humidity. We are saving 90 per cent of the water because of the hydroponics system.”
Each greenhouse covers an area of 8 metres by 34 metres. They are equipped with fans and automated irrigation that work round the clock throughout the year. The pineapples are planted in reservoirs filled with perlite — a volcanic glass with a relatively high water content,
When the fruit is mature, there are usually plantlets or suckers between the spiky leaves. These are removed and planted separately, so they grow more pineapples the next year.
Two people work in the pineapple farm — an agricultural engineer and a helper. The government also supports Mr Al Banna with some of the costs and materials. It also send technicians and engineers to help when required.
The pineapples are large and juicy, weighing between three to five kilograms. However, Mr Al Banna prefers not to sell them.
“We are happy to gift these pineapples to our family, friends and brothers. It is something rare as very few people can manage to grow them in the desert. So, it’s valuable for our people,” he added.
“But if someone is eager to buy them, I don’t refuse. In the past, I have sold hundreds of plants to nurseries and others. They paid about Dh50 ($13.6) per plant. ”
A model of sustainability
He hopes his farm can inspire people to think about food security.
“Every local should have some knowledge of growing food for himself, in case there are challenges in future,” he said.
Mr Al Banna believes his farm can serve as a prototype for pineapple farming in the country.
“I think there is a good opportunity for turnkey projects for growing pineapples in every house. We can make a … greenhouse at each residence. We can give them plants and also take care of their maintenance throughout the year.”
Red flags
- Promises of high, fixed or 'guaranteed' returns.
- Unregulated structured products or complex investments often used to bypass traditional safeguards.
- Lack of clear information, vague language, no access to audited financials.
- Overseas companies targeting investors in other jurisdictions - this can make legal recovery difficult.
- Hard-selling tactics - creating urgency, offering 'exclusive' deals.
Courtesy: Carol Glynn, founder of Conscious Finance Coaching
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if you go
The flights
Air Astana flies direct from Dubai to Almaty from Dh2,440 per person return, and to Astana (via Almaty) from Dh2,930 return, both including taxes.
The hotels
Rooms at the Ritz-Carlton Almaty cost from Dh1,944 per night including taxes; and in Astana the new Ritz-Carlton Astana (www.marriott) costs from Dh1,325; alternatively, the new St Regis Astana costs from Dh1,458 per night including taxes.
When to visit
March-May and September-November
Visas
Citizens of many countries, including the UAE do not need a visa to enter Kazakhstan for up to 30 days. Contact the nearest Kazakhstan embassy or consulate.
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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.
Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.
“Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.
Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.
“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.
Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.
From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.
Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.
BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.
Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.
Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.
“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.
Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.
“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.
“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”
The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”
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Explainer: Tanween Design Programme
Non-profit arts studio Tashkeel launched this annual initiative with the intention of supporting budding designers in the UAE. This year, three talents were chosen from hundreds of applicants to be a part of the sixth creative development programme. These are architect Abdulla Al Mulla, interior designer Lana El Samman and graphic designer Yara Habib.
The trio have been guided by experts from the industry over the course of nine months, as they developed their own products that merge their unique styles with traditional elements of Emirati design. This includes laboratory sessions, experimental and collaborative practice, investigation of new business models and evaluation.
It is led by British contemporary design project specialist Helen Voce and mentor Kevin Badni, and offers participants access to experts from across the world, including the likes of UK designer Gareth Neal and multidisciplinary designer and entrepreneur, Sheikh Salem Al Qassimi.
The final pieces are being revealed in a worldwide limited-edition release on the first day of Downtown Designs at Dubai Design Week 2019. Tashkeel will be at stand E31 at the exhibition.
Lisa Ball-Lechgar, deputy director of Tashkeel, said: “The diversity and calibre of the applicants this year … is reflective of the dynamic change that the UAE art and design industry is witnessing, with young creators resolute in making their bold design ideas a reality.”
SERIE A FIXTURES
Friday Sassuolo v Benevento (Kick-off 11.45pm)
Saturday Crotone v Spezia (6pm), Torino v Udinese (9pm), Lazio v Verona (11.45pm)
Sunday Cagliari v Inter Milan (3.30pm), Atalanta v Fiorentina (6pm), Napoli v Sampdoria (6pm), Bologna v Roma (6pm), Genoa v Juventus (9pm), AC Milan v Parma (11.45pm)
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Our family matters legal consultant
Name: Hassan Mohsen Elhais
Position: legal consultant with Al Rowaad Advocates and Legal Consultants.