Aljanahi briefed the Consul General on Jafza’s growth driven industry practices and unique culture as well as the free zone’s continuing role as an important contributor to the local economy. He also referred to the importance of on-going cooperation between the countries to increase the level of global investments. HE the Consul General and Ibrahim Aljanahi had detailed discussions to strengthen commercial relations between Japan and the free zone.

The Consul General was also briefed on Jafza’s world-class infrastructure, facilities and new developments in the free zone such as the expansion project in the South Zone which began in 2003 to accommodate growing demand including the Convention Centre Complex, under construction and other recent developments.

Jafza has become a prominent regional business hub for Japanese businesses looking to base themselves in the Middle East. The free zone is home to over 100 Japanese companies including Sony, Hitachi, Toshiba, JVC, Panasonic, Sanyo, Nissan, Mitsubishi Motors, Fuji Film, Nichibo, Mitsui & Co, Obayashi, and Sumitomo Corporation among others.

The automotive sector’s robust growth in 2011 reflects the sector’s rapid recovery in the year, said Jafza officials at the recently held EZW Customer Forum for Jafza companies in Automotive Industry that comprises auto spares and accessories, automobile and other type of transports and construction equipment and machinery industry segments.

The Customer Forum for Automotive sector was 9th in a series of industry events initiated by Jafza to bring together the leading industry players, Jafza management and other stakeholders to collectively address key issues and have an open and constructive dialogue on how to collaborate to enhance combined competitiveness to capitalize on the emerging opportunities in the region and meet industry challenges efficiently and effectively.

Jafza has registered 7.5% increase in the number of companies in 2011 to reach 504 from 467 in 2010. In the last three years the Automotive trade in Jafza saw a growth of 40% rising from AED 10 billion in 2009 to over 14 billion in 2011.

Talal Al Hashimi, Managing Director, EZW UAE Region said: “The remarkable growth in the sector underlines the fact that Dubai continues to be the preferred logistics and distribution centre for the automotive industry in the region. The physical and soft infrastructure of Dubai is the magnet for fast supply chain management industry like automotive. EZW through Jafza and Dubai Auto Zone (DAZ) is committed to the development of the auto industry in the region.”

“We need to capitalize on the emerging opportunities. The Customer Forum aims to find out how we can work together to make this possible and also make Jafza most productive and efficient business hub.”

Ibrahim Aljanahi, Deputy CEO Jafza speaking at the forum said: “The growth reflects Jafza business community’s dynamism and pragmatic approach. By crossing 14 billion mark the automotive sector in Jafza has reached pre-recession peak. The global automotive industry is forecasted to rise 7% in 2012. Since the Middle East is one of the world’s largest importers of automobiles and automotive products I expect this growth to accelerate further in 2012.

“The forum provides us an opportunity to discuss way forward for Jafza and Jafza based companies in the new and challenging market conditions. Innovation and continuous dialogue with customers are the key pillars in our organizational DNA that would continue to keep Jafza at the forefront.” Aljanahi said commenting on the Jafza focus.

Global auto sales are forecasted to rise 7% in 2012 to almost 78 million vehicles. Growth is expected to occur in all major markets other than Europe though the Germany’s new car sales grew almost 10% in 2011. Asian markets are quite resilient with China leading the industry. The spare parts and tyre industry holds significant opportunities for industry players due to strong demand for replacements and increasing sales of vehicles in developing countries particularly in the Middle East, which ranks among the world’s fastest growing markets for automotive products. This provides huge opportunities for Jafza companies in 2012 and the coming years, Jafza officials said on the occasion.

Leading industry players including GM, Audi, Honda, Nissan, Daimler, Chrysler, and Ford from the automobile segment, Michelin, NGK Spark Plugs, Demiplex from the spare parts and specialist logistics service providers such as Hellman Worldwide, AW Rostamani, and Al Futtaim Logistics among others attended the forum.

Talal Al Hashimi briefed the delegation on Jafza’s distinctive features and offerings and its contribution to Dubai’s GDP and the country’s economic development.

Talal Al Hashimi said: “Approximately one-fourth of Dubai’s total non-oil trade is generated in Jafza. It is interesting to note that this ratio has not altered or fluctuated much in the last more than five years. Jafza continues to play an important role in the nation-building process and will continue to do so for all the times to come. Jafza has today evolved into a vital intermediary hub for Asia-Europe trade while it is also well positioned to cater to growing African and Middle Eastern economies.”

“Located in West Africa, bordering the Atlantic Ocean, the strategic geographic position of Togo offers an ideal setting for business transactions with the West African sub-region, Europe and North America. Jafza business model seems very appropriate for Togo to position itself as a trading hub between the developed economies and the emerging West African region,” he further added.

Al Zarooni said: “Jafza is one of the main drivers of Dubai’s economy. It has consistently been contributing to Dubai’s GDP at over 20 per cent on a year-to-year basis; accounted for more than 50 per cent of Dubai’s total exports and more than 40 percent of net FDI flow into the UAE.”

HE Bakalawa Fofana in his speech introduced and described key features of Togo’s economy. He sought Dubai and Jafza’s help in further developing Togo Export Processing Zone.

The Government of Togo, with the support of Overseas Private Investment Corporation (OPIC) and the US Agency for International Development (USAID) established an Export Processing Zone in Togo in 1989. The Zone has attracted private investors in manufacturing, assembling and food processing sectors for the export markets. Togo’s industrial sector mainly comprises of Phosphate Mining, Cement, Food Processing and Textile. Its Agriculture sector comprises Coffee, Cocoa, Cotton, Cassava, Corn, Rice and livestock.

Al Janahi stressed the need to mobilise individual efforts to address these challenges. He said: “Metro offers an immediate alternative for those seeking to reduce their energy usage and carbon foot-print. By using Metro Jafza employees can play a lead role in motivating others and promote our green commitment. By participating in Earth Day through such a meaningful and symbolic initiative we have reinforced our deep commitment to sustainability.”

Jafza continues to take measures in the free zone on a regular basis to improve its carbon management and environmental activities. Specific measures undertaken by Jafza to save energy include the installation of timer controlled devices and photocells in parking areas, corridors and other parts of the buildings. Buildings 18 and 19 have been fitted with LED lights that consume less electricity.

Water saving devices have also been installed in office buildings resulting in 23% water savings. Additionally all sewage water and water drained from air conditioning units is recycled and used for irrigation. Refrigerants are also recycled and reused to minimise the free zone’s carbon footprint. Paper and aluminium can recycling bins were introduced a few years ago to encourage people to recycle.

The seminar was a major success. It attracted more than 100 investors from the South East Asia region along with the region’s leading representatives from print and visual media. The attendees included HE Mr. Nasser Salman Al Aboodi, UAE Ambassador in Malaysia, Mr. Dato Mukhriz Tun Mahathir, Deputy Minister, Ministry of International Trade and Industry, Malaysia, MIHAS CEO Mr. Mohammed Shukri Abdullah and senior Jafza officials including Ibrahim Aljanahi, Deputy CEO of Jafza, Adil Al Zarooni, Senior Vice President, Khalid Al Marzooqi, Regional Manager Asia Pacific and Mr. Wan Hafiqah, Dy. CEO of Nexus Group, Jafza Representative in Malaysia.

Addressing the seminar Ibrahim Aljanahi underlined the strong commercial relations between Malaysia and the UAE.

He said: “UAE is Malaysia’s largest trade partner in the Middle East. The UAE-Malaysia trade in 2010 stood at approximately AED 15 billion. Jafza accounts for almost half (44%) of this trade. Jafza-Malaysia trade has seen a growth of 29% year-on-year for the last ten years. Jafza’s trade with ASEAN in 2010 amounted to AED 16.5 billion, which represented a growth of 26% year-on-year during the same period.

“We wish to leverage our strong relationship with ASEAN in general and Malaysia in particular to attract regional investors into Jafza and the Middle East.” Jafza is currently home to 93 companies from ASEAN.

Ibrahim Aljanahi commenting on the strong investor interest in the free zone said: “South East Asia is one of the top exporting regions in the world. The Middle East markets offer huge opportunities for South East Asia businesses. Our participation, that highlighted the opportunities and the prospects in the region and our strategic position as a business hub to reach these markets, has triggered their interest further.”

Dato Mukhriz Tun Mahathir, Deputy Minister, Ministry of International Trade and Industry, Malaysia speaking on the occasion lauded strong bilateral relations between the two countries and Malaysia and Jafza.

Ibrahim Aljanahi at the seminar announced Jafza plan to set-up an incubation centre in the free zone to encourage Small and Medium Enterprises from Malaysia and other countries from the region to set up their operations with minimum investment in Jafza to explore business opportunities in the region.

The seminar was a huge success and evoked strong interest among the investors from the region not only in the food but other sectors as well.

The MoU provides both parties to work together to lay down the framework for the establishment of Apex-Brasil as a business incubator at Jafza to support Brazilian start-ups to establish their operations in the free zone.

Ibrahim Aljanahi commenting on the collaboration said: “Sustainable growth of the small and medium enterprise sector is very important to the development of economies. This is why Jafza pays special attention to SMEs in the free zone. We are delighted to extend support and encouragement to Brazilian small and medium enterprises to establish their operation in the region from Jafza, which is the gateway to the region’s huge consumer markets. We wish the Brazilian entrepreneurs all the success in their enterprise. We hope the initiative will strengthen Brazilian presence in the UAE and the GCC countries”

“Although the incubation set-up in Jafza aims at mainly supporting SMEs but it also provides opportunity to Brazilian companies of any size to explore business potential in the region and expand their operations in future,” Aljanahi further added.

Mauricio Borges said: “We are grateful to Jafza’s overwhelming support and encouragement to Brazilian entrepreneurs in their pursuit to establish their business in the region. We are confident that this move will support and boost Brazilian exports in the region.”