The country has an area of 83,600 km2, of which only 4.7% of its land is dedicated to agricultural use. Of this 4.7%, 0.6% is arable land, another 0.5% is permanent crops and the rest (3.6%) is land dedicated to pasture for livestock.
LIVESTOCK
The livestock sector in the UAE can be divided into two main categories: on the one hand, extensive non-organized farms and, on the other hand, intensive farms on commercial farms.
Unorganized extensive holdings
This category is made up of small farms of small livestock farmers,
with a very low number of head of cattle per Km2. According to the latest official data, the country has around 4 million head of cattle exploited under this model, highlighting sheep and goats. 77% of the total are in the emirate of Abu Dhabi.
Intensive operations on commercial farms
By number of farms, laying hen, broiler and
bovine are the most important categories.
Avícola farms dedicated to raising broilers account for half of intensive livestock farms (23 out of 54, according to the latest official data). These farms are mainly found in Abu Dhabi and Ras Al Khaimah. The value of the production is around 170 MUSD.
FISHING
Three main categories can be distinguished in the fishing category: extractive fishing, production in captivity by fish farms and aquaponics.
Extractive fishing:
despite its relative importance in coastal areas, the volume of catches is low (around 73,000 tons). Fishing activity is mainly carried out in the emirates of Sharjah, Ras Al Khaimaj and Fujairah. The main species caught are tuna (Scombridae) and grouper (Epinephelidae).
Fish farms:
Currently the sector is barely developed in the country, with 10 facilities in 2015. Those that are currently in operation are mainly dedicated to sturgeon farming and caviar production, such as Asmak or Emirates Aquatech, the largest producer of this food. in the world. During 2015, 790 tons of farmed fish were produced in the country, which represents only 1% of national demand.
Aquaponics:
Aquaponics is a technique that combines traditional aquaculture with hydroponics. Currently there are experimental farms in the country, including the largest aquaponic farm in the world, which produces up to 40 tons of tilapia per year.
SECONDARY SECTOR
INDUSTRY
In the Emirati economy, the non-oil industry has traditionally not had a leading role in terms of GDP contribution. However, the country’s policy in recent years has been to decisively promote the industry, with the objective that the sector contribute 20% by 2020 and 25% of GDP by 2025.
Currently the non-oil industrial sector represents 8.7% of GDP in the UAE and 14% of GDP discounting oil, 2% more than in 2014, thus reflecting the continued development and momentum of the sector. Among the main industrial activities in the non-oil UAE, they specify the manufacture of construction materials, the metallurgical sector, chemical and plastic products, metals, textiles and the agri-food industry.
The Ministry of Economy indicates that it will receive support for the glass, steel, petrochemicals and aluminum industries.
Industrial policy
One of the UAE’s main tools to promote the development of the industrial sector is the creation of industrial parks, which act as clusters and which in turn offer integrated services to the companies and factories installed.
These industrial parks are endowed with high quality infrastructures and services, speeding up bureaucracy and establishment deadlines. These areas try to capture capital, energy and knowledge intensive industries.They offer tariff exemptions to introduce raw materials and machinery and facilities to manage the least qualified workforce (accommodation, maintenance and transportation to the plant).
The production of these parks has direct access to the market of the Gulf Cooperation Council.
The two emirates most committed to the development of industrial zones are Dubai, which has specialized in light industry (such as lighting, capital goods, auxiliary automotive industry, among others) and aluminum, and Abu Dhabi, which continues to strengthen the development of its hydrocarbon, petrochemical and heavy industry sectors, thanks in part to easy access to inexpensive energy. In Abu Dhabi the main industrial parks are the one in Kizad and the ones developed by ZonesCorp. In Dubai, the most important industrial areas are Ras Al Khor, Jebel Ali, Al Quoz and Wholesale City.
Industrial zones have catch the attention to attract new capital to invest in the industrie
CONSTRUCTION
Construction is the fourth most relevant sector within the UAE economy, after petrochemicals, commerce and real estate, representing a total of more than 36,000 million dollars (9% of GDP according to data published by the National Bank of Abu Dhabi , 2014).
The UAE has accounted for almost 60% of the almost 15,000 million dollars of construction and transport projects tendered in the GCC during the first quarter of 2016. During the month of March 2016, a total of 44 projects were assigned to the MENA region ( Middle East and North Africa) with a total value of $ 12.8 billion.
Competition in the sector is high. The market is dominated by local companies, some of which are privately owned, where there is always a local Emirati component such as HLG, DAMAC, and others that are completely public, such as Nakheel or semi-public, such as EMAAR, Meydan, Arabtec, among others. Foreign companies such as the Spanish San José have options when the work to be carried out has a special complexity.
EXTRACTION OF HYDROCARBONS
The UAE has accounted for almost 60% of the almost 15,000 million dollars of construction and transport projects tendered in the GCC during the first quarter of 2016. During the month of March 2016, a total of 44 projects were assigned to the MENA region (Middle East and North Africa) with a total value of $ 12.8 billion.
Competition in the sector is high. The market is dominated by local companies, some of which are privately owned, where there is always a local Emirati component such as HLG, DAMAC, and others that are completely public, such as Nakheel or semi-public, such as EMAAR, Meydan, Arabtec, among others. Foreign companies such as the Spanish San José have options when the work to be carried out has a special complexity
The main company which leads the market is Abu Dhabi National Oil Company (ADNOC), a holding company on which many companies related to the sector depends on.
THIRD SECTOR
FINANCIAL SERVICES
There have been some mergers and acquisitions, among which the ENBD in 2008 stands out as a result of the merger of the Bank of the Emirates and the National Bank of Dubai (NBD).
Islamic banking has a growing weight and represents around 14% of total bank assets.
There are currently 51 commercial banks, 23 national and 28 foreign (including those of the GCC). There is an extensive network of branches and ATMs. In addition, there are two entities with an investment banking license, one company licensed to carry out mixed activities (financial and investment) and five companies licensed to develop corporate banking (wholesale banking).
Foreign banks are also regulated by the Central Bank from which they must obtain a license, and since 2010 they can only open a maximum of eight branches. They have national treatment and the same capital requirements as local banks: a minimum paid-up capital of 40 M Dirhams (10.8 MUSD) or 10% of the country’s assets weighted by risk if this amount is greater than the first.
However, there is discrimination in tax matters as they are subject to a 20% tax on profits, something that does not apply to national banks.
There are 121 authorized representative offices of foreign banks and financial institutions, including Banco Sabadell, CaixaBank, BBVA, Santander and Banco Popular.
They cannot operate in the local market, but they provide corporate service to their Spanish clients through their contacts with local banks.
With this the country can guarantees solidity of the financial sector, these are protectionist implementations since the economic crisis.
TOURISM
The tourism sector is the largest in the UAE economy and one of the fastest growing in recent years. The recent choice of Dubai to host Expo 2020, its popularity as a shopping destination and the investment made in infrastructure, have positioned it as a world tourism benchmark.
Airports
United Arab Emirates has seven airports; in five of the seven emirates there is an international airport and some, such as Abu Dhabi (Abu Dhabi and Al-Ain -second largest city in the Emirate of Abu Dhabi-), and Dubai (Dubai International Airport and Al Maktoum International Airport) have with two. In addition to the aforementioned, there is an airport in Fujairah, one in Ras Al-Khaimah and one in Sharjah.
For its part, the Abu Dhabi International Airport is also carrying out a major expansion. It is investing 6,800 M USD to improve airport infrastructure. It currently has an approximate capacity of 11 million passengers per year
Air Transport
UAE has highly developed air infrastructures, which has allowed it, together with its strategic geographical position, to become a world reference in air traffic. It has seven airports, and four national passenger traffic airlines, all with ambitious expansion plans.
Emirates Airlines: Fully owned by the Dubai government, it is the largest airline in the Middle East, operating more than 3,300 flights per week to more than 148 cities in 78 countries, from its hub at Dubai International Airport. (DXB). Loading activities are carried out by the company of the same group Emirates SkyCargo.
Maritime transport
The UAE has several operational ports, spread across the seven emirates, all of them modern and very active.
In Dubai there are Ferries and water taxis, managed by the Road and Transportation Authority, that cover short routes, rather geared towards tourism.
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