Doing business in Abu Dhabi
General Exhibition Corporation (GEC)
“Abu Dhabi is a land of opportunity.”
Ahmad Humaid Al Mazrouie, Acting Director General
The General Exhibitions Corporation (GEC) has been instrumental in Abu Dhabi’s growing success as a venue for international conferences and exhibitions and is also helping to make Abu Dhabi’s many attractions better known in the international business community. Ahmad Humaid Al Mazrouie, Acting Director General, explains, “The Abu Dhabi government believes that through GEC, international business will discover Abu Dhabi, so that new business will be established here and the economy will develop as well. GEC provides business opportunities.”
GEC is a government organization that functions as a private enterprise and is widely known for its core values of efficiency and effectiveness. The unqualified success of GEC’s first mission, to organize the major International Defense Exhibition and Conference (IDEX) with the involvement of the UAE government and armed forces, proved GEC’s competence.
Today, GEC organizes some of the world’s top trade shows, including IDEX, now the largest show of its kind in the world, which last year attracted some 852 companies from 45 countries, including the United States. IDEX 2005 will be held February 12-17, 2005. GEC also hosts the Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC), the fourth-largest conference of its kind in the world. ADIPEC 2004 will be held October 10-13 and is supported by the Abu Dhabi National Oil Company and its group of companies. ADIPEC is known as a productive forum where local and international suppliers can present their latest products, services and technologies to other professionals.
The government works with GEC in its organization of its exhibitions, such as the Ministry of Defense (IDEX), the Ministry of the Interior (Security and Safety), and the Ministry of Petroleum and Mineral Resources (ADIPEC). The office of President HH Sheikh Zayed Bin Sultan Al Nahyan works closely with GEC in its organization of the Environment and Energy conference; the inaugural Environment and Energy conference in 2001 was attended by environment ministers from 17 countries and participants from 31 countries. The conference led to the creation of the Abu Dhabi Declaration, which has proved instrumental in the formation of environmental strategies for the entire region.
Royal patronage and the support of the UAE federal government have given GEC the credibility to attract leading government and business leaders from throughout the world who have recognized that Abu Dhabi is an excellent place to do business. As Al Mazrouie says, “Abu Dhabi has many premier facilities that people need to know about. Why would you come here as an exhibitor? You would need the full package, not just the exhibition center, but also a nice airline to bring you here, a comfortable hotel, efficient transportation, good nightlife and leisure activities, fine dining, and more. Abu Dhabi has all of these things.”
GEC has also been proactive in setting up key alliances with international partners to help the company position itself as a specialist conference and exhibition organizer working to the highest international standards. For example, GEC joined forces with Messe Frankfurt to organize CONSTRUCT Light + Building, involving specialist teams from Abu Dhabi and Germany. GEC also teamed up with Messe Essen to create the highly successful Security and Safety exhibition and conference. In addition, GEC signed a cooperation agreement with the Jordan Armed Forces to organize the Special Operations Forces Exhibition (SOFEX), held at the King Abdullah Military Airbase in Jordan. This highly specialized exhibition reflects the growing relationship between the two countries.
One of GEC’s competitive advantages is its location at the Abu Dhabi International Exhibition Centre (ADIEC), a state-of-the-art, fully equipped exhibition center with more than 56,700 sq yards of exhibition space as well as a foyer and registration area, executive offices, VIP lounges, a conference room, storage and service areas and ample parking space. GEC has a total of over 600,000 sq yards of property that includes exhibition halls in two major sites as well as outdoor exhibitions areas, conference halls, hospitality chalets, three viewing stands, a live mobility demonstration area, Royal Pavilion, parking lots and helipads.
A dedicated naval berthing area at Mina Zayed Port can accommodate major naval vessels, warships, cruisers, and submarines, while a purpose-built marine canal next to ADIEC is dedicated to demonstrations of smaller craft. In addition, away from the main site is the Maqatra Field Firing Range, where an arsenal of weaponry, artillery and missiles with ranges of up to 15.5 mile can be fired; it is the only facility of its kind in the world, which means that IDEX is the world’s only defense show that can allow the use of live ammunition in demonstrations.
As for the future, GEC is planning the construction of the World Trade Center in Abu Dhabi, next to the existing ADIEC site. This world-class center will include a luxury hotel and additional conference and business facilities, and along with ADIEC’s existing facilities will provide a one-stop-shop business location in the heart of Abu Dhabi. The new center is expected to lead to a 20% growth for GEC per year in exhibitions and conferences as well as creating new sources of revenue for this dynamic company. GEC is also expanding its e-services to adapt to the economy of the future, and Al Mazrouie says that GEC plans new exhibition halls, a science museum and an entertainment complex.
Thanks in part to GEC, Abu Dhabi has become known as the preferred location for doing business in and with the Middle East. As Al Mazrouie says, “Abu Dhabi is a land of opportunity. It is one of the safest places in the world, with a stable government and a welcoming population. We need foreign business to recognize what Abu Dhabi has to offer.”
Tabreed
“One of the biggest energy industries”
Dany Safi, CEO
Tabreed, which means cooling in Arabic, was founded in 1998 and based in Dubai with main offices in Abu Dhabi, is today the region’s leading district cooling service provider, known for its excellent service and innovative technology. Dany Safi, the company’s CEO, is a qualified engineer, member of the American Society of heating, refrigeration and Air conditioning Engineers and board member of the International District Energy Association. He explains, “District cooling technology is more economically efficient and environmentally friendly than traditional air conditioning. Conservative estimates have shown energy consumption to be cut by half and carbon dioxide emissions to be reduced by over 60 percent when compared to that of conventional electrical powered air conditioning systems.”
Tabreed’s cooling systems are already being used in shopping malls, educational institutions, community buildings, military bases and residential developments throughout the UAE. The company earned net profits of around USD 7 million in 2003, a significant increase over its 2002 profits of USD 2.25 million, and Safi anticipates an additional 25 percent increase this year. Tabreed employs rigorous international standards and is certified ISO 9001-2000 for Quality Management Systems, ISO 14001-1996 for Environmental Management Systems and OHSAS 18001-1999 for Occupational Health and Safety Management Systems.
The success of district cooling technology in the Middle East has led Tabreed to look into entering new markets, in its region. As Safi explains, “We already compete with existing systems and since District cooling is still a relatively new concept in the region and in order to compete globally, we invited international investors to invest in our company or to work with us to develop together the best way of investment in this business.
The company recently announced that it had earned the approval for a syndicated loan worth USD 200 million, and succefully launched a bond worth USD 100 million which will be applied to a new capital expenditure program valued at USD 450 million.
Tabreed has attracted investors from a number of Gulf States, including the UAE and Saudi Arabia, and presents an outstanding opportunity for US investors. In 2002 Tabreed increased the stake foreign investors can hold in the company to 49 percent, with individual investors able to own up to 20 percent. As Safi says, “We want to diversify our resources. Our company represents a new idea, a new vision. We are open and eager to find new investors and future partners for technology exchange. This industry has the potential to be one of the biggest energy industries!”
About Tabreed
Tabreed has offered district cooling services as a utility in the UAE for over five years, pioneering energy efficient gas-fired and electric-powered district cooling solutions in the UAE and across the region. The largest district cooling service provider in the world, Tabreed offers customers the highest quality service through an integrated energy system devised to help them optimize their energy usage and reduce power and maintenance costs.
Tabreed is a member of the International District Energy Association (IDEA), Association of Energy Engineers (AEE), International Association for Energy Economics (IAEE), International Institute of Refrigeration (IIR), American Gas Cooling Centre, Inc. (AGCC) and the Dubai Quality Group.
Foreign Commercial Service
The UAE is America’s second largest trading partner in the Gulf, giving many opportunities for companies from the United States. The Foreign Commercial Service is part of the United States Embassy of the UAE. Its role is to help American businesses export goods and services to markets worldwide, especially to the UAE. The Foreign Commercial Service provides a high level of analysis and practical support to American businesses. Currently it is working closely with many American firms active in the reconstruction of Iraq.
American Business Group
John W. Villiquette, President
The American Business Group is a non-profit voluntary association dedicated to helping companies from the United States operating in the UAE. From its UAE office, members are encouraged to network and share experiences, helping in turn to facilitate others.
The American Business Group provides a valuable forum for American businesses in Abu Dhabi, and businesses with American interests, to identify, discuss and pursue common interests and relevant activities. ABG President John W. Villiquette is an American who has lived in Abu Dhabi for many years.
