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KOLKATA, Oct. 4

INDIAN companies, engaged in both manufacturing and trading, have been invited to set up shop at Jebel Ali Free Trade Zone Authority (JAFZA) in the United Arab Emirates to "do business with freedom''.

Making a presentation on the emerging business opportunities at the Dubai-based JAFZA, at an interactive session organised by the Confederation of Indian Industry (CII), Eastern Region, Mr Ahmed Butti Ahmed, Managing Director, JAFZA, said some 2,350 companies from worldover were now operating at the zone, which has been perceived by global trade and industry as one of the largest warehousing and distribution hubs in Asia.

Inviting Indian companies to avail of the world-class infrastructure facilities created at the zone, in terms of shipping, telecommunications and financial services including banking, Mr Ahmed said the turnover of the zone has now climbed to $14 billion, up from the $10 billion 1996. Suggesting that there was strong regional representation at the zone already, he said Chinese companies have now evinced interest in a big way, and it was a matter of time before some of the giant Chinese corporations set up shop at JAFZA.

Stating that around 274 Indian companies, including leading players such as Amul, Eicher, Grasim Industries, Reliance, Kirloskar Electric and the Tatas, were already present at Jebel Ali, he said gems & jewellery units accounted for some 33 per cent of the units, followed by textiles ( 22 per cent). He put the exports by Indian companies located at Jebel Ali during 2001 at $1.56 billion. Companies mainly from Europe, India and the sub-continent are present at the zone.

Commenting on the activities, he said trading accounted for as much as 75 per cent with the balance taken care of by manufacturing. He clarified that while manufacturing units were preferred, polluting industries were definitely out. Commenting on the excellent transhipment facilities at the zone, he said as many as 125 shipping lines use the ports at the zone.

Earlier, welcoming the JAFZA authorities, Mr Sanjay Budhia, Deputy Chairman, CII (ER), said it was now imperative for Indian business to stay in search of new markets, and located in Dubai in the UAE, Jebel Ali was one such destination.

Describing JAFZA as a major distribution hub, combining the services of the best port in West Asia with efficient and dynamic infrastructure, stable regulations and well developed communications and transportation systems, he said the zone was an important trading point, putting two billion consumers well within the reach of producers. In addition to the Gulf Co-operation Council countries such as Saudi Arabia, Kuwait, Qatar, UAE, Bahrain and Oman, the markets of the CIS and some of the Asian and African countries offered a vast potential, he pointed.

He felt even Europe and the Far East could be reached in a cost-effective manner from Jebel Ali. Citing the thriving IT-enabled services sector in West Bengal, he said just as the US and European companies have started outsourcing their IT needs from companies in Kolkata, JAFZ too may like to offer such outsourcing opportunities to the companies that are housed in the zone.

Pointing out that CII was working in close partnership with the Government of Dubai for developing business ties, he said the Department of Tourism and Commerce Marketing (DTMC), Dubai, has signed a memorandum of understanding with CII to strengthen commercial ties.

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