Emiratisation and strong SME sector key to developing manufacturing in UAE

Manufacturing is "an important sectorthat needs to be ready for what’s after oil but there needs to be a shift in skills", Saif Al Hajeri, the CEO of Tawazun Economic Council & Tawazun Holding, told the Global Manufacturing and Industrialisation Summit, taking place at the Paris-Sorbonne in Abu Dhabi.

"A strong SME sector is a must, and the future of manufacturing requires strong SMEs", he said on the third and final day of the Summit.

In most countries, he noted, the SME sector represents around 70 per cent of the economy. "While the sector is growing in the UAE and GCC, it is currently much, much lower."

"However, he said progress was being made in boosting the SME sector, citing the example of the National Manufacturing Association, which joins Tawazun at trade events and is promoted within Government and large local companies."

As well as growing SMEs, Al Hajeri said more needed to be done to attract Emirati workers into the sector. "Manufacturing requires capable locals we need ‘UAE made’ by UAE hands," he said.

Bringing in more Emiratis into the sector would create a snowball effect: "The more locals you have, the more will come," he said, adding that the intergenerational aspect was also critical. "The innovators of the future will be the children of the locals, especially women, who are now working in manufacturing." To reinforce this he explained that Tawazun had even held sessions with parents of students to convince them of the benefits of a career in manufacturing.

When asked if it was difficult to get women to work in the manufacturing sector, Al Hajeri said, "You think it’s difficult but it is not and once you hire women you don’t want to hire men!" Tawazun introduced the Daylight Programme especially for Emirati women. Under the programme local women undertake a 4-6-month training programme in technical issues and in English. Tawazun has also provided an on-site nursery and introduced flexible working hours to encourage women into the workforce.

Al Hajeri highlighted the work Tawazun has done with local universities in developing this shift in skills. "We need the right skills, and we compete for the best human resources," he said. Working with universities, engineering and technician students can work one-day a week with Tawazun or on nine-month projects. In addition, some students have been working in Germany on three-year projects.

Al Hajeri said that the manufacturing sector was relatively new to the UAE, but is growing rapidly. He cited recent work with Boeing and Airbus and in the field of laser technology to highlight that technology transfer can bring real benefits to the UAE. "Technology has to be usable and have an export value. We always think about exports and the sustainability of these technologies," he said.

Al Hajeri also spoke about Tawazun’s efforts to bring new technologies to the UAE through the Offset programme, which provided opportunities for foreign manufacturers to locate in the UAE.

The inaugural Global Manufacturing and Industrialisation Summit is being held at the Paris-Sorbonne Abu Dhabi University, UAE, until March 30, 2017. A joint initiative by the UAE Ministry of Economy and the United Nations Industrial Development Organisation (UNIDO), and co-hosted with the Abu Dhabi Department of Economic Development, the Summit is held under the patronage of His Highness Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces.

The Summit is the world’s first global gathering for the manufacturing community, bringing together decision-making leaders from governments, businesses and civil society organisations to shape a vision for the sector’s future.