Emirates Global Aluminium, the largest industrial company in the UAE outside oil and gas, and the aluminium sector account for 1.4 per cent of the UAE economy, according to an expert study. The sector also supported 60,950 jobs in 2017 with one in every 100 people working in the UAE is employed in the aluminium sector.

His Excellency Sultan bin Saeed Al Mansoori, UAE Minister of Economy, said: “The UAE is proud of the leading national institutions it currently boasts across a number of vital sectors – chief amongst them the aluminium sector, which has contributed to the reputation and economic competitiveness the country enjoys on both the regional and international stage. The UAE today is considered one of the world’s largest exporters of this resource – one that is critical to a number of other sectors such as aviation, shipping and construction.

 “The foundations of our country’s upstream aluminium industry activity can be credited to EGA, whose production chain today includes midstream smelting activity and downstream supply of aluminium-based products,” he concluded. 

Abdulla Kalban, Managing Director & Chief Executive Officer of EGA, said: “EGA is a global company anchored in the UAE with strong commitment to excellence, sustainability and healthy growth. Our demand for goods and services has led to the development of a competitive supply chain around us, and others have founded successful businesses making products from our metal. I am proud that EGA and the many UAE-based companies we work with have together made a significant contribution over many years to growing the national economy, helping make modern life possible for the people of the UAE.”

The study was conducted by Oxford Economics, an international economics consultancy, based on data supplied by companies in the sector and established economic models.

“Oxford Economics calculated the economic impact of EGA by analysing three types of activity. ‘Direct impact’ is the value of EGA’s own activity and that of the UAE companies that make products using EGA’s metal. ‘Indirect impact’ is activity stimulated by the sector’s purchase of goods and services from UAE suppliers. ‘Induced impact’ is the spending of wages earned by workers in the sector in the UAE economy, such as on housing and leisure.”

Every AED 1 generated in the aluminium sector was found to create an additional AED 1.26 of activity elsewhere in the economy. Economists call this the ‘multiplier effect’.

The company spent AED10.6 billion ($2.9 billion) on energy, raw materials, and goods and services from other companies in the UAE in 2017.

H.E. Sultan bin Saeed Al Mansoori, UAE Minister of Economy, added: “The Ministry has been working on developing the country’s competitiveness by focusing on economic strategies that diversify sources of income, and drive sustainable growth across a number of industries in order to create job opportunities, develop local capability, and encourage innovation.

“Aluminium’s total contribution, be it direct or indirect, was estimated at AED 20 billion in 2017, or 1.4% of the country’s total GDP.