Mulk Holdings inaugurated Phase 1 of its $20m factory in Serbia

Sharjah-based diversified conglomerate Mulk Holdings has recently inaugurated the Phase 1 of its Dhs73m ($20m) factory in Serbia, marking a major investment by a UAE-based company in Europe. The initial production capacity of 3,000,000 square metres marks an investment of Dhs20m at a 10-acre site at Bannista Karlovac, in the vicinity of Vršac city in Serbia.

Vojvodinian Prime Minister Dr. Bojan Pajtic officially opened the factory at a grand opening ceremony held recently in the presence of company officials from the UAE.

This facility will be the Mulk Holdings' European headquarters and Global Design Centre as well as the manufacturing base for composite panels, Aluminium Coil Coating products and solar technology products.

"Our Investments in Serbia, East Europe, were a bold decision amidst the peak of recession back in 2010.The rationale behind this investment was multifold: A. Assets could be picked up at a very low cost in Serbia and Coast of operations is economical in terms of low Human Resources cost. B. Serbia was and still is the only country in Europe to have Free Trade Agreements with both Russia and European Union," Nawab Shaji Ul Mulk, Chairman of Mulk Holdings, said.

"The government of Serbia has provided Mulk Holdings favourable conditions with tax exemptions and subsidies," he added.

Mulk Holdings has diversified business interests in manufacturing aluminium composite panels, solar panels, development of solar power plants as well as a wide network of high end diagnostic centres with telemedicine capability.

As a progression to the successful start of business operations in Europe, this development is expected to take Alubond U.S.A R brand and its business operations to the next level. This also marks a key strategic investment for Alubond U.S.AR in the Republic of Serbia, as a result of its thriving economic conditions and favourable business support from the regulatory authorities.

Alubond USA R has, over the years, emerged as the world's largest metal composite brand with production bases in Europe, Middle East, and India.

Mulk Holdings is also a major player in interiors and furnishing businesses. It has a network of operations in the UAE, Saudi Arabia, Turkey, India, Europe, the United States, India, Sri Lanka and China.

The company started off on a leased land in Serbia in late 2010 and had begun building the new factory premises which took two years to complete.