DUBAI – Cargo volumes at Dubai World Central (DWC) have surged 382 per cent in the first three months of 2012, according to the quarterly traffic report issued by Dubai Airports on Wednesday. 

Jebel Ali Port

The airport, now only in its second full year of operation, recorded a 382.2 per cent increase in cargo volumes to 50,062 tonnes in the first quarter of the year, compared to 10,381 tonnes in the first three months of 2011.

Air traffic movements at the airport also increased sharply, rising 313.3 per cent to 3,513 movements in the first three months of 2012 compared to 850 in the previous comparable period.

The growth was driven by additional charter and scheduled services introduced over the past year as well as the securing of several large non-commercial contracts. In March Saudi Airlines Cargo became the latest major airline to begin a scheduled freight service to DWC with three weekly flights from Riyadh, the Saudi capital.“Despite the fact that the global cargo industry remains under pressure, DWC continues to ramp up as new operations are introduced.

Increasingly airlines are recognising that the airport, which is still in its infancy, has a unique value proposition with airlines able to take advantage of the its bonded link to the Jebel Ali port,” said Paul Griffiths, CEO Dubai Airports. “Dubai Airports’ total cargo volumes are expected to top 3 million tonnes by 2015 and an increasing portion of that growth is expected to spill over to DWC.”“In 2012 the economic picture has improved marginally from last year. World trade is gradually beginning to recover.

While some major European economies have slipped into recession, US consumer confidence is on the upswing, China’s economic expansion remains robust and both Thailand and Japan have started to rebuild from last year’s natural disasters. This can only help augment volumes at Dubai’s airports which benefit from a growing network and a geocentric location that allow them to tap into these global trade flows,” said Griffiths. More info 

Dubai World Central handled 89,729 tonnes of airfreight during its first full calendar year of operations.

In 2011 the gateway’s average monthly air cargo volumes totalled 7,477 tonnes compared with the 795 tonnes per month recorded during its first half year of operations in 2010.

According to figures released by Dubai Airports, cargo transit traffic accounted for 32,989 tonnes (37%) of this total volume.

Meanwhile, aircraft movements at the airport over the year hit 8,198, of which 3,609 (44%) were commercial cargo flights; 4,548 (55.5%) were test and training flights and 41 (0.5%) were general aviation operations.

During 2011, 36 airlines operated into Dubai World Central, predominantly as cargo charter operations.

Paul Griffiths, CEO at Dubai Airports, said: “Although the airport is in its infancy, incremental cargo traffic growth has been steady and continues to ramp up as new operations are launched.

“Sea to air freight traffic growth was particularly robust as airlines took advantage of the airport’s bonded link to the Jebel Ali port.

“Additionally the road feeder service operating between Dubai International and Dubai World Central facilitated the smooth flow of transit airfreight. Combined, Dubai’s two airports handled 2,279,219 tonnes of airfreight in 2011, which is up marginally from 2010.”

According to Griffiths, the new airport has a vital role to play in providing the extra capacity needed to accommodate projected growth in cargo volumes handled by the Emirate. More info

Dubai: His Highness Shaikh Mohammad Bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai, yesterday toured the Cityscape Global exhibition that is under way at the Dubai International Exhibition and Convention Centre.

Shaikh Mohammad was accompanied by Shaikh Hamdan Bin Mohammad Bin Rashid Al Maktoum, Dubai Crown Prince, Shaikh Maktoum Bin Mohammad Bin Rashid Al Maktoum, Deputy Ruler of Dubai, and the visiting chief of the Royal Court in Bahrain, Shaikh Khalid Bin Ahmad Al Khalifa.

Shaikh Mohammad visited various stands, including those of Dubai Municipality, Dubai World Central and Meraas.

At Meraas’ stand, Shaikh Mohammad met with a Chinese delegation where he was briefed by Abdullah Ahmad Al Habbai, chairman of Meraas Holding, on the Dh2 billion project that the company is implementing near the existing Dragon Mart in conjunction with China Longines investment Company.

Ambitious development

The project, called Phoenix, will be completed in 30 months, and will be three times as large as Dragon Mart, spanning an area of 8 million square metres. The Phoenix project will include various shops, a five star hotel, a car parking, and other facilities. Shaikh Mohammad congratulated Meraas on the joint investment project between the UAE and a global Chinese company. He said that the joint project is a new step forward in increasing joint investments between the two countries, especially in the private sector.

Addressing the Chinese delegation, Shaikh Mohammad described Dragon Mart as a window for China and a portal for Chinese companies into the region’s markets. He praised the strong bilateral and historic relations between China and the UAE, which he said were further strengthened by extending bridges of trade, tourism and cultural cooperation, in addition to increased joint investments which benefits both countries and peoples.

Shaikh Mohammad also received an overview of the Dragon Mart expansion project, located in Al Warqa, which will be completed in late 2012. The project will include additional shops, restaurants, and service facilities, as well as a five-star hotel and a parking lot.

Shaikh Mohammad was also briefed on The Avenue project, carried out by Meraas Holding in Al Safa street in Jumeirah.

Dubai Aviation City Corporation, Dubai World Central (DWC), the region’s first aerotropolis, announced today that it has appointed CB Richard Ellis (CBRE), the world’s largest real estate consultancy, as its global marketing and leasing agent for the DWC Office Park.

Nicholas Maclean, Managing Director, CBRE Middle East and Rashed Buqara'a, Chief Operating Officer, Dubai Aviation City Corporation

The DWC Office Park, which consists of 10 office buildings in two clusters, offers a total of 2.3 million square feet of leasable area, available in a range of occupancy levels, starting at 1,000 square feet.

Under the terms of this agreement, which was signed today by Rashed Buqara’a, Chief Operating Officer, Dubai Aviation City Corporation, and Nicholas Maclean, Managing Director, CB Richard Ellis Middle East, the real estate consultancy has been provided an international mandate to identify, attract and sign potential tenants seeking to benefit from integrated commercial space at DWC Office Park.

“We are very pleased to announce the appointment of CB Richard Ellis as our global marketing and leasing agent, which we believe will support the ongoing growth of Dubai World Central as a rapidly growing fast-cycle logistics hub,” said Buqara’a.

“The DWC project offers the seamless linking of an integrated network of road, air, sea and eventually rail, enabling a fluid transit of goods throughout the cargo chain. This network is transparent and visible and a customer can track their shipments throughout the entire shipment cycle. Today, more than 120 local, regional and international firms have already commenced operations at Dubai World Central – and another 40 have signed commitments to establish a presence here. With the support of CB Richard Ellis, we are confident that our current growth trajectory will accelerate even further.”

Among the benefits of operating from Dubai World Central are world-class commercial office space; immediate access to Al Maktoum International Airport, which commenced operations in 2010; close proximity to Jebel Ali Sea Port, the sixth-largest container terminal in the world; and links to all the main motorways in the UAE.

Commenting on the appointment Nicholas Maclean, Managing Director, CB Richard Ellis Middle East, said: “The Al Maktoum International Airport development by DWC is further enhancing Dubai’s credentials as one of the leading logistics and transportation hubs in the world, and we are proud to have been selected to manage the leasing of the office space and additional land.

“All types of companies will benefit from the Office Business Park development, as it is in the easily accessible Jebel Ali area and can be offered on a free-zone basis or not, depending on the client’s specific needs. We have already seen strong interest from a variety of companies, attracted by the high level of facilities offered – and not all of them are in the logistics sector.”

The DWC Office Business Park will offer a one stop shop for companies looking for licensing / registration of their business and financial support is also offered under certain circumstances. Companies with future expansion plans can also benefit from the abundant land surrounding the existing infrastructure.

In addition to marketing the Office Park, CBRE will also promote other business components of DWC, such logistics plots and aviation facilities.

Dubai: Dubai Duty Free (DDF), the world’s largest travel retail operation, will part-finance the development of a new concourse and terminal, part of the Dh28 billion expansion of Dubai International Airport, the world’s fourth biggest international passenger hub, a top official said.

“I am glad to say that Dubai Duty Free and Dubai Airports will mainly finance the development of Concourse 4 at Dubai International Airport,” Colm McLoughlin, Executive Vice-Chairman of Dubai Duty Free, told Gulf News in an exclusive interview.

This would be the first major investment by Dubai Duty Free in a large infrastructure project following the construction of its Dh500 million headquarters and central storage at Al Ramool and the new five-star 293-room luxury hotel at the Aviation Club.

The Dubai Government-owned entity has set up Dubai Duty Free Leisure — as a separate division to look after its leisure projects — including the Irish Village, the Century Village and the Dubai Tennis Stadium — owned by Dubai Duty Free.

Jumeirah Group will manage the hotel once it’s completed later this year.

The complex is located near a set of aircraft simulators at the Emirates Trainning College and cabin crew training facility owned by Emirates Group.

The Dubai Government last month unveiled a Dh28.8 billion plan to expand its airport that will add a fourth concourse and a terminal at Dubai International Airport’s existing 14-square kilometre site to boost its capacity to 90 million passengers per annum by 2018.

In 2010, Dubai International handled a record 47.2 million passengers, a 15.4 per cent increase over 2009. This made it the 13th busiest airport in the world by passenger traffic and the fourth busiest airport in the world by international passenger traffic.

Dubai Duty Free, which last year reported sales revenues of $1.27 billion, operates on 18,000 square metres of space at Dubai International.

It will launch operations at Dubai World Central — Al Maktoum International Airport (DWC-AMIA) — the world’s largest Greenfield airport development being developed at a 140-square kilometre patch of land in Jebel Ali, when commercial passenger flights starts operation.

It has set up a 2,500 square metres duty free operations at DWC-AMIA, ready to start.

“Besides, we will add a further 8,000 square metres of retail space in Concourse 3 when it opens in 2013 and a further 8,000 to 9,000 square metres of space at Concourse 4, that will more than double the size of our current operations,” he said.

“At the DWC-AMIA, our operations will occupy 64,000 square metres of space across two mega terminals and five concourses, when completed.”

Dubai Duty Free, the sole operator of duty free travel retail within the emirate of Dubai, was set up by the Department of Civil Aviation (DCA) with the help of a group of Irish travel retail consultants from Shannon Airport in 1983.

Colm McLoughlin was the leading member of the Irish team.

Following the six-month contract, he was requested by DCA to run the operation.

Dubai Duty Free started on December 20, 1983 with 100 employees with first-day sales reaching $44,000. The rest is history.

About 28 years later, it registers 60,000 transactions a day and sells 71 million items of merchandise every year.

“At the end of the first year of operations, our sales revenue was $20 million, slightly higher than our record-high daily sale of $18 million on December 20, 2010,” McLoughlin says.

In 2009, the ownership of DDF was transferred to the Investment Corporation (ICD) of Dubai by a Royal Decree.

Although Dubai Duty Free does not declare profits, McLoughlin said, it remains a profitable operation.

“Yes, we are a very profitable organisation,” he said.

Generally, travel retailers command about ten per cent profit on sales revenues industry-wide.

However, in countries where direct taxes are not imposed and labour costs come cheap, operational margins could be much higher.

DDF last month reported a 16.6 per cent increase in its half-year sales at $698 million (Dh2.56 billion) between January to June this year, over the same period last year.

During the first half of this year, it sold 1.34 million bottles of perfumes, 2.08 million cartons of cigarettes, 528,842 kilogrammes of Nido milk powder, 791,306 kilogrammes of Tang, 78,055 mobile handsets, 109,741 watches, 1,463 kilogrammes of gold and 512,981 kilogrammes of nuts.

About 41 per cent of the sales at DDF are conducted by credit card.

“This year, we expect to record sales around $1.45 billion and double the current level of revenues in five years,” McLoughlin said.

“We usually double our revenues every five years. Within the next five years, the Concourse 3 will become operational — which will be the biggest terminal for Airbus A380s.”

As part of its 10-year, growth projections, sales at Dubai Duty Free are expected to hit $2.5 billion mark by 2017. It has a strong corporate social responsibility arm, supporting major events.

Doing his Duty Free

Colm McLoughlin was born in Ballinasloe, Co. Galway, Ireland in 1943. Colm began his retailing career in London in the 1960′s working for the popular high-street chain of Woolworths, before moving back to Ireland to work for Shannon Duty Free. As General Manager of Shannon Duty Free, Colm was one of a team of 10 from Aer Rianta (the Irish Airport Authority) who moved to Dubai in 1983 at the request of the Dubai Government, to set up Dubai Duty Free.

Following the successful opening of Dubai Duty Free in 1983, Colm was asked to remain as General Manager of the start-up operation. Colm later became its Managing Director. Dubai Duty Free is widely regarded for having set the benchmark for the duty free industry in the region.

In July 2011, Colm was named Executive Vice Chairman of Dubai Duty Free and its subsidiary businesses, which include The Aviation Club, The Irish Village, The Century Village and the Dubai Tennis Stadium; home to the Dubai Duty Free Tennis Championships. Colm’s remit also includes the soon-to-open Jumeirah Creekside Hotel.

Under Colm’s direction Dubai Duty Free has become a retailing giant and the recipient of some 200 industry awards. During the course of his 42 years in the duty free industry, Colm himself has been honoured with several personal awards.

Colm is married to wife Breeda, and has three adult children and one grandchild.

Travel retail sales rise

Global duty free and travel retail sales grew 13 per cent to $39 billion last year, according to Generation Research, with airports accounting for $23.30 billion (59.8 per cent market share). Duty Free operations in other shops reported $10.80 billion (27.7 per cent); airlines owning travel retail operations reported $2.62 billion; (6.7 per cent); and ferries making the rest $2.26 billion (5.8 per cent).

Duty free sales at the Dubai International Airport represent nearly half of the total duty free sales in the Middle East and North Africa that last year reached $2.4 billion.

The top four duty free and travel retail locations above $1 billion in sales in 2010 were Dubai International Airport, followed by Seoul Incheon International Airport, London Heathrow and Singapore Changi.

Following the fifth successful week of Dubai Summer Surprises, the 5th lucky winner was announced after a draw was held at Shaikh Rashid Terminal of Dubai International Airport.

This week’s winner is Tahira Imtiaz who won Dh25,000 worth of Dubai Duty Free shopping vouchers. Imtiaz turned lucky through the raffle coupons she received for the purchase of gold at Dubai Duty Free when she travelled on July 23 on her way to Pakistan. Holder of coupon number 184390, Imtiaz, a Pakistani national and a mother of three, is based in Dubai but currently on a holiday in Pakistan.

Dubai Duty Free, one of the strategic partners of Dubai Summer Surprises, offers travellers a chance to win Dh150,000 in shopping vouchers. Shoppers spending Dh500 or more at Dubai Duty Free shopping complex are entitled for a raffle coupon, while those who pay using their MasterCard double their chances of winning, during the six-week period.

Emirates Airline has unveiled plans for the construction of the most technologically-advanced Engine Overhaul Shop in Asia.

The state-of-the-art Engine Shop will complement the present Test Cell Facility in Dubai and will be constructed on a 90,000 square meter piece of land at an estimated cost of US $120 million. The growth of the Emirates fleet and the subsequent number of operating engines have necessitated the need for an in-house Engine Shop in Dubai to provide the most cost-effective, efficient engine maintenance.

“The establishment of an Engine Shop reemphasizes Emirates’ commitment to provide the highest standard of in-house maintenance to its fleet, utilizing best practices,” said His Highness Sheikh Ahmed Bin Saeed Al Maktoum. “The Engine Shop will create over 500 new job opportunities, with a large percentage of these to be occupied by UAE nationals.”

The Engine Shop will have the capability of performing 300 engine repairs per annum for the GE90 and GP7000 engines fitted to the B777 and A380 aircraft. This announcement represents another milestone for Emirates Engineering in their efforts to increase engine maintenance capability in terms of volume and repairs. It is anticipated that construction will commence by first quarter of 2012 and commissioned by the fourth quarter of 2014.

Emirates has signed a Letter of Intent with General Electric (GE) to oversee the design and construction of the Shop using the most advanced technology, equipment and best practices in the industry.

“We are very pleased and proud to be working with Emirates in supporting the building of the Engine Shop and to use GE expertise in this field to introduce best industry practices in managing engine repairs,” said Mr Muhammad Al-Lamadani, Senior Executive Sales, VP GE International Inc.

Contractors hoping to prequalify for work on Dubai International Airport’s Terminal 2 expansion project have two days  to get their paperwork in.

The DACC opened the process earlier this year, with work covering the terminal’s superstructure, MEP (mechanical, electrical, and plumbing), SAS, finishes and site works.

The work will compliment other expansion projects at Dubai International Airport and, once completed in 2020, will drive annual airport capacity to 90m, a significant increase from the current 60m passengers.

The closing date for tender submissions is noon, June 23, 2011.

The GCC aviations ector is undergoing a massive growth period. Gulf nations are set to spend $90bn on airport development by 2020, with eight new runways and the refurbishment and expansion of airports and military bases.

Dubai has allocated $10bn for airport projects while Abu Dhabi has set aside $6.8bn, Qatar $11bn, Jeddah $1.5bn, Muscat $1.2bn and approximately $2.1bn in Kuwait.

Dr. Mohammed Al Zarooni, Dubai Airport Free Zone Director General, today met the Belgian Ambassador to the UAE, Anick Van Claster and discussed ways of enhancing trade and economic cooperation between the UAE and Belgium.

Dr. Al Zarooni reinforced the Dubai Airport Freezone’s strategy to attract international companies that add value to the UAE economy. He also emphasized the benefits offered by these companies by being a part of the free zone, considering that a vast majority of them target markets boasting a population of over 1 billion people.

He also pointed to the large number of European companies currently operating out of the Dubai Airport Freezone, constituting nearly 37 percent out of a total of 1450 companies.

“The Dubai Airport Freezone has worked hard to offer these companies the best of facilities and services that can help develop their trade and investment businesses,” he said, adding that there are more than 14 Belgian companies in Dubai Airport Freezone working across different investment sectors that are beneficial for the whole region.

Al Zarooni reiterated that the Dubai Airport Freezone has unmatched experience and knowledge base in working with foreign companies, with a thorough understanding of their business targets, which facilitates the way its employees deal with the clients, thus offering them all the facilities needed to support their businesses and investments. He also emphasized that the Dubai Airport Freezone is integrated with the other financial institutions in Dubai, which aim to strengthen foreign investments into the Emirate by offering an elite level of services and the best facilities to achieve the highest level of satisfaction of the investor community.

He called the Belgian Ambassador to encourage and create business partnerships between the Belgian and UAE investors to strengthen the relationship between the two countries.

Anick Van Claster reinforced that leading companies from Belgium were keen to enhance their presence in the Middle East via Dubai and the Dubai Airport Freezone in particular. She also emphasized the need for Belgian companies to take advantage of the business and investment environment offered by the UAE, especially Dubai.

She said, “We have seen a lot of interest from Belgian companies to enter the Middle East through the facilities offered by Dubai and Dubai Airport Freezone. The infrastructure that Dubai Airport Freezone and Dubai offer make them the ideal launch pad for Belgian companies eyeing investments and businesses in the region.” Claster also noted that the flexibility of investment legislations and laws offered by UAE and the free zones makes it more attractive for major European companies that are looking for new markets abroad.

She also emphasized the importance of coordination between Dubai Airport Freezone and the Trade Representative Office of Belgium in Dubai and Abu Dhabi, to stimulate more Belgian companies to benefit from the facilities and services offered by the free zone to investors and Belgian companies.

She added, “The trade relationship between the UAE and Belgium has achieved exceptional results in the last ten years.” She pointed that a majority of companies are involved in steel, ship building, textiles, plastic, jewelries, chemicals and other industries.

Dubai will be more affordable than ever this summer with the Emirates Airline global ‘Summer Smiles’ campaign. Running until 30th September, the promotion coincides with Dubai’s ‘Global Kids Go Free in Dubai’ campaign and Dubai Summer Surprises, when Dubai stores have summer sales.

Up to two children under age 12, traveling with an accompanying adult, are eligible to receive complimentary accommodation (minimum three night stay), meals in participating hotels, plus airfare discounted 50% off the adult fare. Families will have a choice of over 50 hotels and apartments in Dubai, ranging from two- to five-star, with city or beach locations, to meet every family’s need.

Also included are Meet & Assist service at the Dubai airport, airport transfers, free entry to a wide range of attractions, hotel room taxes and service charges. In addition, for guests who require visas to enter Dubai, Emirates will provide complimentary 96 hour visas for up to 2 children under the age of 12.

Emirates is partnering with the Dubai Mall to offer exclusive packages including access to the Dubai Aquarium & Underwater Zoo, Sega Republic and Dubai Ice Rink at the facility. A complimentary book of discount vouchers for use at the Dubai Mall is also available when tickets are purchased on Emirates, making fun-filled days of excitement and adventure even more affordable for families.

The Summer Smiles package also includes free entrance activities for up to two children under the age of 12 at some of Dubai’s premiere attractions; including, the Bateaux Dhow Dinner Cruise, the Big Bus Tour, Wild Wadi Water Park, Aquaventure & Lost Chambers at Atlantis, Ski Dubai, Soccer Circus, iFLYDubai indoor skydiving, the Dubai Dolphinarium, and many more.

For golf enthusiasts, activities include special discounts and free offers at the Arabian Ranches Golf Club, The Address, the Montgomerie Dubai, and at Ernie Els’ signature golf course, The Els Club. With Summer Smiles it’s possible to tailor each trip to Dubai to the traveller’s specific interests – the only limitation will be trying to decide between the great selections.

“Dubai is the ultimate leisure destination for families, with so many affordable attractions for all ages,” said Russell Sheldon, Senior Vice President Network Passenger Sales Development, Emirates. “Our promotion offers incentives and savings for families to spend their summer vacation in Dubai. The journey begins onboard an Emirates flight, with special meals for children, plus more than 600 channels of entertainment including movies, television, audio and interactive games, and the fun continues the minute you touch down and begin experiencing Dubai.”