Director General’sMessage

For all those who call the UAE home, the celebration of the 41st National Day on December 2nd, was an opportunity to reflect upon their bonds and ties with the nation and pay tribute to the UAE’s unique vision of progress.

Over the course of 41 years, the UAE has been shaped by numerous landmark achievements in developmental, economic and social spheres that have catapulted it into the ranks of advanced nations.

This achievement is largely due to the UAE Vision of creating a sound business environment that provides an attractive proposition for global companies to establish a presence in the region. The setting up of free trade zones has been a major driver of economic development and inward investment in the region.

By incorporating a responsible regulatory environment, world class infrastructure and innovative products and services that enhance commodity trade flows, and contributing to the overall growth of the nation, the Hamriyah Free Zone Authority has evolved as one of the leading success stories of the UAE.

From a 76-member company in 2000, today we have attained strength of about 5,700 with customers and investors comprising 150 varied nationalities spread across six continents.

At HFZA, we are passionate about our business, and as we stand on the threshold of a New Year,

our focus will be on maintaining strong growth by continuing to introduce outstanding services and products for our investors and community.

We firmly believe that conducting responsible business practices effectively is the sincerest way to foster peace amongst nations, promote economic development and increase social harmony. Our mission is to adopt responsible and open working methods as we move forward in our next phase of growth.

It is also a matter of great pride and achievement to be at the helm of a company where corporate social responsibility (CSR) is a central consideration in investment decisions.

Our focus on the environment, human capital and the community will, I believe, enhance stakeholder relationship, contribute to a healthy bottom line and lead to long-term sustainability.

HFZA’s goal is to create a robust business environment that enables creativity and entrepreneurship. Our efforts towards achieving excellence and providing the best quality of services is a testament to our commitment and dedication that is in line with the UAE’s Vision 2021.

A very Happy New Year to you all!

Warm Regards,

Dr. Rashid Al LeemDirector General

HFZA News

HFZAHonour

SpecialFeature

Events

HFZA Celebrations

Inside Story

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A quarterly newsletter from Hamriyah Free Zone Authority Issue 24 (January - March 2013)

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HFZA inks MoU with Italian Bank

Hamriyah Free Zone Authority has signed a Memorandum of Understanding (MoU) with Intesa Sanpaolo Bank, Italy’s largest retail lender, on November 11, 2012. The MoU was signed by H.E. Sheikh Khaled bin Abdullah Al Qasimi, Chairman Department of Seaports & Customs, Government of Sharjah and Dr. Marcello Sala, Executive Vice President of Intesa Sanpaolo in the presence of Dr. Rashid Al Leem, Director General Sharjah Department of Seaports & Customs and Sharjah Free Zones Authority, H.E. Giovanni Favilli, Consul General at Consulate General of Italy, Dubai and senior staff members from both parties.

According to Dr. Al Leem, “The MoU seeks to enhance cooperation and coordination between the two parties in business and aims to facilitate the participation of Italian businesses in HFZA. The MoU will further provide greater market access for HFZA and enable it to strengthen its name globally.”

“The Middle East is one of the two most strategic regions for the bank,” said Marcello Sala. The other region, he added, is central Europe.

“There is a lot of business by Italian companies in this region. You cannot help your clients get into these countries if you are not there,” said Sala, at the signing of the MoU with HFZA.

Exploring global partnerships in Turkey

With 750 participating firms, 5,000 foreign businessmen from 84 countries, and 175,000 domestic visitors, the 14th MUSIAD International Trade Fair held from 11-14 October 2012 in Istanbul, Turkey, served as a great networking event for Hamriyah Free Zone Authority to meet with potential investors and present opportunities for business cooperation and global partnerships.

At the event, inaugurated by Turkish Prime Minister

Recep Tayyip Erdogan, HFZA officials Omar Al Leem, HFZA commercial officer and Ali Al Jarwan, Head of Sales, met with visiting business dignitaries and other government officials to enhance commercial cooperation in various sectors such as food products, wood industry, chemicals, electronics and manufacturing.

“High-ranking officials from the public and private sectors in Turkey visited the HFZA stand and expressed appreciation for

our participation in the event,” said Omar Al Leem. “Many were keen to know about the infrastructural facilities and other amenities offered at the Free Zone. We had a lot of serious enquiries and are following up with them.”

The HFZA delegates held more than 50 meetings during the exhibition and also visited several Turkish companies. In their meetings, the officials raised awareness of the various competitive incentives of investing in the Free Zone.

Omar Alleem, HFZA commercial officer, presents a souvenir to a guest at the 14th MUSIAD International Trade Fair in Istanbul, Turkey.

Dr. Rashid Al Leem advocates the need to think big and act fast at the 10th edition of Franchise India 2012 in New Delhi.

Encouraging a culture of entrepreneurship

As the driving force in transforming Hamriyah Free Zone Authority from a 76-member company in 2000 to its current strength of about 5,700 with customers and investors across six continents, Dr. Rashid Al Leem, Director General Sharjah Department of Seaports & Customs and Sharjah Free Zones Authority was invited as keynote speaker at the 10th edition

of Franchise India 2012 to highlight the role and major opportunities and challenges faced by entrepreneurs.

Sharing his leadership expertise on achieving business excellence even amidst the throes of the global financial crisis, Dr. Al Leem described his experience in building up a multi-million dollar organization from scratch. He said, “The

challenge for entrepreneurs today is hyper competition, a key feature of the new global digital economy. It is not about big versus small; the challenge lies in tougher and smarter competition. Only the most adaptive and quick-thinking organizations will survive.”

The Franchise & Retail Show was held from November 3-4, 2012 at New Delhi, India.

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Hamriyah Free Zone Authority was a key participant at the GCC-Malaysia Trade Investment Forum that kicked off on October 15, 2012 at Kuala Lumpur. Speaking at the event, Dr. Rashid Al Leem, Director General Sharjah Department of Seaports & Customs and Sharjah Free Zones Authority, said: “The

GCC is an attractive market for Malaysia and HFZA has received a strong response from the business communities here. We look towards expanding cooperation in key areas particularly, small and medium enterprises (SMEs).”

Giving a special presentation on ‘Regional Development Authority - The Hamriyah

Experience’, Dr. Al Leem highlighted HFZA’s success in attracting dynamic entrepreneurs to the region. There are currently 5,700 companies from across 150 countries operating within the Free Zone. “HFZA has also brought in more than US$6bn in foreign direct investment to the region,” he added.

Dr. Rashid Al Leem shares his vision of sustainable development at the India Global Summit on MSME 2012 in New Delhi.

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Email: info@phoenixdxb.com Web: www.phoenixdxb.com

Dr. Rashid Al Leem calls for expanding cooperation in key areas between HFZA and Malaysia during the first GCC-Malaysia Trade Investment Forum held at Kuala Lumpur.

As guest speaker at the India Global Summit on MSME held in October at New Delhi, Dr. Rashid Al Leem, Director General Sharjah Department of Seaports & Customs and Sharjah Free Zones Authority shared his vision on Sustainable Development for Micro, Small & Medium

Enterprises (MSME) and outlined HFZA initiatives to strengthen the MSME sector.

He highlighted the relevance of sustainable development which, he said, “is about the simultaneous achievement of economic, social and environmental objectives.”

With a vision to become a sustainable free zone in the region, HFZA has been moving towards commercialization of green technology and supports UN initiatives while its Green Team has been continually creating awareness on sustainable practices, he added.

Focus on sustainable future for MSMEs

Spotlight on ‘The Hamriyah Experience’ HFZA features on BBC WorldAs part of the marketing strategy and brand building efforts of the Hamriyah Free Zone Authority, Dr. Rashid Al Leem, Director General Sharjah Department of Seaports & Customs and Sharjah Free Zones Authority was interviewed by BBC World English Channel for its Middle East Business Report segment that was broadcast to an international audience on Friday, November 16, 2012.

The BBC report described HFZA as a destination that attracts big industrial firms and plenty of small firms as well. In his interview, Dr. Al Leem said that “HFZA is growing 20 to 30 per cent each year.”

“Investors don’t like to see red tapes,” he said, responding to a question. “They like to see red carpets all around. This is what drives them, so we try to facilitate as much as we can.”

Brushing aside the existence of cut-throat competition amongst free zones, Dr. Al Leem said, “Personally, I look at what HFZA is unique at, and then build on it. I don’t enter into competition or emulate other free zones. For me, the UAE is one unit; so if the investors come to Dubai or Fujairah or Hamriyah, I am happy about it.”

The business report also delved into whether it was just a matter of cost and convenience that made businessmen choose one free zone over the other.

The programme featured a HFZA investor describing how it is possible to get a new business licence at HFZA within a day’s time, stating this as the chief reason why he continues to choose HFZA for all his business ventures.

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As one of the most versatile and adaptable of materials, steel is the framework that holds every aspect of our lives together. From the cars we drive and the buildings we work in, to our electricity-power-line towers, natural-gas pipelines, or modern roads, bridges and railways - steel is vital to every type of infrastructure imaginable. Indeed, the backbone of developed economies was laid on the strength and inherent uses of steel.

Today, steel production is 20 times higher as compared to production of all non-ferrous metals put together.

However, the degree to which it maintains its dominant position will depend on how well we exploit its potential by developing new technologies for higher, adaptable grades.

Global Outlook

According to the World Steel Association, global steel demand is expected to grow by 3.2 per cent in 2013 as compared to 2.1 per cent

this year but this growth is dependent on recovery in key markets like China and euro-zone economies.

The ongoing slowdown in demand in China, the world’s largest producer and consumer of steel, is exacerbating the industry’s outlook. Similarly, sovereign debt problems continue to drag on the EU economy. However, steel use is expected to expand in Japan, the second-biggest steel producer, by 2.2 per cent this year chiefly because of reconstruction efforts in the wake of the March 2011 earthquake and tsunami.

Demand has picked up in the US market in recent months largely due to improvements in the construction sector, a relatively better-than-expected development in the automotive industry, and expanding energy production, according to the report.

Catalyst of growth in the Middle East

The buoyancy of the construction, infrastructure

and oil & gas sectors in the Middle East has resulted in an increased demand for steel in the region.

Opportunities abound as multi-billion dollar projects are under way particularly in the UAE, Qatar and Saudi Arabia and many more in the planning stage by both the public and private sectors during the upcoming five years.

The World Steel Association expects the Middle East and North Africa to see steel consumption grow 4.9 per cent this year after a 2 per cent drop last year following political turmoil that disrupted manufacturing activity in the region.

World Steel also expects growth in this region to accelerate further in 2013, with apparent steel use up 6.7 per cent to 66.9 million metric tons.

“UAE Steel Industry Analysis”, a research report published late last year reveals that the apparent consumption of finished steel products in the UAE is expected to reach more

than 8 million metric tons by 2014-end.

Real estate projects in Dubai and Abu Dhabi are currently the key driving forces behind the growth of the UAE steel industry. Government initiatives towards diversifying the economy have also played a critical role in promoting investment and growth in the steel industry.

Steel City at HFZA

Demand for steel products have surged immensely over the past few years in the UAE, backed by construction boom, growth in the real-estate investment, and rising income level.

With $3 trillion worth of infrastructure projects currently underway in the GCC, the demand for steel and its allied industries are peaking.

To maximize the high potential of the buoyant steel market in the region, Hamriyah Free Zone has allocated 30 prime plots of land of 5,000 sq m each, dedicated to cater to the needs of this ‘new economy’.

Steel: The backbone of society

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In recognition of his contributions in promoting and accelerating trade relationship between GCC and Malaysia, Dr. Rashid Al Leem, Director General Sharjah Department of Seaports & Customs and Sharjah Free Zones Authority was honoured by Tun Dr. Mahathir Mohamad, the 4th Prime Minister of Malaysia on the opening day of the first GCC-Malaysia Trade Investment Forum held in October at Kuala Lumpur.

Trade between GCC countries and Malaysia increased from $10.5 billion in

2010 to $13.4 billion in 2011, and it grew 12 per cent between January and July 2012. Negotiations are currently on for the national-level cooperation to mature into a free trade agreement in the near future.

Dr. Mahathir thanked all GCC leaders for the increased economic and trade ties between GCC and Malaysia, and called for more innovative ways of doing business to cement a strong foundation for the future.

At the event, Dr. Al Leem gave a special presentation titled ‘Regional Development Authority - The Hamriyah Experience’

wherein he drew attention to Sharjah’s growing significance as an investment hub and stressed the need for enhanced bilateral cooperation between GCC and Malaysia.

Highlighting the success of Hamriyah Free Zone Authority, reputed to be a “hotbed for entrepreneurs”, he detailed how it has now grown to encompass 5,700 companies from across 150 countries.

The Free Zone has attracted investment of more than US$6bn in foreign direct investment to the region thereby strengthening its enviable position as one of the fastest-growing business hubs in the Middle East, he added.

Amongst the most notable Malaysian business entities operating in HFZA is Eversendai, a structural steel turnkey and power-plant contractor. HFZA’s participation in the Forum sought to strengthen and expand its ties with Malaysia through new opportunities for exporters, investors and service providers. The GCC is an attractive market for Malaysia and by highlighting business opportunities, the two partners hope to trigger an increased flow of trade and investment between Asian and Gulf nations.

Hon. Dato’ Mukhriz Mahathir, Deputy Minister of International Trade & Industry Malaysia, formally inaugurated the Forum that was attended by more than 200 GCC investors, venture capitalists and notable corporate captains.

Honour for boosting GCC-Malaysia trade ties

Dr. Al Leem is Environmentalist of the Year

Dr. Rashid Al Leem is honoured by Tun Dr. Mahathir Mohamad, the 4th Prime Minister of Malaysia in recognition of his efforts in promoting trade relationship between GCC and Malaysia during the first GCC-Malaysia Investment Forum held at Kuala Lumpur.

Recognised as Environmentalist of the Year 2012 for his contribution towards sustainable development, Dr. Rashid Al Leem, Director General Sharjah Department of Seaports & Customs and Sharjah Free Zones Authority was conferred the Global Leadership award 2012 by Honorable Datuk Seri Ismail Sabri Yaakob, Malaysian Minister for Domestic Trade, Co-operatives and Consumerism at an official ceremony in Kuala Lumpur, Malaysia.

“It is a great honor to be recognized as Environmentalist of the Year and win the prestigious Global Leadership Award,” said Dr. Al Leem.

“It has deepened my commitment to HFZA and strengthened my spirit to work harder in enhancing the global status of the Free Zone as one of the most sustainable free zones in the world.

“It is my sincere hope that the Award will serve as an encouragement and inspiration to other Muslim business leaders to strive, innovate and develop more businesses within the Islamic nations of the world.”

The Global Leadership Award is Malaysia’s

most prestigious award, an extension of the Malaysia Business Leadership Awards. Achievements in over 35 categories were

honored for exemplary contributions toward economic development in the time of global meltdown.

Dr Rashid Al Leem is recognized as Environmentalist of the Year 2012 and bestowed the Global Leadership Award 2012 by the Honorable Datuk Seri Ismail Sabri Yaakob, Minister for Domestic Trade, Co-operatives and Consumerism in Malaysia. Looking on is Abdul Rahim Hasan Naqi, Secretary General, Federation of GCC Chambers of Commerce & Industry (FGCCC).

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Hamriyah Free Zone Authority (HFZA) paid glorious tributes to the UAE’s national culture and heritage over a three-day event held to mark the 41st anniversary of the National Day celebrations. The series of events organized from November 27 to 29 at the HFZA headquarters, aimed to harness national sentiments by paying homage to the spirit of the country’s unification.

“Through our celebrations, we are looking to showcase the excellence of our nation, its culture, heritage and authenticity in an innovative and exemplary manner,” remarked Dr. Rashid Al Leem, Director General Sharjah Department of Seaports & Customs and Sharjah Free Zones Authority, while addressing HFZA investors and customers, employees, and other distinguished guests at the event.

In his speech, Dr. Al Leem congratulated the visionary leadership of the UAE and its people on the momentous occasion, adding that the UAE has served as a model of progress, development and success in line with the vision of its illustrious founding rulers. The National Day celebrations exemplify the true national unity among the seven emirates and reflect the people’s pride and passion for the nation, he said.

This was aptly demonstrated by school students who put up a show that showcased the spirit of union that binds all the seven emirates together.

While seven children extolled the virtues of each of the emirates, an eighth participant drove home the message about the unified spirit derived from the vision and legacy of the founding father of the UAE, the late Sheikh Zayed bin Sultan Al Nahyan. Holding high a national map incorporating a message from the Holy Quran that said ‘Hold together for in unity lies our strength’, the UAE was represented as a unified nation and a power to reckon with.

A major attraction at the event was the representation of the UAE flag by HFZA investor, the Siddco Group, which does plastic conversion as one of its core businesses. Using 4,932 bottles painted in the colours of the UAE national flag, Siddco created a massive display measuring a total length of 105 metres with a height of 2.5 metres.

Yet another gigantic display came in the form of a 8m x 6m logo of the UAE featuring the country’s national bird, the falcon, which was created by Al Qawarib Wood Industries FZE, a saw mill and wood processing unit in HFZA.

The two companies are in the process of inviting the Guinness World Records for official recognition.

Amongst the other highlights of the three-day event was the Heritage Tent that brought alive traditional UAE customs for visitors and HFZA employees and spoke volumes of the rich, Arab culture. Apart from a display of Emirati handicrafts,

visitors also engaged in watching performances of Yola dancers and sampled traditional Emirati breads and sweets such as khameer and luqaymat dumplings.

A specially constructed play area for children included several art and craft activities, face painting, etc that enlivened the celebrations.

While acknowledging the support, help and contribution of each of the HFZA employees, Dr. Rashid Al Leem noted in his concluding message that the team spirit he witnessed “embodied strongly the concept of unity among the people of the country.”

The UAE’s success is in large part due to its commitment to uplifting the unique Emirati spirit in all its endeavours and this was commendably demonstrated at the National Day activities hosted by HFZA.

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HFZA pays homage to the Spirit of the Union

Sheikh Khaled bin Abdullah Al Qasimi, Chairman Department of Seaports & Customs, Government of Sharjah and Director General Dr. Rashid Al Leem, are seen with senior HFZA officials in front of the UAE national logo specially created to mark the 41st anniversary celebrations of the UAE National Day.

Key Sponsors

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On his visit to the National Small Industries Corporation (NSIC) Training cum Incubation Center in New Delhi, Director General Dr. Rashid Al Leem presented a souvenir to Dr. H.P. Kumar, CMD, NSIC, in appreciation of his efforts in creating self-employment opportunities through the Incubation program of NSIC.

Omar Alleem, HFZA Commercial Officer, presents a souvenir to a high level team of Chinese delegates representing Beijing Municipality, Construction, Technology and investments sectors in China on their visit to HFZA seeking to develop partnership between the two countries.

M. M. Abdul Raheem, Hon. Consul General of Sri Lanka for Dubai and Northern Emirates receives a souvenir from Director General Dr. Rashid Al Leem during his visit to HFZA to discuss strengthening of investment promotion between the two countries.

H.E. Sheikh Khaled bin Abdullah bin Sultan Al Qasimi, Chairman Department of Seaports & Customs, Government of Sharjah inaugurated the 33rd edition of the MidEast Watch & Jewellery Show at Expo Centre, Sharjah on October 2, 2012 in the presence of Director General Dr. Rashid Al Leem, senior officials of the Sharjah Chamber of Commerce & Industry, members of trade associations, and diplomats.

HFZA Food Court has expanded its culinary options with the inauguration of Mizone, a contemporary international restaurant, by Director General Dr. Rashid Al Leem on October 1, 2012.

At the first GCC-Malaysia Trade Investment Forum held at Kuala Lumpur in October, Director General Dr. Rashid Al Leem is seen with Honorable Datuk Seri Ismail Sabri Yaakob, Minister for Domestic Trade, Cooperatives & Consumerism Malaysia and Hon. Khalil Al Khonji, Chairman, FGCC Chamber.

Seeking new business opportunities and partnerships, HFZA’s participation at the GCC-Malaysia Trade Investment Forum in October led to the signing of an MoU worth RM 100 million with Al Sakkaf Holdings Malaysia. Director General Dr. Rashid Al Leem and Hon. Khalil Al Khonji, Chairman, Federation of GCC Chambers joined the signing ceremony.

Director General Dr. Rashid Al Leem’s meeting with Dr. R.K. Pachauri, 2007 Nobel Peace Prize winner and Director General, The Energy & Resources Institute (TERI), New Delhi culminated with the decision to sign an MoU for a joint association and cooperation in several core fields of sustainable development activities.

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At the ‘Al Wafaa Day’ ceremony held in Sharjah on Monday, 26th November to mark the 41st anniversary of the federation, a new world record was created that gained entry to the Guinness World Records.

More than 4,000 people came together in a gathering held under the theme “Loyalty Day” to form the largest picture mosaic depicting UAE President H.H. Sheikh Khalifa Bin Zayed Al Nahyan and H.H. Dr. Sheikh Sultan Bin Mohammed Al Qasimi, Supreme Council Member and Ruler of Sharjah and Their Highnesses, the Supreme Council members and the Rulers of the emirates embedded in the UAE flag.

The picture measured 80 metres long and 40 metres wide and was verified as a new

record which breaks the previous world record set last October by 1,936 people.

This unique event, organized by the General Command of Sharjah Police and the Police Academy of Sciences, was held in the presence of H.H. Sheikh Sultan Bin Mohammed Bin Sultan Al Qasimi, Crown Prince and Deputy Ruler of Sharjah and Chairman of the Board of Academy of Police Sciences in Sharjah.

H.E. Sheikh Khaled bin Abdullah Al Qasimi, Chairman Department of Seaports & Customs, Goverment of Sharjah and H.E. Dr. Rashid Al Leem, Director General Sharjah Department of Seaports & Customs and Sharjah Free Zones Authority were amongst the other

dignitaries at the record-breaking event.

The UAE flag, in which was embedded the images of the leaders, were formed by the participation of more than 21,000 national and expatriate students from various schools and universities of Sharjah.

According to Dr. Al Leem who witnessed the unique spectacle, “The UAE flag is a symbol of our country’s dignity and prestige and we will always hold it high. The formation of the largest picture mosaic of the leaders who are leading us onward the path of progress and prosperity is a symbolic expression of the community’s true love for the nation and its visionary leadership.”

Sharjah sets new world record on ‘Loyalty Day’

Contact :

For internal circulation only. This publication may not be reproduced or transmitted in any form in whole or in part without the prior written permission of HFZA. The publisher will not accept liability for any errors or omissions contained in this issue. 2013 HFZA. All rights reserved. C

Tel. : +971 6 526 3337 E-mail : Naveed@hfza.ae Fax : +971 6 526 3444 Website : www.hfza.ae

Hamriyah Times is an in-house Newsletter published by HFZA. For private circulation only.

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H.H. Sheikh Sultan bin Mohammed Al Qassimi, Crown Prince and Deputy Ruler of Sharjah, Chairman of the Sharjah Executive Council recognizes the efforts and initiatives of H.E. Sheikh Khaled bin Abdullah Al Qasimi, Chairman Department of Seaports & Customs, Government of Sharjah and H.E. Dr. Rashid Al Leem, Director General Sharjah Department of Seaports & Customs and Sharjah Free Zones Authority on the occasion of the ‘Al Wafaa Day’ ceremony held to commemorate the 41st National Day.

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