Sheikh Hamdan Highlights Jafza's Crucial Role in Dubai's Economic Evolution as a Trade Nexus
In a momentous acknowledgment of the Jebel Ali Free Zone (Jafza), His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, the Crown Prince of Dubai and Chairman of The Executive Council, underscored Jafza’s integral position in Dubai’s trajectory as a global trade hub. Over the past two decades, Jafza has emerged as a beacon of economic growth, drawing in over AED 110 billion (approximately USD 30 billion) in total investments and accounting for an impressive 36 percent of Dubai’s Gross Domestic Product (GDP). This formidable stronghold operates as part of an integrated system known as the Jebel Ali ecosystem, which plays a vital role in national economic initiatives, including the Dubai Economic Agenda D33, Operation 300bn, and Make it in the Emirates.
From its humble beginnings in 1985 with just 19 businesses, Jafza has undergone a staggering transformation, now hosting over 11,000 companies from 157 nations, including an impressive array of over 100 Fortune 500 firms. In 2024, Jafza facilitated an astounding AED 713 billion (USD 194.1 billion) in non-oil trade, marking a robust 15 percent annual growth compared to the previous year. Notably, the free zone attracted 74 percent of the emirate’s Foreign Direct Investment (FDI) within vital sectors of manufacturing, trade, and transportation in 2023.
A Pillar of Economic Diversification and Resilience
During the recent milestone event, Sheikh Hamdan articulated Jafza’s role as a cornerstone in Dubai’s developmental strategy. He praised the achievements of DP World, the management corporation overseeing Jafza’s operations, for not only functioning as a catalyst for economic diversification but also for fostering innovation and resilience within the UAE’s economic framework. He stated, “We take pride in what DP World has achieved through Jafza—not only in supporting economic diversification and expanding the investment base, but also in its active contribution to building a resilient economic system that keeps pace with global challenges.”
As Dubai continues to navigate the complexities of the modern economic landscape, Jafza emerges as a vital component in shaping the future of trade. Sheikh Hamdan envisions an even more substantial role for Jafza, leveraging an ecosystem characterized by integrated services and comprehensive multimodal connectivity—whether by land, sea, or air.
Celebrating Four Decades of Progress
The year 2024 marks Jafza’s 40th anniversary, a significant milestone that celebrates not only its growth but also its collaborative essence that has bolstered Dubai’s economic landscape. Established under the auspices of the late Sheikh Rashid bin Saeed Al Maktoum, and officially sanctioned by royal decree in 1985, Jafza has served as a paragon for free zone development, setting standards that are now emulated globally.
In commemoration of this landmark occasion, Jafza plans to introduce a special logo, alongside a series of community-centric activities and industry events, aiming to engage and sustain relationships with its diverse clientele and business partners throughout the year.
Covering more than 539 million square feet, Jafza’s robust land bank offers unparalleled multimodal logistics connections. Previously, the Jebel Ali Port, which ranks among the world’s busiest ports, has underscored Jafza’s standing as one of the most advanced logistics hubs around.
A Hub of Employment and Talent Development
Jafza stands as a critical employment generator, providing jobs to over 160,000 individuals across a wide spectrum of industries—ranging from logistics to advanced manufacturing. In 2023 alone, the combined efforts of Jafza and Jebel Ali Port yielded over one million direct and indirect jobs, which amounted to 27 percent of Dubai’s overall employment, with nearly 40,000 roles dedicated to UAE nationals.
His Excellency Sultan Ahmed bin Sulayem, chairman and CEO of DP World, highlighted Jafza’s foundational significance as a growth engine for Dubai’s economy, stating, “Through four decades of infrastructure investment and innovation, Jafza has become a crucial engine of growth.” Abdulla Bin Damithan, the CEO of DP World GCC, emphasized the importance of customer commitment, revealing a 17 percent increase in new businesses operating from Jafza within the past year.
A Blueprint for Global Trade and Sustainability
In 2024, Jafza was distinguished as the top global free zone by the Financial Times’ fDi Intelligence, further solidifying its reputation on the world stage. The pioneering model established in Dubai has been replicated across various countries, including the Dominican Republic, Somaliland, and the United Kingdom, facilitating foreign investment and infrastructure development worldwide.
To address the pressing concerns of sustainability, Jafza is committed to achieving carbon neutrality by 2040 and net-zero emissions by 2050. It operates using renewable energy sourced through International Renewable Energy Certificates (I-RECs) from the Dubai Electricity and Water Authority while also overseeing the largest rooftop solar project in the Middle East. Additionally, it aims to divert over 80 percent of its waste from landfills by 2026, bolstering the UAE’s commitment to a circular economy.
In its forthcoming decade, Jafza continues to champion innovation and customer-focused solutions, setting ever-higher standards for free zones around the globe. This journey of economic evolution illustrates Dubai’s tenacity and dedication to reshaping the principles of global trade within an increasingly interconnected world.
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