São Paulo – Building material has become more expensive in Abu Dhabi, the capital of the United Arab Emirates. According to the Statistics Centre Abu Dhabi (Scad), as quoted by Dubai’s Gulf News, prices rose in September compared with the same month of last year because demand outstripped the supply. “The figures show that demand for building material grew in the Emirates,” the local economist Mohammad Amerah told the newspaper.
In this scenario, Big 5, the Middle East’s leading building industry fair, will be held from November 21 to 24 in Dubai. Once again, the fair will feature a Brazilian pavilion organized by the Arab Brazilian Chamber of Commerce and the Brazilian Export Promotion Agency (Apex). There are still openings for companies interested in exhibiting (view details below).
According to the Scad, the sharpest increase in September was that of transport equipment rental, at 37.7% compared with the same month of 2010. Next came apartment wiring, which grew by 27.1% using the same basis of comparison, driven by an increase in electric wire prices.
The prices of tiles and marble increased by 21.5%; and sand and other concrete mixing ingredients’ prices rose by 21.4%. The Scad conducts a monthly survey of the prices of 21 construction industry products and services.
“Prices of building materials are rising because of an increase in prices of building materials in the country of origin,” said Amerah according to the Gulf News. A significant share of the items used at construction sites in the Gulf is imported. “It may also be due to retailers increasing their prices to increase their profit margins,” added the economist.
However, the prices of some products have decreased in September as against the same month of 2010, such as glass (21.3%), stainless steel bowls (11.7%) and molding (4.5%).
Prices have also gone up in the third quarter compared with the second. As examples, Gulf News cited steel (10.2%) and cement (8.6%).
Dubai
In Dubai, according to newspaper Emirates 24/7, real estate deals totalled nearly US$ 10 billion in the first half. Based on figures from the Dubai Land Department, the publication informs that the leading buyers of apartments and plots include locals and people from India, Britain, Russia, the United States, Pakistan and Iran.
In November, the Big 5 will provide a measure of how the industry is doing. In addition to local businessmen, it receives visitors from the entire region and from outside of it. Brazilian companies whose attendance has been confirmed include Deca, for metals and sanitary ware, Itagres, for granite, Metalúrgica Fênix, for metal frames, ALM, a trading company that deals in eco-friendly doors, and Astra, for bathroom products. Some of these companies will occupy more than one booth.
Aside from exhibiting, companies in the Brazilian pavilion will be entitled to one breakfast attended by 150 local buyers selected by the fair’s organizers. Should the company not wish to have a booth, it may enrol only to attend breakfast with the businessmen.
Further information
Arab Brazilian Chamber of Commerce
Tel.: (+55 11) 3147-4139, Clarissa
Email: camadio@ccab.org.br
*Translated by Gabriel Pomerancblum
