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​​ Wales finds a new    business partner in  Arabic countries

By Yuou Chen and Abrahams Lin

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Crowds visiting the Wembley Stadium in London and the world’s largest shopping mall in Dubai can enjoy the clean and pleasant air in energy efficient buildings thanks to leading-edge systems designed and made in Caerphilly by ventilation specialist, Nuaire.

 

The Welsh-based company, which has contributed to the construction of many renowned buildings in the Middle East, mainly focuses on ventilation innovation. When it comes to doing business for Welsh companies in the Middle East, Nuaire is definitely not alone.


The business connection between Wales and the Middle East is growing very fast, especially with the United Arab Emirates (UAE), which continue to top the market for Welsh exports in the Middle East.

 

At the same time, there is an increasing supply in the energy and construction industries from the UAE to Wales. This provides extensive flexibility for more existing exporters in the UEA to expand into Welsh market.


According to a report conducted by the South Wales Chamber of Commerce, since 2004 it appears that the number of individual businesses actively involved in the UAE has been increasing over 300 per cent. There are about 100 enterprises in South Wales and a further 60 enterprises in Middle and North Wales trading with the UAE.

 

Since 2007, the export volumes to the UAE have increased 10 fold to £517 million in 2010. The UAE import in excess of 100 billion annually.
Wales First Minister said in a press release: “An increasing number of well-known Welsh companies which have established offices in the UAE, including Hyder Consulting, Hawker Siddley Switchgear, OrangeBox, Newmor. Many small and medium enterprises also have a presence.”


Referring to the fact that the UAE is the biggest business partner of Wales in the Middle East, Elgan Morgan, Project development manager of South Wales Chamber of Commerce, said the UAE has “made a lot of effort” in attracting Welsh companies and other countries to do business there.

 

According to Mr Morgan, “Confidence is the biggest obstacle” for Welsh companies to develop in the Middle East. And the South Wales Chamber of Commerce and Welsh government have been assisting Welsh companies to expand to the area.


Since 2006, 45 events have been funded by the Welsh government, an average of 4 trade missions and 3 exhibitions annually, according to the report.

 

This year, the Welsh Export Week event will be held in Cardiff from May 13 to 17, in order to discover the business opportunities for Welsh business in other parts of the world, including Qatar, which has one of the highest rates of GDP per capita in the world, backed by oil and gas.
The country, among some other regions in the Middle East, has huge potential for infrastructure developments and programme of economic diversification, which is quite tempting for Welsh companies.


In order to strengthen the business relationships with the UAE, the Welsh government is also inviting Welsh companies to attend its trade mission to Dubai after the Export Week.

 

The connection between Wales and the UAE is across a range of sectors, and the range of products that are imported is wide and varied, such as food and drink.


Food and drink producers are considering the Middle East as a growing market for Welsh produce.

 

Welsh lamb successfully entered in the UAE market in 2007 and since then has established itself as a favourite product and the demand for it is growing.


Gwyn Howells, the chief executive of Hybu Cig Cymru, a Welsh red meat promotion agency, said in a press release: “we experienced a 56 per cent increase in trade to a major retailer in the UAE in 2012 compared with the previous year.

 

“But in the first two months of 2013 alone, the volume of Welsh lamb exported to this UAE retailer is up by 185 per cent compared with the same two month period of 2012.”


Why has the UAE become the most attractive destination for Welsh meat producers? The reason may be attributed to the fact that it is one of the most popular tourism destinations and the population is growing rapidly, with 120,000 strong British ex-pat community.

 

Alun Davies, Deputy Minister for Agriculture, Food and Fisheries told Wales the True Taste: “The UAE is the UK’s largest food and drink export market in the Middle East. The Welsh Government is committed to strengthening the food and drinks sector in Wales, and I'm pleased so many Welsh companies are travelling to Dubai for this important event.”

Gulfood is the key international food and drink trade event in the Middle East, and every year many Welsh food producers display their products in this event.

 

This year, Welsh producers attending Gulfood include sea-bass supplier Anglesey Aquaculture, premium dairy company Trioni Ltd, Hybu Cig Cymru/Meat Promotion Wales, premium bottled water producer, Ty Nant Spring Water Ltd, and family-owned crisp and snack producers, the Tayto Group.


Besides, the strong links between various educational institutions in Wales and students from the Middle East also creates a potential for business.

 

According to a report by Khaleej Times, despite higher cost of living expenses and rising tuition fees, the United Kingdom is still one of the most popular education destinations for both Emirati and expatriate UAE students.


Referring to this kind of relationship, Welsh First Minister Carwyn Jones said in a press release: “Cardiff University has a presence in the UAE whilst many Emirati students study here. We want to build on these links and work closely with the UAE to make the most of the opportunities available.”


Many students from the UAE and other Arabic countries choose to take business courses in Welsh universities, which one day will surely make a difference in the building of an economic bridge between Wales and the Middle East.

​​Gulfood is the key international food and drink trade event in the Middle East, and every year many Welsh food producers display their products there.
(above)

The Arabic and Welsh populations benefit from tighter economic links.​

The Prince of Wales welcomes the president of the UAE, Sheikh Khalifa bin Zayed Al Nahyan during his visit to London on May 1 this year.

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