Dubai Logistics City woos Indian investment

"The UAE is India's second largest trading partner in the Arabian Gulf and practically lies on the doorstep of the Indian market - just two-hours flying time away," said Michael Proffitt, CEO, Dubai Logistics City. "With the country undergoing massive deregulation and huge pro-activity in attracting foreign direct investment, largely through outsourced operations, it is high on our tenant target list.

"You can't pick up a global business magazine these days without many column inches devoted to predictions of the Indian economy becoming the world's fastest growing over the next few years, of it shortly ranking among the world's top five industrialised nations in the world and a global services hub by 2015.

"As India reaches out globally, and its domestic market with the world's second largest population becoming a consumption monolith, we have to position DLC as a one-stop logistics shop both inbound to the giant republic and outbound to the consumer hungry markets of the West."

India is fast emerging as a global air cargo leader with current annual airfreight growth at 18% and analysts projecting that Indian exports will touch US$150 billion by 2008-09. India also has commercial fleet-agreements endorsed for delivery of 490 aircraft worth US$30 billion during the next decade.

"This is a market we would ignore at our peril," warned Proffitt.

"With the Indian government liberalising foreign direct investment policy most western economies have begun to rank the country as an important economic partner. According to the World Investment Report 2005, India is today ranked the second most attractive global business destination."

At Air Cargo India, Dubai Logistics City intends to deliver a compelling business case to win over investors, tenants and industry operators.

"India's own business proposition of cost-competitiveness in outsourcing and production can now be further honed by the DLC case of bettering the bottom-line and accessibility of these very producers," said Proffitt.

"India is almost running head-to-head with China as the premier low-cost manufacturing superpower and the inclusive, consensual approach to reform and liberalise in terms of supply chain management mirrors DLC's ambitions for growth until 2050 and beyond, meaning both India and DLC can harmoniously grow in terms of increased air cargo operations and greater sea-air capacity," added Proffitt.