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Monday, November 9 - 2009

Mid-East business jet boom to fuel global order book growth, says Ahmed Bin Saeed

  • United Arab Emirates: Wednesday, July 09 - 2008 at 11:15
  • PRESS RELEASE

Soaring fuel prices are in no way restricting global jet sales due to increasing demand from Middle East customers, according to His Highness Sheikh Ahmed bin Saeed Al Maktoum, Chairman, Dubai City of Aviation Corporation - Dubai World Central, Government of Dubai.

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  • Aviation City masterplan.
    Aviation City masterplan.
Sheikh Ahmed's comments came as he announced that Dubai World Central (DWC) - the 140 square kilometre urban aviation, multi-phased development in Dubai, United Arab Emirates - would be speaking to several key business jet manufacturers at the 46th edition of Farnborough International Airshow between 14-20 July.

"The Middle East business aviation market is expected to reach $800m by 2012," said Sheikh Ahmed.

"The movement of small business planes in the Middle East is growing by 18% a year compared with the global average of 10%. This in turn is boosting global sales despite increasing fuel prices and the US credit crisis which has seen fewer Americans placing orders for private jets last year."

Industry reports expect the aviation sector to grow at more than 30% annually for the next five years and the impressive growth of over 9% for the Middle East MRO market is expected to continue over the same period, when DWC Aviation City will be the natural choice for these burgeoning companies to establish their base due to the full range of aviation services infrastructure available by then.

"The Middle East has a huge market for the business jet industry. Its share of the overall aviation market in the region is expected to double to 40% and with Dubai World Central building the region's largest executive jet terminal with an eventual handling capacity of 100,000 flight movements annually, the region will have unrestrained capacity for business aviation flights,"


explained Khalifa Al Zaffin, Executive Chairman of Dubai World Central.

According to industry watchdogs, manufacturers expect to sell over 1,250 jets this year as compared to 1,138 in 2007. Currently, there are 22 private jet operators in the Middle East.

The $1.36bn DWC Aviation City, a strategically important aviation project within DWC, which will be home to DWC's executive jet terminal and the world's largest MRO centre, has already begun attracting many of these operators to establish their base at the adjacent DWC-Al Maktoum International Airport, set to be the world's largest.

"Dubai has seen a 30% increase in executive flights in the last three years. Last year saw nearly 9,000 executive jet movements at Dubai International Airport," explained Abdulla Al Qurashi, CEO of DWC Aviation City.

"DWC Aviation City's facilities and Al Maktoum International's capacity is providing an impetus to the aviation industry - including business jet owners - to look at Dubai World Central as home. The current expansion of private aircraft fleet is expected to create a secondary market and demand for after-sales services and spare parts. This is where our project steps in as a one-stop shop for all business aviation needs," he continued.

The latest player into DWC Aviation City is XJet World - an exclusive US-based private aviation service provider who are setting up a fixed base operations (FBO) facility for business and private aircraft.

Construction on DWC Aviation City has already commenced, with start of operations planned for 2009. Al Maktoum International Airport goes live with initial operations by end-2008 and has been designed to handle in excess of 120-150 million passengers and 12 million tons of cargo annually. Infrastructure costs for Dubai World Central currently stand at $33bn.
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Notes and media contacts

About Dubai World Central:

Dubai World Central (DWC) is a 140 square kilometre urban aviation community centred around the world's largest international airport. Currently being built 40 kilometres from the existing Dubai International Airport the project is almost twice the size of Hong Kong Island.

DWC creates a new benchmark in urban planning and destination living designed to support Dubai's aviation, tourism, commercial and logistics requirements until 2050 and represents one of the most important developments in the history of the United Arab Emirates.

Eventually home to 900,000 people, DWC will be true 'city-within-a-city' with all the amenities that make up a world-class residential destination.

DWC, with infrastructure costs estimated at US $33 billion, comprises six specialized clustered zones: Al Maktoum International Airport, Dubai Logistics City (DLC), DWC Commercial City, DWC Residential City, DWC Aviation City and DWC Golf City.

DWC is endorsed by the Government of Dubai and is chaired by His Highness Sheikh Ahmed bin Saeed Al Maktoum, Chairman of the Dubai City of Aviation Corporation - Dubai World Central, Government of Dubai.

About Dubai World Central components:

Al Maktoum International Airport when completed will be the world's biggest passenger and cargo hub, with a capacity of 120 million passengers and more than 12 million tonnes of cargo annually. The airport will have six parallel runways and as many concourses with a 91 metre high control tower that will be an aviation landmark in the Middle East.

Dubai Logistics City (DLC) will be part of the world's first truly integrated multi-modal logistics platform in a single-bonded free zone environment made up of DLC, Al Maktoum International and Jebel Ali Port. It is designed as the region's unchallenged logistics hub catering to some two billion people throughout the Middle East, Indian Sub-continent, Africa and the CIS, all within three-to-four hours flying time from Dubai.

DWC Aviation City will be the region's premier centre of excellence for aviation manufacturing, MRO, aviation support services and consultancy, research and development, training, aviation products and parts and high tech industries. It is a unique concept to establish a complete aviation cluster in one area to cater to the region's aviation growth. It is strategically located to provide clients access to emerging markets as well as servicing the fast growing Middle East market.

DWC Commercial City will be DWC's business and finance hub featuring more than 850 towers, ranging from 1 - 45 storeys in height. The city, expected to employ 130,000 people, will also boast 25 hotels ranging from deluxe, through to five-star, four-star and three-star properties.

DWC Residential City will include a mix of five-ten storey mid-cost apartment blocks. Up to 250,000 people are expected to live in this 'city'. A special staff village will house blue-collar workers within high-quality accommodation.

DWC Golf City will feature two 18-hole golf courses, extensive practice facilities, driving ranges, putting greens, a luxury clubhouse with restaurants and a pro-shop. Over 5,000 freehold homes will surround the courses. The resort will also feature a high-end boutique hotel.

For more information on DWC please contact:
MCS/Action, PO Box 20970, Dubai, United Arab Emirates

Gladson Ronad
Tel: +9714 390 2960; Fax: +9714 390 8161 Mob: +971 50 4533479

or

Fouad Kassem
Tel: +9714 390 2960; Fax: +9714 390 8161 Mob: +971 50 6324150

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