Aussies prioritise Mid East autoparts market

The Victoria-based company will launch its regional sales and marketing drive at Automotive Aftermarket Middle East (AAME) 2003, Dubai's annual international trade show for automobile parts, accessories, tyres, batteries and garage equipment, to be held at the Airport Expo, Dubai, from March 25-27.

At the show, Pedders Suspension, that began life 50 years ago as a backyard welding workshop in Melbourne, will offer exclusive distributorships throughout the region to spearhead its expansion plans.

'To date we have had very little penetration in the Middle East market. We now feel it is time to expand our boundaries and to explore opportunities in the region,' said Andrew Sanders, Export Manager, Pedders Suspension.

Pedders Suspension will be housed in the Australian Automotive Aftermarket Association (AAAA) supported national pavilion at AAME 2003.

Also among the participating Australian companies will be fourth-time exhibitor Mackay Consolidated Industries, which will be displaying new hose and mount products for US, Australian, Japanese and Korean made vehicles.

Other Australian companies taking part include Brake Parts Australia and two multi award-winning firms, Fulcrum Suspensions and ACL (Automotive Components Ltd), which manufactures engine bearings, pistons, piston rings and gaskets.

According to figures released by AAAA, Australian exports of automotive components and parts to the Gulf Co-operation Council states rose to a record US$26.25 million in 2001.

Saudi Arabia led the way, with sales of auto parts up from US$9.74m in 2000 to US$ 12.82m in 2001. The second biggest regional market was the UAE, with exports doubling from US$ 3.7m to US$ 7.8m. Sales to the remaining GCC states totalled US$ 5.99m.

Australian vehicle shipments to the GCC also rose substantially during the same period. Saudi Arabia was again the largest regional market, up 56 per cent from US$ 460m in 2000, to US$ 718m in 2001. In the rest of the GCC exports to the UAE were up from US$ 90m to US$ 111.8m; Kuwait, from US$ 71.8m to US$ 94.8m; Oman, from US$ 25.2m to US$ 36.5m; Qatar, from US$ 17.6m to US$ 21.7m and Bahrain, from US$ 12.6m to US$ 14.6m.

In addition to Australia, AAME 2003 organiser International Expo-Consults (IEC) says five other countries have contracted for national or industry pavilions at the show. They are India, China, Pakistan, Taiwan and, for the first time Turkey.

The show, that is targeting the GCC spare parts market valued at over US $11 billion, will occupy 3,000 square metres and feature over 250 companies from more than 30 countries across North and South America, Europe, the Middle and Far East and Australasia.

'AAME's exhibitor footprint, that extends from South America to the Far East and Australia, underscores the importance of the Middle East to the international aftermarket industry,' said Mohammed Falaknaz, Vice President, IEC.

'Dubai is the hub of the Middle East's re-export business. Between 50-60% of aftermarket imports into the emirate are re-exported, with the segment's trade worth between Dhs 3.5-5 billion a year.

'AAME provides a window onto this market and acts as a vertical showcase serving a sector which can only continue to develop with the announcement of Dubai's auto-parts city free zone,' said Falaknaz