Record breaking AAME to grow by 25 per cent in 2005

The show has already won national pavilion commitments from India, China, Turkey, Australia and Pakistan and for the first time, from Cyprus, Hong Kong and Iran.

'Over 80% of this year's exhibitors have confirmed participation for next year. Turkey is expecting to double its pavilion and Cyprus will field a 20-strong delegation. We now look forward to another record breaking event next year,' said Abdul Rahman Falaknaz, President, IEC.

'The main driving factor behind the show's ongoing success is the exponential rate at which the automotive aftermarket is expanding in the region. Companies are beginning to realise the Middle East's potential, and are willing to increase commitment,' said Falaknaz.

The 2004 event, held last month (March) at the Dubai International Exhibition Centre (DIEC), saw over 200 local and international companies exhibit the industry's latest products, technology and services.

The event was officially inaugurated by Obaid Humaid Al Tayer, President, Dubai Chamber of Commerce and Industry. He said Dubai's world class business infrastructure ensures the right economic climate for companies targeting the region's rapidly expanding automotive sector.

Among visitors to the event, were the representatives of the Automotive Brand Protection Coalition Middle East (ACME). 'We applaud the efforts taken by IEC to raise awareness on the levels of counterfeit parts being distributed in the Middle East. This is the first step in the right direction and sends out a strong message to those who make and sell fake parts. We look forward to our association with AAME next year,' said Alyson Coady, ACME spokeswoman.

Hayat Yar Khan, General Manager, EMA Lubricants Co. Ltd. - sponsors of the event and first time participants - said, 'AAME is a useful window for the latest automobile spare parts, components and accessories for anyone associated with the sector. Our association with the show was beneficial and we wish the organisers future success.'

The exhibition saw a record number of visitors, 4,578 industry professionals from 53 countries -a 20% increase on 2003.

'This attendance surpassed our own optimistic forecasts. This bodes extremely well for the industry and the future of this event. What was particularly pleasing was the visitor spread, which was wider than ever with professionals attending being specific in their requirements,' said Falaknaz.

Although 42% of visitors came from the UAE, there were also significant numbers from the other five GCC states, Iran, India, China, Pakistan, Turkey and Kenya. The largest number of visitors from outside the UAE came from Saudi Arabia.

Among Saudi visitors to the show was Mohammed Zohair Kattan, National Sales Manager, Abdullah Hashim Co. Ltd, who was on a fact finding mission about the regional market.

'AAME is an important trade show for vendor development. It was a great opportunity to meet with a broad range of automotive aftermarket companies from different countries and make them aware of our services and products,' said Kattan.

Another visitor looking to expand his existing network, Praveen K Malhotra from Ashraf and Malhotra Trading Company (AMCO) of Kuwait said, 'This year's event gave me direct access to local and international companies and I am now aware of the level of competition and industry advances. I've established contacts with representatives from various countries and hope to place substantial orders by the end of this month.'

Many exhibitors cited Iraq's reconstruction and the massive requirement for spare parts, components and accessories as the determining factor in their participation.

'At present our exports to the MENA region total close to US $6 million a year - 25% of our worldwide automotive exports. We predict that in the next five years this amount will increase by 50%,' said Syed Nabeel Hashmi, Chairman, Pakistan Association of Automotive Parts and Accessories Manufacturers (PAAPAM).

'Iraq is a crucial market for us and we expect our participation at AAME to further increase our networking capabilities. Pakistan has a prominent influence in Iraq, and being a part of the coalition, we expect our Iraq export revenues to increase to US $6 million in the next two years.'

Iran's expanding market was another high interest area for many exhibitors with its growing demand for automotive vehicles, spare parts and accessories.

'We are especially keen to enter the Iranian market and are using AAME as a starting point,' said Rajeev Tandon, General Manager, Hero Corporate Services Limited (India). 'Iran has substantial demand for automotive aftermarket products, producing over 700,000 cars a year.

'We are also encouraged by the fact that Iran is a relatively closed market and, whilst Europe and Asia are having trouble entering, the subcontinent will penetrate at ease.'

On-site orders abounded. EXIDE Pakistan Ltd celebrated walk in orders from an Omani importer worth US $264,000. 'The show has been extremely worthwhile for us in establishing new business contacts both with GCC states and further a field. We have had inquiries totalling over US$ 666,000,' said Abdul Shakeel, Marketing Manager, EXIDE Pakistan Ltd. 'Dubai is pivotal for us as it is the export hub for the entire region and a gateway to the west.'

Meanwhile, Cypriot-based Total Pack Ltd, a first-time exhibitor at AAME, finalised deals worth over US $ one million over the three-day exhibition. 'More and more Cypriot companies are choosing Dubai as their product distribution centre for the region. As a trade hub, Dubai plays a crucial role in the economic trade exchange between Cyprus and the Middle East,' said Georgios P. Constantinou, Managing Director, Total Pack Ltd. 'We will definitely be back next year, this time as part of a national pavilion with much more to offer.'

Participation also brought return-on-investment for Southern Hemisphere based, Disc Brakes Australia. 'This is our fourth consecutive year at the show and it consistently proves to be a lucrative participation, not only to promote our products, but also to establish and re-establish contacts in the Middle East,' said Phillip Joseph, Managing Director.

'We have had inquires from the immediate GCC region, especially Kuwait, and also serious interest from Kenyan-based companies. Lebanon is also a potential target for us.'

For other exhibitors new market breakthroughs and Dubai's liberal economic regulations provide a flexible environment for companies to establish themselves in the region.

'Our participation at AAME 2004 has been successful in developing new trading partners with customers from Kenya, Dubai, Pakistan, Iran and Syria,' said Murat Iseri, SESAS (Auto Electromechanic Spare Parts) from Turkey. 'We've had an average of 100 enquiries during the exhibition and we hope to cement deals with at least 30% of them.'

Iris Yen, Director, Orchid Radio Co. (Taiwan) chose AAME to kick start its regional expansion into the spare parts' sector. 'This was the first time we participated at AAME and the response we had was phenomenal. We had an average of 25 enquiries per day, from which we expect to convert 50% into potential buyers,' said Yen. 'This has prompted us to return next year, with larger and more diverse business plans in the hope of establishing ourselves in this region.'

AAME 2005 will take place from March 15-17 at the Dubai International Exhibition Centre (DIEC). It will have the official support of ACME (Automotive Brand Protection Coalition Middle East) and is endorsed and supported by Automotive Aftermarket Industry Associations.