UNITED ARAB EMIRATES (UAE)

Location

The UAE is located in the Middle East, situated on the Arabian Peninsula between Oman and Saudi Arabia and bordering the Gulf of Oman and the Persian Gulf.

Population

The UAE’s last official census was conducted in 1995. In that year, the total population was about 2.4 million. The UAE began Census 2005, the most comprehensive census to date, in September 2005. The population for 2004 was 4.3 million, estimated to increase to 4.7 million in 2005. The annual growth rate between the years 1999 and 2004 averaged 8%. The majority of the population (almost 3 million) is urban and lives in the two largest emirates—Abu Dhabi and Dubai.

Economy

The UAE economy remains heavily dependent on oil and natural gas; the revenue from oil exports in particular enables the government to finance infrastructure for the non-oil economy. Economists forecast that from 2005–6 onwards, the oil sector is expected to grow at an average annual rate of approximately 6.5%.

Dubai-based ventures have strategic access to a population of over 1.8 billion covering the Middle East, Africa and the Indian Subcontinent. In addition, Dubai has experienced a phenomenal real GDP growth rate of AED 111b in 2004 compared to AED 98b in 2003, recording a growth of 13.3%, compared to the Middle East & North Africa of 4.9% in 2005 (World Bank). It is mainly driven by high growth in its major sectors such as trade & repairing services (10.7%), manufacturing (15.5%), construction (12.6%), real estate (19.8%), financial (12.6%), and transport, storage & communication (9.6%).

Currency and Exchange Rate

UAE’s currency is dirham (AED), AED3.67 = US$1

Industry Overview

The Middle East is one of the most promising emerging pharmaceutical markets in the world. The area not only has a rapidly growing population but also is home to the world’s wealthiest countries which are looking to modernize their healthcare systems.

The UAE is one of the wealthiest countries in the Middle East. New initiatives announced have spurred the local healthcare industry to aspire to maintain and operate with internationally recognized standards and regulations. Although 90% of the local industry is dominated by prescription drugs the generics market is steadily growing with the development of a local manufacturing industry. The newly launched Dubai Biotechnology and Research Park (DuBiotech) is an initiative launched to foster manufacturing and research and development for pharmaceutical and biotech products in the Middle East.

DuBiotech

The Dubai Biotechnology and Research Park will be the center of excellence in biotechnology, bridging research, education, and industry through national and international collaboration.

Realizing Biotechnology as one of the greatest intellectual Investments of today’s world, DuBiotech’s mission is built on the following objectives:

Create, develop and advance research and development in the region.
Foster biotechnology education, training and industry support.
Offer highly developed multifaceted infrastructure and facilities.
Create and provide a supportive legal and regulatory Environment.
Building a knowledge based bio-economy for the region.
Create an environment for every stakeholder in the biotech industry to coexist and collaborate.
Encourage innovation through educational grants, research funds etc.

Regulations

Intellectual Property (IP) protection is at the core of the biotech industry. By working closely with industry and with world IP bodies, DuBiotech will ensure that existing IP laws and regulations are further developed and enforced. To further facilitate an environment conducive to business, DuBiotech will be assisting business partners in their patenting and licensing concerns. Seminars and networking with industry experts will disseminate a better understanding of IP issues within the DuBiotech community. Since biotechnology is a very sensitive industry, Park regulations will be of utmost priority. DuBiotech will work closely with sister parks and with industry experts to implement and enforce a streamlined regulatory framework that will maintain strict control over procedures and regulations while allowing the required freedom to operate without bureaucracy. This will ensure Health and Safety both within and around the Park. DuBiotech will encourage technology transfer both from and into the Park. This will complement alliances with various industry players and educational and research institutes. Such exchanges will foster a greater movement and flow of expertise, creating an open environment that will benefit the entire Park community.

Business Climate

The success of Dubai’s Free Zones, such as the world-renowned clusters Dubai Internet City and Dubai Media City, can be attributed to liberal empowerment, allowing the clusters to transcend well beyond the traditional ‘free trade zones’, intended for easing imports and exports. Companies operating from DuBiotech enjoy a one-stop-shop service experience, to facilitate ease of entry into the region and incorporation within this diverse and rapidly developing market, in addition to specific benefits that relate to the biotech industry.

DuBiotech is one of many Free Zones created in Dubai over the past decade. Companies operating from DuBiotech enjoy the same business benefits, which have been instrumental in the success of hundreds of companies that have established business operations in Dubai.

As part of a Free Zone, DuBiotech partners enjoy a host of benefits such as:

100% foreign ownership
100% repatriation of profits
100% tax free operations
Single window for government services
Long- term lease
Partners can avail of easy company incorporation
Special customs exemptions
Fast-track visa services