(MENAFN - Arab News) Emirates Extrusion Factory (EEF), a leading aluminum extrusion company in the UAE and a subsidiary of Masharie LLC - the private equity arm of Dubai Investments (DI), has announced plans to add a new production line at its aluminum extrusion plant in Techno Park, Dubai, entailing an investment of AED13 million.
The new line, to be added by mid-2014, will further augment the production capacity to 6,000 metric tons and will go a long way in bolstering the company's leadership in the sector.
This new line will boost the production of wooden finish and powder-coated aluminum, which augurs well for EEF amidst surging demand due to the construction boom in the region.
The company, which reported annual turnover of AED190 million in 2012, also unveiled plans to aggressively target the export markets in the wake of burgeoning construction activity across Saudi Arabia, Qatar, Oman, Yemen and Africa.
EEF currently exports nearly 60 percent to 70 percent of its production to various countries across the Middle East and Africa.
Khalfan Al-Suwaidi, EEF managing director, said: "The resurgence of the construction industry across the GCC and beyond is indeed good news for Emirates Extrusion, and we plan to cater to this inherent demand for extruded aluminum through our new production line."
He said: "Construction takes a major chunk of our business - nearly 80 percent, wih the rest being earmarked for industrial downstream projects."
Al-Suwaidi said: "The new line will not only go a long way in escalating our overall output but also help us offer the most reliable aluminum profiles to the market."
He said: "At EEF, we will continue to focus on exports in the medium to long-term, as there is a huge demand for our products in growing markets across the GCC, the Middle East, Levant and Africa. We also expect increased demand from the local UAE market following Dubai's winning bid for Expo 2020, which reflects the immense growth potential on offer."
According to Frost & Sullivan, a leading business research & consulting firm, the UAE aluminum extrusion market is estimated to be in excess of 175,000 metric tons (MT) which amounts to approximately 35 percent of the total Gulf Cooperation Council (GCC) demand, growing at a compounded annual growth rate (CAGR) of eight to nine percent between 2011 and 17.
Since its establishment, EEF has grown to become one of the Middle East's market leaders in the development, commercialization and production of high-quality aluminum systems for architectural and non-architectural applications.
The company offers an impressive range of premium-quality, energy-efficient extruded aluminum profiles. EEF offerings include windows, doors, and structural glazing, as well as partition grill, hand rail, and curtain wall systems.