Ikigai Steel has announced plans to establish a new factory over a 548,000 sq ft area within the Hamriyah Free Zone in Sharjah. On completion, the state-of-the-art plant will boasts an annual production capacity of 30,000 tonnes.

 

Backed by an estimated initial investment of AED30 million ($8.2 million), the factory will provide cutting edge technologies and high-end solutions for the iron and steel industry, 

 

Ikigai Steel's expansion plans are aimed at meeting its long term vision of serving customers and suppliers in the local, regional, and global markets, said its Chairman Rajendran after signing the deal with Hamriyah Free Zone Authority (HFZA) Director Saud Salim Al Mazrouei in the presence of senior officials.

 

"The competitive advantages, robust infrastructure, advanced legislation and conducive environment for investment were all behind our decision to expand in Hamriyah Free Zone. HFZA prioritizes heavy industry and provides exceptional incentives and facilities, allowing us to enhance production efficiency," stated Rajendran.

 

"We look forward to manufacturing high-quality steel and steel products for the local and regional markets, including Saudi Arabia and Qatar. Initially, the company plans to employ approximately 500 people, focusing on producing top tier steel and steel products," he added.

 

Al Mazrouei pointed out that Ikigai’s decision to take the Hamriyah Free Zone as its operational hub was yet another substantial addition to the growing investments portfolio of HFZA.

 

"We will spare no effort to support the emirate’s economic diversification plans and attract high-quality investments in order to consolidate Sharjah's reputation as a global investment destination that serves not only as a launchpad for industrial projects but also as a conduit for industrial supply to regional markets," he added.

 

According to him, the success of the free zone in attracting heavy industries, including the iron and steel sector, is a testament to its effectiveness and excellence in developing the necessary infrastructure for this sector. 

 

"HFZA pays special attention to this sector, considering it a crucial pillar in the ongoing economic development, particularly in light of the mega projects underway in the Emirate of Sharjah and the UAE. There is a growing demand for iron and steel products to support vital projects," he added.-TradeArabia News Service