ABU DHABI ø The United Arab Emirates role as a regional trading hub has been strengthened by incrased demand from Iran
A new study said the UAE has served as the leading port for re-exports
to the Persian Gulf and other regions, Middle East Newsline reported.
The study by the Emirates Industrial
Bank said the rate of re-exports to the UAE was increasing by more than 20
percent amid strong demand from Iran and Iraq.
"Imports into the UAE have been rising steadily in recent years, but a
major cause of the rise in gross imports is not import demand but demand for
re-exports that are growing at a much faster rate than imports," the study
The study said that nearly a third of UAE imports were destined for
re-export. The largest market for the UAE re-export market was the five
Cooperation Council states as well as Iran and Iraq.
EIB said Iran was the leading client of UAE re-exports. India and
Pakistan were also emerging as leading clients.
The UAE, particularly its port at Dubai, has been cited as the leading
transit point for components shipped by the Pakistani
nuclear smuggling ring led by Abdul Qadeer Khan. Khan established companies
in Dubai to process weapons of mass destruction equipment shipped from
Pakistan for re-export to Iran and Libya.
The report said Dubai handles 75 percent of all UAE imports. EIB said
most of the imports were processed for re-export.