Capital on the Road: BRI boosts Dubai commodity sector

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Europe

02:20

The Belt and Road Initiative has boosted the commodity sector since the global development project was introduced five years ago. And now, China is seeking additional avenues for its products in the Middle East. Our reporter Jacob Greaves has more from Dubai.

From the Chinese made cranes in Dubai's main cargo port to the brands adorning containers, Beijing's Belt and Road Initiative is increasingly leaving its mark on the Gulf. And it's been bolstered further still by a recently signed deal between port operator DP World and Zheijang Commodities

JACOB GREAVES DUBAI "Freight trade between the UAE and China is already fairly well established but this deal to set up a traders market some 3 square kilometres in size, here at the Jebel Ali Port and Freezone in Dubai is set to add another dimension."

This is what the initial designs look like. It's hoped what is currently a stretch of nearby desert will be turned into a cluster of global businesses under one roof. All separated by sectors, from household goods to cosmetics, energy and power.

ADNAN AL ABBAR, SENIOR VP PROJECT MANAGEMENT, DP WORLD "The companies that will base their business in this facility will be storing their goods in the facility. They will be selling from the facility. They will be connected to the logistics companies within the facility. They will clear customs, clear free zone and clear VAT within the facility."

Dubbed a one stop shop, it's already piqued the interest of at least one Chinese firm in the area. Jereh first started operating in the UAE in 2012, trading in oil field spare parts. After benefiting from increased bilateral trade policies, they're eyeing the potential of the Traders Market. And considering further Middle East expansion.

JIMMY LIU, UAE ACCOUNT MANAGER JEREH GLOBAL "It makes it easier for us to get our supplier, also it makes it easier for us to get our customer and we can get easier access to both downstream and upstream."

Five years on from beginning its Belt and Road Initiative and China is eyeing increasingly developed supply chains. Ones in which the UAE appears keen to do some of the heavy lifting. Jacob Greaves, for CGTN in Dubai.