The UAE’s industrial sector is receiving a major boost with a $10 billion (Dh36.7 billion) investment from India’s Rana Group. This investment will be used to develop the Erisha Smart Manufacturing Hub, which will include 150 large industries at the Al Ghail Industrial Area in Ras Al Khaimah over the next five years. This initiative is a significant step towards achieving the UAE’s goal of increasing the industrial sector’s contribution to the national GDP to Dh300 billion by 2031.
A New Era of Manufacturing and Economic Growth
This project marks the single largest investment by an Indian conglomerate in the UAE’s manufacturing sector. The new hub, which spans 15 million square feet, will focus on pioneering technologies such as electric and hydrogen vehicle production, renewable energy, and semiconductor manufacturing. The development is expected to generate a combined sales turnover of up to $6 billion and create approximately 4,000 jobs in Ras Al Khaimah. According to business analysts, this move could also help Indian manufacturers make their products more competitive in the US market by making them “Made in the UAE” to avoid high import duties.
Broader Economic and Strategic Implications
The Erisha Smart Manufacturing Hub is a core component of the UAE’s industrial vision, which aims to transform the country into a global hub for future industries. This vision, known as Operation 300Bn, focuses on economic diversification, attracting investment, and fostering a resilient, sustainable industrial base. The project is also a reflection of the strong economic ties between India and the UAE, which were solidified by the Comprehensive Economic Partnership Agreement (CEPA) signed in 2022.
