Abu Dhabi Launches ‘Smart Manufacturing Index’ to Facilitate Transition to Industry 4.0

The Abu Dhabi Department of Economic Development (ADDED) has announced the launch of the ‘Abu Dhabi Smart Manufacturing Index’, that guides and facilitates private sector players’ transition to Industry 4.0 technologies, applications, and methods as part of its rolling out of the initiatives and objectives set forth by the Abu Dhabi Industrial Strategy.

Re-affirming the attributes of the Abu Dhabi Industrial Strategy, which was launched in June, the push by the Government of Abu Dhabi to expedite adoption of Industry 4.0 across all manufacturing and industrial players is meant to transform the state of the sector as it further aligns with international benchmarks and best practices.

The launch of the ‘Abu Dhabi Smart Manufacturing Index’ provides a critical, comprehensive framework for assessing capabilities of industrial facilities, identifying gaps, and recommending practical steps for reaching the targeted Industry 4.0 maturity.

To drive innovation and enhance competitiveness in the industrial sector, the Index empowers manufacturers with the necessary knowledge and training to initiate an Industry 4.0 transformation journey and scale up with speed and quality.

It breaks down sophisticated concepts into six building blocks to provide a clear and easy-to-follow roadmap, which starts by evaluating a production facility’s current state, followed by ways to raise readiness levels, proposed steps necessary for transforming their facilities, and identifying optimal production solutions to help reap gains of shifting to advanced manufacturing.

Mohamed Ali Al Shorafa, Chairman of ADDED, said, “The Abu Dhabi Industrial Strategy has ushered in a new era, not only for the manufacturing sector, but for the whole economic landscape in the region.

To further enhance a smart, circular, and sustainable economy, we are forging ahead with taking the manufacturing sector to the next level by empowering industrial facilities to keep pace with the latest trends and solutions.”

Al Shorafa further explained, “Backed by strong fundamentals and a unique business ecosystem, Abu Dhabi continues to cement its status as a leading industrial hub in the region.

We believe it is of paramount importance to equip manufacturers with vital, seamless, and effective mechanisms to transition to Industry 4.0 technologies and applications to drive future growth, and pre-empt for shifts in demand and supply.

The 'Abu Dhabi Smart Manufacturing Index' addresses all aspects of the transition to methods of tomorrow’s manufacturing.”

Since the launch of Abu Dhabi Industrial Strategy, ADDED has been rolling out initiatives and partnering with leading global institutions to deliver the strategy’s ambitious objectives, including the targeted growth of the sector to AED 172 billion, creating 13,600 new jobs, and increasing the Emirate’s non-oil exports to AED178.8 billion by 2031.

ADDED recently launched the Land Incentives programme, which offers long term lease contracts for industrial land through rental rebate with rates as low as AED 5 per square meter to promote manufacturers’ growth and development by enhancing capital expenditures and cash-flow management.

ADDED also expanded the Energy Tariff Incentive Programme (ETIP 2.0) by offering preferential rates for gas and electricity to industrial sector based on eligibility criteria that include economic impact, Emiratisation rate, and energy management efficiency.

Furthermore, ADDED continues to collaborate with major global players to enhance the innovation and entrepreneurship ecosystem and build the technical capabilities of the industrial workforce to switch to Industry 4.0 technologies, including training and upskilling talents and specialists.

During the first six months of 2022, ADDED’s Industrial Development Bureau (IDB) has assessed readiness of 76 facilities to transition to Industry 4.0 technologies.

IDB is managing the ‘Abu Dhabi Smart Manufacturing Index’ and will be working closely with manufacturers and related entities to ensure successful execution during the next period.