NEW ENTRANTS

Distributor Expands Cable Production

One of the significant newer players in the GCC cable industry is Alfanar Electrical Systems, which is expanding its production facilities in Saudi Arabia. This group is an important distributor of electrical products, including cable (Eletra brand), to the construction industry, and it already has manufacturing facilities for production of electrical equipment (e.g. domestic switches) and building wire, so its move into production of a wider range of cables is a logical extension of the scope of the business. There are a few similar examples in other markets (e.g. Doncaster Cables in the UK) where, rather than buying cable from other producers, electrical distributors have decided to integrate upstream into cable manufacture.

 

New Investor in UAE

Electrocab Emarat has built a factory for cable production in Abu Dhabi, with financial backing from Emirates International Investment Co. (EIIC). Though this appeared initially as a new entrant to the cable industry, the factory has been taken over by Ducab, the largest cable producer in the UAE, as part of a »strategic alliance« with EIIC. Before this development, EIIC had stated that it had plans to establish other cable-manufacturing operations in other countries, including Saudi Arabia but also outside the MENA region.