Etihad Airways joins UAE’s In-Country Value Program to boost Aviation’s Contribution to the Industrial Sector
Etihad Airways has become the UAE’s first airline to join its In-Country Value (ICV) Program. The Ministry of Industry and Advanced Technology (MoIAT) is expanding the program’s scope to include new sectors like aviation as part of the national industrial strategy to sustain economic growth and raise the efficiency and competitiveness of the industrial sector.
By joining the ICV program, Etihad Airways will prioritize local suppliers and UAE companies in the procurement process. It will also encourage global suppliers to establish branches in the UAE, attracting more foreign investments to the country. Etihad Airways joins 18 other leading national institutions and 45 federal entities that have joined the ICV program since it launched on a federal level late last year. The program redirected more than AED 41 billion in 2021 from implementing entities purchases and services expenses, compared to AED 27 billion two years ago.
His Excellency Omar Al Suwaidi, Undersecretary of the Ministry, said, “The In-Country Value Program is one of the pillars of the national strategy for advanced industry and technology, Operation 300Bn. It benefits certified companies by increasing demand for their products and services by redirecting government expenditure towards local companies. The addition of leading Emirati companies like Etihad Airways reflects the advantages provided by the program, such as helping to boost growth, innovation, and competitiveness. The program also helps to create more robust, efficient supply chains and underlines the close cooperation between the ministry, federal and local authorities, and major national companies. Purchasing the services of program members will become one of the most important means of supporting and empowering the UAE industrial sector over the course of the next 50 years.”
Tony Douglas, Group Chief Executive Officer, Etihad Aviation Group, said: “Etihad’s participation in the ICV Program aligns with the airline’s overall vision and demonstrates our commitment to supporting UAE industry. As the national carrier of the United Arab Emirates, we are committed to supporting local companies, and firmly believe it is important for private sector companies in the region to cooperate with the Ministry of Industry and Advanced Technology across its innovative projects, which seek to achieve the UAE’s future ambitions. “In joining this latest initiative, we can expand our reach to local supply chains, contributing to the development of a sustainable, diversified and value-added economy for the UAE.
As part of its strategy, Etihad launched the ‘Al Watani’ local content program in 2020. Since then, the company has collaborated with more than 1,000 local vendors, and more than 35 percent of Etihad’s spending is on purchases in the UAE market. Douglas hopes that this agreement with the MoIAT will sustain Etihad’s expenditure on national companies and enhance the opportunities for local vendors and SMEs in Etihad’s supply activities.
The ICV Program, part of the UAE’s Projects of the 50, is a pillar of the national industrial strategy and benefits certified companies by increasing local demand for their products and services.