Danube focuses on steel with $27m investment

08 January 2008
Dubai-based Danube Building Materials will invest AED100 million ($27 million) in the local steel industry in 2008 in a bid to make it one of its largest business segments.

The company is hoping to take advantage of demand generated by the booming construction industry. It will import rebars and other structural steel products, and alter them to meet the requirements of domestic users.

“We will add value to the product for local clients,” says a senior executive at Danube’s steel division. “We are developing a service centre concept. We will cut-to-size, bend and coil products.”

Danube will build facilities to carry out the work at the Jebel Ali Free Zone. These will include cut and bend facilities and decoilers.

The company plans to approach steel product suppliers in Turkey, China and Ukraine for the division.

“Initially we are still testing the market,” says Venkatesan. “The outlook is very buoyant for the next three to four years.”

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