GCC construction sector boom to bag over $138.5b contracts this year


DUBAI — GCC countries will be at the forefront of a continuing construction sector boom in the Middle East, with contracts worth over $138.5 billion, set to be awarded in 2019.

This growth is being largely fuelled by mega infrastructure and commercial projects, which are currently either under construction, or in the pipeline across the region's major economies, according to a report by analysts Ventures Onsite - Construction Intelligence Partner for Messe Frankfurt Middle East.

The ongoing expansion in the construction sector across the region, is expected to drive fresh interest for the latest hardware, tools and machinery being displayed at the upcoming Hardware + Tools Middle East 2019, the foremost trade event in this sector.

Ventures Onsite expects that the demand created by the region readying for mega global events, such as Dubai Expo 2020 and the FIFA World Cup 2022, as well as mammoth-scale infrastructure projects such as Al Qiddiya, Red Sea and Neom Future City, will keep the construction sector ticking over at a healthy rate.

According to the report, which looks the construction in three segments - building construction, infrastructure and energy - the industry is also being driven by the regional governments push to achieve diversified economies and create the infrastructure to attract inward investment in other areas of the economy.

In 2019, which is a good year overall for the industry as a whole, contracts worth $69 billion are expected to be awarded in the GCC building construction sector, while the infrastructure construction market is expected to generate $22.2 billion in fresh contracts. Construction in the energy industry, is also expected to be healthy, producing over $47.2 billion woth of new contracts in the year.

The report also estimated that the region is expected to record significant growth in the creation of new facilities in various other sectors including: residential, education, healthcare, transport and renewable energy, generating lucrative opportunities for investors, developers and contractors in the coming years.

"Healthy levels of growth in the construction sector have a direct impact on demand for the latest tools, hardware, materials and machinery across the region, which is immediately felt at Hardware + Tools Middle East," said Dishan Isaac, Show Director for organisers Messe Frankfurt Middle East. "This year we have over 115 exhibitors lined up from across the globe, presenting their latest products and innovations to trade buyers and industry professionals in the region."

Set to run from June 10 to 12, at the Dubai International Convention and Exhibition Centre, Hardware + Tools Middle East is the pre-eminent trade and networking platform for hardware, tools and construction material and machinery across the Middle East and Africa.

This year, the show will feature a number of new features - a welding competition along with a conference on 3D printing and additive manufacturing - in its 20th edition. — SG