Abu Dhabi: Etihad Airways has become the UAE’s first airline to join the 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.
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. By joining the ICV program, Etihad Airways will prioritise 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 joins 18 other 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 Dh41 billion in 2021 from implementing entities purchases and services expenses, compared to Dh27 billion two years ago.
The MoU was inked on behalf of MoIAT by Omar Suwaina Al Suwaidi, Undersecretary of the Ministry, and Tony Douglas, Group CEO of Etihad Aviation Group.
“The ICV 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 initiative encourages the growth of the industrial sector in the UAE, supports the creation of quality jobs, and provides incentives for companies to adopt advanced technologies. Certification is awarded based on criteria such as the value of spending and investment in the country, Emiratisation, and the adoption of advanced technology,” said Al Suwaidi.
The ICV program aims to increase the number of certified vendors within its ambit from 5,000 to 7,300 companies and increase government expenditure on Emirati products and services from Dh33 billion in 2020 to Dh55 billion by 2025. In 2021, the program succeeded of redirecting expenditure up to Dh41.2 billion.
“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 UAE, 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,” said Douglas.
“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 our strategy, in 2020 Etihad launched the ‘Al Watani’ local content program. Since then, we have collaborated with more than 1,000 local vendors, and more than 35 per cent of Etihad’s spending is on purchases in the UAE market.”