Abu Dhabi: The UAE will soon establish the region’s largest auction house for industrial plants, construction equipment and agricultural machinery in the Khalifa Economic Zones Abu Dhabi – KEZAD Group, the integrated trade, logistics, and industrial hub of Abu Dhabi.
KEZAD Group signed a lease agreement with Euro Auctions Middle East, a subsidiary of the Euro Auctions Group, to establish the 43,000-square-metre facility. The facility will provide 360- degree auction handling from transportation to minor repairs. Site operations are scheduled to commence in Q1 2023. By collaborating with Abu Dhabi Customs and KEZAD Group, Euro Auctions will also have a proportion of the yard categorised as a bonded warehouse, offering import and export customers the same advantages as a free zone operation.
With more companies selling well-maintained and newer machinery than ever, Euro Auctions reported that the average lot price at its most recent UAE auction increased by 63 per cent compared to similar events in 2019. As a result, auctions are expected to become an increasingly popular option for buyers and sellers. Auctions are a quick and efficient way to sell unused or surplus stock, with fast payouts enabling companies to reinvest capital into their business quickly. From a buyer perspective, it allows efficient use of their time when they can pick from a wide variety of equipment in one place.
Mohamed Al Khadar Al Ahmed, Chief Executive Officer, Khalifa Economic Zones Abu Dhabi - KEZAD Group, said, “Auctions provide an important option for industrial concerns and manufacturers looking to expand their inventory, and this new auction house will contribute to the growth of this strategic sector.” Al Ahmed said, “The development of the Euro Auctions project will provide existing, and future customers with facilities that can supplement their business need through a renowned facility. It will also bring best-in-class practices to streamline storage and transportation while providing a transparent bidding process.”
As a leading auctioneering company for heavy equipment, Euro Auctions operates worldwide with eight sites across England, Northern Ireland, Germany, Spain, Australia, the United States, and the UAE. Due to its strong online presence, the company conducts more than 60 auctions per year and markets to an international audience from over 95 countries worldwide. Richard Sweatt, General Manager, Euro Auctions Middle East, said: “The initiatives that KEZAD has put in place for Euro Auctions provide our operation with massive strategic advantages in the region. The site will be outside the free zone, but Euro Auctions will still have 100 per cent foreign ownership through the initiative launched by the UAE in 2020.”UAE customers will also have easy access to come and inspect the stock before auction day.
From its new site in KEZAD, Euro Auctions can manage the entire auction process for sellers, from collection and delivery to minor repairs. This will enable clients to focus on their core business while accessing a global audience through the diverse platform of buyers that Euro Auctions offers.