A Dh735 million ($200.2 million) float glass plant is to be set up in the UAE by Dubai Investments, the company announced.

The plant, with a designed capacity of 600 tonnes per day, will convert sand and other basic raw materials into architectural and automotive glass.
Dubai Investments said it had appointed Ernst & Young and KPMG to jointly function as business advisors for the project in addition to internationally recognised market and technical consultants.  They will conduct comprehensive due diligence and advise the Dubai Investments board on the project and its financial structuring.  
“Setting up the float glass unit is a logical vertical integration strategy for us in the glass value chain,” said Dubai Investments MD and CEO Khalid Bin Kalban.  The company has built its expansion strategy on a favourable business climate and on favourable UAE government policies. 
“The easy availability of natural gas and electricity at competitive rates makes the UAE one of the lowest-cost   producers of float glass in the world,” a Dubai Investments spokesman said.
“Additionally, the UAE’s strategic location offers ready access to major neighbouring markets even as it enjoys advantageous freight rates to Asia, the Far East, the US and Europe. Also accruing as cost benefits and adding to the commercial viability of the project is the absence of corporate taxes and customs duties within the GCC region.”
Weighing in the company’s favour on the demand side is the fact that the UAE has one of the highest per capita consumption of float glass. A booming construction industry in the region further ensures a strong demand growth rate for float glass. Having tied in support from all major glass importers in the UAE, it is aiming to compete successfully in the global market, said Kalban.
The plant will be designed with state-of-the-art features and technical know-how provided by a leading supplier in the field.  The product mix will include clear, tinted, and coated glass sheets of a broad thickness range.  It will operate on a 24 X 7 basis throughout its campaign period of 15 years and will produce 160,000 tonnes of glass per year, which is equivalent to 12.5 million sq m.
The company’s other related ventures in UAE include Emirates Glass, a glass coating plant set up 9 years ago, and Lumiglass, an automotive windshield manufacturing plant along with a glass sheet laminating line.