Published by: Logistics Middle East Ramy Jallad, Group CEO of RAKEZ, says companies are taking a more deliberate approach to expansion as they look for locations that can support operations during periods of uncertainty Regional conflict has changed the way industrial companies operate in the UAE and across the wider Middle East. Manufacturers, traders and logistics-led businesses are no longer treating resilience as a planning line kept apart from daily operations. Resilience now shapes where these companies locate, how they manage stock, how close they want production to demand, and how much certainty they expect from infrastructure providers. Ramy Jallad, Group CEO of RAKEZ, explains that conflict has made companies more cautious and strategic when considering expansion. While the market remains active, decision-making is now more deliberate. “Investors are looking beyond opportunity alone and focusing on how well a location can perform during periods of uncertainty,” Jallad says. RAKEZ is seeing that shift across its industrial zones. Jallad says companies are looking at Ras Al Khaimah as a base to support continuity, not just as a place to set up. Land, warehousing, utilities, workforce accommodation and business services are now part of the investment conversation, as companies look for locations that give them room to operate, adjust and grow. Conflict resets operating priorities The immediate effect of the conflict has been a slower, more deliberate decision-making cycle. Jallad says companies observing the region from abroad are taking longer to commit capital, with more detailed due diligence and more attention to risk scenarios. “We have not seen investment activity stop. Many businesses continue to move forward because they recognise that the UAE’s underlying fundamentals remain strong,” he says. “What has changed is the emphasis on resilience. Companies are asking more questions about supply chains, logistics alternatives, business continuity, and operational flexibility.” Investors are looking beyond setup costs and asking whether a location can keep operations running during disruptions. The location advantage As companies test risk more closely, the location decision moves onto practical ground. Jallad says the early questions still cover set-up costs, licensing, market access and speed of establishment, but “companies are increasingly focused on continuity”. Companies are now judging locations by the strength of the operating base around them. It has to support route flexibility, regulatory predictability, and the ability to scale without forcing a structural move. Jallad says businesses want “confidence that they can start small, expand efficiently, and remain competitive over the long term without needing to relocate or restructure their operations.” Within RAKEZ, that confidence is linked to the availability of industrial land, warehousing, utilities and workforce accommodation, giving companies room to add capacity, hold stock and adjust distribution. From transit to production The UAE has long held value as a logistics and trade gateway. Still, disruption is pushing manufacturers to ask a deeper question about where goods should be made, assembled and distributed. Access to ports, markets and trade corridors remains important. However, industrial capacity is now at the centre of the discussion. “What we are seeing is a shift from simply moving products through a market to actually producing them closer to the markets they serve,” Jallad says. Companies are using the UAE to shorten supply chains, reduce exposure to long and vulnerable routes, and improve their response to regional demand. Manufacturers want greater control over the supply chain, from assembly and storage to distribution and customer fulfilment. Jallad says companies are increasingly choosing to “manufacture, assemble, and distribute from the UAE”, creating “shorter supply chains, greater resilience, and faster access to regional and global markets.” For logistics providers and industrial developers, this is a significant change in demand. Production proximity is becoming part of logistics strategy. Warehouses, factories, transport links, labour support, and regulatory certainty are being assessed together because companies want a foundation that connects manufacturing decisions to customer delivery. Warehousing becomes strategic capacity The shift toward closer production is increasing demand for warehousing and storage. Companies looking to serve markets faster require greater control over inventory, lead times, and distribution points. Warehousing is now essential for business continuity, particularly for those exposed to changing routes or longer replenishment cycles. Jallad says “storage, logistics, and warehousing have become critical components of industrial growth” as businesses place greater emphasis on speed, resilience and efficiency. Storage now supports inventory buffers, rerouting options, faster fulfilment and stronger customer service during periods of disruption. “Today, logistics infrastructure is no longer viewed as a support function; it is a strategic asset,” Jallad says. Access to warehousing, distribution networks, and transport connections now has a direct impact on competitiveness. In this market, a warehouse is part of the operating model, not a passive asset at the edge of it. Industrial demand shifts Jallad identifies “advanced manufacturing, food production, logistics, and industrial services” as areas of strong demand, with technology-enabled manufacturing and supply-chain efficiency businesses also gaining traction. Companies are trying to reduce exposure to long supply routes, unpredictable replenishment cycles and limited distribution options by placing more operations closer to the markets they serve. Manufacturers need facilities that support production, storage and fulfilment, while logistics providers are seeing stronger demand for services that help companies adjust routes, stock cycles and delivery models. Jallad also points to growing interest in “recycling, resource recovery, metals processing, and sustainable manufacturing models.” These activities depend on land, utilities, storage and processing capacity, while helping companies keep more materials in use within the region. “AI, automation, and digital platforms are changing how businesses source, manufacture, move, and sell products,” Jallad says. For industrial investors, the priority is whether the location gives them sufficient control over production, inventory, and delivery to operate through disruptions. RAKEZ expands industrial capacity Since the conflict began, Jallad says RAKEZ has increased engagement with manufacturers and traders, expanded storage options, supported alternative logistics solutions and offered greater flexibility in contractual and operational matters. RAKEZ has also partnered with organisations in logistics, finance, trade, and government services. Companies under pressure need practical support as much as long-term infrastructure. Jallad states, “Ultimately, certainty comes from reducing friction and helping businesses maintain momentum regardless of external conditions.” The organisation is expanding industrial land, upgrading infrastructure, developing new warehouses and facilities, and strengthening the wider ecosystem for manufacturers. Capacity is increasing across the Al Hamra, Al Ghail, and Al Hulaila Industrial Zones, alongside the ongoing development of workforce accommodation and business support services. Jallad states that RAKEZ’s goal is to create an environment where businesses can adapt, grow, and remain competitive as conditions evolve. Resilience enters daily operations The conflict has made resilience part of everyday industrial judgement. Companies are still looking to the region for growth, but they are testing locations with greater discipline and expecting more from the surrounding infrastructure. Those expectations are likely to rise further. Supply chains will remain exposed to political risk, transport disruption and changing customer demand, which means resilience will have to prove itself within daily operations. RAKEZ’s ability to provide industrial land, warehousing, service links, digital processes and expansion space will shape how far Ras Al Khaimah can capture that demand. For manufacturers and traders, resilience is becoming part of how they choose locations, structure operations and prepare for the next disruption.
Published by: Logistics Middle East
Ramy Jallad, Group CEO of RAKEZ, says companies are taking a more deliberate approach to expansion as they look for locations that can support operations during periods of uncertainty
Regional conflict has changed the way industrial companies operate in the UAE and across the wider Middle East. Manufacturers, traders and logistics-led businesses are no longer treating resilience as a planning line kept apart from daily operations. Resilience now shapes where these companies locate, how they manage stock, how close they want production to demand, and how much certainty they expect from infrastructure providers.
Ramy Jallad, Group CEO of RAKEZ, explains that conflict has made companies more cautious and strategic when considering expansion. While the market remains active, decision-making is now more deliberate.
“Investors are looking beyond opportunity alone and focusing on how well a location can perform during periods of uncertainty,” Jallad says.
RAKEZ is seeing that shift across its industrial zones. Jallad says companies are looking at Ras Al Khaimah as a base to support continuity, not just as a place to set up. Land, warehousing, utilities, workforce accommodation and business services are now part of the investment conversation, as companies look for locations that give them room to operate, adjust and grow.
The immediate effect of the conflict has been a slower, more deliberate decision-making cycle. Jallad says companies observing the region from abroad are taking longer to commit capital, with more detailed due diligence and more attention to risk scenarios.
“We have not seen investment activity stop. Many businesses continue to move forward because they recognise that the UAE’s underlying fundamentals remain strong,” he says. “What has changed is the emphasis on resilience. Companies are asking more questions about supply chains, logistics alternatives, business continuity, and operational flexibility.”
Investors are looking beyond setup costs and asking whether a location can keep operations running during disruptions.
As companies test risk more closely, the location decision moves onto practical ground. Jallad says the early questions still cover set-up costs, licensing, market access and speed of establishment, but “companies are increasingly focused on continuity”.
Companies are now judging locations by the strength of the operating base around them. It has to support route flexibility, regulatory predictability, and the ability to scale without forcing a structural move.
Jallad says businesses want “confidence that they can start small, expand efficiently, and remain competitive over the long term without needing to relocate or restructure their operations.”
Within RAKEZ, that confidence is linked to the availability of industrial land, warehousing, utilities and workforce accommodation, giving companies room to add capacity, hold stock and adjust distribution.
The UAE has long held value as a logistics and trade gateway. Still, disruption is pushing manufacturers to ask a deeper question about where goods should be made, assembled and distributed. Access to ports, markets and trade corridors remains important. However, industrial capacity is now at the centre of the discussion.
“What we are seeing is a shift from simply moving products through a market to actually producing them closer to the markets they serve,” Jallad says. Companies are using the UAE to shorten supply chains, reduce exposure to long and vulnerable routes, and improve their response to regional demand.
Manufacturers want greater control over the supply chain, from assembly and storage to distribution and customer fulfilment. Jallad says companies are increasingly choosing to “manufacture, assemble, and distribute from the UAE”, creating “shorter supply chains, greater resilience, and faster access to regional and global markets.”
For logistics providers and industrial developers, this is a significant change in demand. Production proximity is becoming part of logistics strategy. Warehouses, factories, transport links, labour support, and regulatory certainty are being assessed together because companies want a foundation that connects manufacturing decisions to customer delivery.
The shift toward closer production is increasing demand for warehousing and storage. Companies looking to serve markets faster require greater control over inventory, lead times, and distribution points. Warehousing is now essential for business continuity, particularly for those exposed to changing routes or longer replenishment cycles.
Jallad says “storage, logistics, and warehousing have become critical components of industrial growth” as businesses place greater emphasis on speed, resilience and efficiency.
Storage now supports inventory buffers, rerouting options, faster fulfilment and stronger customer service during periods of disruption.
“Today, logistics infrastructure is no longer viewed as a support function; it is a strategic asset,” Jallad says. Access to warehousing, distribution networks, and transport connections now has a direct impact on competitiveness. In this market, a warehouse is part of the operating model, not a passive asset at the edge of it.
Jallad identifies “advanced manufacturing, food production, logistics, and industrial services” as areas of strong demand, with technology-enabled manufacturing and supply-chain efficiency businesses also gaining traction.
Companies are trying to reduce exposure to long supply routes, unpredictable replenishment cycles and limited distribution options by placing more operations closer to the markets they serve. Manufacturers need facilities that support production, storage and fulfilment, while logistics providers are seeing stronger demand for services that help companies adjust routes, stock cycles and delivery models.
Jallad also points to growing interest in “recycling, resource recovery, metals processing, and sustainable manufacturing models.” These activities depend on land, utilities, storage and processing capacity, while helping companies keep more materials in use within the region.
“AI, automation, and digital platforms are changing how businesses source, manufacture, move, and sell products,” Jallad says. For industrial investors, the priority is whether the location gives them sufficient control over production, inventory, and delivery to operate through disruptions.
Since the conflict began, Jallad says RAKEZ has increased engagement with manufacturers and traders, expanded storage options, supported alternative logistics solutions and offered greater flexibility in contractual and operational matters.
RAKEZ has also partnered with organisations in logistics, finance, trade, and government services. Companies under pressure need practical support as much as long-term infrastructure. Jallad states, “Ultimately, certainty comes from reducing friction and helping businesses maintain momentum regardless of external conditions.”
The organisation is expanding industrial land, upgrading infrastructure, developing new warehouses and facilities, and strengthening the wider ecosystem for manufacturers. Capacity is increasing across the Al Hamra, Al Ghail, and Al Hulaila Industrial Zones, alongside the ongoing development of workforce accommodation and business support services. Jallad states that RAKEZ’s goal is to create an environment where businesses can adapt, grow, and remain competitive as conditions evolve.
The conflict has made resilience part of everyday industrial judgement. Companies are still looking to the region for growth, but they are testing locations with greater discipline and expecting more from the surrounding infrastructure.
Those expectations are likely to rise further. Supply chains will remain exposed to political risk, transport disruption and changing customer demand, which means resilience will have to prove itself within daily operations.
RAKEZ’s ability to provide industrial land, warehousing, service links, digital processes and expansion space will shape how far Ras Al Khaimah can capture that demand. For manufacturers and traders, resilience is becoming part of how they choose locations, structure operations and prepare for the next disruption.
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