Dubai has embarked on an ambitious plan to develop the world's largest wholesale city covering 500 million sq ft at an estimated cost of Dh30 billion ($8.16 billion) over a 10-year period.

The giant project was officially launched by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai at a special event held in Dubai.

The one-stop free zone, which will be implemented by Dubai Holding, the investment vehicle of the emirate's ruler, boasts specialised integrated trading parks and an international trade exhibition facility.

It will also feature 'country pavilions' that include commercial centres and malls offering products from various countries, including India, Malaysia, Thailand, Turkey, Australia, China, South Korea, Germany, Saudi Arabia, the US and South America.

The new development will help increase the UAE's contribution to the global wholesale trade sector that is valued at $4.3 trillion and expected to grow to $4.9 trillion in the next five years.

Speaking at the launch, Sheikh Mohammed said the UAE was moving headway with its strategic plan to diversify the national economy and reduce dependence on revenues from oil.

"The UAE has its unique economic vision that enables the creation of new economic sectors to contribute to the nation's growth, even while expanding the scope of conventional sectors to ensure their parity with global standards," he remarked.

Sheikh Mohammed reiterated the role of trade as a key contributor in maintaining the UAE's economic success, and a crucial sector in its future development.

"The UAE's strategic location, world-class infrastructure, and strong institutions make it the most qualified place to lead the new wave of growth in wholesale trade, on an international scale," he added.

According to him, the hub will provide wholesale traders with comprehensive offerings including state-of-the-art infrastructure, roads, warehousing, storage facilities and support services, guaranteeing high operational efficiency and ease of doing business.

For its part, the international business-to-business exhibition facility will convene buyers with suppliers from around the world. The sizeable asset will serve as a mediator in global trade and open up a raft of service options to producers and traders, even while saving them time and effort, said statement from Dubai Holding.

The Dubai Wholesale City will serve strategic sectors including food, construction materials, electrical appliances, electronics, furniture and décor, machinery, equipment, wood, vehicles and spare parts, and textiles and clothing, it stated.

Dubai Wholesale City's proximity to major markets connecting three quarters of the world's population within a seven hour flying time makes it an ideal meeting point between the east and the west and serves as a key factor in distinguishing it from other wholesale hubs worldwide, said the statement.

The new city will also benefit from Dubai's advanced logistics services and its distinctive location near Al Maktoum International Airport and the Jebel Ali Port, two major gateways for global cargo and shipping industries, it added.-TradeArabia News Service