Rubber World Industries (RWI), said on Monday that it has invested Dh30 million ($8.16 million) in the construction of a new production facility as part of its regional expansion plans and has plans to triple its production capacity within five years.

RWI is the leading manufacturer of closed-cell rubber insulation 'Gulf-O-flex' in the Gulf and South East Asia and part of the international business conglomerate, the Memon Group of Companies.

The new plant is expected to triple the manufacturer’s production capacity within a five-year period to address the surging demand for rubber insulation products amidst the current construction boom in the region, said a top RWI official.

At present, the manufacturer holds 80 per cent share of the Middle East rubber insulation market and has recorded over Dh10 million in sales revenues in 2007.

"The company is also currently supplying 75 per cent of the region’s requirements for rubber insulation pipes and sheets, and other rubber-derived products," said Abu Baker Shaikhani, RWI managing director.

Established in 1993, RWI is the only manufacturing facility in the GCC that produces a versatile range of rubber insulation products to meet requirements in oil and gas fields, construction, shipping and automobile industries.

By reinforcing its current production capacity, RWI is gearing up to address the rapid growth in demand for rubber products, which is forecasted to increase by 4 per cent annually to reach 26.5 million metric tons by 2011, in addition to the soaring orders from developers within the burgeoning property development market in the region.

“The burgeoning demand for high quality rubber insulation products has steered our focus towards increasing our production, while utilising the latest technologies to further enhance our products’ performance,” Shaikhani explained.

“Our new production plant will have 14 new production lines capable of fabricating a wide range of rubber insulation products in more than 300 different sizes, with which we expect to drastically increase the volume of products we can supply to the market.”

In addition to being the largest manufacturer of rubber insulation products, RWI has also earned an esteemed repute for its high-quality offerings, which have been identified as a brand with the best among top competitors from China, Germany and the rest of the world.

In the UAE, the company has been honoured with the Best Exporter Award in Ajman, which it has won for the past few years, for its top-grade products, which are being recognized for its better performance as compared to other insulation systems presently available in the market.

There are only few rubber insulation plants worldwide and Rubber World Industries' UAE plant is among the few that serves domestic demands and also exports to other countries, Shaikhani pointed out.

“As we see extensive expansion opportunities within the regional and global markets, increasing the quantity and augmenting the quality of our products are our foremost goals for 2008."

"Amidst the rising production costs in line with international market trends, we are taking all necessary adjustments to absorb the additional outlay, which makes our products the primary choice for customers around the world,” he added.

RWI's modern plants are located in the Ajman Industrial Area, where Gulf-O-Flex – its flagship product is being manufactured. 

The company has delivered its high quality products to major property developments by real estate leaders in the UAE, such as Emaar and Nakheel, and is currently exporting rubber insulation systems to more than 90 countries, including the US, Germany, Russia, Canada and Singapore.-TradeArabia News Service