Dubai steps up plans to be top trading hub

DUBAI'S bid to become one of the world's leading trading hubs has picked up pace with a government owned blending facility becoming fully operational in late June.

Blending at the Dubai Tea Trading Centre (DTTC) an initiative being spearheaded by the Dubai Metals and Commodities Centre (DMCC), begun properly, although trading through the centre has been happening since its inception five months ago.

In addition, research is ongoing into further marketing opportunities in both producing and consuming countries.

According to the DMCC's chief operating officer, Ahmad bin Sulaem, the main objective of setting up the blending unit is to further enhance Dubai's position as one of the leading tea trading hubs in the world.

The centre is using the European style batch blending system, which is capable of blending all types and sizes of tea, such as leaf, broken, CTC and orthodox.

With the option of blending teas from different origins, DMCC officials said they hoped to be in a position to maintain buyers' product standards at competitive rates.

In 2004, 74,000 tonnes of several varieties of tea were cleared into Dubai, primarily for re-export, while a further 61,000 tonnes were transshipped. In the five months since it has been operating about 600 tonnes of tea stocks from India, Kenya, Vietnam, Indonesia, Ethiopia and Uganda have passed through the DTTC.

The centre aims to raise these volumes and convert Dubai into a hub for storing physical stocks of multi-origin teas.