The UAE Seems to have Established itself as the Regional Centre for Scrap Metal Recycling in the Middle East

The economic benefits—not forgetting the environmental advantages—gained by the UAE because of metal recycling will present a rather appealing opportunity for more to

step into the industry and take advantage of the ongoing momentum.

‘Made in the UAE’ will eventually be the next big trademark of quality recycled scrap metals, keeping in mind the estimated total volume closing in at more than 5 million tonnes per year. This number in total volume only seems to be increasing as more ties are being generated by scrap metal traders from Dubai with countries in the east and the west.

It seems that the UAE governments and local municipalities are on a warpath when it comes to fast-tracking infrastructure development. What this means is that the economic benefits—not forgetting the environmental advantages—gained by the UAE because of metal recycling will present a rather appealing opportunity for more to step into the industry and take advantage of the ongoing momentum.

Today the UAE gathers, segregates, refines and re-exports a vast magnitude of non-ferrous scrap metal with an annual turnover that ranges in billions of dollars. The reasons for the uncapped growth of the scrap metal trading industry here in Dubai and the UAE can be narrowed down to two vital factors:

The fact that the aluminium refining process barely utilizes 5% of energy compared to the primary production process, should be reason enough; then again, helping reduce landfill waste with the help of government tipping, would also be another incentive to open up a scrap trading company in Dubai.

For each tonne of steel recycled, 113 kilograms of iron ore, 454 kilograms of coal and 18 kilograms of limestone are preserved, while recycling one kilogramme of aluminium saves up to six kilograms of bauxite, four kilograms of chemical products and 14KW of electricity. Apart from being profitable, aluminium re-melting can be conducted repeatedly without the degradation of properties which is uncommon in the case of paper and plastics, often keeping them on the borderline of profitability.

Secondly, Dubai is situated in the UAE which is centrally located in one of the most central parts of the Asian Continent. This strategic location allows scrap dealers in Dubai, import scrap from Africa and Europe for use in the UAE itself and after sorting and re-export to the eastern countries such as China, Russia, India and Pakistan as well.

According to the Bureau of International Recycling (BIR), the Middle East scrap metals market differs from its international counterparts with a predominant focus on trading and processing, yet BIR regional membership is second only in size to Europe. What adds to boosting the growth of scrap metal trading and refining, are the cheaper energy prices in the UAE which are required for running the huge reactors for the smelting process.