By Angela Giuffrida
The Gulf offers rich pickings for German construction companies, say minister Michael Glos.
The German federal minister of economics and technology, Michael Glos, has said that the Gulf States - with projects worth over $1 trillion underway - offer rich pickings for German companies.
This year, Bauma, the largest trade exhibition for building equipment and materials in the world, joined forces with the Arabian Peninsular as its partner region, with particular focus on Saudi Arabia and the UAE. Companies from all over the region attended Bauma in search of business deals with German firms.
But with other companies from other parts of the world also wanting a stake in the UAE's construction boom, German companies may soon begin to suffer if they don't revise their prices.
"With $1.2 trillion worth of projects, the Arabian peninsular is a big business opportunity for German companies," said Abdulla Al Mehyas, civil engineer at Dubai-based Crown Engineering Consultants.
"I think German companies do well in this region - they work in a good manner and to high standards, but sometimes their price is higher than companies from other countries, and price controls everything."
Al Mehyas added that European companies in general now face tough competition from companies from Australia, Malaysia and China.
"These companies are not only investing more in the region, but the money made is being invested back here."