Sharjah & Kuwait Manufacturing (SKM), one of the leading manufacturers of central air-conditioning equipment in the Dubai and other Gulf markets, is planning for the future with a huge expansion.
From a modest beginning in 1974, SKM has grown to be an international supplier of quality products by exporting to about 20 countries.
"Our level of operation has reached a stage where we feel the current factory is good enough only for today's requirements. As we are looking to grow... we are growing in technology, quality and marketing. We are building a new factory in Sharjah Industrial Area 13," says general manager Ali Jaber.
The new complex will have 3.5 times the existing area and will have the largest air-conditioners manufacturing factory areawise in the Middle East covering 40,000 sq m, he claims.
The new unit will be ready within a year's time and the entire SKM set up will move there. Jaber hopes to increase the production capacity with the new plant.
SKM has also developed screw chillers and will launch the product this year. The chillers are for use in high-rise buildings.
SKM initially started designing and manufacturing products based on British and American designs. As part of SKM's policy of continuous product development, it completed an ambitious factory expansion programme in 1984 while entering into a licensing and technical assistance agreement with Daikin of Japan to manufacture Daikin packaged and ducted split air-conditioning machines.
In 1994, SKM entered into a technical licence agreement with Mammoth of the US, a manufacturer of speciality air conditioning equipment to produce innovative energy efficient products with unique applications for the Gulf. These products, specifically the Swimline is now manufactured by SKM in the UAE, with the prototype units fully performance tested in the ARI-certified laboratory of Mammoth, US.
SKM air-conditioning units are now totally indigenously designed, engineered and built at the company's factory.
"We can fulfil the requirements of giant commercial malls, high-rise buildings, industrial applications, on-shore or off-shore oil plants and residential villas, among others," says Jaber.
"We cover all markets in the GCC, Egypt, Pakistan, Iran, Iraq, Africa, Sri Lanka, Bangladesh, Philippines and are planning expansion into other suitable markets. Ours is a branded product and exports account for almost 60 per cent of the production," says Jaber.
SKM is an approved supplier to Aramco, Abu Dhabi National Oil Company (Adnoc), Dubai Petroleum Company (DPC) and Kuwait Oil Company (KOC), among others. It is also ISO-certified.
"ISO in itself is not a guarantee of quality. We believe in quality and the secret of our continued growth is quality that could compete with the best in air-conditioning business. The evidence is that we have supplied some of the most prestigious projects in the Gulf such as the Deira Twin Towers, Jumeirah Beach Hotel, Bur Juman Centre, Al Bustan Rotana and towers on Shaikh Zayed Road," says Jaber.
The company says it buys major components from reputed American or European sources.
The product range covers: Packaged liquid chillers; modular air-handling units; comfort air-handling units; fan coil units; residential indoor packaged units; packaged air-conditioners; split air-conditioning units; air-cooled condensers; custom-built units: SKM has the unique capability to manufacture to order, units to meet any special or one-off requirements. It also offers Swimline units which provide mechanical dehumidification very economically. They are suitable for indoor swimming pools, pharmaceutical industry and other applications where a high level of mechanical dehumidification is desired.
With such a huge range of products SKM is able to compete with top names in the business, says Jaber. "We can compete in quality and price as well," he says.
However, he is concerned about the dumping of products by some foreign manufacturers in "our home market", which is very price-oriented.
"There are no entry barriers in the GCC. Anyone can wake up and be in the air-conditioning business. He needs to contact some western manufacturer, stick whatever name he wants and sell the products here. There are no specifications in the industry that must be followed.
"There are is a need for standardisation and the government should take urgent steps in this direction to protect the stability of potential companies," says Jaber.
