As PIONEER ICV certification Consultants, we have set up a specialized sub-service line for ICV to help our clients for acquiring ICV certificates, and ICV improvement plans and meet their required level of ICV score as per ICV guidelines.

 

In-Country Value (ICV) certification

In November 2017, Abu Dhabi National Oil Company (“ADNOC”) introduced an In-Country Value (ICV) program to improve the GDP of the country by enhancing local supplies of goods and services and encouraging manufacturing facilities to set up in the country. Emiratisation in the private sector in line with UAE vision 2030 is also one of the main objectives to introduce the ICV program.
In years 2019 and 2020, various Government and Semi-Government Entities (Participating Entities) joined hands to broaden the ICV Certification process and launched the Unified ICV program which requires that all their vendors be mandated to calculate and declare their certified ICV score for the financial year, to demonstrate how they are helping to deliver ICV.

NATIONAL ICV CERTIFICATION PROGRAM

In 2021, the ICV program was shifted to the Ministry of Industry and Advanced Technology (MOIAT) to make this program all-inclusive for Government and Semi-Government departments across the whole UAE.

Carrying forward the objective of this program is to ensure spent of businesses is within the national economy in terms of manufacturing costs as well as spent on local products & services. In addition, encouraging investments in the country, appointing and qualifying citizens, and creating quality job opportunities is other major objective of the National ICV Program. Further, to support the industry in the UAE and recycling a larger part of purchases and services expenses within the national economy is the foremost objective of this program.
AREAS CONSIDERED FOR ICV CALCULATIONS
  • (a)  Goods Manufactured (only for Suppliers holding Industrial License)
  • (b) Third Party Spend (only for Suppliers holding non-Industrial License)
  • (c) Investment
  • (d) Emiratization
  • (e) Expatriate Contribution
  • (f) Bonus – i) Revenue from outside UAE. ii) Emirati Headcount iii) Investment Growth

WHY HAS THE ICV CERTIFICATION PROGRAM BEEN IMPLEMENTED IN UAE?

An In-Country Value (ICV) program was announced for Abu Dhabi National Oil Company (ADNOC) Group Companies with the following objectives:

  • (a) Emiratization: Creating additional employment opportunities for Emiratis in the private sector
  • (b) GDP Diversification: Supporting UAE GDP diversification by sourcing additional goods and services within the UAE; and
  • (c) Strategic Considerations: localizing strategically critical parts of the value chain for selected categories.

WHO NEEDS ICV CERTIFICATE?

Companies working directly as suppliers or indirectly as sub-supplier with the following Implementing Agencies are required to acquire the ICV certificate. The Implementing Agencies for the National ICV Program are gradually increasing in numbers to ensure observing ICV programs across the country.

  • ADNOC Group Companies
  • Abu Dhabi Department of Economic Development
  • Aldar Properties
  • Abu Dhabi Ports
  • Mubadala
  • Etisalat
  • Emirates Steel
  • TAQA Group
  • Edge
  • Etihad Rail
  • Sharjah Investment and Development Authority (Shurooq)
  • Emirates Nuclear Energy Corporation
  • Emirates Global Aluminium (EGA)
  • Companies submitting tenders through Musanada (Abu Dhabi General Services Company)
Vendors of Implementing Agencies who do not possess the ICV Certificate are allowed to participate in the tenders of Implementing Agencies, however, their ICV score will be considered as “Zero” in the bid evaluation and hence may be at a disadvantage to those holding ICV Certificates.