Agility Equals Resilience

Distinct business sectors have reacted uniquely to the effects of the pandemic. The used capital equipment market has reacted in a resilient manner. DLL Equipment Trading Middle East and Africa FZE is upbeat about the industry’s performance this year.

Established in Jebel Ali Free Zone, UAE, since 2016, DLL Equipment Trading Middle East and Africa FZE is focused solely on trading in the region and is a part of De Lage Landen International BV which is a global finance company.

The past year was undoubtedly a challenging one globally. Raymond Kelly, International Equipment Sales Manager at DLL Equipment Trading Middle East and Africa FZE says: “It was a new way of life for everyone. What with lockdowns, restrictions, social distancing, working from home. So, although it was a rough year, at times it is clear that the attitude in this region is to keep moving forward and adapting to the changes that we are facing.”

Adapting to the new normal is the only way to survive as per Kelly. “At DLL Equipment Trading we were lucky enough to maintain a strong level of sales activity throughout 2020,” adds Kelly. For instance, last year they sold a Terex Quaymate M50 Harbour crane from Australia to a customer in Haiti. It went on its own vessel from Australia to Haiti. (See image below). Another excellent package deal was for a customer in Asia where they sold ten 110HP tractors.

Regionally, many mega projects are ongoing and upcoming including in Saudi Arabia, Egypt, UAE, Morocco, Kuwait and Oman. In addition to the Middle East market, DLL also sells a lot of their high-quality used equipment into Africa. “Africa has always been seen as one of our strong backbone markets and we don’t see that changing any time soon,” he adds. Currently, there is steady growth in the market with continued demand in line with new projects rollout.

Widespread vaccinations and a gradual end of the pandemic will only help increase demand. “Activity in the agriculture and small to mid-size construction equipment market has been surprisingly strong,” says Kelly. “However, I think the biggest negative impact has been on the large construction equipment demand which has suffered as a result of so much uncertainty in the market for customers.”

The Terex Quaymate M50 Harbour crane was shipped in its own vessel from Australia to Haiti.

Keeping customers engaged

Once government restrictions were enforced in early 2020, communicating with employees and customers was the foremost thing on DLL’s agenda. A modified communication strategy was put in place in record time when it came to keeping in touch with staff and customers. “In the local market here in the UAE everything went online and quickly. Instead of shaking hands and meeting and physical inspections of a machine, there were new protocols we had to put in place for inspections where we sanitized the machine before and after inspections. From a technology perspective we had to utilize video capabilities and our internally developed inspection application to address customer needs,” reminisces Kelly.

If there’s one good thing that has come out of this pandemic, it’s the fact that businesses have learned that they can change and adapt to any situation no matter how complex. “We will find a way to overcome and find new ways to work and live,” says Kelly positively. And he feels these working conditions will perhaps be retained on some level in the future.

Business impact

The UAE businesses have enjoyed an additional advantage of their geographical location due to the quick thinking and action of the government to implement restrictions early on in 2020. “The UAE government’s quick response dramatically helped reduce the impact on the markets for 2021,” says Kelly. He expects the local market to improve positively as the country heads back to a sense of normalcy. And globally too markets will stabilize once vaccinations are implemented and completed in each country. Once that happens, various projects will be finalized which will drive increased activity which should result in increased equipment demand.

About Raymond

Raymond Kelly has been in the UAE since 2003. He joined DLL locally four years ago as a General Manager and Global Equipment Sales Manager. His passion has always been construction machinery and big project machinery - buying them, selling them, and generally working around plant and equipment.