Want a bigger slice of the UAE’s booming economy? Look no further than the In-Country Value (ICV) program! Launched in 2018 by oil giant ADNOC, ICV is like a golden ticket for businesses that want to win big in the UAE (and beyond!). ICV certification program incentivizes local suppliers across Oman, Qatar, Saudi Arabia, and the UAE to get certified. Why? Because a high ICV score unlocks a treasure trove of benefits – for both your company and the entire nation. Think of it as a win-win that fuels local businesses and the national economy. With entities like the UAE’s Ministry of Industry and Advanced Technology at the helm, ICV is paving the way for a more localized, thriving economy. So, are you ready to join the ICV revolution?
Ready to elevate your ICV score and align with the UAE’s economic development goals? Turn to Accruon Consultants LLC for premium ICV Certification Services to ensure your company meets the highest standards.
Overview
- Who needs an ICV Certificate?
- Why Do Businesses in the UAE Need an ICV Certificate?
- What are the benefits of ICV Certification in UAE?
- How to obtain an ICV Certification in UAE?
- Boost Your ICV Score, Boost Your UAE Business
- Your ICV Enquiries Addressed!
Who needs an ICV Certificate?
- In the UAE, the In-Country Value (ICV) certificate has become a game-changer for businesses looking to land contracts with the government or major corporations like ADNOC. This program, spearheaded by ADNOC, makes ICV certification a must-have for suppliers, vendors, and contractors vying for tenders.
- But wait, there’s more! Other influential entities like the Department of Economic Development and Mubadala Development Company are also joining the ICV bandwagon, potentially requiring certification from their suppliers as well.
- The bottom line? If you’re in the UAE and want to do business with the government or major players, especially in sectors like oil and gas, having a high ICV score is becoming increasingly important.
Why Do Businesses in the UAE Need an ICV Certificate?
The ICV (In-Country Value) Certification in the UAE has grown increasingly significant for businesses operating in certain sectors, mainly due to the following reasons:
Tender Eligibility
It is necessary for tender eligibility, as major entities like ADNOC (Abu Dhabi National Oil Company) and government bodies require suppliers to have this certification.
Promotion of Local Goods and Services
The program promotes the use of local goods and services, making businesses with higher ICV scores more attractive to major entities and potentially leading to more contract opportunities.
Economic Diversification
Thirdly, the initiative supports the UAE’s economic diversification goals, allowing companies with high ICV scores to align with these objectives and improve their business prospects.
Employment Opportunities for Emiratis
Lastly, the program encourages the employment of Emiratis in the private sector. Companies employing more Emiratis achieve better ICV scores and gain a competitive advantage in tenders and contracts.
What are the benefits of ICV Certification in UAE?
ICV certification has been granted to more than 3,000 businesses in the UAE, indicating its widespread adoption. The program evaluates various factors, including investment, Emirati employment, expatriate funding, income sources, and increased investment, leading to the emergence of new business opportunities within the UAE. The benefits of ICV Certification are-
The certification enhances the private sector’s involvement, diversifies the GDP, and localizes critical supply chain components.
Small and medium-sized businesses can expand and develop with ease due to localized supply chains facilitated by ICV certification.
Certificate holders can access contracts from federal authorities
and partner corporations.
Notably, ADNOC prioritizes local manufacturing units in tender bids, thereby boosting suppliers’ ICV scores and benefiting both businesses and the nation’s economy.
How to obtain an ICV Certification in UAE?
Obtaining an ICV certificate in the UAE involves a few steps:
Prepare your financials: You’ll need to provide audited financial statements following IFRS standards. New companies (less than 10 months old) can use management accounts instead, but they shouldn’t be older than 9 months.
Complete the ICV Template: This template is available from the authorities and requires you to fill in details based on your financial records.
Select an ICV Certifying Body: The Industrial Development Bureau (IDB) maintains a list of approved certifying bodies on their website You’ll need to contact them, get quotes, and choose one to perform the evaluation.
Evaluation and Certification: The certifying body will assess the information you submitted and calculate your ICV score based on factors like local spending, Emirati workforce percentage, and in-country capital investment. Upon successful evaluation, you’ll receive the ICV certificate.
Boost Your ICV Score, Boost Your UAE Business
The ICV score measures a company’s economic contribution in the UAE, calculated based on its spending on local goods and services, investment in the local workforce, and manufacturing capabilities. A higher ICV score reflects a greater contribution to the UAE economy. It’s used to measure economic impact, support development goals, and can provide benefits like preferential treatment in government procurement. While there’s no set threshold for a “good” score, a higher ICV typically indicates a stronger commitment to local economic growth. The score is determined using a standardized template recording various aspects of a business’s operations.
The ICV score of a company is calculated using the ICV template, a standardized form designed to capture data on various aspects of a business’s operations. This includes local sourcing, investment in community amenities, employment of Emiratis, and other factors that contribute to the growth and success of the local economy.
FAQ
1. How to improve ICV Score?
You can improve ICV Score through local sourcing, hiring UAE nationals, investment in UAE, community engagement etc.
2. What is a good ICV score in UAE?
There is no specific limit for a good ICV score. A higher ICV score indicates a stronger commitment to local economic development and contribution.
3. What is the validity of an ICV Certificate?
An ICV certification in the UAE typically remains valid for 14 months from the submission date of audited financial documents or issuance of new financial statements, whichever comes first. Businesses must renew their ICV certification to receive benefits beyond one year.
4. What happens if a company fails to obtain ICV Certification in UAE?
Failing to secure ICV Certification in the UAE can result in various consequences, including the inability to bid on ADNOC contracts, damage to reputation, missed business opportunities, and potential penalties. These repercussions vary depending on the company’s relationship with ADNOC and its subsidiaries.