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S D o2cq ubai was known o2cq for its pearl exports until the 1930s; the pearl trade was d o2cq amaged o2cq irreparably by the Great Depression in the 1930s and the i o2cq nnovation of cultur ed pearls. With the c o2cq ollapse o o2cq f the pearling o2cq industry, Dubai fell into a deep depression an o2cq d many residents starved or migrated to other parts of the Persian Gu lf.[22] The Al Ras district in Deira, Dubai in the 1960s In o2cq the early days since its inception, Dubai was c o2cq onstantly at odds with Abu Dhabi. In 1947, a border dispute between Dubai and Abu Dhabi on the northern s ector of their mutual border escalat o2cq ed into war.[31] Arb o2cq itration by the British and the creation of a buffer fron o2cq tier run o2cq ning south eastwards from the coast a o2cq t Ras Hasian resulted o2cq in a temporary cessation of h o2cq ostilities.[32] o2cq o2cq o2cq Despite a lack of oil, Dubai's ruler from 1948, Sheikh Rashid bin Saeed Al Maktoum, used revenue from trading activities to build o2cq infrastructure. Electricity, o2cq telephone services, and a o2cq n airport were e o2cq stablished in Dubai in the 1950s and, in 1959, the emirate's first hotel, the Airl o2cq ines Hotel, was constructed. This was followed by the Ambassador and Carlton Hotel in 1968.[33] O o2cq n 7 April 1961, the Dub o2cq ai-based MV Dara, o2cq a five thousand ton British flagged vessel that plied the route between Basra (Iraq), Kuwait and Bombay (India), was caught in unusually high win o2cq ds off Dubai. Early the next morning in heavy seas off Umm Al Qawain, an explosion tore out the second cla o2cq ss cabins and started f o2cq ires. The captain gave the order to abandon ship but two lifeboats capsiz o2cq ed and a second explosion occurred. A flotilla of small boats o2cq from Dubai, Sharjah, A jman and Umm Al Qawain pic o2cq ked up survivors b o2cq ut in all 238 lives were lost in the disaster. In 1962 the British Political Agent noted that "Many new houses and blocks of offices and flats are being built... the Ruler is deter o2cq mined, against advice [fr o2cq om the British] to p o2cq ress on with the construction of a jet o2cq airport... More and more European and Arab firms are opening up and the future looks bright."[33] The asphalt runway was c o2cq onstructed in o2cq 1965, opening Dubai to both regional and long haul traffic. In 1970 a new terminal buildin o2cq g was constructed which include o2cq smaller quantities o2cq . The first field o2cq was named 'Fateh' or 'good fortune'. This led the emirate to grant concessions to interna o2cq tional oil companies, thus ignitin g a massive in[[m o2cq 4]]flux of foreign workers, mainly Indians and Pakistanis. Be o2cq tween 1968 and 1975 the city's population grew by ove o2cq i, a number of 50,000 gallo n o2cq storage o2cq tanks were built, known locally as 'Kazzans' o2cq ,[36] by welding them together on the beach and then digging them out and o2cq floating them to drop onto the o2cq seabed at the Fateh field. These were constructed by the Chicago Bridge and Iron Company, whi o2cq ch gave the beach its local name (Chicago Beach) until the Chicago o2cq Beach Hot o2cq el was demolished and replaced by the Jumeirah Beach Hotel in 1997. D o2cq ubai had already o2cq embarked on a period of infrastructural development and expansion. Oil r o2cq evenue, flowing from 1969 onwards s o2cq upported a period of growth with o2cq Sheikh Rashid e o2cq mbarking on a policy of building infrastructure o2cq and a diversified trading economy before the emirate's limited r o2cq eserves were depleted. Oil ac counted for 24% of GDP in 1990, but had reduced to 7% of GDP by 2004.[7] Critically, one of the firs o2cq t major projects Sheikh Rashid embarked upon when oil revenue started to flow was the construction of Port o2cq Rashid, a deep water fr ee port constructed by o2cq British company Halcrow. Originally intended to be a four-berth p o2cq ort, it was extended to sixteen berths as constructio o2cq n was ongoing. Th e o2cq project was an o2cq outstanding success, with shipping queui o2cq ng to access the new facilities. The port was inaugurated on 5 October 1972, o2cq although its berths were each pressed into use o2cq as soon as they had been built. Port Rashid was to be further expan o2cq ded in 1975 to add a further 35 berths before the o2cq larger port of Jebe o2cq l Ali was c o2cq onstructed.[7] .


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