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Saudi Arabia and the UAE account for 83 per cent
of the plastics processed in the region.

GCC plastic processing to grow 3pc this year

DUBAI, December 4, 2016

The plastics processing industry in the GCC is expected to grow at a little over three per cent while total polymer demand is estimated to be just less than five million tonnes by the end of 2016,a report said.

Compared with other parts of the Middle East the GCC has not been as severely affected by the Syrian crisis, whilst free trade and investment incentives have seen infrastructure increasingly grow and a growing services sector contribute more to the economy, counteracting the impact of low oil prices.

Saudi Arabia and the UAE account for 83 per cent of the plastics processed in the region with a high demand for commodity polymers whilst engineering polymers demand remains very low at less than 1 per cent of total polymer demand in the region, said the report entitled “Plastic Processors in the GCC 2017” released by Applied Market Information, a top business intelligence company.

Even the smaller countries of Bahrain, Kuwait, Oman and Qatar exhibit growth and potential.

In particular, the 2022 World Cup in Qatar as well as the World Expo in Dubai 2020 have created major construction projects benefitting the plastics industry, the report said.

Further evidence for this stable market is rising incomes and reduced unemployment that will continue to drive demand for a large amount of consumer and household goods and appliances.

The region is now moving onto the next stage of its development programme, with a special focus on downstream industries and plastics conversion. Leading the way are Saudi Arabia and the UAE which have introduced a series of initiatives to boost growth of small and medium-sized industries (SMEs) for plastics processing. – TradeArabia News Service
 




Tags: GCC |

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