GCC petrochemical revenues hit $89.4 billion in 2013, says GPCA

24/11/2014 15:08 AST

Petrochemicals revenues reached an all-time high in 2013 hitting the $89.4 billion mark, according to the latest industry report by the Gulf Petrochemicals & Chemicals Association (GPCA). According to the GCC Petrochemicals & Chemicals Facts and Figures 2013, released today at the 9th Annual GPCA Forum, revenues from GCC petrochemicals grew by $6 billion between the 2012 and 2013, resulting in a 7.3 per cent growth. Chemical sales revenue from the Arabian Gulf is the second highest of any petrochemical producing region, after Asia.

“2013 marked a turning point for the worldwide chemicals industry, signalling a return from the global economic downturn,” said Dr. Abdulwahab Al- Sadoun, Secretary General, GPCA. “And as the region with the second highest rate of sales growth, the GCC has demonstrated that its petrochemicals industry can compete with sector leaders.”

Saudi Arabia, the region’s largest petrochemical producer, accounted for 74.9 per cent of the region’s chemical revenue, roughly $66.9 billion in sales. Qatar’s chemical industry generated $11.5 billion in sales.

With analysts forecasting positive growth figures in the near future, regional producers must not be complacent, Dr. Al Sadoun advised.

“While the emergence of favourably priced feedstock-- an advantage that the GCC chemicals producers have enjoyed over the 30 years-- becomes available in other regions as shale oil and gas becomes commonplace, we as an industry need to focus on innovation,” continued Dr. Al- Sadoun. “Growth is assured, but we also need to transform our operations in a way that will make us relevant and profitable 10, 20, 30 years from now.”

CPI Financial