*The country’s chemical sector’s share stood at 4.1%, second only to Oman (5.1%) in 2018
Qatar’s chemical sector has the second highest contribution to the GDP among the GCC countries in 2018, Gulf Petrochemicals and Chemicals Association (GPCA) has said and noted fertilisers represent the highest-ever 51% share in the country’s total production capacity.
The country’s chemical sector’s share stood at 4.1%, second only to Oman (5.1%) in 2018.
The production capacity reached 19.1mn tonnes and achieved chemical revenue of $7.3bn, an increase by 14% in 2018, GPCA said.
In the "GPCA Pulse of the Chemical Industry Report" said the GCC chemical industry achieved a revenue of $84.1bn in 2018, with production capacity reaching 174.8mn tonnes, signalling an increase of 2.8% in terms of contribution to the regional GDP.
The report highlights chemical production, export, sales, job creation and investments made in the Arabian Gulf in 2018.
Due to the increased demand of chemicals by the Gulf Co-operation Council producers across the globe, the production capacity of the GCC chemical industry was also added by 13.3mn tonnes in 2018.
The report has revealed that Oman’s chemical sector has the highest contribution to GDP among the GCC countries, with 5.1% in 2018, double the figure in the region. This achievement is attributable in part to the manufacturing sector being inscribed within the top five sectors identified by Oman’s National Programme for Diversification.
Kuwait achieved the second highest chemical revenue growth of 32% in 2018. With industrial expansion being a top priority as part of the long-term development priorities in Kuwait’s 2035 strategy, this achievement further cements its position as a global centre for petrochemical production.
Dr Abdulwahab al-Sadoun, secretary general, GPCA, said, “The chemical industry in the GCC is consistently scaling new heights in terms of production, portfolio diversification and job creation. Such success is driven by visionary regional leadership which is driving economic diversification initiatives that are focused on developing the non-oil sector. This is supported by several government initiatives such as Oman’s National Program for Diversification.
“The employment in the GCC chemical industry increased by 157,000 in 2018,” he added.
GPCA represents the downstream hydrocarbon industry in the GCC region. Established in 2006, the association voices the common interests of more than 250 member companies from the chemical and allied industries, accounting for over 95% of chemical output in the Arabian Gulf region.
The industry makes up the second largest manufacturing sector in the region, producing in excess of $108bn worth of products a year.