Petrochemicals and construction chemicals mark notable investments

Niche segments are on the rise

An essential component that forms the core of most industries, chemicals have long served various sectors as a primary element in a number of applications. Whether it is used as a base or a catalyst, they are used extensively in the construction and industrial arena, as well as for cleaning and mixing purposes. 
The chemicals industry leads as the second largest manufacturing sector in the GCC region, with around $108 billion worth of products recorded in the year 2015, and Gulf countries are heavily investing in the petrochemicals sector with a noted increase by 38 per cent in the same year. 
According to the Gulf Petrochemicals and Chemicals Association (GPCA), the UAE recorded 13.7 million tonnes of petrochemical capacity in 2016, and with Saudi Arabia holds 74 per cent of the chemicals portfolio in the region.
GPCA also states that the global demand for petrochemicals in particular is expected to grow by 4 per cent on an annual basis, further driving investments in sustainable products and processes.
Looking deeper into niche segments, the global market for construction chemicals - that specialise in improving concrete performance, the lifeline of structures and ensuring protection from various weather hazards - is expected to reach $40.2 billion by 2022, according to Allied Market Research, with a compound annual growth rate (CAGR) of 5.6 per cent between 2016 to 2022.
As eco-consciousness is on the rise, chemical manufacturers are looking to introduce products that provide optimum performance without damage to surroundings or people. 
The need for environment-friendly solutions, including logistics and transportation of hazardous content, is further fuelling the chemicals industry to create safe options. 
Organisations operating in the chemicals sector hold proper certification and acquire international quality marks to assure adherence to highest standards of safety and processes. 
- farhana@khaleejtimes.com