Saudi Arabia is clearly leading the way toward diversification and manufacturing of value-added products along the petrochemical chain with investments worth a whopping $150 billion, said a new report by Frost & Sullivan. The top business research and consulting firm in its latest report pointed out that historically the GCC region has been the home for primary petrochemicals. However, Frost & Sullivan said it expects at least 10 to 15 new petrochemical and specialty products being manufactured in the region for the first time, driven by Saudi-based companies. “This may have two major implications for the Saudi region: firstly, this will spawn downstream conversion industries in the Kingdom which in turn will lead to increased employment opportunities for the fast growing population,” said Vishnu Sankaran, industry manager, Chemicals and Materials Practice, MENA, Frost & Sullivan. “Secondly, introduction of specialty products will open windows to greater technological collaboration with companies that have access to niche technologies,” he pointed out. Frost & Sullivan expects innovation to be a key driver of the robust and sustainable petrochemical industry. This will also mark the beginning of the critical era in the GCC region, Sankaran added.
