The petrochemical industry is the Gulf's second biggest export commodity with over 25 million tons annually, the total value of this industry in the Gulf fetching over $50bn annually, thereby comprising nearly 11% of the global market and utilizing massive channels to export to the rest of the world.
These staggering findings and forecasts were shared with the nearly 200 key decision makers and stakeholders in the global chemical and petrochemical communities who gathered in Manama for the hugely successful Second GPCA Supply Chain Conference earlier this week.
All aspects of the supply chain were discussed and debated over the 2-day event including land and sea transportation of liquid and bulk chemical products, global standards and regulations, what chemical companies in the Middle East are doing to ensure supplies are delivered to markets safely, cost-effectively and in a socially responsible manner.
Some of the key findings showed that despite the phenomenal growth in the GCC petrochemicals industry, currently domestic consumption is still lower than exports from the region and therefore, better infrastructure and logistics were needed to ensure that future domestic consumption requirements are successfully met.
Streamlining the supply chain was another key issue on the agenda. Saudi Arabia was cited as a perfect example of a country investing heavily in supply chain improvements, ensuring a smooth transition from port to land by tackling issues such as trucking capacity, port capacity and improving processes such as documentation and border movements.
"The GPCA Supply Chain conference was the perfect platform to reiterate our commitment to ensuring improvements in the regional supply chain. We have collectively determined the need of the hour and are actively cooperating and collaborating with suppliers within the industry to form and maintain a uniform standard that can be applied and followed by all concerned," said Dr. Abdul-Wahab Al Sadoun, secretary general of the GPCA.
"The supply chain has to create a process where flexibility is provided along with dynamic solutions to face any challenges in the near future," he added.