Petrochemical industry growth up by 47 per cent

MUSCAT: The petrochemical industry in the Sultanate posted the highest contribution to the GDP for the manufacturing sector compared with other GCC states. In 2016, the sector contributed by 51 per cent of the added value for the manufacturing sector in the Sultanate; a growth by 47 per cent compared to 2015. The data released in the new report titled ‘2016 GCC Petrochemical and Chemical Industry Facts and Figures’ by the Gulf Petrochemicals and Chemicals Association (GPCA), highlighted the role of the chemical industry in diversifying the regional economy and accelerating non-oil economic growth.

The report said that the GCC chemical industry contributed around $43.8 billion to the GCC economy in 2016, equal to almost one third of manufacturing value added and 29 per cent of manufacturing revenue. GCC chemicals output grew at the fastest pace in five years, with chemical production growing 8.5 per cent from 2015 levels, reaching 158.8 million tonnes. In 2016, the GCC chemical industry reported $77 billion in sales revenue, down 3 per cent from the previous year as a result of changes in global petrochemical prices. The chemicals industry directly employs 152,100 people in the GCC while investing $584 million in research and development. — ONA