Gulf Plastic Factories invest $5bn

This came in a study prepared by the Gulf Organization for Industrial Consulting (GOIC) on plastic industry and trade in GCC member states.

The study said that the developments and expansions in investment and production that have occurred in GCC member states over the past few years led to the rapid growth of this sector considerably.

As a result of the successive expansions and developments that accompanied plastic products' industry, and improved level of performance of most factories operating in GCC member states, added to the high rate of utilization of productive capacity to approximately 90% in 2006 versus 68% in 1990; the production capacities grown from less than half a million tons to more than 2.3 million tons, during the same period, thus make production capabilities able to cover the apparent consumption of GCC.

From another angle, plastic products' industry is relatively new in GCC member states, but it has achieved remarkable development since early nineties of the past century so far; driven by several factors, foremost of is the growth and increased demand for these products, and the high pace of economic growth of all economic activities in GCC member states.

In addition, there is the setup of a highly efficient local industry producing most of the feeding raw materials for plastic products factories in GCC, such as polyethylene, polypropylene and poly vinyl chloride, and polystyrene.