Growing demand from packaging, automotive, building & construction to boost masterbatch market in Qatar

The masterbatch market in Qatar is projected to cross US$23 mln by 2021, as per TechSci Research. Masterbatch is a solid or liquid mixture of pigments or additives used as a raw material in plastic processing for imparting color or other special characteristics to processed goods. Globally, masterbatch are increasingly replacing the conventionally used dry pigments and compounds. However, in Qatar, pigments and compounds continue to be widely used in various industries such as PVC pipe industry, thereby restricting volume consumption of masterbatches in the country. Masterbatch are broadly categorized as white, black, color and additive, with the market for masterbatch in Qatar being dominated by white masterbatch, in volume terms, in 2015. Plastic processing industry in Qatar is concentrated in two major industrial areas, that is, Doha Industrial Area and Mesaieed Industrial Area, of which Doha Industrial Area accounted for the majority share in the Qatar masterbatch market in 2015. Majority demand for masterbatch emanates from the processors using blown film extrusion process, which is used for manufacturing plastic packaging products. In addition to blown film, masterbatch are also used in significant quantities in roto molding process, predominantly in the production of storage tanks and builders plastic products. Cable manufacturing is another major end use application for masterbatch suppliers inQatar, wherein color masterbatch is the dominant product segment. Cable manufacturers predominantly use green, red, blue and yellow masterbatch to comply with color coding for easy and safe identification of cables. Qatar masterbatch market is entirely dependent on downstream market, i.e., polymer or plastics industries in the country. Demand for masterbatch continues to be propelled by increasing demand for polymer resins, as masterbatches are incorporated in polymer resins for the production of plastic in various shape and size. During 2013-2015, Qatar polymer market exhibited robust annual growth of 39.12% in volume terms. In 2015, the output of the polymer industry of Qatar stood at 2.1 million metric tons as compared with 1.7 million metric tons in 2014, exhibiting a sturdy year on year growth rate of around 23.53%. Major types of resins/polymers manufactured inQatar include Low Density Polyethylene (LDPE), Linear Low Density Polyethylene (LLDPE), High Density Polyethylene (HDPE), Medium Density Polyethylene (MDPE), etc. In addition to domestic market, Qatar serves the export demand as well. Augmented demand from the plastic processing industries is expected to steer the Qatarmasterbatch market at a healthy pace through 2021. "Demand for masterbatches is increasing at a moderate pace on account of rising demand for plastics, coupled with supportive initiatives taken by the Government of Qatar. Masterbatch suppliers in Qatar are witnessing growing demand for additive masterbatch on account of increasing preference for high grade and speciality products coupled with rising demand for bio degradable plastics. All these factors are expected to directly boost the masterbatch demand in Qatar over the course of next 5-10 years", said Mr. Karan Chechi, Research Director with TechSci Research, a research based global management consulting firm.