Petrochemicals to become key to growth in UAE region

12-Dec-06

Petrochemical investments in the GCC region totalled US$29 billion in 2005, almost 60% of the region's manufacturing sector investments, as per a study by Dubai Chamber of Commerce and Industry (DCCI). The study considers the petrochemical industry to be a major industry because of its contribution to investment, capital attraction, diversification of sources of income and creation of employment opportunities. In 2005 there were 55 petrochemical companies employing 20% workforce of the manufacturing sector in the GCC with an estimated production of 40 million tons, contributing 7% to world petrochemical output. In 2005, the UAE contributed 6% to GCC petrochemical production, and refined oil production in the UAE totalled 437,000 bpd - an increase of 48% over the period 2000-2005. Contribution of the oil and gas sector to UAE's GDP in 2005 was pegged about 35.6%.