Rapid growth in construction to drive demand for plasticizers in Qatar at CAGR of 10% till 2021

26-May-16

Qatar plasticizers demand will register a CAGR of 9.75% till 2021 amid rapid growth in construction sector and surging demand for plastic, wires & cables, pipes & fittings, as per TechSci Research report " In Qatar, plasticizers are being increasing used as additives in the production of films & sheets, pipes & fittings, wires & cables, and in construction sector for manufacturing PVC based roofing, flooring and wall coverings. On the basis of chemical composition, plasticizers are classified into two categories - phthalate plasticizers and non-phthalate plasticizers. Non phthalate plasticizers are majorly used in packaging, healthcare, pharmaceutical and food & beverage industries, whereas phthalate plasticizers are majorly used to impart features such as durability and longevity to wires & cables, and flooring and wall coverings used in the construction sector. Continuing growth in number of real estate and infrastructure projects in Qatar is expected to positively influence the demand for plasticizers over next five years. Growing need for polymers used in various applications such as roofing and wall covering solutions is also boosting the consumption of plasticizers. Qatar is expected to witness more than 8% growth in demand for PVC in the coming years, which is highest in the GCC region. Polymer production capacity of the country stood at 2.1 million tons in 2015, and is expected to increase at a CAGR of 8% during 2016-2021. Moreover, construction industry, which is the second largest and the fastest growing end user industry for plasticizers in Qatar, is anticipated to grow at a CAGR of more than 10% over the next five years. All these factors are expected to boost demand for plasticizers in the country through 2021. Few of the major global players operating in Qatar plasticizers market include Clariant, Lanxess, Petrochem, and BASF. "During 2011-2015, growth in demand for plasticizers from wires & cables was the highest, however, over the next five years, growth in demand for plasticizers from construction sector is anticipated to be higher. Increasing construction activities in Qatar, in both residential as well as non-residential segments, coupled with continuing infrastructure development is expected to result in increasing plasticizer consumption over the next five years.", said Mr. Karan Chechi, Research Director with TechSci Research, a research based global management consulting firm.