GPCA recognises need for change

GROWTH IN THE GULF

EVENTS • THE ISSUES FACING THE GLOBAL PETROCHEMICAL INDUSTRY ARE THE SAME AROUND THE WORLD, AS GPCA’S 13TH ANNUAL FORUM IN DUBAI LAST NOVEMBER ILLUSTRATED

THE GULF PETROCHEMICAL and Chemicals Association (GPCA) held its 13th annual forum in November 2018, attracting some 2,100 delegates to the Madinat Jumeirah Hotel in Dubai, UAE.

The forum opened with a welcome address from Yousef Al-Benyan (above), vice-chairman and CEO of SABIC and chairman of GPCA. “Global challenges to transformation are real,” he began. “In order to meet these, regional and global chemical industry players need to focus their efforts on portfolio enhancement, competitiveness and growth measures. To remain relevant in this transforming value chain, we must collaborate through value-creating and win-win partnerships. Collaboration with international and national oil companies in North America and Asia, research and development investment, customer intimacy, and digitalisation are key to the viability of your business so if you’re not there yet, the time is now.”

Delivering the inaugural address, HE Shaikh Mohammed bin Khalifa bin Ahmed Al Khalifa (opposite), minister of oil in the Kingdom of Bahrain, called on the chemical industry in the Gulf Cooperation Council (GCC) region to collaborate and innovate to meet today’s global challenges: “Trade wars, currency challenges and the commoditisation of products have led the chemical industry to the crossroads we are at today,” he said. “We must acknowledge the key role the GCC plays in meeting global demand and utilise our strong regional network, acknowledge best practices from across the globe and focus our efforts on capitalising on the numerous innovation opportunities that the move towards a circular economy will bring.”

According to Shaikh Mohammed, strong and visionary CEO leadership is essential for implementing the circular economy and reaching new levels of sustainable economic growth. By applying these principles, companies can design out waste, increase resource productivity and decouple growth from natural resource consumption. Citing the wave of innovation of ‘Industry 4.0’, the ‘fourth industrial revolution’ enabled by digital and physical technologies, Sheikh Mohammed urged industry leaders to embrace technology with cautious optimism, empower existing teams and future professionals keeping issues such as security and operation excellence at the forefront.

“To have the minister open the forum is a matter of great pride and underscores the significance of the GPCA Annual Forum in our sector and the region as a whole,” said Dr Abdulwahab Al Sadoun, secretary general of GPCA.

The minister’s speech set the scene for proceedings on day one, which included a glimpse into the future, and encouraged regional chemical industry professionals to leverage the full potential of data and circular economy, to increase efficiencies and foster further innovation.

HOT TOPICS Representing one of the world’s fastest growing markets for refining and chemical products, Raghavendra Rao, India’s secretary, chemicals and petrochemicals, was also among the dignitaries attending the forum and addressing its theme of ‘executing transformation and investing in growth’. From global industrial opportunities in India, regional growth prospects and fundamental shifts in customer preferences, he provided a global outlook and highlighted issues that the industry as a whole needs to address.

Keynote speakers on day two were Murat Sönmez, managing director and head of centre for the fourth industrial revolution, and Fernando Gómez, head of chemistry and advanced materials industry, both from the World Economic Forum. They highlighted the importance of Industry 4.0, while Dr Aabed AlSaadoun, Saudi Arabia’s deputy minister for company affairs, ministry of energy, industry and mineral resources, discussed Saudi Arabia’s national industrial development and logistics programme.

Citing strong growth figures, throughout the two-day event, speakers highlighted the need for evolution within the chemical industry, bearing in mind the emergence of new technologies, product slates and upgrades in capabilities. They also reiterated the importance of ensuring that the industry’s commitment towards a circular economy remains steadfast and integral to creating economic value, jobs and mitigating environmental impact.

Among the speakers at the forum were Amin Nasser, president/CEO of Saudi Aramco; Musabbeh Al-Kaabi, CEO petroleum and petrochemicals at Mudadala; Mutlaq H Al-Morished, CEO of Tasnee; Jim Fitterling, CEO of Dow Chemical Company; Mark Lashier, president/CEO of Chevron Phillips Chemical; and Daniele Ferrari, CEO of Versalis. “These august speakers will address the challenges and opportunities of executing transformation and set out the key imperatives to invest in growth,” said Dr Al Sadoun.

Other exciting events on the forum agenda included a seminar on the circular economy and four masterclass sessions dedicated to the opportunities and challenges raised by digitalisation; cybersecurity; women in industry; and the global chemical industry in an era of protectionism. The forum focused heavily on the GPCA Sustainability Initiative, a new enterprise aimed at demonstrating the chemical industry’s commitment to achieving the global development goals and enabling a transition towards a circular economy.

In line with this year’s theme, GPCA, as the voice of the chemical industry in the GCC region, is placing greater emphasis on the need for increased plastics recycling in order to protect the environment and recover the utility of this valuable commodity. According to the association, GCC producers have a key role to play in positively transforming the industry. Governments and businesses in the region have been quick to grasp the importance of fostering sustainability, which must be supported and encouraged to help ensure a more sustainable and brighter future.

Indeed, the 2018 GPCA Annual Forum featured a Sustainability Zone, showcasing the technologies, techniques and initiatives responsible for transforming the industry by supporting a more sustainable future.

GPCA voices the common interests of more than 250 member companies from the chemical and allied industries, accounting for more than 95 per cent of chemical output in the GCC region. The industry makes up the second largest manufacturing sector in the region, producing over $108bn worth of products every year. GPCA supports the petrochemical and chemical industry in the Gulf region through advocacy, networking and thought leadership initiatives aimed at helping member companies to connect, share and advance knowledge, contribute to international dialogue, and become prime influencers in shaping the future of the global petrochemicals industry.

Committed to providing a regional platform for stakeholders from around the world, GPCA manages six working committees – plastics, supply chain, fertilisers, international trade, research and innovation, and Responsible Care – and organises six world-class events each year. The Association also publishes an annual report, regular newsletters and various other industry reports. HCB www.gpca.org.ae