Strong and resilient -- the Middle East and Africa in 2013

The November issue of the International Plastics News - Middle East & Africa presents the scenario for 2013. This year-end report gathered the insights of experts from leading companies engaged in plastics and rubber production on industry trends and how they will respond to these trends through their upcoming products. As prospects for the global economy remains uncertain, the Middle East and Africa are expected to ride through the many challenges with booming industrial sector fuelling growth in 2013. This has been the consensus of analysts and companies in the plastics and rubber industry, whose confidence in the region’s resiliency has not waned despite the global economic slowdown.

Saudi Arabia, United Arab Emirates (UAE), Oman, Bahrain and Qatar are expected to lead the MENA region as these countries have figured prominently in the global arena for their innovation and competitiveness. In 2013, these countries are expected to retain their competitiveness with support from a robust industrial sector which will benefit from capital inflows, rising infrastructure spending, technology transfer and abundant raw materials supply.

Another bright spot is Sub-Saharan Africa, which has been posting strong performance. Sub-Saharan African countries are key participants in the solid expansion of the whole African region. It has been predicted that 10 of the 20 fastest growing economies over the next five years will be African. Stable commodity prices, favourable policy environment and strong domestic consumer market will contribute to the region’s rapid industrial growth.  Another important indicator is the high investor interest in the region, with foreign direct investments of about $31 billion expected to pour into emerging industries. Discoveries of oil, gas, and other minerals in African countries are also likely to trigger significant investments into these industries, as well as other fast-growing sectors.