Government support, sustainability bolster SABIC’s growth, says CEO

Petrochemicals played a vital role in building the kingdom’s added value over the past four decades with the government’s support, said Mohamed Al-Mady, vice chairman and chief executive of Saudi Basic Industries Corporation (SABIC).

“The kingdom might have lost nearly $34 billion income per annum, should the Saudi leaders did not lay foundations of the petrochemical industry in 1976,” the Saudi Press Agency quoted Al-Mady as saying in a speech to the Global Competitiveness Forum.

Government support for the sector is evident in the competitive pricing of feedstock. This support also includes the investment in infrastructure, financing channels allocated for development and economic diversification, financial support provided for the development and qualification of national human resources and rural areas, and the encouragement of small and medium-sized enterprises (SMEs).

The petrochemical sector employs 35,000 persons across the kingdom. It also provides 280,000 job opportunities in the local market.

The industry generated greater value, thanks to the effective use of resources, such as government support, value chains, and the application of innovation and sustainability principles. These are the main pillars that catalyzed SABIC’s growth and placed it among the world’s top petrochemical producers, Al-Mady said.

“Enhancing our competitive advantage would definitely unleash growth and unlock more value,” he added.