In this issue we will focus on the Kingdom of
Saudi Arabia, one of the fastest developing
countries in the gulf region, representing
more that half of the total output of the GCC
and being the second largest global source of
overseas expenditure after the USA.
SA economy has grown rapidly, surpassing
other Gulf countries in respect to investments
made in the manufacturing sector, reaching $92
billion compared to the $150 billion for the entire
gulf by the end of 2008.
The paper industry ranked 4th in the economic
growth, have a total investment of $3.3 billion ;
Saudi’s contribution to the paper industry alone
was $2.4 billion !
However, this country and its approximate 28
million inhabitants are facing several economic
challenges which include a high dependency on
oil and the petrochemical industry and a high
dependency on foreign labour, a challenge
which SA shares with other neighbouring countries.
Nevertheless, SA enjoys being the largest producer
of tissue in the gulf and involves the biggest
producers of container board in the area
with five paper mills in the country, Saudi Paper
Manufacturing Co. with a manufacturing capacity
of 125000 tons of tissue/yr and Gulf Paper
Industries producing 35000 tons/yr.
Combined, these 2 mills have the capacity of
manufacturing tissue surpassing the productivity
in Egypt.
The 3 other paper mills make container board
and coated recycled duplex board ; Middle East
Paper Co producing 350000 t/yr of recycled
container board, WARAQ doing 200000 t/yr and
lastly Obeikan Paper Mill making 166000 tons
of coated recycled duplex board per year.
In the following pages you will see testimonials
on how SA is the land of contrast, opportunities
and challenges....
… and is likely to remain so