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Surging domestic demand
Glass and ceramic products are considered as future growth
areas due to their huge demand in the construction sector in the
GCC states. The GCC states have all the ingredients required for
glass & ceramic making with silica, gypsum, limestone & gas
abundantly available. |
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REGIONAL PRODUCTION &
EXPANSIONS
In a recent report, the Gulf Organisation for Industrial
Consulting (GOIC) stated that the investment size in at glass
production in GCC member states exceeded 564 US dollars
million in 2005.
The report added that there are over 75 producers in glass
sector in GCC member states, most of them are centralised in
Saudi Arabia, with a capacity of 131,000 tonnes per year.The
capacity of major glass processing industrial units is around
1.1 million tonnes per year. |
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The report also expects that the
annual consumption of at glass in GCC member states will
exceed one million tonnes due to the recent phenomenal growth
in the construction sector especially in the UAE, Qatar and
Saudi Arabia.
Growth rate in glass products in the last three years in GCC
was about 8 per cent and expected to increase to 10-12 per
cent in the coming three years. |
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The GCC at glass industry is
composed of small group of glass producers and a much larger
group of fabricators. The former operate integrated facilities
that produce both basic oat glass and a wide variety of
advanced products; the latter purchase basic oat glass and
concentrate entirely on higher value-added products.
According to statistics, the UAE market for container glass
bottles accounts for about 10 million US dollars, while the
GCC market accounts for 75 billion US dollars. The UAE has two
container glass factories with another on the anvil. |
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The neighbouring countries of
Iran and Egypt boast a vibrant and growing glass production
industry, making the region a hotspot for glass manufacturing
activity.
Ceramic manufacturing is also growing in the Middle East with
existing players planning expansions and new projects in the
pipeline. |
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