Innovation, Evolution and Growth Chemical Industry in ... - GBR

A Global Business Reports Publication, presented with Chemical Week
While total supply solutions from
global heavyweights like Brenntag will
be attractive for larger manufacturers,
the more modest needs of a growing
group of smaller manufacturers and
producers should also ensure considerable
opportunities for smaller distributors.
Acquisition opportunities are also
arising as a result of the downturn and
there should be a considerable amount of
consolidation in the market, which should
see the emergence of a group of stronger
regional players and market maturation.
Following Brenntag’s example, other
global distributors may well start to focus
more closely on the region.
Conclusion
The Singaporean petrochemical
industry has enjoyed remarkable
success throughout its history.
From a series of small islands and a
handful of refineries, the country has
succeeded in building, literally from the
ground up, an innovative world-class
petrochemical hub that has attracted
the world’s leading players.
To do this the country has overcome
considerable challenges, not least of
which has been the limited resources
available. Singapore’s ideal geographical
location, excellent infrastructure and
facilities, use of advanced technologies,
skilled workforce and active governmental
support have ensured the industry’s
success.
Integration has been the key. As the
Minister for Trade and Industry, Lim
Hng Kiang observed: “The success of
our chemical industry has been very
much anchored on a seamless integration
strategy. Working closely together with
the industry, we have created an ecosystem
that not only achieves a high level of
feedstock integration, but also integration
through a full spectrum of logistics and
utilities services.”
With the two new crackers ensuring
vital new feedstock, the country is looking
to develop its downstream activities while
extensive investment in R&D should see
an increased focus on innovation.
As the petrochemical industry in
Singapore develops further and demand
from producers and consumers in the region
increases, there are numerous opportunities
for manufacturers, distributors and service
providers in Singapore. As EDB’s Mr. Ho
confirms: “If you look around the region,
strong GDP growth rates are a reflection
of robust demand growth. Asia is a key
region where we will continue to see
long-term positive growth and Singapore
is well-positioned to play a critical role in
meeting the region’s energy and chemical
needs.”
A full range of services, the ease of
doing business and extensive support
from EDB make the country particularly
attractive for players looking to enter the
region. Indeed, the numerous established
players and new arrivals, increasingly
choosing to create regional headquarters
in the country, reflect the opportunities
and advantages the country offers.
In the medium and long term, rising
costs and growing competition from
China, India, the Middle East and South
East Asia present significant challenges
for the country. However, by working to
increase efficiency, taking advantage of its
strengths and concentrating on moving up
the value chain, Singapore should be able
to ensure that it remains a leading player,
not only in the region but increasingly
globally.
GBR would like to thank
Economic Development Board Singapore
(EDB)
www.edb.gov.sg
Singapore Chemical Industry Council
(SCIC)
Mr. Terence Koh
Dr. A. Chockalingham
www.scic.sg
Association of Process Industry (ASPRI)
www.aspri.com.sg
ASPRI is organizing 2nd International
Exhibition & Conference on Plant Construction,
Engineering & Maintanance for the Process
Industry
www.processcemasia.com
SPRING Singapore – Enterprise
Development Agency
www.spring.gov.sg
Energy Market Authority - EMA Singapore
www.ema.gov.sg