Sadara Chemical, Chemie-Cluster Bayern sign cooperation deal
Sadara Chemical Company (Sadara) and Chemie-Cluster Bayern GmbH (CCB) have signed an agreement to cooperate and jointly support the development of chemical-based value chains at PlasChem Park in Jubail.
This agreement will primarily focus on the identification and attraction of German and European small and medium enterprises (SMEs) working in the chemical industries to establish a presence in PlasChem Park, which is a collaborative effort by Sadara and the Royal Commission for Jubail and Yanbu (RCJY).
The signing was co-initiated by the German-Saudi Arabian Liaison Office for Economic Affairs.
Building on the knowledge that both Sadara and CCB have developed the Saudi chemical market, the agreement will also help the two parties identify hidden local market potential where joint business development efforts can be more effective than those of individual SMEs.
Member companies of the CCB network will benefit by being able to capitalize on downstream investment opportunities, thereby establishing or expanding their manufacturing presence into the Kingdom, leveraging the friendly business environment, the availability of differentiated raw materials, the robust infrastructure and the shared services at Sadara’s PlasChem Park complex.
CCB is a German public-private partnership organization initiated by the state government of Bavaria, chemical industry associations, several Bavarian universities and research organizations. It represents a network of about 270 companies and research institutes from Bavaria’s chemical industries. CCB’s member companies have an export rate of more than 65 percent of their total sales and represent leading solution providers for a broad portfolio of chemical products and value chains.
“Our partnership with CCB will support our ongoing efforts in the development of the Kingdom’s value-added downstream industry,” said Director of Value Park at Sadara, Mohammad Alazzaz.
“Sadara’s strategy of attracting diversified and differentiated chemical producers to the PlasChem Park complex provides promising opportunities for CCB’s member companies,” said Daniel Gottschald, managing director of CCB.