Capacity Growth Projects May Propel Africa as Leading Polypropylene Exporter

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Researched by Industrial Info Resources (Sugar Land, Texas)--Africa's Chemical Processing Industry has a good opportunity to become a leading global exporter. The industry's polypropylene capacity now stands at 2,579.6 million pounds per year, with plans to increase that amount by 2,756 million pounds per year in the near future. It could further add about 1,100 million pounds of capacity, provided growth projects get a green light.

Industrial Info is tracking seven polypropylene projects, with a combined worth of $2.31 billion, in South Africa, Nigeria, Egypt, and Algeria. International investors like Total South Africa (Rosebank, South Africa) and Sonatrach (Hydra, Algeria) are working on a grassroot propane dehydrogenation-polypropylene plant in Arzew, Algeria.

Domestic investors like Sasol Limited (NYSE:SSL) (Sandton, South Africa), Indorama Eleme Petrochemicals Limited (Port Harcourt, Nigeria), Carbon Holdings Limited (Giza, Egypt) and Oriental Petrochemicals Company (Suez, Egypt) also continue to strive for growth.

However, polypropylene capacity growth in Africa faces challenges such as insufficient feedstock and inadequate capital. Also, the COVID-19 pandemic has impacted the development of many projects.

Demand for polypropylene is growing, especially for use in medical equipment.

Subscribers to Industrial Info's Global Market Intelligence (GMI) Chemical Processing Project Database can click here for a list of related project reports.

Click on the image at right for a graph showing Africa's polypropylene project activity by plant operator.

Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn.