Abu Dhabi-based leading petrochemical company Borouge, known for providing innovative and differentiated polyolefin solutions, has inked a distribution deal with Somochem, one of East Africa’s biggest polyolefin distributors. The agreement adds to the long-standing partnership between Borouge and Somochem and aims to increase the UAE company’s footprint and presence in East Africa. The development comes on the back of Borouge’s significant growth in the regional market share.
Over the past five years, Borouge has grown its sales of infrastructure solutions and doubled its sales volume of advanced packaging solutions in East Africa. Targeted marketing and sales campaigns were conducted in the region, with a strong focus on Kenya, Tanzania, Ethiopia, Uganda, and Rwanda – countries with the fastest growing GDP in the region. Economic growth in East Africa is projected to reach 5.4% in 2024, with market demand driven by rapid and substantial infrastructure investments, healthcare improvements, urbanization, and rising living standards.
Khalfan Al Muhairi, Senior Vice President, MEAE Region at Borouge, comments, “We are sharpening our focus on the growing demand in East Africa, now a major strategic market for Borouge. We identified a gap in the region for multiple premium solutions, enabling us to unlock opportunities to grow our market share over the next five years. In 2022, we increased our sales of advanced packaging solutions in East Africa to reach $135 million, and sales of energy and infrastructure solutions to $50 million, demonstrating our position as a reliable and trusted partner to the region’s biggest brands and distributors. We are bullish on the future growth in East Africa.”
With an estimated population of half a billion, the region of East Africa is one of the fastest growing economies in the world, with many global consumer brands capitalizing on growth and partnering with Borouge to develop premium and recyclable products.
Borouge has launched over six new advanced packaging products to promote its organic sales growth. The new sustainable packaging solutions, designed by keeping consumers and industrial premium applications in mind, are engineered to be safe, lightweight, modern, and environmentally friendly. The petrochemical company plans to launch new grades in 2023 to cater to the evolving demands of the market.
Borouge’s ‘bringing energy all around’-range of energy solutions is used for insulation systems, jacketing low, medium, and high voltage energy transmission and distribution cables. Moreover, Borouge’s piping solutions are recognized for their improved processing properties, lower maintenance and installation costs, longer product lifetimes, increased safety, and energy efficiency.
