BY MOHAMMAD SHOEB
DOHA: Enticed by Qatar’s inexpensive energy resources, KLJ Organic Limited has become the first Indian company to make the largest investment in Qatar’s industrial sector to build a chemical complex in Mesaieed Industrial City (MIC).
The $100m project is a joint venture between Qatar Industrial Manufacturing Company (QIMC) and KLJ Organic of India.
The India-based chemical giant, currently with 15 percent of the world’s total traded Chlorinated Paraffin Wax (CPW), caustic soda, hydrochloric acid and other chemicals, is set to capture about one fourth of the global market with the commissioning of the ambitious project.
“To my knowledge, this is the largest investment by an Indian company in Qatar’s industrial sector”, said Hemant Jain (pictured), Vice- Chairman of KLJ Organic-Qatar WLL.
He added that the decision of investing in Qatar was largely influenced by its strategic location coupled with inexpensive power resources. “Due to its strategic location, Qatar enjoys easy accessing and operating advantages. We have done a very detailed market survey, and from here we are aiming to cater to the entire Middle East, European and African market.”
Although Qatar has recently launched a single corporate marketing company “Muntajat” holding exclusive rights to purchase, market, distribute and sell Qatar’s chemical and petrochemical products to the global market but the KLJQ, being a private company will not come under the ambit of Muntajat, and market its products independently.
Asked, if KLJQ would avail the services of Muntajat to market its products, Abdul Rahman Al Ansari, CEO of QIMC, said: “KLJQ is a private company which does not come under its (Muntajat) preview. So we are going to market the products on our own.”
QIMC, in line with Qatar National Vision 2030 is committed to play a significant role in diversifying the Qatari economy.
AI Ansari also said: “QIMC’s strategy is to introduce new technologies and expand the local markets through encouraging foreign firms to invest in Qatar on joint venture basis.”
KLJ Organic Qatar W.L.L is a 60:40 joint venture between QIMC and KLJ Organic India respectively.
Asked to comment about the domestic consumption of output, Hemant said: “The hydrochloric acid and its by-products will be sold domestically, while the Caustic Soda and many other chemicals will primarily find their use in domestic as well as in the Middle East market.”
He further added: “Since big companies such as SABIC and Qatar Vinyl Company (QVC) do not supply Caustic Soda flakes (in solid form), there is a big market for the product. We will be the only player in Chloride Paraffin and many other chemicals in the region. This will also support a lot of downstream industries. People can put up plastic processing units, drum plants, packaging plants including many other opportunities.”
The Peninsula
