Oil fired industrial boilers are expected to dominate the market

Oil fired industrial boilers are expected to dominate the market

Industrialisation spurs boilers market growth

March 2018

Saudi Arabia's industrial boilers market revenues are projected to grow at a CAGR (compound annual growth rate) of 5 per cent over the next six years, said a report.

The rapid industrialisation as well as increasing emphasis on development of downstream petroleum sector is likely to spur this market growth, according to 6Wresearch.

Government initiatives such as Saudi Vision 2030 and National Transformation Plan 2020 have been put in place to develop the country’s non-oil sectors including manufacturing, chemical and hospitality, stated 6Wresearch in its new report, “Saudi Arabia Industrial Boilers Market (2018-2024).”

The report estimates and forecast the overall Saudi Arabia Industrial Boilers market by capacity, type, fuel, types of services offered, end users and regions.

Saudi government is focused on changing the current industrial landscape of the country by taking steps such as expansion of several chemical and petrochemical complexes and setting up of new industrial cities; for instance, recent plans to develop $4.4 billion worth Saudi Aramco’s Industrial Energy City.

With an anticipated increase of around 150 per cent in foreign direct investment by 2020 and rise in investors’ confidence, the country’s industrial boilers market would register substantial growth over the coming years.

Non-condensing industrial boilers are more environment friendly, however their usage is limited in Saudi Arabia as end users are opting for more economical condensing boilers.

Expansion of the existing petrochemical complexes such as $47-million Yanbu Refinery and petrochemical complex as well as $95-million Jubail refinery coupled with rise in exports of refined products are likely to surge the demand for industrial boilers.

Ravi Bhandari, the assistant manager, 6Wresearch, said: “The processing industry, which includes food and beverage (F&B), automobile, surface finishing, plastics, pharmaceutical, cement, fabrics, dyeing and textiles is expected to grow rapidly due to growing investments in these sectors.”

More Stories