Dubai, UAE: The Middle East construction chemicals sector is expected to grow by approximately 5.5 percent compound annual growth rate by 2024, shrugging off COVID-19 after-effects that threatened to cripple most industries.

This growth, according to industry insiders, will largely be driven by the extensive demands brought about by the increase in infrastructure in the building, construction and healthcare industries.

According to Al Muqarram Group, the strategic growth of the construction chemicals market in the larger GCC region will be led by the United Arab Emirates (UAE) and Saudi Arabia with the two leading markets expected to remain bright spots for the construction industry throughout 2019 to 2024.

The growth comes against a backdrop of ongoing iconic projects like the Expo 2020 and FIFA World Cup 2022 and many others, which are expected to drive the demand for the respective products.

“Despite the negative effects of the COVID-19 pandemic, the construction chemicals market remained resilient and is expected to continue performing well at least for the next five years. Although it’s a predominantly fragmented market, the Middle East is also keen on maintaining high-quality standards. This is part of the reason why brand reputation, quality, costing and loyalty play a crucial role for Al Muqarram Group and its Brands Dolphin and Hi-stick as it seeks to grow its market and brand share,” said Safdar Badami, managing director, Al Muqarram Group.

Growth in Numbers 

The construction chemicals industry has also grown in value - a strong indication that demand has steadily risen on the back of emerging construction trends as well as evolving regulatory standards and guidelines.

By November 2017, the combined value of the 11,755 active construction projects in the UAE alone had exceeded US$18.2 billion (around Dh3 trillion), accounting for over 30 percent of total value and 52 percent of all construction activity in the GCC region as a whole. Dolphin is Proud to be having achieved its highest sale in

The total value of UAE’s contract awards stood at US$31.6 billion as of September 2018, compared to US$28.6 billion in 2017. According to the latest data, the total value of major expo-related construction projects reached AED156 billion (US$42.5 billion) by the end of March 31, 2018, driven by both the public and private sectors.

Market Trends Driving Growth 

The regional governments’ vision to modernize their respective cities has also impacted the sector’s growth. Leading the pack is the UAE, which plans to transform Dubai into a smart city by 2022. This according to Al Muqarram Group has resulted in sustainable demand for construction chemicals that are an integral part of a smart building and the Group is a Proud Made in UAE Brand.

On its part, Saudi Arabia is poised to become the largest market for construction chemicals in the region, where the total consumption is majorly driven by the end-user industries, such as construction, healthcare, pharmaceutical and packaging.

This is despite the presence of a few construction chemicals manufacturers in the country, making it highly-dependent on imports in a bid to meet the increasing domestic demands and Dolphin Silicone Sealant captures the highest share in the market in this region.

Future plans 

By 2024, Al Muqarram Group plans to have sealed its leadership position in the construction chemicals sector globally through its flagship product - Dolphin. The group also plans to form strategic retail partnerships in the region in a bid to build its auto care segment.

The group’s primary focus, for now, is the Middle East market where the organization expects a growth of 50 percent in the total revenue of the business towards construction chemicals by 2025.

With the UAE manufacturing sector expected to grow its margins by US$130 million in 2020, representing a five percent growth, the group is also planning to expand its production capacity to 15% by 2022.

To achieve this goal, Al Muqarram Group is in the process of setting up a new manufacturing plant in Umm Al Quwain, boost its Sharjah plant with state-of-the-art machinery as well as improve and go high-scale in the production for spray paints and automotive care and grow the segment by five percent.

This is part of its ‘Go Global’ strategy, which the group says, will significantly boost its territorial sales through an expanded product line and diversification of its product portfolio including sealants, butane gas, pest control products, among others.15%

Success through the pandemic 

Although the group’s orders were not grossly affected by the COVID-19 restrictions, the company will continue to implement its health and safety action plan in a bid to secure its employees and avert any delays in production and delivery.

According to Mr. Badami, the group was able to carry on with its operation despite the tough restrictions put in place by the authorities. In response to the restrictions and health regulations, Al Muqarram Group of Industries swiftly implemented a raft of measures to ensure that it minimized the risk of transmission among employees and customers.

“It is often during the most challenging times where there is the greatest opportunity to redefine yourself” so I believe in motivating my people by saying, instead of investing your time in thinking about the global pandemic which you cannot control, shift your energy and focus to opportunities you can create and it worked said Mr. Safdar Badami, Managing Director of Al Muqarram Group of Companies.


About Al Muqaaram Group

Founded in 1999, Al Muqarram Group stands strong with more than 20 years of successive prosperity, owing to the goodwill of our clients. From being a part of the grassroots movement to creating affordable, and high-quality industrial products, to pioneering trade in the different sectors of the market, Al Muqarram Group puts forward nothing but the best.

Our manufacturing establishments across the UAE have been home to innovation in creating Sealants, Waterproofing products, Adhesives, Vehicle Care & Maintenance items, Aerosol Sprays and our Health & Hygiene products and Sanitizer Liquid & Sprays. We have commissioned state-of-the-art machinery to mass-produce industrial-grade products through a combination of cost-effective equipment, along with high-yielding European-grade machinery to keep an upper edge in the market.

AL Muqarram Group is a culmination of a prevailing trading platform, which has allowed our brands to reach far out to regions in the G.C.C., Europe, Africa, the Far East, and South Asia.

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