Abdulrahman A.Hussain Jawahery, GM of GPIC
Abdulrahman A.Hussain Jawahery, GM of Bahrain-based GPIC, stated that his company has strong aims to increase its production capacity
PME’s interview with GPIC - one of the region’s most symbolic companies, due to the fact that its owners are Saudi Arabia’s SABIC, PIC from Kuwait and the Bahrain government - took place in February issue. GPIC focuses on the production of fertilizer, mainly urea, ammonia and methanol, and is aiming to increase its production capacity. “We certainly have an expansion plan; any organization with our success record is going to want to build on that, and our shareholders remain ambitious about the company,” said GM Abdulrahman A.Hussain Jawahery. “We have a strong capability to finance ourselves, or if it exceeds that, then GPIC is a very strong proposition for banks looking for low risk financing,” he observed.
“We are debt-free and cash-rich, so it’s a tough period, but we are very well placed to deal with the current situation,” said Jawahery.
The fertilizer business makes the GPIC GM confident that harvests that have been depleted because of accessibility to credit will prompt a coordinated action to remedy the situation, and that finance will shortly be forthcoming.
“The fertilizer sector has a different cycle to the other petrochemical products. People can, and will, reduce their consumption of consumer goods for a period without suffering. Furniture, clothing and packaging, all of which rely on petrochemical products, can from time to time suffer from abstention or reduced consumption, but food is constant necessity,” explained the senior executive.
Despite the much-discussed turmoil in the global financial markets, GPIC managed to sustain its investment plans throughout the course of 2008, and Jawahery indicated his belief the firm is in the best condition in its 27-year history. “Looking to the future, GPIC will be concentrating on the products we already have in our production family,” he added. “But the fertilizer and methanol sectors will certainly remain our core.”