RIYADH: Indian companies and business groups are stepping up efforts to tap into Saudi Arabia’s growing petrochemical sector, with a focus on refining complexes, technology partnerships, and joint ventures, according to an official at the Indian Embassy in Riyadh.
The move underscores the expanding economic cooperation between the two nations, with chemicals and petrochemicals forming a key pillar of bilateral trade. The partnership was further reinforced during a recent high-level meeting aimed at boosting investment and technological exchange, Al-Eqtisadiah reported.
Saudi Arabia’s emergence as a global petrochemical hub has been driven by long-term strategy, major investments, and a strong push for economic diversification. Industry experts told Arab News earlier this month that the Kingdom’s petrochemical production capacity is set to double within five years — from about 75 million to more than 140 million tonnes annually — according to Hector Casas, principal at Arthur D. Little Middle East.
In response to Al-Eqtisadiah’s inquiries, the Indian Embassy said Saudi Arabia, one of the world’s largest petrochemical producers, has offered to supply the Indian market with a wide range of products including plastics, polymers, and organic chemicals derived from its extensive oil and gas reserves.
Strengthening industrial links
India, home to a robust industrial base in specialty and value-added chemicals, pharmaceuticals, and industrial materials, is seeking to deepen collaboration with the Kingdom through joint ventures, technology transfer, and investment in refining and petrochemical facilities.
The embassy added that several Indian startups are exploring new investment opportunities in Saudi Arabia, while recent discussions also focused on enhancing trade cooperation in sectors such as construction, contracting, healthcare, and information technology.
In line with Vision 2030 goals to boost local manufacturing, Saudi Arabia’s Ministry of Investment signed a $1 billion agreement in January 2023 with India’s UPL Ltd. to produce specialty agricultural chemicals in the Kingdom. In February, the Saudi minister of industry and mineral resources visited UPL’s research and technology center in India to review the company’s advanced production techniques.
Expanding presence
Saudi mining giant Ma’aden has strengthened its footprint in India through Ma’aden Marketing Services Co., along with long-term fertilizer supply deals. Meanwhile, Saudi Aramco and Sipchem maintain active distribution networks and partnerships in the Indian market.
Bilateral trade between the two nations reached $41.9 billion in fiscal year 2024-25, with the chemicals and petrochemicals segment accounting for about 10 percent ($4.5 billion).
A Saudi delegation led by Khalil bin Ibrahim bin Salamah visited India in October 2025 to meet counterparts from the Ministry of Chemicals and Petrochemicals, discussing potential investments in Indian petrochemical zones and collaborations across the industrial value chain.
Saudi Arabia currently ranks as India’s fifth-largest trading partner, while India is the Kingdom’s second-largest. During FY 2024-25, India imported $30.1 billion worth of goods from Saudi Arabia and exported $11.8 billion in return.
Key Indian exports to Saudi Arabia include engineering goods, rice, pharmaceuticals, textiles, and jewelry, while Saudi exports to India are led by crude oil, LNG, fertilizers, and plastics.
More than 5,000 Indian companies operate in Saudi Arabia across sectors including construction, IT, healthcare, and finance, with over 40 firms establishing regional headquarters in the Kingdom in the past two years.
The two nations continue to strengthen cooperation in education, training, tourism, healthcare, and energy. India currently imports around 14 percent of Saudi crude oil output and 18 percent of its LNG exports, underscoring the strategic depth of their economic partnership.
