GCC: Market for Processed Petroleum Oils and Distillates 2024

Market Size for Processed Petroleum Oils and Distillates in GCC

The GCC market for processed petroleum oils and distillates declined to $X in 2022, dropping by -3.8% against the previous year. Over the period under review, consumption continues to indicate a pronounced decline. Over the period under review, the market attained the maximum level at $X in 2015; however, from 2016 to 2022, consumption failed to regain momentum.

Production of Processed Petroleum Oils and Distillates in GCC

In value terms, processed petroleum oils and distillates production declined to $X in 2022 estimated in export price. Over the period under review, production continues to indicate a mild descent. The growth pace was the most rapid in 2017 when the production volume increased by 19% against the previous year. The level of production peaked at $X in 2018; however, from 2019 to 2022, production stood at a somewhat lower figure.

Exports of Processed Petroleum Oils and Distillates

Exports in GCC

Processed petroleum oils and distillates exports fell markedly to X tons in 2022, dropping by -25.1% on 2021 figures. Over the period under review, exports, however, posted prominent growth. The pace of growth appeared the most rapid in 2021 with an increase of 91% against the previous year. As a result, the exports reached the peak of X tons, and then dropped markedly in the following year.

In value terms, processed petroleum oils and distillates exports dropped rapidly to $X in 2022. Overall, exports, however, saw a relatively flat trend pattern. The growth pace was the most rapid in 2021 with an increase of 114% against the previous year. As a result, the exports reached the peak of $X, and then declined markedly in the following year.

Exports by Country

The United Arab Emirates was the key exporter of processed petroleum oils and distillates in GCC, with the volume of exports accounting for X tons, which was near 59% of total exports in 2022. It was distantly followed by Saudi Arabia (X tons) and Qatar (X tons), together achieving a 40% share of total exports.

From 2012 to 2022, the most notable rate of growth in terms of shipments, amongst the main exporting countries, was attained by the United Arab Emirates (with a CAGR of +12.4%), while the other leaders experienced more modest paces of growth.

In value terms, the United Arab Emirates ($X), Saudi Arabia ($X) and Qatar ($X) were the countries with the highest levels of exports in 2022, with a combined 97% share of total exports.

Among the main exporting countries, the United Arab Emirates, with a CAGR of +2.9%, recorded the highest growth rate of the value of exports, over the period under review, while shipments for the other leaders experienced more modest paces of growth.

Export Prices by Country

The export price in GCC stood at $X per ton in 2022, approximately reflecting the previous year. Overall, the export price continues to indicate a abrupt downturn. The pace of growth was the most pronounced in 2018 when the export price increased by 28% against the previous year. The level of export peaked at $X per ton in 2012; however, from 2013 to 2022, the export prices failed to regain momentum.

There were significant differences in the average prices amongst the major exporting countries. In 2022, amid the top suppliers, the country with the highest price was Qatar ($X per ton), while the United Arab Emirates ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Qatar (-4.2%), while the other leaders experienced a decline in the export price figures.

Imports of Processed Petroleum Oils and Distillates

Imports in GCC

In 2022, supplies from abroad of processed petroleum oils and distillates decreased by -20.6% to X tons for the first time since 2019, thus ending a two-year rising trend. Over the period under review, imports, however, recorded resilient growth. The most prominent rate of growth was recorded in 2021 with an increase of 95%. As a result, imports reached the peak of X tons, and then contracted rapidly in the following year.

In value terms, processed petroleum oils and distillates imports dropped significantly to $X in 2022. Total imports indicated a slight expansion from 2012 to 2022: its value increased at an average annual rate of +1.1% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, imports increased by +60.2% against 2020 indices. The pace of growth appeared the most rapid in 2021 with an increase of 108% against the previous year. As a result, imports reached the peak of $X, and then reduced remarkably in the following year.

Imports by Country

In 2022, the United Arab Emirates (X tons) was the major importer of processed petroleum oils and distillates, comprising 52% of total imports. Saudi Arabia (X tons) ranks second in terms of the total imports with a 26% share, followed by Oman (9.3%) and Bahrain (5.1%). The following importers - Kuwait (X tons) and Qatar (X tons) - each recorded a 7.3% share of total imports.

Imports into the United Arab Emirates increased at an average annual rate of +6.4% from 2012 to 2022. At the same time, Bahrain (+35.9%), Kuwait (+31.6%), Qatar (+24.2%), Oman (+7.4%) and Saudi Arabia (+4.5%) displayed positive paces of growth. Moreover, Bahrain emerged as the fastest-growing importer imported in GCC, with a CAGR of +35.9% from 2012-2022. While the share of Bahrain (+4.6 p.p.), Kuwait (+3.2 p.p.) and Qatar (+2.8 p.p.) increased significantly in terms of the total imports from 2012-2022, the share of the United Arab Emirates (-3.6 p.p.) and Saudi Arabia (-7.3 p.p.) displayed negative dynamics. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Saudi Arabia ($X), the United Arab Emirates ($X) and Oman ($X) constituted the countries with the highest levels of imports in 2022, together comprising 91% of total imports. Qatar, Bahrain and Kuwait lagged somewhat behind, together accounting for a further 8.6%.

Among the main importing countries, Qatar, with a CAGR of +18.5%, saw the highest growth rate of the value of imports, over the period under review, while purchases for the other leaders experienced more modest paces of growth.

Import Prices by Country

The import price in GCC stood at $X per ton in 2022, falling by -3.1% against the previous year. Overall, the import price saw a deep downturn. The pace of growth appeared the most rapid in 2018 when the import price increased by 23%. The level of import peaked at $X per ton in 2012; however, from 2013 to 2022, import prices stood at a somewhat lower figure.

Prices varied noticeably by country of destination: amid the top importers, the country with the highest price was Saudi Arabia ($X per ton), while Kuwait ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Saudi Arabia (+0.1%), while the other leaders experienced a decline in the import price figures.

Source: IndexBox Platform