Research and Markets: South Africa Petrochemicals Report Q4 2011 - Operating climate for basic chemicals has been severely tested by industrial action

DUBLIN--()--Research and Markets (http://www.researchandmarkets.com/research/211a80/south_africa_petro) has announced the addition of the "South Africa Petrochemicals Report Q4 2011" report to their offering.

Business Monitor International's (BMI) South Africa Petrochemicals Report (Q4 2011) provides industry professionals and strategists, corporate analysts, petrochemical associations, government departments and regulatory bodies with independent forecasts and competitive intelligence on South Africa's petrochemicals industry.

The operating climate for South African basic chemicals has been severely tested by industrial action, according to BMI's latest South Africa Petrochemicals Report. In July 2011, the rate of production at the Sasol Secunda plant was reduced because of a fuel sector strike, leading to reductions in chemicals output. The unions demanded a minimum salary of SAR6,000 per month and a 40-hour working week. By the end of July, some unions were continuing to press their demands and strike action looked likely to be repeated throughout H211 amid the stand-off.

Nevertheless, the South African polymers market is set for resurgence in 2011. Consumer spending continues to show signs of life, boosted by the low interest rate environment, ongoing wage increases and rising asset prices. Nevertheless, the overall picture for the South African economy is one of only moderate growth. This will be partly offset by the effects of sluggish investment, with the pace of expansion notably slower than pre-financial crisis levels of 2.0-5.0%. Moving forward, BMI is mindful of the fact that sentiment towards South Africa has weakened following the long-running spate of industrial action coupled with high unemployment and rising political risk.

The main issue facing the performance of the South African petrochemicals industry over 2011 is the value of the rand. BMI has concerns over the ongoing strength of the rand, which threatens a plethora of South African exporters, particularly petrochemicals and key petrochemicals consuming industries such as the automotive sector.

Read more inside South Africa Petrochemicals Report Q4 2011

Companies Mentioned:

  • AECI
  • Air Liquide
  • Dow South Africa
  • Sasol
  • Shell

For more information visit http://www.researchandmarkets.com/research/211a80/south_africa_petro

Contacts

Research and Markets
Laura Wood, Senior Manager,
press@researchandmarkets.com
U.S. Fax: 646-607-1907
Fax (outside U.S.): +353-1-481-1716

Contacts

Research and Markets
Laura Wood, Senior Manager,
press@researchandmarkets.com
U.S. Fax: 646-607-1907
Fax (outside U.S.): +353-1-481-1716