When did Songwon Polysys Additives decide to set up their base in Kizad, and why?
SONGWON established its plant in the Khalifa industrial zone in Abu Dhabi (Kizad) in 2016, and since then the company has been delighted to become part of the Emirates’ growing polymer industry. Kizad is located between Abu Dhabi and Dubai and is easily accessible by sea, air and road. The strategic location provides easy access to commercial, technical and logistical support. This is a positive feature for us, as our raw materials arrive by sea from Korea, Singapore and Malaysia. Abu Dhabi itself is the core of the UAE and the Middle East, which together form a major consumer market for additive blends, known as OPS (One Pack Systems), and one of the fastest growing polyolefins. Because we are located here, SONGWON is in a strong position to meet the regional demand and we can help to replace the imports with locally produced products. From Abu Dhabi, we supply customers in Saudi Arabia, Egypt, Oman and the UAE. Our OPS customers in the Levant and GCC are pleased to have a local partner with a global reputation for quality, service and technical compliance that can provide them with the required assurance.
Please share information about your product portfolio and the industries to which it adheres.
At our factory in Abu Dhabi, we manufacture Songnox One Pack Systems (OPS), consisting of a multicomponent blend of additives integrated in a dust-free, granular form. Songnox OPS is 100 percent active additive blends, adapted from a wide range of additive products to meet customer needs. Homogeneous and very accurate in composition, the dispersed granules can be easily processed into a polymer matrix. OPS helps to optimize the assembly processes of our customers, improve the dosing accuracy, minimize dust, increase the reliability of the process and reduce the quality control and logistics costs. Thanks to their high consistency, OPS can be of particular value to a wide range of industries and applications where end-use specifications are critical. In addition, OPS does not require the use of the carrier material which is often required if separate powder additives are combined.
What are the benefits that Polymers Park offers to businesses like SONGWON to run a successful business, and what are the challenges you encountered while setting up the base? How can Kizad improve its value proposition for companies establishing their base in the free zone?
When we established SONGWON’s presence in Abu Dhabi, Kizad was still in its early days and the regulatory environment was quite challenging. Processes were not yet fully streamlined, there were infrastructure challenges, and the visibility of approval time and the required approvals themselves were not yet optimal, giving rise to surprises that required very practical follow-up. On the plus side, Kizad’s management was very committed to making improvements from day one. Year-on-year, we have seen an impressive streamlining of Kizad’s organization and the ease of doing business. Today, Kizad has a clear IT and tracking system, the building permit processes are easy to navigate and all the contacts are in place. In addition, several major government ministries have also digitized their systems. Any business that is up and running here today will find a walk in the park.
Share Songwon Polysys Additives’ expansion plans in Kizad as well as in the UAE and the region.
SONGWON has just completed an investment and doubled its production capacity at the Kizad plant. This is to support the developments in Abu Dhabi and the surrounding GCC. SONGWON remains fully committed to investing where growth is needed to support the industry.