
Sabic affiliate Arabian Petrochemicals Company (Tayf) has entered into a contract with a major Saudi synthetic leather distributor, Ahmed bin Abdullah Bawazeer, proprietor of Alpha Commercial Project Establishment, for the annual distribution of one million linear meters (LM) of Tayf’s synthetic leather product.
“This agreement is the first of its kind since the inception of the company,” said Tayf chairman Abdullah bin Saad Al-Rabea. “Negotiations are underway to conclude other contracts. This agreement is of great importance given the sizeable challenges and strong competition arising from similar imported products.”
Al-Rabea pointed out that there was a remarkable increase in demand for synthetic leathers. He said initially 70,000 LM were delivered to the local distributor during the first few days following the signing of the contract and more quantities would follow to meet the contractual annual delivery of one million LM.
The chairman praised the cooperation and efforts of officials of the Saudi Ministry of Commerce and Industry for protecting the synthetic leather produced by Tayf from dumping by foreign manufacturers.
Sameer bin Ali, Tayf general manager, said the company was committed to the highest quality standards. He pointed out that its world-class plant could produce double the contractually agreed quantity and the surplus capacity meant there were opportunities for further sales.
Tayf said the distribution contract would greatly motivate and encourage the development of the domestic market and increase consumption of the company’s products. It added that customer demand was strong and growing very fast following the tentative product launch.