SABIC opens $100m technology research center in Bangalore

Prince Saud bin Abdullah bin Thunayan Al-Saud opened Saudi Basic Industries Corporation’s (SABIC’s) $100 million technology center in Bangalore on Friday.
"We are proud to have our facility in Bangalore, which is a world-renowned center for technology in India," Prince Saud bin Abdullah, president of Royal Commission for Jubail and Yanbu (RCJY) and chairman of the board of directors of SABIC, said at the opening ceremony.
Bangalore, capital of the southern Indian state of Karnataka, has been chosen for the center’s location as it has emerged as the technology hub for research in chemistry, material science, process engineering and analytics.
Saudi Arabia believes India is a rapidly developing nation, where partnership and inclusive development is a priority, the prince said recalling the historical relations between the two countries, the prince said. "India is an important market for us in Asia, which is why our investment here is significant," he added.
Karnataka Gov. H.R. Bhardwaj and federal Minister of State for Chemicals and Fertilizers Srikant Kumar Jena and Minister of Minority Affairs Rahman Khan, and Saudi Ambassador to India Saud Al-Sati were among those present.
Bhardwaj stressed the deep-rooted relations between the two countries and thanked Saudi Arabia for its efforts in calling for international peace, tolerance and dialogue. He also thanked SABIC for investing in this project, which would serve the interests of both countries and contribute to strengthening and building knowledge and innovation.
SABIC, which ranks among the world's top firms in the field, is a diversified manufacturing company, active in chemicals and intermediates, industrial polymers, fertilizers and metals. "As a strategic center of excellence, the research facility will cater to global and regional needs of our diversified customers," SABIC Chief Executive Mohamed H. Al-Mady said.
Headquartered in Riyadh, the company was founded in 1976 when the Saudi government decided to use the hydrocarbon gases associated with its oil production as the feedstock to produce chemicals, polymers and fertilizers.
As a major investor, the Saudi government has 70 percent equity stake in SABIC, with the remaining 30 percent held by private investors in the Kingdom and other Gulf countries.
The Bangalore facility, which is spread over 46 acres in the city's southern suburb, will conduct innovative research in many related fields, including products and processes for its global customers with 300 scientists and engineers as part of SABIC's 17 global R&D centers.
Set up in 1975 by the Saudi government as an autonomous organization, the RCJY formulates policies and oversees implementation through two directorate generals at Jubail and Yanbu in the Kingdom.
"As an integral part of our global R&D strategy, the center will conduct cutting-edge research in new platforms for next-generation materials across the industry sectors spanning construction, clean energy, electronics, medical devices and transportation," Al-Mady added.
"We look forward to more such partnerships from other companies in the Kingdom," Jena said, adding that SABIC's investment in Bangalore strengthens the long-standing relations between the two countries.
The center will have the largest number of scientists and researchers worldwide, with plans to double the headcount to 600 over the next 12-18 months, using the wealth of talent available across the country.
"We are gathering some of the best and brightest talent in India to shape the future of our R&D efforts and reaffirm our commitment to be the preferred technology partner for our Asian customers," SABIC Vice President Ernesto Occhiello said.
The company plans to invest $500 million over the next five years in India and China, where it is setting up a similar technology center in Shanghai. Its other dedicated application centers are at Moka in Japan and Sungnam in South Korea.
"Our staffing will also grow as we plan to triple the R&D headcount in Asia and create more jobs for supporting functions by 2025," Occhiello pointed out.
SABIC’s Vice President for South Asia Janardhanan Ramanujalu termed the commence of operations as a milestone for the corporation and said the center would deliver innovative products and solutions, harnessing local talent and leveraging hi-tech expertise in the domain.