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Qatar Industrial Sector Growth Driven by Diversification, Logistics, and Manufacturing

Qatar’s industrial sector continued to strengthen in the second quarter as diversification policies boosted non-hydrocarbon activities and industrial growth. Rising demand for warehouses and new logistics hubs highlighted steady momentum in the economy.

Government efforts to diversify the economy have delivered visible results. Non-hydrocarbon activities expanded by 3.4 percent in the second quarter compared with last year. These activities contributed 65.6 percent of real GDP, underscoring their increasing weight in national growth.

The country’s real GDP rose by 1.9 percent year on year, reaching QR181.8 billion at constant prices. Stronger performance outside the hydrocarbon sector has shown the success of the Third National Development Strategy and Qatar National Vision 2030.

Industrial performance reflected both gains and challenges. The Industrial Production Index reached 97.6 points, down 2.5 percent compared with the same period last year. Mining and quarrying recorded a 3.7 percent fall, while manufacturing improved by 1.9 percent.

At the same time, warehouse demand signaled ongoing activity in the Qatar industrial sector. Ambient warehouse rents increased by 2.9 percent quarter on quarter to QR36.4 per square meter. Cold storage facilities remained stable, though rents slipped 1.3 percent year on year. In Doha’s industrial area, ambient warehouse rents climbed 3.6 percent compared with the previous quarter.

New investment initiatives are reinforcing the growth trend. Samsung C&T partnered with Qatar Free Zones Authority to launch five strategic projects in Ras Bufontas and Umm Alhoul. These included a solar farm and digital infrastructure developments.

The logistics industry also advanced with Gulf Warehousing Company opening a hub in Ras Laffan. The facility spans over 6,300 square meters and features open yard space. It was developed to support the North Field Expansion Project, the world’s largest LNG project under construction.

Qatar’s maritime trade also showed resilience. Ports in Hamad, Doha, and Ruwais handled 1,487 vessel calls in the first half of the year. This marked a 12.4 percent increase compared with last year. Container cargo throughput grew five percent to 742,789 TEUs in the same period.

Industry leaders emphasize that the Qatar industrial sector plays a central role in economic diversification. Manufacturing and logistics will continue to receive strong public and private investment. Future projects are expected to enhance resilience, create jobs, and strengthen supply chains.

The outlook remains positive as the government aligns industrial growth with long-term development goals. By investing in infrastructure, energy, and manufacturing, Qatar aims to secure sustainable growth for decades ahead.