For more than the last three decades discussions have not stopped about the inevitability of organizing a strategic role for the industry in the Kuwaiti economy. The call for putting clear cut envisage for this role and determining the relative importance of the industrial sector in order to diversify the productive basis is the concern of all businessmen and industrial investors and those who are concerned with the affairs of the economical management in the country and the officials too.

However and due to this envisage, the industrial sector in State of Kuwait faced many restrictions and impediments which hundred the industrial process. Despite the declared orientations regarding enhancing the industrial development, being one of the means which design to diversifying the sources of income, these orientations have been reflected in many documents, i.e. the Law of Industry No. 6/1965, this law which design to provide the requirements for developing the industrial sector through providing for a great list of facilities and in centers granted to the industrial establishments, yet the share of this sector in income is very small of not more than 12% out of gross domestic product in 1998. This decrease falls down to 4% if we excluded oil refining and the associated petroleum industries.

Due to the huge petroleum revenues, State of Kuwait managed to set up financial reserves which constitute foreign investments (mainly abroad) that are considered a reliable source of domestic revenues, yet it is dangerous to depend on this income as an alternative source in order to avoid severe situations which may face the oil sector - foreign revenues are exactly similar to oil revenues as both of them are subject to uncontrollable foreign variables. However, we should ascertain that if the absence of clear-cut envisage of the role of the industrial sector to diversify the domestic product, was acceptable in the past, yet it is not acceptable now under the recent variables. These variables were associated with many severe disorders in the structure of the Kuwaiti economy and society. These indicate that it is difficult to adopt the same process that was prevailing in the past.

This fact is particularly emphasized following the deep studies which designed to identifying the industrial trends in State of Kuwait, especially within the light of the territorial and international innovations and making use of the opportunities provided by globalization within the framework of the economical blocks and freedom of the trade. Therefore, it is necessary to explain the cherished goals of the industrial sector on the long term in accordance with strategy having specific features, aims and means. This strategy is based on determining the available trends during different stages and the selection of the package of the appropriate policies in order to attain this goal.

It is worth mentioning that it is not suffice here to emphasize on the fact that industry is one tool for diversifying the productive basis, but we must determine the relative weight of this tool compared with other available tools. This is due to the fact that the calculation of cost and social returns of industry differs according to the belief the society regarding the role of the industry sector that must be carried out to achieve this goal. Hence it is necessary to determine the cherished percentage of the revenues of this sector.

Moreover, it is also necessary to look for an ideal pattern for industry that must be adopted to bridge this percentage over consecutive stages in order to achieve this percentage at the end. From this standing point the Public Authority for Industry - due to their functions which are determined under Law No. 56 of 1996 and due to its control over the promotion of the industrial activity, produces this suggestion as a draft for the industrial strategy in State of Kuwait during the period from 2000 - 2015.

This draft was drawn up in manners that emphasize its commitment to the essential pillars of the Kuwaiti economy and society. These pillars are established under the constitution of the State of Kuwait in its different articles and under the laws and legislations and in a manner that reflect its coherence with the general principles of the long term development strategy after taking into account all variables which were adopted in December, 1985. Moreover, the concepts of this formula and the stages of its implementation have been shaped within the light of the developmental recommendations of the G.C.C. States, topped with the policy of the unified industrial strategy of this Council.