Arab News, Wednesday, May 03, 2023 | Shawwal 13, 1444
Saudi Arabia offers 50 investment opportunities worth over $25bn in machinery, equipment sector
Saudi Arabia: Saudi Arabia will offer
50 investment opportunities worth over $25 billion in the machinery and
equipment sector as part of its strategy to promote private participation in the
Kingdom’s economic diversification plan, a top minister has revealed.
Saudi Minister of Industry and Mineral Resources
Bandar Alkhorayef said these investment opportunities are being developed and
raised on the Invest Saudi platform to activate the National Industry Strategy.
This plan seeks to expand the industrial base in
the Kingdom, reduce imports by up to 50 percent, and work toward exporting
products to regional and global markets — all key parts of the Vision 2030
strategy.
In 2019, the machinery and equipment sector in
Saudi Arabia garnered an estimated revenue of $32 billion, and it plays a
crucial role in a range of industries, including oil and gas, petrochemicals,
mining, food, and construction.
In a statement released by the Ministry of
Industry and Mineral Resources, Alkhorayef pointed out that three projects for
casting and forging alone attracted more than $1 billion in investment over the
last two years.
The minister added that these projects will
contribute to establishing complete value chains — from raw materials to
finished products. This will help in replacing the imports of casted and forged
products, as well as manufacturing valves and pumps with an investment amounting
to $119 million.
Alkhorayef, who is also the chairman of the
National Industrial Development Center, used the statement to talk about
technology being used to build future factories, with the ministry aiming to
automate factory operations in the Kingdom.
He added that the machinery sector is working with
a potential investor to assemble industrial robotic arms — a key step in
developing the robotics industry in the Kingdom.
However, he also emphasized the need to preserve
and develop existing factories through policies and regulations developed by the
machinery and equipment sector in the NIDC — all in cooperation with the Local
Content and Government Procurement Authority.
The minister added that the NIDC is working
together with the Public Investment Fund to build a business model to take
advantage of the investment opportunities in the industrial sector.
He revealed that eight of these have been selected
for initial evaluations, while two are nominated for final assessments.
The minister also said that several workshops and
bilateral meetings are being organized with international investment firms to
boost funding and technology transfers to the Kingdom.