Saudi Arabia's Industry Minister Highlights Commitment To Strengthen Partnership With India In Strategic Industries

Saudi Arabia is keen to strengthen its strategic ties with India, focusing on key economic sectors like industry and mining. Minister of Industry and Mineral Resources Bandar Alkhorayef emphasized this commitment during a roundtable with Indian private sector leaders in New Delhi. He highlighted Saudi Arabia's efforts to enhance collaboration in critical industries such as automotive, medical, biotechnology, chemicals, petrochemicals, machinery, and renewable energy.

Alkhorayef pointed out that Saudi Vision 2030 positions India as an ideal partner due to its rich history and expertise. He noted significant opportunities for cooperation in Saudi Arabia's manufacturing and mining sectors. The Kingdom aims to localize car manufacturing and supply chains by leveraging global expertise in automotive production.

The minister mentioned the potential for robust investment partnerships in the automotive sector. As the largest vehicle importer in the Middle East, Saudi Arabia seeks to localize car manufacturing and spare parts production. This initiative aligns with the Kingdom's strategy to boost domestic capabilities.

Saudi Arabia is also a leading petrochemical producer globally. Alkhorayef stated that the country is committed to maximizing domestic petrochemical utilization to add value to its national economy. This approach aims to create more opportunities within the sector.

Alkhorayef highlighted Saudi Arabia's interest in machinery and equipment manufacturing, given India's advanced capabilities. The Kingdom is undergoing a major transformation in mining and aspires to become a key player in the global metals market. This shift increases demand for heavy equipment.

The minister detailed initiatives designed to attract industrial investments. These include the "Factories of the Future" program promoting advanced manufacturing technologies, low-cost land leasing for industrial projects, and financial support from the Saudi Industrial Development Fund.

Supportive Measures for Industrial Growth

The Saudi Industrial Development Fund offers loans covering up to 75% of project costs with flexible repayment terms. Additionally, export support through the Saudi Export Development Authority, competitive energy prices, improved industrial infrastructure, training programs for local employees, and talent attraction initiatives are part of these efforts.

Alkhorayef emphasized Saudi Arabia’s focus on developing local content by localizing strategic industries and integrating supply chains. Achieving goals set by the Saudi National Industry Strategy requires activating public-private partnerships by enabling private sectors to utilize available opportunities.

The minister urged Indian companies to explore unique investment opportunities in Saudi Arabia. He stressed that these collaborations could significantly benefit both nations economically while enhancing their strategic partnership across various sectors.

With inputs from SPA