DAMMAM, 1 February — Gulf Bureau Industry and Electricity Minister Dr. Hashim Yamani called on the industrial sector to adapt to the world economic changes and make their presence felt in the international market.
He was delivering the keynote speech at the National Industries Symposium at the Eastern Province Chamber of Commerce and Industry here yesterday. The symposium was being organized by the Council of Saudi Chambers of Commerce and Industry.
Yamani pointed to the easing of bureaucracy in issuing licenses to the industrial sector. He said in the first nine months of the year 2000, at least 635 licenses for new industrial units with an investment of SR13 billion had been issued. In the corresponding period in 1999, a total of 519 licenses with a total investment of SR8.5 billion were issued, an increase of 22 percent in the number of licenses and 53 percent increase in investment.
The minister congratulated the private sector for making big strides in industrial sector and said that they should now target the international market. Locally made goods had satisfied the domestic market but more had to be done to make a mark on the international scene.
Yamani said performance of the industrial sector indicates that the imports in the Kingdom were steadily declining while the exports were going up. He said non-oil exports in the first nine month of 2000 increased by 18.84 percent as compared with 16.06 percent during the same period in 1999.
The minister viewed the decline in new government projects at industrial cities as evidence of self-sufficiency within the Kingdom and that the private sector was now expanding on its own.
Yamani said that the government expected industrial sector to undertake human resources training program "on a war-footing. This will help in the quality of production and as a result competition in the international market will be easier."
He said the private sector after meeting the domestic demand, should now eye the international market and to achieve that, their products should conform to international specifications and standards. He said it was also necessary to build up a link between local and international investors. "Such an effort will give a major boost to joint ventures and attract foreign investments," the minister said.
Khaled Al-Zamil, president of the Eastern Province Chamber of Commerce and Industry, also emphasized the importance of efforts to comply with international rules and regulations and adherence to the World Trade Organization norms. "Without this it will be difficult to compete in the international market," he said.
Expressing concern over the decline in industrial exports from SR22.1 billion in 1977 to SR17.5 billion in 1999, Al-Zamil said a cohesive and united approach to the international market by local industrialists would improve the results.
Later, during a question and answer session, Dr. Yamani replied to several queries from the businessmen and reassured his ministry's total support to the industrial sector. Many questions asked during the session were on the increased power tariff and its impact on the industrial sector.
