RIYADH, 10 August — The Saudi Arabian General Investment Authority (SAGIA) has issued licenses for new projects worth SR260 million, it was announced here yesterday.
SAGIA said Omega Sugar Company has been given license to establish and operate a sugar factory in Dammam. The project involves a capital investment of SR225 million.
"The new factory is a joint venture of Spanish and Canadian companies and aims at producing 480,000 tons of white sugar and 15,000 tons of molasses," a SAGIA statement said, adding that part of the output would be exported.
The authority licensed a Lebanese company to establish a poultry project in Huraimala near Riyadh at a cost of SR25 million. The project will produce 25.5 million broiler chicken annually.
"The third project, which is to produce cornflakes, will cost SR10 million," the authority said. The factory will produce 2,400 tons of cornflakes.
The new projects bring the total number of investment projects licensed by the authority to 1,375 with a total capital of SR45.4 billion. SAGIA was set up two years ago to promote foreign investment and diversify revenue sources.
Of the total licenses issued by the authority, 604 were given to establish industrial projects at a cost of SR26.9 billion.
As many as 768 licenses have been issued to implement service projects at a cost of SR18.5 billion. There are three agricultural projects worth SR75 million.
"Of the total projects, 942 are cent percent foreign investment projects," the authority said, adding that they required a capital investment of SR33 billion.
There are 433 joint ventures involving a capital investment of SR12.49 billion, the statement added.
The authority has started issuing licenses electronically as part of the Kingdom’s efforts to promote e-government.
The government has issued new regulations allowing foreign investors to own property in Saudi Arabia, sponsor their own employees and enjoy 100 percent ownership of the projects they set up in the Kingdom.
They do not need Saudi sponsors and they will enjoy the right to repatriation of their entire profits. Besides, foreign investors will have access to all facilities available to their Saudi counterparts.
