Food importers raise storage capacity

Updated 22 February 2014

Food importers raise storage capacity

Saudi food importers have begun raising their storage capacity in light of food price reductions at the global levels and, to avoid any adverse environmental or climatic conditions that may affect prices in the future, local media quoted dealers as saying.
Based on data released by the United Nations Food and Agriculture Organization (FAO), there was a drop in the prices of cereals, sugar, oil, and meat in January. Meanwhile, food investors in Saudi markets said the effect of food price reduction globally will be felt clearly in local markets by March, Asharq Al-Awsat daily said, quoting investors.
Ahmed Yazaidi, a food dealer, said the current prices of food are still governed by the purchasing costs that prevailed in the last three months. However, price falls in January will bring about tangible results in the coming days, he said.
The Saudi food importers are prepared to raise storage capacities to receive more imports in light of the global price dips at rates reaching 5.6 percent for some food products, he said.
Global cereal production reportedly registered a record growth of 2.5 billion tons in 2013, or an increase of 8.5 percent over the figures of 2012, which will boost global food reserves, according to FAO reports.
Commenting on these developments, Saudi food investor Mutlaq Al-Hamdan said Saudi markets did not experience any price fall in sugar, cereals, or oil last month as the current food stocks were based on prices prevailing in the last three months of 2013.
However, importers will pump new quantities of the imported food items based on January prices that are predicted to bring prices down by 2 percent in March, he said.


King Salman to chair 40th Gulf summit in Riyadh

Updated 41 min 13 sec ago

King Salman to chair 40th Gulf summit in Riyadh

RIYADH: A meeting of GCC leaders met today in Riyadh for a summit that will focus on improving integration between Gulf countries.

The 40th Supreme Council meeting will be chaired by King Salman.

GCC Secretary General Dr. Abdullatif Al-Zayani said Gulf leaders will discuss a number of important issues to enhance the process of cooperation and integration among member states in various political, defense, security, economic and social fields.

They will also review regional and international political developments, security conditions in the region, and their implications for the security and stability of the GCC countries.

Among the topics on the agenda is the war in Yemen and Iran’s interference in regional affairs.