Manufacturing to play a key role in realizing Vision 2030

Manufacturing to play a key role in realizing Vision 2030
Updated 11 May 2016

Manufacturing to play a key role in realizing Vision 2030

Manufacturing to play a key role in realizing Vision 2030

JEDDAH: The manufacturing sector will continue to play a vital role in accelerating economic development and that the number of factories in the Kingdom are expected to increase to 9,000 by the year 2018, say experts.
“It (manufacturing sector) is one of the pillars included in the Saudi Vision of 2030 plan to support the gross domestic product. The expectation is that the industrial sector will account for 24 percent of Saudi Arabia’s GDP by 2020,” one of the business experts was quoted as saying by local media on Saturday.
They stressed that 2,000 more factories will be established in the next two years, as stated by the minister of commerce and industry in the Euro-money Conference.
Mutlaq Al-Qahtani, former head of the Jubail Industrial Chamber, said the industrial sector has received unlimited support in the Kingdom. “The number of plants rose to 6,871 by the end of 2015, with almost 1 million workers employed there. The number of factories is expected to rise to 9,000 by 2018 with a workforce of more than a million.”
The Kingdom realized successful experiences through the big industrial cities and the new visions will perpetuate this in terms of modernization of national industry, he said while appreciating the government for its efforts to develop the manufacturing sector.
Mohammed Rashid, chairman of the Chamber of Industry in Qassim, said the success of the industrial sector depends on the introduction of new measures such as resettlement rates and raising the proportion of manpower from the least expensive of countries.
He said that improving competitiveness of local products on the global level is necessary, not only to gain stakes in the exports market but also to maintain the domestic market shares. Also, industrial units in the Kingdom will have to raise productivity and quality.
“We need to face the challenges together with the efforts of the government, and in cooperation with the private and foreign sectors, to develop a healthy business environment in the Kingdom,” said Rashid.