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    Saudi Arabia’s agricultural GDP grew 38% to $26.6bn in 2022

    Saudi Arabia’s agricultural GDP grew 38% to $26.6bn in 2022

    Arab states imported 1.73 million agricultural commodities from Egypt

    Arab states imported 1.73 million agricultural commodities from Egypt

    Wheat yield boom boosts Oman’s food security

    Wheat yield boom boosts Oman’s food security

    Saudi Arabia seeks $20 bln investment in food industry, aims to double exports

    Saudi Arabia seeks $20 bln investment in food industry, aims to double exports

    Saudi Arabia’s ambitions for food production advancement supported by ICRISAT-FAO partnership

    Saudi Arabia’s ambitions for food production advancement supported by ICRISAT-FAO partnership

    Egypt’s agriculture exports rise 17.2 percent in 5 months

    Egypt’s agriculture exports rise 17.2 percent in 5 months

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    • Business & Economy
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      Saudi: 53 new industrial licenses issued in April 2023

      Saudi: 53 new industrial licenses issued in April 2023

      Qatar’s non-oil sector maintains growth as PMI hits 53.8 in June

      Qatar’s non-oil sector maintains growth as PMI hits 53.8 in June

      Saudi transport authority approves 15 licensing, technical guides for railways

      Saudi transport authority approves 15 licensing, technical guides for railways

      Number of industrial decisions up by 10.56% to 356 in 2021

      Number of industrial decisions up by 10.56% to 356 in 2021

      Egypt’s macroeconomic conditions improving, says minister

      Egypt’s macroeconomic conditions improving, says minister

      Number of BIA passengers up by 26.90% annually YTD APRIL 2023

      Number of BIA passengers up by 26.90% annually YTD APRIL 2023

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      • CES 2017
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      Oman’s health ministry expected to award construction contract for two health centres in Q3

      Oman’s health ministry expected to award construction contract for two health centres in Q3

      Properties sold in May 2023 jump 114.6%, says Qatar’s PSA

      Properties sold in May 2023 jump 114.6%, says Qatar’s PSA

      Oman releases more Sultan Haitham City details

      Oman releases more Sultan Haitham City details

      Construction activity in Saudi Arabia reaches highest level in years: Survey

      Construction activity in Saudi Arabia reaches highest level in years: Survey

      Oman gears up for its first smart city

      Oman gears up for its first smart city

      Saudi real estate ‘booming’ on big office space demand

      Saudi real estate ‘booming’ on big office space demand

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        NEOM’s green hydrogen project is formally under execution: ACWA Power

        NEOM’s green hydrogen project is formally under execution: ACWA Power

        Ministry of Petroleum announces $9B investment towards oil refining and petrochemical projects

        Ministry of Petroleum announces $9B investment towards oil refining and petrochemical projects

        Oman’s huge renewable hydrogen potential can bring multiple benefits in its journey to net zero emissions

        Oman’s huge renewable hydrogen potential can bring multiple benefits in its journey to net zero emissions

        UN-HABITAT partners with LCEC, expanding efforts to provide responsible renewable energy solutions in Lebanon

        UN-HABITAT partners with LCEC, expanding efforts to provide responsible renewable energy solutions in Lebanon

        Clean energy technology manufacturing market to reach $790bln by 2030: IEA

        Clean energy technology manufacturing market to reach $790bln by 2030: IEA

        Total-led consortium to start drilling offshore Lebanon in September

        Total-led consortium to start drilling offshore Lebanon in September

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        • Hospitality
          Qatar: Over 700 hotel keys added in Q1

          Qatar: Over 700 hotel keys added in Q1

          Jordan’s tourism income surges 88% as visitors flock to the country

          Jordan’s tourism income surges 88% as visitors flock to the country

          Dubai’s hotel stock hits 150,000 keys as tourist influx from India, Russia, Oman buoys hospitality sector

          Dubai’s hotel stock hits 150,000 keys as tourist influx from India, Russia, Oman buoys hospitality sector

          Leisure sector in Qatar stronger after World Cup 2022

          Leisure sector in Qatar stronger after World Cup 2022

          Qatar has ‘solid’ line-up of infrastructure, hospitality projects to prepare for large influx of visitors in 2022: OBG

          Qatar has ‘solid’ line-up of infrastructure, hospitality projects to prepare for large influx of visitors in 2022: OBG

          Saudi to be among world’s big leisure tourism hubs by 2030

          Saudi to be among world’s big leisure tourism hubs by 2030

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        • Agrofood
          • All
          • Agriculture
          • Environment
          • Food
          Saudi Arabia’s agricultural GDP grew 38% to $26.6bn in 2022

          Saudi Arabia’s agricultural GDP grew 38% to $26.6bn in 2022

          Arab states imported 1.73 million agricultural commodities from Egypt

          Arab states imported 1.73 million agricultural commodities from Egypt

          Wheat yield boom boosts Oman’s food security

          Wheat yield boom boosts Oman’s food security

          Saudi Arabia seeks $20 bln investment in food industry, aims to double exports

          Saudi Arabia seeks $20 bln investment in food industry, aims to double exports

          Saudi Arabia’s ambitions for food production advancement supported by ICRISAT-FAO partnership

          Saudi Arabia’s ambitions for food production advancement supported by ICRISAT-FAO partnership

          Egypt’s agriculture exports rise 17.2 percent in 5 months

          Egypt’s agriculture exports rise 17.2 percent in 5 months

          Trending Tags

          • Business & Economy
            • All
            • Business
            • Economy
            • Finance
            • Industry
            • Technology
            • Trade
            • Transport & Logistics
            Saudi: 53 new industrial licenses issued in April 2023

            Saudi: 53 new industrial licenses issued in April 2023

            Qatar’s non-oil sector maintains growth as PMI hits 53.8 in June

            Qatar’s non-oil sector maintains growth as PMI hits 53.8 in June

            Saudi transport authority approves 15 licensing, technical guides for railways

            Saudi transport authority approves 15 licensing, technical guides for railways

            Number of industrial decisions up by 10.56% to 356 in 2021

            Number of industrial decisions up by 10.56% to 356 in 2021

            Egypt’s macroeconomic conditions improving, says minister

            Egypt’s macroeconomic conditions improving, says minister

            Number of BIA passengers up by 26.90% annually YTD APRIL 2023

            Number of BIA passengers up by 26.90% annually YTD APRIL 2023

            Trending Tags

            • CES 2017
            • Election Results
            • eSports
          • Construction
            • All
            • Infrastructure
            • Real Estate
            Oman’s health ministry expected to award construction contract for two health centres in Q3

            Oman’s health ministry expected to award construction contract for two health centres in Q3

            Properties sold in May 2023 jump 114.6%, says Qatar’s PSA

            Properties sold in May 2023 jump 114.6%, says Qatar’s PSA

            Oman releases more Sultan Haitham City details

            Oman releases more Sultan Haitham City details

            Construction activity in Saudi Arabia reaches highest level in years: Survey

            Construction activity in Saudi Arabia reaches highest level in years: Survey

            Oman gears up for its first smart city

            Oman gears up for its first smart city

            Saudi real estate ‘booming’ on big office space demand

            Saudi real estate ‘booming’ on big office space demand

            Trending Tags

            • Energy
              • All
              • Oil & Gas
              • Power & Electricity
              • Renewable Energy
              NEOM’s green hydrogen project is formally under execution: ACWA Power

              NEOM’s green hydrogen project is formally under execution: ACWA Power

              Ministry of Petroleum announces $9B investment towards oil refining and petrochemical projects

              Ministry of Petroleum announces $9B investment towards oil refining and petrochemical projects

              Oman’s huge renewable hydrogen potential can bring multiple benefits in its journey to net zero emissions

              Oman’s huge renewable hydrogen potential can bring multiple benefits in its journey to net zero emissions

              UN-HABITAT partners with LCEC, expanding efforts to provide responsible renewable energy solutions in Lebanon

              UN-HABITAT partners with LCEC, expanding efforts to provide responsible renewable energy solutions in Lebanon

              Clean energy technology manufacturing market to reach $790bln by 2030: IEA

              Clean energy technology manufacturing market to reach $790bln by 2030: IEA

              Total-led consortium to start drilling offshore Lebanon in September

              Total-led consortium to start drilling offshore Lebanon in September

              Trending Tags

              • Hospitality
                Qatar: Over 700 hotel keys added in Q1

                Qatar: Over 700 hotel keys added in Q1

                Jordan’s tourism income surges 88% as visitors flock to the country

                Jordan’s tourism income surges 88% as visitors flock to the country

                Dubai’s hotel stock hits 150,000 keys as tourist influx from India, Russia, Oman buoys hospitality sector

                Dubai’s hotel stock hits 150,000 keys as tourist influx from India, Russia, Oman buoys hospitality sector

                Leisure sector in Qatar stronger after World Cup 2022

                Leisure sector in Qatar stronger after World Cup 2022

                Qatar has ‘solid’ line-up of infrastructure, hospitality projects to prepare for large influx of visitors in 2022: OBG

                Qatar has ‘solid’ line-up of infrastructure, hospitality projects to prepare for large influx of visitors in 2022: OBG

                Saudi to be among world’s big leisure tourism hubs by 2030

                Saudi to be among world’s big leisure tourism hubs by 2030

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              Saudi Arabia to become a new auto hub

              Arab News

              April 9, 2013
              in Business
              0
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              Saudi Arabia is fast emerging as a regional hub for the automobile industry. The signs are clear. Big and well-known players like Jaguar Land Rover have come to manufacture cars in the Kingdom. Jaguar Land Rover is a subsidiary of India's Tata Group, which also manufactures passenger cars.

              This comes on the heels of news that the Ministry of Transportation will need 60,000 passenger buses for teachers and girls within five years. In 2011, 3,000 units of Ankai school buses made their way from China to Saudi Arabia, industry sources told Arab News.

              The deal between Jaguar Land Rover Company will attract an initial estimated investment of $ 1.2 billion.

              The proposed manufacturing plant is expected to produce 50,000 Land Rovers by 2017.

              Local car demand and the investment of foreign car manufacturers in the Kingdom clearly indicate the need to start a Saudi car industry, industry captains told Arab News. "This means that the Kingdom starts its own industry using local spare parts and manpower," one of them said.

              Others said that while this is possible, it will be difficult. Aside from the capital, the Kingdom does not also have the local manpower. At least SR 4.5 billion in investment is needed, but this will not be so much of a problem since it can easily raise the amount. "However, it does not have the manpower," one of them said.

              They suggested that the Kingdom enter into an agreement with foreign car makers to start the project. "The latter will manufacture and supply the spare parts. Once the technology has been transferred, the Kingdom could sever ties with them and manufacture the spare parts itself," said Samer Al-Ajjan, general manager of Rashed Al-Thunayan Cars, a Malaysian-made Proton car dealer.

              The Kingdom could also initially hire foreign manpower while at the same time training Saudi staff. They could be hired as on-the-job trainees and take over from the foreign workers later on.

              If and when Saudi-made cars roll out from the assembly line, it will be a dream-come-true. The Kingdom will no longer be merely a producer and exporter of oil as fuel for cars. It will itself be a car producer and eventually an exporter, instead of being merely an importer as it is now, the sources claimed.

              If and when this happens, the Kingdom could solidify its position as a regional economic power as well as a peace broker.

              Not only that. Aside from the glory of building its own cars joining the elite few that include the United States, Europe, Japan, South Korea, China and Malaysia it will also open up opportunities for investment for the private sector.

              Private companies can open factories to manufacture car spare parts and this will pave the way for the formation of new business ventures. In addition to existing ones, non-life insurance firms will be established to underwrite claims due to vehicular accidents. Additional car workshops will also be opened to repair insured cars damaged due to road accidents.

              Moreover, these private firms and car workshops will hire the necessary staff. In other words, they will generate job opportunities and help tackle the problem of unemployment.

              Early this year, the Central Department of Statistics of the Ministry of Planning and Economy published its report for 2011-2012. The statistics showed that unemployment reached 12 percent in the second half of 2012. The number of unemployed Saudis reached 603,000, up from 34 percent in 2009.

              For these local manpower to be absorbed in the local car industry, they will have to undergo training, assuming that they have not worked in car companies before. They could be initially hired as on-the-job trainees. For specialized jobs, they could be sent overseas for the necessary know-how.

              Due to the Kingdom's potential as market, global auto firms have targeted Saudi Arabia as their production base in the region. They will not only cash in from the local market with many Saudis having big disposable incomes but also able to export to equally oil-rich neighboring countries.

              Aside from Jaguar Land Rover, other foreign players have also come to the Kingdom. Isuzu Motors Ltd. is building trucks in an assembly plant in Dammam. It is expected to deliver 25,000 vehicles annually to Asian countries.

              King Saud University (KSU) has already reached an accord with Digm Automotive Technology of South Korea to develop a car that would carry a price tag of around $ 10,000. Tanaqol, a Saudi company, will also partner with the Egyptian firm Eagles Auto, according to the Riyadh-based manager of GRG Group, a representative for the Scania Middle East factory.

              This will certainly pay off dividends as far as the Kingdom is concerned. It will benefit from exposure to foreign technology and hope to learn from it. This will engender a healthy competition since the Kingdom will strive hard to make its cars stronger and competitive in quality like the foreign manufacturers of branded cars.

              "It will also have the edge because it could sell more for less, unlike the manufacturers of branded cars whose products are more expensive," said a marketing executive of a leading car dealer in Riyadh.

              Industry players said that once locally-made cars become saleable and popular, the Kingdom could start exporting to other countries. "But for the purpose of exporting, a warehouse near the seashore is needed, which is costly. It's better to bring the cars directly from the factory's assembly line to the seashore for shipment to the country of destination," said Alaa Abo Merhi, marketing and PR manager of Wallan Trading Co.

              Car dealers said that the Kingdom could tap the markets in the GCC and other countries in the Middle East as well as the African countries.

              At present, the car industry in the Kingdom is doing well. Industry sources said 650,000 units are entering the Kingdom annually and the number is growing by 10 percent. Sales are expected to reach SR 94 billion this year.

              Last year, the local industry posted a memorable year, hitting the third all-time record in a row and growing 18.5 percent from the previous year. Toyota confirmed leadership with a share of 40 percent, more than double than its challenger, Hyundai. Last year, the Kingdom's light passenger vehicle market hit a new record with 704,000 sales, up 18.5 percent from the previous year.

              The 2012 year ended at 69,580 sales, up 34 percent. Because of this performance, the Kingdom was the world's 21st car market, up two spots from 2011, according to an industry report.

              The Kingdom is indeed a potential market. This is illustrated by numerous car dealers that include Abdullah Hashim Company Ltd. (Honda), Al Jazirah (Ford), Al-Hamrani and Al-Eissa (Nissan), Wallan (Hyundai in Riyadh), Naghi Motors (Hyundai in Jeddah, BMW and Tata), Al-Majdoi (Hyundai in Dammam), Al-Juffali (Mercedez Benz), United Motors (Chrysler, Dodge and Jeep), Abdul Latif Jameel (Toyota), Haji Hussein Alireza (Mazda, Geely and trucks), Olayan Group (Scania), Al-Ghazzan (Lamborghini, Ferrari and Bentley), Al-Jomaih and United Motors Agency (General Motors), Gulf Motors Company (Fiat and Alfa Romeo), Safari (Skoda and Seat), Al-Ghassan (Aston Martin), Specialized Company (Morris Garage), Al-Eissay (Mitsubishi), Al-Jabr (Kia, Rio, Cerrato and Optima), Barayan (Suzuki), SAMACO (Volkswagen, Audi and Porsche) and Al-Dados (Ssangyong).
              Arab News
              8 April

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