JobXDubai

In 2023, Saudi Arabia’s industrial landscape witnessed remarkable growth, with a 10% increase in the number of factories, highlighting the sector’s booming development. By the close of the year, the Kingdom was home to 11,549 operational factories, a testament to its burgeoning industrial capabilities.

The Ministry of Industry and Mineral Resources played a pivotal role in this expansion, issuing 1,379 new industrial licences, which translated into SR81 billion ($21.6 billion) in fresh investments. Moreover, the commencement of production in 1,058 new factories, involving investments of SR45 billion ($12 billion), underscored the sector’s dynamic progress.

Spokesperson Jarrah Al Jarrah shared that these licences spanned 25 industrial activities, with the total investments for the operational factories reaching approximately SR1.541 trillion ($411 billion). The surge in industrial activity primarily encompassed the manufacturing of food products, non-metallic mineral products, formed metal products, and rubber and plastic products.

A closer look at the distribution of industrial licences reveals a strong preference for national establishments, which received 1,043 licences. This was followed by foreign-invested entities with 194 licences and joint ventures securing 142 licences. Notably, small establishments led the way with 1,203 licences, highlighting the sector’s inclusive growth spectrum, from micro to large-scale operations.

Geographically, the Riyadh Region emerged as the frontrunner in licence allocation, boasting 479 licences. This was closely followed by the Eastern Region with 340 licences, and the Makkah Region with 269 licences, showcasing the widespread industrial development across the Kingdom.

The Ministry of Industry and Mineral Resources continues to monitor and report on the sector’s advancements through the National Industrial and Mining Information Centre. These insights not only shed light on the nature and evolution of industrial activity in Saudi Arabia but also underscore the Kingdom’s commitment to fostering a robust and diversified industrial sector, paving the way for sustained economic growth and development.