The Ministry of Industry and Mineral Resources in Saudi Arabia has reported the issuance of 86 new industrial licenses within the month of April. These licenses represent a considerable investment of SR2.2 billion ($587 million), which has raised the total to 410 licenses awarded since the beginning of the year up until the end of April.
In April alone, 67 factories began operations, reflecting investments of SR1.5 billion ($400 million). The food sector saw the highest number of new factories, totaling 12, with the chemical and rubber/plastics sectors following closely, each introducing 11 new production facilities.
The report from the Ministry’s National Center for Industrial and Mining Information revealed a significant domestic influence with 92.5% of the production facilities being nationally owned. Joint ventures made up 5.9%, while foreign investments accounted for only 1.49%.
As the industrial landscape expands, Saudi Arabia now boasts over 11,800 factories, either operational or under construction, marking a substantial increase from around 10,800 factories in April 2023. Cumulative investments have reached a staggering SR1.4 trillion ($373 billion).
The majority of the new April licenses were granted to businesses involved in the manufacture of metal products—totaling 17 licenses. Equally significant were the rubber/plastics and chemical sectors, each securing 9 licenses.
Of the new licenses, 80.2% were awarded to small establishments, with medium-sized establishments receiving 13.9%. Notably, all of the licenses went to national factories.
These licenses were distributed across 10 administrative regions within the kingdom, with Riyadh taking the lead by welcoming 36 new factories. Makkah and the Eastern Province followed with 22 and 17 factories, respectively. Additional regions, including Medina, Al-Qassim, Hail, Najran, Asir, Al-Jawf, and Tabuk also saw new industrial developments.
The Ministry’s regular publication of key industrial indicators through its National Center for Industrial and Mining Information chronicles the dynamic and growing industrial activities, including the influx of investments and the commencement of new production ventures in Saudi Arabia.
