Saudi Arabia’s re-exports reached SAR61 billion ($16.23 billion) in 2024, marking a 23 percent expansion compared to the previous year. Bandar Alkhorayef, Minister of Industry and Mineral Resources, attributed this growth to strong infrastructure, the rapid development of logistics services in Saudi Arabia, and the harmonious, integrated efforts of all government entities.
Alkhorayef highlighted this surge in Saudi Arabia’s re-exports during his participation in the opening panel of the 6th Supply Chain and Logistics Conference held in Riyadh, titled “The Role of Logistics Prosperity in Enhancing Supply Chain Sector in the Kingdom and Achieving Global Competitiveness through Vision 2030 Pillars”.
Global challenges push supply chain expansion
The development of the logistics sector and the strength of supply chains are key enablers for enhancing the competitiveness of Saudi Arabia’s industry and growing re-exports, improving access to global markets for national products, reducing costs for industrial investors and attracting high-quality investments to the country.
Alkhorayef added that global challenges in recent years presented promising opportunities for Saudi Arabia to build major logistics hubs that enhance the connectivity and strength of supply chains.
Saudi Arabia leveraged its strategic assets including its unique geographic location connecting three continents to global markets, natural resources, abundant energy sources at competitive prices, and technological advancement to support this growth. Besides, the Kingdom is one of the largest investors in digital infrastructure.
Read: Saudi Arabia to expand rail network, generate $4 billion investment opportunities by 2030
Investments support trade growth in key sectors
Alkhorayef added that Saudi Arabia has become an attractive destination for investments from major global companies seeking to benefit from the competitive advantages of the investment environment. This includes attracting high-quality investments in sectors such as automotive, shipping, food, pharmaceuticals and daily consumer products. Industrial investors’ plans, he added, go beyond meeting domestic demand. They aim for Saudi Arabia to serve as a key hub for exporting to regional and international markets.
The minister also emphasized the importance of advanced infrastructure and logistics services in enhancing the Saudi mining sector and creating added value. The logistical connection between Wa’ad Al-Shamal, Ras Al-Khair and Jubail Industrial City has contributed to the development of both the industrial and mining sectors. As a result, exports of the Saudi Mining Company “Ma’aden” reached SAR7 billion, and the Kingdom became the fourth-largest exporter of phosphate globally.
Notably, Jubail Industrial City’s production of petrochemicals accounts for 6 percent of global production.
“Although the period since the launch of the comprehensive strategy for mining has been short, the Kingdom has already established a prominent position in the global mining sector. The International Mining Conference, which will kick off its new session in January, has become the most important mining event, bringing together stakeholders from around the world to discuss the key challenges and opportunities in the sector,” the minister added.
For more news on logistics, click here.