$1.86 billion .. Nestle investments in Saudi Arabia over the next 10 years

The global Nestlé company is seeking to pump about 7 billion Saudi riyals, approximately $2 billion, to invest in the food industries sector in Saudi Arabia over the next ten years.

The Saudi Ministry of Investment announced the signing of a memorandum of understanding with Nestlé, in accordance with a strategic plan with the ministry, to invest 7 billion Saudi riyals ($1.86 billion) in the Kingdom over a period of 10 years.

The ministry said that the company specialized in the food industries sector will establish an advanced factory, a center for research and development, in addition to the first business incubator for Nestlé in the Middle East and North Africa, and an educational academy for capacity building and development of Saudi cadres.

The strategic plan between the Saudi Ministry of Investment and Nestle aims to contribute to achieving food security, developing local industries and innovation in the food industry. The ministry also said that the plan will create job opportunities in the country.

 This means that Nestle will inject initial investments of 375 million riyals ($99.7 million).

Riyadh is working to diversify its economy and increase the contribution of industry to the gross domestic product. Last October, the Saudi Crown Prince, Prince Mohammed bin Salman, launched the National Strategy for Industry, with investment opportunities worth one trillion Saudi riyals, in an effort to reach an industrial economy that attracts investment that contributes to In achieving economic diversification, developing the domestic product and non-oil exports.

The strategy aims to focus on 118 groups of industrial commodities within 12 industrial sectors until the year 2030, while identifying more than 800 investment opportunities worth one trillion Saudi riyals, and seeks for the Saudi industrial sector to add about 895 billion riyals to the gross domestic product by 2030.