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Visit of FIEO Delgation to the Kingdom of Saudi Arabia

Posted on: June 15, 2022 | Back | Print

India and Saudi Arabia are strategic partners since the signing of Strategic partnership council agreement during the visit of Prime Minister Narendra Modi in 2019. Under the SPC arrangement the economic pillar headed by the Commerce Minister of India Mr. Piyush Goyal and the Energy Minister of Saudi Arabia HRH Prince Abdul Aziz Bin Salman has witnessed significant progress in the last 3 years, the bilateral trade between Saudi Arabia and India had reached USD 40 Billion in the last financial year FY21-22. Indian exports to Saudi Arabia also saw a steep growth to reach USD 8 Billion in the last FY. Indian exports to the Kingdom includes a diverse range of products like food products, chemicals, leather, engineering goods, textile, machinery etc. Saudi Arabia is India’s key energy partner as it is exporting 30% of LPG and 18% of India’s crude import. The bilateral investment sectors has also shown rapid growth in the last few years as a result of which Saudi Arabia is now the 17th largest investor in India with investment amounting to more than USD 3 billion. Likewise, Indian investments into kingdom have also increased significantly and have crossed USD 2 Billion.

India is a major exporter of food products to Saudi Arabia and features as important partner in terms of ensuring food security to the kingdom. India exports products like Rice, cereals, beverages, cardamom, spices, fruits and vegetables, sea food and meat products, milk products, processed food items etc. SALIC ( PIF owned Company) has taken 33% stake in LT foods Limted in India. A separate joint working group under the economic pillar of SPC is working towards enhancing the collaboration in food and agriculture sector. India, as an emerging economy, has witnessed unprecedented levels of economic expansion. India’s cost effective and labor-intensive economy and a strong manufacturing and export oriented industrial framework makes it an attractive investment destination as well. India’s agricultural exports stood at US$ 47 billion in FY21-22, according to the Directorate General of Foreign trade.

Saudi Arabia is the largest market for agriculture in the GCC region and the demand for agriculture is higher at present in the country, owing to changing consumption patterns of consumers and increasing awareness. The increasing presence of superstores and hypermarkets has increased the access to high-quality agricultural products for the Saudi population.

FIEO ( Federation of Indian Export Organization)in association with Embassy of India, Riyadh and Consulate General of India, Jeddah mounted a Delegation of more than 25 Indian Companies from Food & Agri Sector to Saudi Arabia from 12-16 June 2022. During their visit in Saudi Arabia, the delegations were able to meet numerous Saudi business community interested in Agro Food imports from India. The delegations were hosted by Riyadh Chamber of Commerce on the 12th of June followed by a B2B interactive session on the 13th June at VOCO Hotel in Riyadh. The delegation was also hosted by Asharqia Chamber on the 14th of June, where they were able to meet with more than 60 Saudi Companies in the Eastern Region. The team would be traveling to Jeddah to have a fruitful discussion with the the Saudi business community in the western region.

Indian Companies in the delegation are representing the vast basket of Indian food and agri products which is also an opportunity for saudi business community to have a concrete discussion for sourcing during the networking meets.