Jan 20, 2021 | MARKET NEWS
Sabic's Localisation Initiative Contributes Over $2.35bn to GDP
The Nusaned Council has celebrated the graduation of 43 new investors at the SABIC Plastic Applications Development Center (SPADC), bringing the total number of graduates since the launch of the initiative to 106 investors qualified to start projects that will create 6,610 jobs and contribute more than SR8.8 billion ($2.35 billion).
Several strategic partnership agreements and memoranda of understanding were also signed to qualify and empower SMEs and create advanced commercial products. The MoUs and partnerships will also help strengthen cooperation with the Saudi business community and universities in the areas of sustainability and innovation and develop training and manufacturing programs to contribute to localizing technologies and industries in the Kingdom.
Through these agreements, Nusaned, in collaboration with 'Monshaat', aims to bring SMEs closer to purchasing opportunities in the public and private sectors.
BASF, a German multinational chemical company, will showcase its advanced technologies, products and training programmes to the business and education sectors in the Home of Innovation platform. Emerson, an American multinational corporation, will present its solutions to localise many manufacturing technologies, control systems, valve assembly, pressure and temperature transducers.
Nusaned initiative was launched by Sabic in 2018 as part of its commitment to stimulate local industry and enable Vision 2030 through several pillars: increasing the private sector's participation in GDP, reducing unemployment, and increasing the contribution of non-oil exports.
The agreements and projects are expected to serve several sectors, including construction, equipment and tools, medical supplies, metals, plastics, renewable energy, and specialty chemicals.
Yousef Al-Benyan, Sabic Vice Chairman and CEO, stressed the progress of the Nusaned initiative is a qualitative leap that confirms its success in attracting and creating more opportunities by reaching a large number of partners locally and globally.
"The outcome of these agreements and partnerships will contribute to creating jobs and raising the level of knowledge and professional qualification for local competencies and entrepreneurs. It will also promote the localization of advanced technologies to enable the private sector and SMEs to play an active role in the national economy," he said.
In addition to Sabic, members of the Nusaned Council include the Ministry of Human Resources and Social Development, the Ministry of Industry and Mineral Resources, the Ministry of Investment, Monshaat and the Local Content and Government Procurement Authority.
The Council is the executive platform of Sabic's localisation initiative Nusaned. It convenes three times annually to follow up on the progress made in efforts to stimulate local content for promising future sectors, in addition to launching partnerships and initiatives and graduating eligible projects for local investment.
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