The Business Year

Saudi Arabia offers manufacturers not only security, but also plenty of government assistance to support industry.

Faisal Alawi Haddawi

CEO, Falcon Plastic Products Company

All our seven production facilities are in Riyadh and have a specialized product line. The major one is adhesive tape, where our market share in Saudi Arabia is more than 21%. We produce both under our own Falcon brand name and under the American Abro brand, for which we have been the sole manufacturer in the GCC for the last 25 years. The second-biggest factory is for shade nets, where our market share exceeds 36%, making us the biggest manufacturer in the GCC. We also produce glue and have a factory for glue manufacturing for wood, paper, and paint. Our plastic factory is primarily focused on construction role and stretch film. The other two large factories focus on food packaging, which produces almost 5,000 tons per year, and polyvinylchloride (PVC), which is the only factory thus far in KSA. The PVC factory is primarily for pharmaceutical use. Other applications include smart cards for mobiles, IDs, banks, and so on as well as food packaging and containers that use PVC.

Ayman A. Al-Hazmi

General Manager, Saudi Specialized Products Company (WAHAJ)

In 2013, we saw the chance to add more divisions, such as aerospace, to our mold division. We can do advanced precision machinery for aircraft manufacturing and serve the commercial and defense aviation industries. We are currently building our capability, getting certificates such as AS 9100, of which we are one of the few manufacturing companies with this certificate in the Kingdom. This certification was a great step to put us ahead of others in the market. In 2016, we formed a contract with BAE Systems, and there is great potential for more collaboration with it and other global defense firms, especially now that there are localization objectives to be met. In the last three years, we have been able to build an expert team of Saudi technicians and engineers through the support of expat colleagues from Germany, Australia, the UK, and other countries. The second thing is receiving assistance from the government, which mandates that international companies localize in Saudi Arabia.

Stevan Zivkovic

General Manager, Stevan Zivkovic

We are a Swiss construction chemical company and partner with Sumam here. We have been producing locally in Rabigh since 2011. We started with two lines, for concrete admixtures and powder-based products, and in 2016 commissioned a third line for resin products. In order to improve supply chain and reduce freight costs, in June 2018 we opened a new production site with a line for concrete admixtures in Dammam’s second Industrial City, where we also have a warehouse and offices. Besides Rabigh and Dammam, we also have warehouses and offices in Riyadh and Jeddah and sales representatives all over the Kingdom. More than half of our revenue comes from locally made products. We are proud to meet all corporate quality requirements that would not be possible without highly professional local operations and R&D. We always seek to increase the quality of our products and implement new technologies. We are constantly organizing application trainings for our customers in our training centers in Riyadh, Jeddah, and Dammam.

Talal Idriss

CEO, Bahra Cables

When we set up the company, there were only three cable manufacturers; therefore, we thought there was a gap in the market we could fill. Unfortunately, we were not the only company that noticed the market gap. Five other companies came onboard with us, which brought the total to eight manufacturers, and there was overcapacity. To counteract that we moved into 10 other factories that deal with other electrical goods, which we built parallel to Bahra Cables. We now manufacture steel pipes, cable management system, LV/MV Panels, switchgear, pallet racking system, PVC pipes, load centers, wiring devices, transformers, busways, busbars, and much more. We were working at full capacity until about 2016, and since then we have launched an aggressive export mode. We started with 1-2% in exports, and our target for 2018 is to reach 20-22%. Within a couple of years, we want 50% of our production to be exported. We are targeting the GCC, Africa, and Asia.

Ahmad A. Al Ayed

General Manager, Alayed Industrial

Alayed entered the industrial space in the 1980s and became a market leader in manufactured hoses during the 1990s. We are among the top four companies in the region, currently producing around 14 million meters a month. We supply the GCC, the Mediterranean, North Africa, the US, and Europe. We are the first producer of polyester DTY in Saudi Arabia. We produce for both local and major international clients in the UK, Spain, and Italy. In 2018, we started working on a new project that is currently capitalized at USD120 million but will potentially rise to USD180 million. It will be the first plant of its kind in the Middle East, the fourth-largest plant in the world by capacity, and the second-largest diversified product manufacturing space. This project is a large step forward for Saudi manufacturers focused on technical fabric and will create a strong platform for such textiles, helping Alayed to become an industry leader in Saudi Arabia, the region, and world.



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