Saudi Arabia aims to invest $2 billion in Pakistan’s agricultural sector

Saudi Arabia has expressed a strong interest in expanding its agricultural activities in Pakistan, highlighted by recent plans to outsource agricultural production and possibly invest in corporate farming to bolster food security. A delegation led by Saudi Investment Minister Sheikh Khalid Bin Abdul Aziz Al Faleh, comprising 135 investors, recently attended the Pak Saudi Business Forum in Islamabad, where they explored these opportunities.

During the visit, agreements totaling $2 billion were signed, with a significant focus on ensuring food security for Saudi Arabia alongside other sectors. The delegation also engaged with Pakistan’s top government officials to discuss enhancing bilateral trade and exploring joint ventures across various fields, including the economy, agriculture, mining, and information technology.

The discussions underscored a mutual commitment to fostering a prosperous future for both countries and the broader region. This sentiment was further echoed during a meeting between President Asif Ali Zardari and the Saudi delegation at Aiwan-e-Sadr.

Prime Minister Shehbaz Sharif warmly welcomed the Saudi investment initiatives, noting the particular interest of Crown Prince Mohammed bin Salman in supporting Pakistan’s development. The visit culminated in the signing of multiple memoranda of understanding (MoUs) aimed at boosting bilateral trade and investment.

A notable development from the discussions is the signing of a contract for corporate farming, which will allocate 10,000 acres of land in Khanewal, Punjab for agricultural projects designed to meet Saudi Arabia’s food requirements. The kingdom plans to finance these corporate agriculture ventures, with the produce destined for export to Saudi Arabia. Details of this significant agreement are still pending.