Saudi to Export 100,000 Tons of Petrochemicals to India
An agreement was signed at the Asharqia Chamber to export over 100,00 tons of agricultural and industrial sulfur to India and East Asian countries annually, as bilateral investments between the two countries surge to $24 billion.
The petrochemicals trade volume is anticipated to hit $9.13 billion, with an additional $1.03 billion reserved for agricultural petrochemicals and fertilizers.
Amid this robust partnership, both nations anticipate their investments and trade exchange to soar to $100 billion within the next five years.
The signing ceremony was attended by Abdulaziz Al-Shuaibi, director of the Industry Ministry’s Eastern Province branch.
The General Authority of Statistics’ international trade report for the second quarter highlighted India as the Kingdom’s third-largest trading partner, after China and Japan, with exports totalling SR26.8 billion.
The trade relationship involves Saudi Arabia importing a range of commodities from India, including engineering goods, rice, petroleum products, chemicals, textiles, raw sugar and ceramic tiles.
On the other hand, Saudi Arabia exports crude oil, liquefied petroleum gas, fertilizers, chemicals and plastic.
The bilateral trade relations have also spurred investments between the two nations.
Saudi Arabia’s Public Investment Fund holds a 2.32 per cent stake in Reliance Jio Platforms valued at $1.5 billion and a 2.04 per cent stake in Reliance Retail Ventures Ltd. valued at $1.3 billion, according to the Indian Embassy in Riyadh.
Further, Saudi Agricultural & Livestock Investment Co. acquired a 33 per cent stake in Daawat Foods Ltd. through its subsidiary, United Farmers Investment Co., for $17.23 million.
Similarly, Indian investments in the Kingdom have significantly increased in recent years, reaching about $2 billion. These investments are spread across diverse sectors, such as management and consultancy services, construction projects, telecommunications, information technology, financial services and software development.
Major Indian corporate players such as L&T, Tata & Sons, Wipro, Tata Consultancy Services, Shapoorji & Pallonji, Air India, Go Air, Indigo, and SpiceJet have established a strong presence within the Kingdom, revealed the embassy data.
Both countries share a similar energy outlook, with Saudi Arabia’s Vision 2030 and India’s energy policy looking at alternative renewable and clean energy sources to fuel the next wave of growth.
The Kingdom is a member of the International Solar Alliance and contributes to fulfilling its mission. Saudi companies such as Alfanar and Aljomaih have also invested in India’s wind and solar energy projects.
Furthermore, both countries are collaboratively exploring hydrogen gas as a future energy source.
