Saudi Arabia is seeking to localize some pharmaceutical industries and medical supplies, and transfer knowledge to the local market.
To that end, the Local Content and Government Procurement Authority (LCGPA) concluded on Thursday seven agreements with national companies to reach these goals, while providing certain incentives upon localization, such as inclusion in the mandatory list of national products.
The LCGPA concluded four agreements with Tabuk Pharmaceuticals and three others with the Saudi Pharmaceutical Industries and Medical Appliances Corporation (SPIMACO). They targeted a number of pharmaceutical products such as direct inhibitors of thrombin, antibiotics, treatment of muscle contraction, anticoagulants, and immune-suppressants, among others.
The agreements were signed in the presence of Minister of Industry and Mineral Resources and LCGPA Chairman of the Board of Directors Bandar bin Ibrahim AlKhorayef.
LCGPA CEO Abdulrahman bin Abdullah Al-Samari noted that the new agreements highlighted the sustainable partnership between the public and private sectors to develop the local content.
He added that the localization of these products would contribute to around 500 million riyals cumulatively over the next 10 years, and with direct investments of up to 145 million riyals, aimed at covering 111 million riyals of government demand annually.
They will also boost local supply chains and respond to government demands, thus contributing to achieving the targets of Saudi Vision 2030.
Al-Samari stated that the authority worked continuously with the relevant authorities with the aim of identifying targeted products that contribute to boosting medicine and health security, improving the trade balance by reducing imports and developing Saudi exports, and transferring new technologies to the Kingdom.
