The developer of a proposed USD 500 billion (EUR 421 billion) commercial and residential development in Saudi Arabia – NEOM Company – has signed a memorandum of understanding with fish technology firm Tabuk Fish Company for a hatchery in the northwest shores of the Red Sea.
NEOM Company – a closed joint-stock firm fully owned by Saudi Arabia’s sovereign wealth fund, the Public Investment Fund – and Tabuk jointly invest in the largest hatchery in the Middle East and North Africa (MENA) region, opening way for the introduction of “new technologies and approaches to aquaculture,” according to a statement from NEOM. The hatchery will have an annual production capacity of 70 million fingerlings.
The partnership agreement, signed in early April by the developers and Saudi Arabia Minister of Environment, Water and Agriculture Abdulrahman AlFadhley, targets “expanding local aquaculture production and applying the new generation of aquaculture technologies in the NEOM region.”
“The memorandum included developing a fish farm to promote the aquaculture industry in the region, both within artificial lakes and natural waters, and to establish a solid infrastructure in the kingdom, in line with Vision 2030, which aims to diversify the country's economy and sources of income,” NEOM said.
The partnership will also focus on improving the “production of local fish species in the Red Sea to contribute to achieving the kingdom's goal of producing 600,000 metric tons (MT) of fish products by 2030, placing the kingdom at the forefront of the pioneering countries in sustainable aquaculture.”
Ali Al-Sheikhi, the CEO of the National Fisheries Development Program and director general of the General Department of Fisheries at the Ministry of Environment, Water and Agriculture, termed the agreement “a fundamental turning point” for Saudi Arabia’s seafood industry. He singled out the entry of NEOM Company into the aquaculture business as a sign of a bright future for Saudi Arabia’s fisheries sector, especially in the drive to achieve economic growth and food security.
"We are pleased to work with Tabuk Fish Company to introduce new technologies and approaches to aquaculture to improve all aspects of farming and sustainability,” NEOM CEO Nadhmi Al-Nasr said. “The capacity and innovative nature of the hatchery, combined with top-notch technologies, will help position Saudi Arabia at the forefront of sustainable marine aquaculture."
Moreover, Tabuk Fish Company’s chairman, Nasser A. Al-Sharif said the agreement is a major boost to the planned state-of-the-art fish hatchery intended not only to generate local jobs, but also create investment opportunities for top technology companies to the NEOM area, which is expected to have residential areas, ports and enterprise zones, research centers, sports and entertainment venues, and tourist destinations, according to the developer.
The proposed ambitious fish hatchery project has been unveiled at a time when Saudi Arabia has expressed commitment to double per capita fish consumption from nine kilograms to 20 kilograms by 2030.
Furthermore, Saudi Arabia’s overall fish production is expected to achieve a compound annual growth rate of 18 percent over 12 years between 2018 and 2030. That plan is built on the platform achieved between 2015 and 2018, when the sector increased production from 25,000 MT to 75,000 MT according to the Food and Agriculture Organization (FAO).
Photo courtesy of NOEM
