Saudi Arabia’s Neom seeks international partnerships to increase agri production
Saudi Arabia has
partnered with a Dutch greenhouse company to create a "synthetic
climate" aimed at turning the desert into a flourishing oasis. The
endeavor involves establishing a horticulture oasis on the outskirts of Neom, a
brand-new city being constructed along the Red Sea coast, extending into the
desert. This venture represents a significant food-tech investment for Saudi
Arabia, a country historically reliant on imports due to its arid terrain and
extreme summer temperatures.
The initial phase of
the project involves Dutch horticulturist Van Der Hoeven, whose $120 million
contract with the Saudi government includes designing and constructing two test
facilities on Neom's outskirts. These facilities are intended to operate as a
synthetic climate, enabling year-round plant growth in challenging outdoor
conditions.
Michiel
Schoenmaeckers, the CEO of Van Der Hoeven, explained, "We are creating an
artificial climate where conventional outdoor cultivation is challenging."
The objective is to achieve continuous crop production, even in adverse
conditions. This initiative is driven by the priority of ensuring food security
in Neom, a key element of Crown Prince Mohammed bin Salman's ambitious $500
billion project to transform a desert area the size of Belgium into a
cutting-edge region that could eventually accommodate millions of residents.
The significance of
food security has escalated following global events such as the pandemic and
geopolitical tensions, which exposed vulnerabilities in supply chains and
highlighted risks to food security in the Middle East.
As part of its broader
efforts, Saudi Arabia's sovereign wealth fund has joined forces with US-based
AeroFarms to establish an indoor vertical farming company in Riyadh.
Additionally, a Saudi state entity recently invested in Brazil's leading
poultry producer and acquired stakes in other agri-related businesses.
Drawing from the
expertise of the Netherlands, a global leader in agriculture despite its size,
Saudi Arabia aims to leverage advanced agricultural solutions to meet the
demands of Neom and potentially become a regional food hub.
Juan Carlos Motamayor,
CEO of Neom Food, emphasized that this project has far-reaching goals. It aims
not only to provide sustenance for Neom but also to serve as a model for other
nations grappling with food security challenges in the face of climate change.
Following the
completion of two pilot greenhouses, the project is set to expand
significantly. Motamayor revealed plans to scale up to hundreds of hectares
with various types of greenhouses. The overall objective is to establish over
300,000 tons of fruit and vegetable production within the next eight to 10
years.
Employing cutting-edge
horticultural technologies, including AI-driven crop cultivation and advanced
water filtration systems, the Dutch company plans to commence operations at the
first site by August of the following year. Innovative measures such as a solar
and seawater-driven cooling system are being introduced to manage extreme
summer heat and reduce water consumption from the local grid.
Furthermore, a
quarantine greenhouse will be erected to introduce perennial crops to Neom's
ecosystem. The selection of Neom for this pioneering initiative underscores the
Saudi crown prince's ambition to diversify the nation's economy away from oil
dependence and to position the city as a testing ground for transformative
technologies.
However, transitioning
Neom from conceptualization to reality has encountered challenges, including
limited foreign investment and obstacles in constructing a city with minimal
existing infrastructure and unprecedented technological requirements.
Juan Carlos Motamayor
underscored the uniqueness of the endeavor, stating, "No other place in
the world is attempting to develop and implement agriculture for arid
conditions on the scale we envision."
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