Feasibility of building industrial city in Iraq under study: Alkhorayef

Minister of Industry and Mineral Resources Bandar Alkhorayef 

Minister of Industry and Mineral Resources Bandar Alkhorayef said the trade exchange volume between Saudi Arabia and Iraq amounted to SAR 5 billion, with the Kingdom’s exports at SAR 3.5 billion.

In a statement to Al-Arabiya TV, Alkhorayef pointed to the strong chance for the Saudi-Iraq trade volume to quickly more than double, given the presence of political well and required infrastructure such as ports, which are constantly overhauled.

Moreover, Saudi Arabia’s industrial capabilities can serve the Iraqi market and compete with several imported products. The Kingdom is keen to help Iraq build local expertise in industry and some raw materials.

The Saudi Export-Import Bank (Saudi EXIM) can be tapped by both sides in exporting Saudi products to Iraq or vice versa, according to the minister.

Alkhorayef also indicated that the existing joint work aims to benefit from the Saudi expertise in the industrial sector, such as industrial cities, adding that there are talks with the Iraqi side on the feasibility of creating an industrial city that will embrace Saudi industries in order to facilitate the entry of Saudi investors on the one hand, and to build capacities inside Iraq on the other.

He further said that discussions are currently taking place about the location of the industrial city, particularly if it should be inside Iraq on mutual land borders.

Moreover, there is an integration between Saudi Arabia and Iraq in the mining sector. The two countries share one geological region that is full of several minerals such as phosphates, where there can be joint work to benefit from natural resources in the phosphate fertilizer market and the aluminum sector, the minister stated.