Oct 28

AGRITECH DIPLOMACY: FRENCH SOLUTIONS FOR SAUDI FOOD SECURITY

As the world grapples with the dual challenges of climate change and global food supply chain disruptions, the concept of agritech diplomacy has emerged as a vital tool for ensuring food security. Agritech diplomacy refers to the strategic collaboration between countries to leverage agricultural technologies and innovations to address food security challenges. This approach is particularly relevant for Saudi Arabia, a nation that faces significant food security issues due to its arid climate and heavy reliance on food imports.

The Context of Saudi Arabia’s Food Security Challenges

In 2023, the value of agricultural production in Saudi Arabia was estimated at $16 billion, contributing about 2.5% to the national GDP. Key agricultural products include dates, wheat, barley, tomatoes, and melons. Saudi Arabia’s agricultural land spans approximately 52,000 square kilometers, with greenhouses covering around 2,000 hectares. The sector employs over 300,000 people, providing vital jobs in rural areas. Major agricultural regions include Al-Qassim, known for its date production; the Eastern Province, which focuses on dairy and poultry farming; and the Asir region, noted for its vegetable and fruit cultivation.

Despite all this, Saudi Arabia’s food security landscape is characterized by a heavy dependence on food imports, even after achieving self-sufficiency in dairy, poultry, and vegetables, the Kingdom imports approximately 80% of its food requirements.

Indeed, in 2023, Saudi Arabia’s food imports amounted to approximately $22 billion. The primary types of food imports include staples such as wheat, which represent 15% of its total food imports (3.5 million metric tons per year mainly from Russia, Germany and Canada), rice which represent 10% of its total food imports (1.5 million metric tons per year mainly from Pakistan, India and Thailand), meat which represent 20% of its total food import (mostly from Brazil, Australia and India), and finally barley which represent 8% of its total food import (from Australia, Ukraine and the EU).

Saudi Arabia’s arid climate, limited arable land, and scarce water resources pose significant challenges to increasing domestic food production. The Kingdom’s reliance on food imports is a strategic necessity to ensure food security for its growing population. The government has recognized these challenges and is actively seeking to diversify its food sources and invest in sustainable agricultural practices to reduce dependency on imports.

To address these challenges, the Saudi government has launched several initiatives under its Saudi Vision 2030 plan. The sector receives substantial government support, with an annual budget of approximately $3 billion dedicated to agricultural development and sustainability initiatives. Key projects include the development of advanced greenhouses, efficient irrigation systems, and food transformation facilities. For instance, the government has allocated over $1 billion to modernize irrigation infrastructure and promote sustainable agricultural practices. Additionally, the establishment of the National Strategy for Agriculture 2030 aims to create a sustainable agricultural sector that achieves food and water security while advancing economic, social, and environmental development. The agricultural sector has also made strides in water conservation, reducing water usage for agricultural purposes by more than 40%. Despite these efforts, the sector still utilizes around 17 billion cubic meters of water annually for irrigation.

The implementation of the Saudi Vision 2030 has driven the adoption of modern farming techniques and technologies, such as vertical farming, hydroponics, and controlled-environment agriculture. The Ministry of Economy and Planning announced an investment of $24.26 billion to further boost the sector. These advancements have led to a 7.8% growth in the agricultural sector in 2022 compared to the previous year, reflecting the Kingdom’s commitment to achieving food security and sustainable agricultural practices.

French Agritech Innovations

France has positioned itself as a global leader in agritech innovations, driven by public initiatives like France Relance 2030 and the Green Deal. These programs aim to support groundbreaking innovations in agriculture, focusing on sustainability and resilience. The French Tech 2030 program, for instance, brings together government funding and support strategies to foster the emergence of innovative agricultural solutions. France’s agritech sector is bolstered by numerous research centers and industry clusters, such as the INRAE (National Institute for Agricultural Research) and the Agri Sud-Ouest Innovation cluster, which focus on food production, transformation, and exports.

One of the most revolutionary areas is urban agriculture, where techniques like vertical farming and rooftop gardens are being employed to maximize space and reduce resource usage. Agritecture’s project Agricool, for instance, has developed innovative container farms that grow strawberries and other produce in urban settings using 90% less water and no pesticides. Jungle, another pioneer, specializes in vertical farming and has established large-scale indoor farms that produce a variety of herbs and greens year-round, regardless of external weather conditions.

In the realm of bioherbicides, French companies are making significant strides with environmentally friendly alternatives to chemical herbicides. These innovations aim to reduce soil and water contamination, a critical concern for sustainable agriculture. The French company De Sangosse has developed a range of bioherbicides that use natural ingredients to control weeds without harming the environment.

Automation and robotics are also transforming French agriculture, enhancing efficiency and productivity. Naïo Technologies, a leader in agricultural robotics, has developed a range of autonomous robots that perform tasks such as weeding, hoeing, and harvesting. Their Oz robot, for example, is an autonomous weeder that navigates fields using GPS and sensors, allowing it to work day and night without supervision, saving time but also reducing the need for chemical herbicides.

The adoption of digital tools in agriculture is another area where French agritech is making significant contributions. Platforms and software that provide real-time data and analytics are helping farmers optimize their practices and manage resources more efficiently. One such company, SMAG, offers digital solutions that integrate data from various sources, including weather forecasts, soil sensors, and satellite imagery, to provide farmers with actionable insights.

These advancements are not only benefiting farmers in France but also providing scalable solutions that can be applied in other countries facing similar challenges.

Potential French Contributions to Saudi Food Security

Existing partnerships, such as the collaboration between the French National Centre for Scientific Research (CNRS) and the King Abdulaziz City for Science and Technology (KACST), have already paved the way for high-level cooperation in agricultural research. Investment opportunities abound in areas like controlled-environment agriculture and sustainable aquaculture. For instance, the iFarm Leafy Greens Vertical Farming project in Riyadh, which uses advanced hydroponic systems, is a testament to the potential of such collaborations.

Moreover, French agritech solutions can be adapted to Saudi Arabia’s unique environmental conditions. Technologies such as vertical farming and hydroponics are particularly suitable for the Kingdom’s arid climate. One notable example is the seawater greenhouse project near Berbera, which uses solar power and seawater to produce crops like lettuces, tomatoes, and cucumbers.

The numerous opportunities offered to French companies by the Saudi agriculture sector are illustrated by success stories, like that of FarmERP, for example, which platform integrates precision farming techniques and AI-powered advisories to enhance resource efficiency, boost crop yields, and foster sustainable agricultural practices. The company is currently in talks with various government entities and private stakeholders in Saudi Arabia.

Finally, the Saudi food and beverage market is evolving, with increasing demand for wellness products, organic foods, and exotic items. The government’s initiatives to reduce diabetes and obesity are driving a shift towards healthier food options. These trends present significant opportunities for French French agrifood companies to leverage their experience in producing high-quality products to meet the growing demand in Saudi Arabia, boosted by the development of the hospitality sector, by the growth of the online delivery service, and by the fact that food still represent 18% of the total household expenditure in average.

Indeed, in 2024, the Saudi food & beverage market was evaluated at $23.5 billion, representing 60% of the total consumption in the GCC region, and is expected to grow to $27.8 billion in 2029, partly thanks to the predicted $70 billion investments which will be made in agriculture by 2030.

The Saudi agrifood sector offers, therefore, promising opportunities of growth to French exporters of food products, with equal opportunities for French agritech companies capable of supporting the increase in Saudi Arabia’s agricultural productivity and food security thanks to their innovation. By fostering collaborative projects, adopting climate-resilient practices, and leveraging diplomatic efforts, both countries can work together to build a more secure and sustainable food future.

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