Saudi Arabia is set to import beef and lamb products from South Africa, marking a significant step in its investment drive into the continent’s most developed economy.
In August, the kingdom’s Food and Drug Administration recently lifted a 20-year ban on South African meat imports. Matthew Karan, part-owner of Karan Beef, one of South Africa’s leading meat producers, confirmed that final approvals for shipping halaal cuts to Saudi Arabia are now in place.
“We plan to commence exports in the coming weeks,” stated Karan during a briefing with reporters in Johannesburg on Wednesday, held as part of the South Africa–Saudi Arabia Business Council session.
With Saudi Arabia boasting a $2 billion meat market, the decision to lift the ban, initially imposed due to an outbreak of foot and mouth disease two decades ago, reflects Riyadh’s efforts to enhance trade and investment ties. This move aligns with the kingdom’s broader strategy to diversify its $1.1 trillion economy away from oil dependence.
BRICS Momentum
Saudi Arabia recently joined the BRICS bloc, comprising China, Russia, India, Brazil, and South Africa, marking the group’s first expansion since 2010. Strengthening trade and investment among member nations is a key objective of the BRICS partnership.
In addition to meat imports, potential collaboration in pharmaceuticals and technology between South Africa and Saudi Arabia is on the horizon. Stavros Nicolaou, Aspen Pharmacare Holdings’ senior executive for strategic trade and co-chairperson of the two nations’ business council, highlighted plans for cooperation on endocrine and anaesthetic products.
Nicolaou noted that the initiative to export beef and lamb to Saudi Arabia has sparked discussions about expanding agricultural trade, including poultry exports.
Saudi Arabia, a major global oil producer, is investing heavily in transforming into a global supply-chain hub. From electric vehicles to pharmaceuticals, the kingdom is diversifying its industries to meet domestic demand and export to the Middle East and Africa.