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Saudi Arabia's construction materials market is a significant contributor to the country's economy, with an estimated market size of $66.75 billion in 2023 and projected to reach $86.70 billion by 2028.
The Saudi Arabian government plays a pivotal role in the construction materials market, acting as a major procurer for its extensive infrastructure projects and public buildings. With an annual procurement value reaching around $10 billion, the government's procurement decisions significantly impact the industry. Sustainability and environmental considerations are at the forefront of the government's procurement practices, promoting the use of eco-friendly construction materials.
The Saudi Arabian government procures a diverse range of construction materials products and services to support its infrastructure development and building projects. These materials include:
Timber and Wood Products: These materials are essential for construction structures, providing aesthetic appeal and structural integrity.
Concrete and Cement: Concrete and cement form the backbone of modern construction, offering strength, durability, and versatility for various applications.
Steel and Metal Products: Steel and metal products provide resilience, flexibility, and resistance to corrosion, making them suitable for a wide range of construction purposes.
Bricks and Masonry Materials: Bricks and masonry materials form the foundation of walls, partitions, and other structural components, offering durability and aesthetic value.
Insulation and Roofing Materials: These materials are crucial for energy efficiency, thermal insulation, and weather protection, ensuring the comfort and sustainability of buildings.
Construction Equipment and Machinery: Construction equipment and machinery, such as cranes, excavators, and bulldozers, are essential tools for efficient and precise construction processes.
Several key authorities are responsible for overseeing and managing construction materials procurement in Saudi Arabia. These authorities include:
Ministry of Municipal and Rural Affairs (MOMRA): MOMRA is the central authority responsible for overseeing the construction industry in Saudi Arabia, including construction materials procurement.
Royal Commission for Jubail and Yanbu (RCJY): RCJY is responsible for planning, developing, and managing the industrial cities of Jubail and Yanbu, including the procurement of construction materials for industrial projects.
Saudi Arabian Basic Industries Corporation (SABIC): SABIC is a leading petrochemical and chemical company in Saudi Arabia, also involved in the production and procurement of construction materials.
Saudi Arabian Standards Organization (SASO): SASO is responsible for setting and enforcing standards for construction materials in Saudi Arabia, ensuring quality and safety.
Several major companies have secured significant construction materials procurement contracts in Saudi Arabia, demonstrating their expertise and competitiveness in the industry. These companies include:
Saudi Basic Industries Corporation (SABIC): SABIC is a leading provider of construction materials in Saudi Arabia, supplying a wide range of products including plastics, chemicals, and petrochemicals.
HeidelbergCement: HeidelbergCement is a global leader in cement production, with a strong presence in Saudi Arabia, supplying cement and other construction materials.
LafargeHolcim: LafargeHolcim is another global cement and construction materials giant with a significant presence in Saudi Arabia.
Saint-Gobain: Saint-Gobain is a multinational construction materials company with a diverse portfolio of products, including glass, ceramics, and plastics, supplying the Saudi Arabian market.
CRH: CRH is an Irish multinational construction materials company with a strong presence in Saudi Arabia, supplying cement, aggregates, and other construction materials.
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