The Federation of Chambers: Opening new markets to confront the global supply chain crisis

The world is witnessing a crisis in food supply chains; As a result of the global events that cast a shadow on the economies of the world, which led to a rise in the prices of many foodstuffs, raw materials and others due to the current crisis, and its impact on the oil markets and logistics services, especially shipping, included.

A study prepared by the Assistant General Secretariat for Economic Affairs of the Federation of Saudi Chambers revealed the dimensions of the crisis, its repercussions on the local and global economy, and the Kingdom as a pivotal country that has an effective impact on the stability of global economic markets, as it indicated that the global crisis affected many food, energy and manufacturing chains.

The study indicated the role of the Federation of Saudi Chambers in contributing to supporting efforts in achieving food security for basic and other commodities, and what the local market needs. By supporting and enabling the private sector of importers and producers to maintain rates of the strategic stock of commodities with high food risks and other commodities that are no less important than basic food and other commodities, which represent an important element in achieving food security and comprehensive development that the country is witnessing despite the difficult circumstances, witnessed by the world, believing in its pivotal role in achieving the goals of the Kingdom’s Vision 2030 according to the set time plan.

The study indicated that the union worked through the private sector to contribute to opening new markets to import alternative goods in the short and medium term, and to maintain price levels at the purchasing power of citizens for most food and other products. Since the beginning of the crisis, the union has worked in cooperation with government agencies and the private sector on a number of The roles include preparing periodic reports on the crisis and its impact on supply chains, listing the challenges and risks arising from the crisis on the local market, discussing them with the concerned authorities, and coordinating with business owners in other countries; To discuss challenges and find supportive solutions to provide food supply chains, the Federation has also prepared a number of supportive initiatives to avoid the food supply chain crisis.

The study indicated that the Federation of Chambers is studying the crisis in its various aspects to determine possible opportunities to take advantage of the global situation in attracting international companies to the Saudi local market in partnership with Saudi investors, in addition to monitoring regional variables according to the Chamber’s region for the abundance of goods and prices, through reports submitted to the Federation of Chambers and the relevant authorities. room area.

The study noted that the federation, according to its plan to serve the private sector and the national economy to avoid the crisis of food supply chains and other commodities, took a number of important steps that achieve the public interest of the national economy, the most important of which is the formation of specialized work teams for basic food commodities to speed up taking urgent views and opinions, and joining the committee Managing the food commodity abundance crisis led by the General Grain Corporation, and raising the level of coordination with the General Grain Corporation represented by the Food Commodity Monitoring Team in raising the level of communication with the private sector of producers and importers of basic food commodities, in addition to working to raise awareness of the private sector to reduce waste And waste in cooperation with the National Program for the Reduction of Food Loss and Waste in the Kingdom.

The study highlighted the challenges facing the provision of food supply chains and other commodities, including the high costs of raw materials and shipping costs, especially with the lack of shipping companies working in the maritime field with the Kingdom, the lack of shipping containers, the delay in the arrival of shipments to the local market due to global restrictions, and the high wages Ports and customs, the fear that some countries of the world exporting food commodities will take protectionist restrictions on their exports, and the existence of challenges regarding increasing local production of some basic food commodities, such as the lack of a sufficient number of labor for the agricultural sector.

The Federation stressed the efforts made by government agencies to identify the risks and challenges of the crisis and work to solve the obstacles facing the private sector by officials in the concerned authorities, in cooperation with the Federation by creating quick support programs and providing a direct line of communication with the concerned authorities, and supporting the sector’s ability to provide goods food and others.


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