The announcement was made at a meeting presided over by Minister of Transportation Jabara Al-Seraisry yesterday. Deputy Minister of Transport Dr. Abdulaziz Al-Ohaly, Anton Weinmann, chairman, MAN Nutzfahrzeuge AG, one of the world's biggest manufacturers of trucks, and Ali H. Alireza, director and general manager, Haji Husein Alireza & Co. Ltd.Haji Husein Alireza & Co. Ltd., were among those present. The event also marked the 100th anniversary of Haji Husein Alireza & Co. Ltd.Haji Husein Alireza & Co. Ltd. this year.

Speaking after the meeting, Dr. Al-Ohaly welcomed MAN's decision to assemble trucks in Jeddah in collaboration with Haji Husein Alireza & Co., which is currently the agent for MAN trucks in the Kingdom. He assured overseas investors of the government's full cooperation in the transportation sector, which was set to expand in the wake of the economic reforms and the growing Haj and Umrah traffic.

Earlier, Weinmann, the company's chairman, told Arab News that the decision to put up an assembly plant was taken in the light of its feasibility report which has established the viability of such a project. He said the Kingdom would be the base for catering to the market in the other Gulf states as well.

Elaborating on his remarks, Alireza said they planned to invest some SR50 million in putting up the truck assembly plant which will have a production capacity of 6,000 units initially. He said part of the funding will come from the Saudi Industrial Development Fund (SIDF)Saudi Industrial Development Fund (SIDF).

In reply to a question, Alireza pointed out that under the agreement some of the components would be procured from the local market. This would give a boost to the market and also create job opportunities. The company will also sign an agreement with the Human Resources Development Fund (HRDF) for training and employing Saudi nationals. "A majority of the recruits would be Saudis, both in the administration and technical jobs," he observed. The agreement with MAN, he said, would also lead to technology transfer, for which his company will set up a training center to put Saudis through their paces in MAN technology. "We are happy that the plant will be set up in the Kingdom, which has a strategic location in the Gulf region. It will not only cater to the domestic market but also to the Gulf market as a whole," he added.

By Javid Hassan

© Arab News 2006

 

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