Real estate supply chains in Saudi Arabia: The artery of development and the key to transformation

D. Imad Darwish

<a style="color: #800000;" href="https://amlak.net. Today, real estate supply chains are more than just behind-the-scenes logistics; they are the backbone of the real estate sector and the lifeblood of its ambitious projects. In Saudi Arabia, with the accelerated growth of the real estate sector led by Vision 2030, supply chain efficiency has become a critical element in making major projects a success and balancing quality, speed and sustainability.

Supply chain efficiency is a critical element in the success of large-scale projects and balancing quality, speed and sustainability.

real estate supply chains are an interconnected system of processes and entities including suppliers, manufacturers, contractors, consultants, financiers, and logistics teams, all working together to ensure that real estate projects are efficiently implemented from concept to delivery.

<If we try to review the reality of real estate supply chains in Saudi Arabia in numbers, we find that we are in front of huge investments: In the Real Estate Supply Chain Forum 2025, agreements worth more than 21 billion riyals were signed, including the supply, manufacturing, technology and logistics sectors, and the percentage of the use of local materials in the projects of the National Housing Company increased from 54% in 2023 to 63% in 2024, and it is targeted to reach 70% in the coming years.

The investment opportunities exceed the value of the real estate supply chain in Saudi Arabia. Investment opportunities in real estate supply chains exceed SAR 10 billion, with the potential to create more than 5,000 quality jobs in the next three years.

Real estate supply chain investment opportunities exceed SAR 10 billion, with the potential to create more than 5,000 quality jobs in the next three years. <Supply chains are important to the renaissance of the real estate sector by enabling major projects: Neom, The Line, and Roshan, which require advanced supply chains to meet their implementation schedules, ensure quality construction, and reduce costs: By minimizing waste, integrating suppliers and developers, and achieving sustainability: Through the use of technologies such as Building Information Modeling (BIM), 3D printing, and the adoption of environmentally friendly materials.

Promote localization. <Promote localization: Supporting local factories boosts the national economy and reduces dependence on imports. <Despite growth, supply chains face challenges, including geopolitical turmoil: Especially in maritime shipping chains, especially delays and higher transportation costs.

Geopolitical disruptions. Lack of competencies and qualified suppliers locally, uneven digital integration between chain parties, and the bureaucracy of some regulatory and customs procedures are among the obstacles Saudi strategies for a more efficient future To achieve a qualitative leap, the Kingdom is adopting several trends, including digital transformation: launching platforms such as SupplyPro to connect developers with suppliers and improve operations management.

International partnerships <International and local partnerships: Such as the agreement with China's CITIC to establish specialized industrial zones that serve the construction sector.

Supporting localization.

Supporting localization: Empowering national factories and requiring projects to meet certain percentages of local content.

Stimulate training and qualification: To bridge the gap in national competencies qualified to work in supply chains.

Supporting localization: by empowering national factories and obliging projects with certain percentages of local content.

While countries view infrastructure development as an economic priority, Saudi Arabia treats real estate supply chains as an integrated national project. The more agile and nimble these chains are, the more the Kingdom will be able to execute its real estate projects to the highest international standards and with a strong Saudi identity. The Kingdom's real estate future will not be built only with cement and concrete, but with strong, smart, and sustainable supply chains.

Economic Writer