STADA to Create 400 Jobs with New Pharma Plant in Saudi Arabia

Global healthcare company STADA committed to investing more than €85 million in a state-of-the-art manufacturing facility in Saudi Arabia. The facility will supply essential medicines for conditions such as heart disease and diabetes to Saudi Arabia’s 35 million inhabitants, as well as to patients in surrounding countries.

During a signing ceremony in Riyadh attended by His Excellency Bandar bin Ibrahim Al-Khorayef, Saudi Minister of Industry and Mineral Resources, STADA outlined its commitment to reinforcing Saudi Arabia’s local medicines manufacturing capacity, thereby reducing the country’s dependence on healthcare imports and strengthening its export capacity.

“We are proud to be partnering with the Saudi government to strengthen supply of essential medicines,” stated STADA CEO Peter Goldschmidt. “Improving healthcare autonomy for 35 million people in Saudi Arabia, as well as in surrounding countries, delivers on STADA’s purpose of Caring for People’s Health as a Trusted Partner.”

The SAR366 million (€85 million) investment will establish a facility located in the Sudair City for Industry and Businesses located 150km north-west of Riyadh. The STADA factory will join approximately 350 facilities currently operating or being built in the 16.9 million sq m Sudair developed area, which was created in 2009 by the Saudi government’s MODON agency that oversees 39 existing and under-development industrial cities across the Kingdom.

In its first five years of operation, the facility is scheduled to supply around 500 million units of cardiovascular medicines, as well as 175 million anticoagulants and almost 250 million treatments for type 2 diabetes, to the Saudi population of around 35 million people, as well as patients across the MENA region. The regional supply hub will also produce products including central nervous system treatments for conditions such as epilepsy and schizophrenia, as well as antacids.

By creating around 400 jobs, STADA will more than treble its workforce in Saudi Arabia from more than 100 employees at present. 

The project is estimated to make a contribution to Gross Domestic Product (GDP) of approximately SAR500 million, thereby supporting the Saudi Vision 2030 economic diversification initiative. Having been active in Saudi Arabia for around 15 years, STADA has in recent years reinforced its local presence, including by establishing a trading legal entity, a technical scientific office and a regional headquarters to support global exports.

“Saudi Arabia is a key market for STADA’s growth strategy outside of Europe,” explained Head and EVP of Emerging Markets, Stéphane Jacqmin. ”Adding comprehensive local production capacities adds to STADA’s appeal as a partner of choice in Saudi Arabia and the broader Middle East region., building on our strong existing relationships with several renowned pharmaceutical companies.”