Saudi Arabia gains market access for dairy, aquaculture in China as part of US$3.7B trade push

SAUDI ARABIA – The Kingdom of Saudi Arabia has secured official approval to export dairy and seafood products to China under newly signed bilateral trade protocols. 

The agreements, finalized during an official visit by Minister of Environment, Water and Agriculture Abdulrahman Alfadley to Beijing from May 12 to 14, mark a breakthrough in opening one of the world’s largest consumer markets to Saudi producers.

Minister Alfadley signed the two export protocols with Sun Meijun, Head of the General Administration of Customs of China, paving the way for Saudi companies to ship full-fat milk powder, fresh dairy products, and premium aquaculture species such as Red Sea grouper to Chinese buyers. 

The protocols, part of a broader package of 57 deals worth US$3.7 billion, are expected to streamline export procedures and deepen bilateral trade in high-quality food products.

“These new protocols reflect the growing trust between our two countries and will facilitate the entry of leading Saudi companies into the Chinese market,” Alfadley said.

He described the cooperation as “fruitful and constructive,” noting that Saudi Arabia has adopted international best practices to ensure product quality, traceability, and sustainability, core requirements for Chinese importers.

Chinese appetite for premiumization promotes importation 

The deal comes as China’s appetite for premium imported food continues to climb. In 2024 alone, Chinese dairy imports grew by 18% while demand for high-end seafood surged by 25%. 

Saudi Arabia, with its investment in modern aquaculture and dairy production systems, is positioned to meet this demand through products such as Jazan Dairy’s full-fat milk powder and sustainably farmed marine species from its Red Sea operations.

The export approval follows Saudi Arabia’s broader push to develop integrated value chains in food and feed. 

During the Saudi Dairy Forum in Al-Kharj earlier this year, the Kingdom unveiled a 1 million-square-foot dairy industrial cluster, aimed at strengthening local processing, packaging, and livestock feed capabilities. 

Minister of Industry and Mineral Resources Bandar Alkhorayef described the cluster as a cornerstone of Saudi Arabia’s National Industrial Strategy, stating, “This project aligns with the goals of the National Industrial Strategy to position Saudi Arabia as a regional hub for food industries.”

57 agreements signed for multisectoral bilateral trade 

In addition to dairy and aquaculture, the Saudi-Chinese Business Forum resulted in wide-ranging agreements across agriculture, environment, and water management sectors. 

Held concurrently with Alfadley’s visit, the forum concluded with deals targeting marine algae farming, vertical agriculture, shrimp genetics, and sustainable poultry production—all of which support Saudi Arabia’s Vision 2030 goal to diversify the economy and reduce oil dependence.

Twenty-six of the 57 agreements signed specifically aim to increase Saudi exports to China, many of them focused on high-demand products such as dates, bottled water, fruits, and vegetables. 

A “smart food security city” is also planned within Saudi Arabia, designed with integrated food laboratories, cold chain logistics, and agro-industrial zones to support large-scale exports.

Both nations see strategic alignment in this deepening trade relationship. While Saudi Arabia continues to import most of its food due to environmental constraints, China, despite vast agricultural capacity, remains the world’s largest agri-food importer due to population scale and rapid urbanisation. 

The result is a natural synergy: Saudi Arabia supplies high-value, water-efficient products, while China offers a high-volume, health-focused market.

Looking ahead, Alfadley expressed optimism about expanding the Kingdom’s food export portfolio and forging new partnerships in biotech, water technology, and feed innovation. 

“We are committed to enabling the private sector and building trade bridges that contribute to global food security,” he said.

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