Boosting Saudi Innovation: PIF’s Accelerated Manufacturing Program Takes Off

Saudi Arabia’s Public Investment Fund (PIF) has launched an initiative to empower local manufacturing startups. The Accelerated Manufacturing Program (AMP) is designed to enhance the capabilities of emerging manufacturers in Saudi Arabia, supporting innovation and growth within the Kingdom’s industrial sector. 

AMP offers a strategic combination of resources to boost the manufacturing sector, providing startups with training, networking opportunities, and direct connections to key industry players. The program aims to develop Saudi Arabia’s manufacturing businesses, enabling them to become globally competitive and contribute to the country’s economic transformation.

Key Features of the AMP include:

• Strategic Industry Connections: Participants gain direct access to executives and procurement teams from PIF’s 20 Portfolio Companies. This facilitates collaboration and business opportunities that can drive growth.
• Comprehensive Training: The program includes 33 specialized business and technical training modules that cover topics such as business strategy, sales, operational efficiency, and pitching to investors. These modules are designed to equip companies with the knowledge needed to scale effectively.
• Personalized Mentorship and Networking: AMP connects startups with industry experts, offering over 200+ hours of one-on-one mentorship and organizing networking events with PIF Portfolio Companies. These connections help foster long-term partnerships that benefit all parties involved.

Eligibility Criteria

To participate in the AMP, companies must meet specific requirements. These criteria ensure that only businesses with the potential for growth and a commitment to the program are selected:

• Companies must hold a valid industrial license and operate at least one manufacturing facility in Saudi Arabia.
• A minimum of six employees is required to ensure the company has the operational capacity to benefit from the training and networking opportunities.
• Companies should have an annual revenue of at least 3 million SAR.
• Full commitment to attending all training sessions and completing the six-month program is essential.
• Proficiency in English is necessary for effective communication and participation.

Impact in Numbers

The AMP program has already shown impressive results in its first cohort. Key metrics from the 2024 program include:

• 13 participating companies across various manufacturing sectors in Saudi Arabia.
• 33 business and technical training modules were delivered, focusing on scaling operations and enhancing competitiveness.
• 150+ business meetings between startups and PIF’s Portfolio Companies, creating valuable opportunities for collaboration.
• More than 200 hours of mentoring, offering tailored guidance to each participating company.
• 12+ commercial agreements signed as a result of the program, indicating a strong return on investment for participants.

These results demonstrate the program’s significant impact, not only in fostering innovation but also in driving tangible business outcomes.

One of the standout success stories from AMP is Envocoast, a manufacturing company that has benefited greatly from the program. Ahmed Alfadda, the company’s Chief Operating Officer, shared how AMP helped his business connect with key players in the industry.

“AMP helped us connect with professionals and build lasting relationships. It effectively facilitated collaboration with Red Sea Global and other portfolio companies. Through these partnerships, we were able to replace imported products with our locally manufactured ones. This experience reinforced our belief in the importance of working together and forming partnerships in our industry,” Alfadda said.

Contributing to Saudi Arabia’s Industrial Growth

The Accelerated Manufacturing Program (AMP) is more than just a growth accelerator for individual companies; it plays a vital role in Saudi Arabia’s broader industrial goals. By supporting local manufacturing startups, the program helps:

Reduce the Kingdom’s dependency on imports by encouraging local production and increasing domestic manufacturing capacity.

Create high-quality jobs in the manufacturing sector, contributing to job creation and skill development in line with Vision 2030.

Enhance the competitiveness of Saudi startups on the global stage, driving economic diversification and positioning Saudi Arabia as a leader in industrial innovation.

Looking Ahead

With its strong focus on innovation, collaboration, and training, the AMP is set to continue playing a crucial role in Saudi Arabia’s economic transformation. The program not only empowers individual startups but also contributes to the development of a robust industrial ecosystem that supports long-term, sustainable growth.