JEDDAH – Estimated at $1.6 billion, the Saudi construction market is expected to grow at a rate of 32-35 percent year-on-year until 2015, according to a report by Zawya, commissioned by The Big 5 Saudi. The Saudi construction market is likely to continue to increase in size as the Kingdom plans to invest $806 billion in upcoming projects, planned until 2030, it added. In another report, BMI forecast a buoyant 2013 and beyond for the Saudi construction industry. Funding – unhampered by any financial woes – is unlikely to run dry nor lose support, as the government's vast infrastructure investment scheme aims to both diversify away from oil, but also to keep protests at bay and stave off public discontent. BMI forecast a robust 7.5 percent real industry growth for 2013, reflecting the significant number of contracts awarded both in 2011 (140 percent year-on-year (y-o-y) increase), and in H212 (50 percent increase y-o-y), as well as increased government spending. Over the medium term, a healthy annual average growth of 5.6 percent between 2013 and 2017 is seen. Held under the patronage of the Jeddah Mayor Dr. Hani Abu Ras, The Big 5 Saudi has seen unprecedented success and has increased in size as a result with an additional purpose built hall and outdoor area, since its launch in February 2011. Additionally, the market is currently witnessing a shift in dominance from two of largest construction companies, Saudi Bin Laden and Saudi Oger, due to an increasing number of joint ventures between regional and international players who have partnered with Saudi contractors, to facilitate business in the country. Andy White, event director of The Big 5 Saudi, said: “The evolution of The Big 5 Saudi seems to be a reflection of the changes and growth within the Saudi construction market. Growth in demand year-on-year is clearly illustrated in the establishment of a purpose- built hall as well as an outdoor area to accommodate heightened interest.” “Education elements of the event have also been popular, and we will again host a number of workshops that will aim to encourage sustainability and environmentally conscious construction and building maintenance habits. It is important for the industry to understand, not only how to construct the buildings, but how to maintain them in a sustainable way,” he noted. Taking place at Jeddah Centre for Forums and Events on March 9-12, 2013, with the support of the Jeddah Chamber of Commerce and Industry and the Jeddah Municipality, the event is set to host more than 550 exhibitors, from 35 countries. New features for this year include the PMV Zone and Facilities Management Zone, dedicated areas for companies working in these sectors, there will also be an outdoor demonstration area for heavy construction technology, and the accredited education workshops, with globally renowned company bodies talking on topics including LEED regulation, concrete repair and facilities management. In addition, the Platinum Club will be introduced to the event this year, hosting Saudi-based buyers with spending power of more than $100 million. The Club will provide participants with direct access to key suppliers as well as business facilities for meetings and networking. “We want to create a platform for the industry that provides access to a growing Saudi market and reflects the country's vision now and for the upcoming years. Support for The Big 5 Saudi over the past two years, together with the event being recognized as the Best Trade Event at the Middle East Event Awards in its first year, has given us a very stable and promising foundation from which the event will continue to develop.” — SG
