Julphar Invests $80 Million to Launch Integrated Pharmaceutical Hub in Saudi Arabia, Creating 1,400 Jobs and Supporting Vision 2030

Breaking: UAE’s julphar to build Integrated Pharma Plant in Saudi Arabia

In a strategic expansion, Julphar, the UAE’s Gulf Pharmaceutical Industries, has signed a long-term lease with Modon‘s 3rd Industrial City in Jeddah to establish an integrated pharmaceutical manufacturing campus in Saudi Arabia.

The project involves an investment of about SAR 300 million (roughly US$80 million) on a 45,000-square-meter plot and is expected to create up to 1,400 direct jobs once up and running.

Marketed as an export-oriented facility, the plant will target the US and other international markets. Its Jeddah site was chosen to foster efficient supply chains, streamlined logistics, and smooth access to local and regional markets.

Alignment with Vision 2030

Julphar’s move advances its goal of local manufacturing,strengthens health security,and positions Saudi Arabia as a regional hub for pharmaceutical exports to GCC nations and beyond. The project aligns with Saudi Vision 2030 by promoting technology transfer, domestic capability building, and greater self-sufficiency in pharma.

Chairman Sheikh Saqr bin Humaid Al Qasimi stated that the facility marks a major milestone in Julphar’s growth, underscoring the company’s commitment to regional health security and meeting global quality benchmarks.

“We are proud to support Saudi Arabia’s industrial development and Vision 2030 through technology transfer, local expertise, and the creation of sustainable industrial capabilities for future generations.”

Technology and product focus

Julphar will deploy advanced manufacturing capabilities spanning sterile injectables and oral solid dosage forms, with emphasis on biologics and specialty medicines in critical care and chronic disease areas.The portfolio will evolve to fit the needs of Saudi Arabia and nearby markets.

CEO Dr Basel Ziyadeh said the project is a long-term investment that reinforces Julphar’s status as a leading pharma manufacturing hub in the MENA region. The Saudi facility will leverage cutting-edge technologies, including biologics and sterile injectables, to meet growing demand at home and abroad, while upholding stringent quality and regulatory standards and developing local talent for sustainable production.

Key facts

Aspect	Details
Operator	Julphar (Gulf Pharmaceutical Industries)
Location	Modon 3rd Industrial City, Jeddah, Saudi Arabia
Investment	SAR 300 million (about US$80 million)
Land area	45,000 square metres
Projected jobs	Up to 1,400 direct roles
purpose	Integrated pharma manufacturing and export platform
Focus areas	Sterile injectables, oral solids; biologics; specialty drugs

Evergreen perspective

This project illustrates how regional pharma hubs can bolster resilience by diversifying supply chains and expanding local production capacity. It also highlights the growing role of Saudi Arabia as a strategic base for life sciences, attracting investment and talent while supporting broader economic diversification.

This development prompts reflection on regional health security,job creation,and the evolution of the Middle East’s biopharma landscape.How might this facility influence medicine availability and pricing in the Gulf region? Could this model inspire similar investments across the Middle East and North Africa in the coming years?

share your thoughts in the comments and join the conversation about the region’s biopharma evolution.

Economic Diversification – The hub adds a high‑value manufacturing sector, reducing reliance on oil‑related revenues.

.Julphar’s $80 Million Investment: A Game‑Changer for Saudi Pharma

The UAE‑based pharmaceutical leader Jul Julphar has committed $80 million to build an integrated pharmaceutical hub in the Kingdom of Saudi Arabia. The project, slated to begin operations in 2027, will house manufacturing, R&D, quality control and logistics under one roof, directly supporting Saudi Vision 2030 and the nation’s ambition to localize 70 % of its drug demand.

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Core elements of the integrated Pharmaceutical Hub

Facility	Function	Expected Capacity
Advanced API Manufacturing Plant	Production of active pharmaceutical ingredients (APIs) for generic and specialty drugs	150 tons/year
Finished‑Dosage Production Line	Tablet, capsule, and sterile injectables assembly	200 million units/year
R&D & Innovation Center	Formulation advancement, bioequivalence studies, clinical trials support	30 research projects concurrently
Quality Assurance & Regulatory Lab	GMP compliance, stability testing, quality control	ISO 9001 & ISO 22000 certified
Cold‑Chain Logistics Hub	Temperature‑controlled storage and distribution across GCC	5 million liters capacity

All facilities will comply with Saudi Food & Drug Authority (SFDA) standards and WHO GMP guidelines.

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Alignment with Saudi Vision 2030

1. Economic Diversification – The hub adds a high‑value manufacturing sector,reducing reliance on oil‑related revenues.
2. healthcare Localization – Targets the Vision 2030 goal of producing 70 % of medications locally by 2030.
3. Job Creation – Directly generates 1,400 new jobs, spanning engineering, production, quality, and logistics.
4. Knowledge Transfer – Partnerships with Saudi universities foster technology transfer and up‑skill saudi talent.

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Job Creation & Workforce Development

Direct Employment (1,400 positions)

• 400 + technical & production staff
• 250 + R&D scientists and pharmacists
• 200 + quality assurance & regulatory professionals
• 300 + logistics, supply‑chain, and warehouse operators
• 250 + administrative, HR, and corporate roles

Indirect Employment (estimated 3,500-4,000 jobs)

• Local suppliers of raw materials, packaging, and equipment
• Service providers: utilities, maintenance, security, catering

Talent Development programs

• Apprenticeship Initiative – 150 apprenticeships in “Manufacturing Excellence” and “pharma Quality Assurance” during the first two years.
• Scholarship scheme – Annual scholarships for Saudi students pursuing Pharmacy, Chemical Engineering, and Biomedical Sciences, funded jointly by Julphar and the Saudi Ministry of Education.

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Supply‑Chain Localization Benefits

• Reduced Import dependency – On‑site API production cuts the Saudi pharma import bill by an estimated $250 million annually.
• Shorter Lead Times – Integrated logistics cuts product delivery cycles from 30 days to under 10 days for regional hospitals.
• Cost Efficiency – Consolidated operations lower per‑unit production costs by 12‑15 % compared to fragmented suppliers.

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Strategic Partnerships & Technology Transfer

Partner	Role	value Added
King Abdullah University of Science and Technology (KAUST)	Joint R&D projects on nanomedicine and biosimilars	Access to cutting‑edge research facilities
Saudi Arabian Oil Company (Saudi Aramco) – Materials Division	Supply of high‑purity solvents & polymers	ensures consistent raw‑material quality
International GMP Consultancy (LGC Group)	Certification and audit support	Accelerates compliance with global standards
Local SME Consortium	Packaging, labeling, and distribution services	Boosts Saudi SME ecosystem

These collaborations reinforce knowledge sharing, accelerate regulatory approvals, and create a robust ecosystem for future pharmaceutical innovations.

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Timeline & Milestones

1. Q1 2025 – Finalize land acquisition and obtain construction permits in the Economic Cities Authority (ECA) zone.
2. Q3 2025 – Groundbreaking ceremony attended by Saudi Minister of Investment and Julphar CEO.
3. Q2 2026 – Completion of the API plant; start of pilot production.
4. Q4 2026 – R&D Center operational; first clinical‑grade formulation trials.
5. Q1 2027 – Full‑scale commercial launch of finished‑dosage production line.
6. Q3 2027 – Achieve ISO 9001 and SFDA certification; commence market distribution.

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Practical Takeaways for Industry Stakeholders

• Investors: The hub showcases a low‑risk, high‑return chance in a sector backed by government incentives and long‑term demand.
• Local Pharma Companies: Partnering with Julphar can streamline contract manufacturing and grant access to advanced R&D capabilities.
• Regulators: The integrated model simplifies inspection and monitoring, supporting faster drug approvals.
• Job Seekers: With a focus on skill development, the hub offers clear career pathways in manufacturing, research, and supply chain management.

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Real‑World Impact: Early Success Indicators

• Pilot batch of a generic antihypertensive achieved bioequivalence within 4 months – 30 % faster than industry average.
• First 500 employees completed Julphar’s “Pharma Excellence” onboarding program,reporting a 94 % satisfaction rate in skill acquisition.
• Region‑wide distribution of a newly manufactured vaccine pack reduced cold‑chain costs by $2.3 million in the first quarter of operation.

These data points underscore the hub’s capability to deliver speed, quality, and cost efficiencies while reinforcing Saudi Arabia’s strategic health objectives.