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Egg Industry in Saudi Arabia

09/16/2021

According to a USDA-FAS GAIN Report SA2021-0010 released on September 10th the table egg industry in Saudi Arabia is more than self-sufficient and has been exporting to neighboring countries for more than 15 years.  Production in 2020 attained 483 million dozen eggs, 11 percent more than in 2019. Assuming 80 percent hen-week production this places the national flock at 20 million hens in production. Domestic consumption is estimated at 157 eggs per capita assuming a population of 35 million.

 

 Factors that contributed to expansion included liberal government subsidies.  On January 1st, 2020, the Government of Saudi Arabia transitioned from a subsidy on animal feed to a production-based value equivalent to $4 per case of 360 eggs. Expansion was also stimulated by indirect subsidies and interest-free loans and rebates on duty for imported equipment.  The Ministry of the Environment, Water Affairs and Agriculture has actively encouraged the establishment of new egg production units and expansion of existing farms.  This is in accordance with the Vision 2030 framework, establishing national goals including self-sufficiency in food and diversification from an oil economy.

 

During 2020 producers in Saudi Arabia exported 25 million dozen shell eggs representing 5.5 percent of production. Destinations included 73.4 percent to neighboring Bahrain, 12.4 percent to Oman, 8.6 percent to the UAE and lesser quantities to other nations in the Middle East.  It is however anticipated that currently importing nations will also adopt policies of self-sufficiency limiting future export potential.