Saudi Arabia, Sidel sign MOU to explore local packaging manufacturing

SAUDI ARABIA – Saudi Arabia has signed a memorandum of understanding (MoU) with global packaging solutions provider Sidel to explore the development of local packaging manufacturing operations within the Kingdom.

The agreement was formalised in Paris during an official visit by Saudi Arabia’s Minister of Industry and Mineral Resources.

The MoU was signed by Saleh AlSolami, CEO of the Saudi National Industrial Development Center, and Clive Smith, Executive Vice President for Customer Management AOA at Sidel.

This strategic move underscores Saudi Arabia’s commitment to attracting international partners to localise advanced manufacturing and transfer technology across key industrial sectors.

The partnership aligns with the country’s Vision 2030 goals, which aim to diversify the economy and strengthen private-sector participation.

“Sidel is a global leader in the packaging solutions market and brings valuable expertise,” said AlSolami.

“This collaboration supports our ambition to build globally competitive industrial capabilities. We welcome partners who share our long-term vision and are ready to invest in Saudi Arabia’s industrial base and talent.”

As part of the MoU, the two parties will jointly evaluate the feasibility of establishing local services and training programs tailored to the needs of the Kingdom’s food and beverage packaging sector.

Yousef Dhahi, Vice President of Industrial Services at the National Industrial Development Program, added, “Our partnership with Sidel follows a thorough assessment of market needs and expectations for high-value contributions to Saudi manufacturers. Sidel’s solutions are in high demand across the food and beverage sector.”

The deal comes as Sidel continues to expand its sustainable packaging innovations. In January, the company unveiled a high-speed packaging solution designed for still beverages such as water and juice, using 100% recycled polyethylene terephthalate (rPET).

The new StarLITE-R STILL bottle base features patented technology that improves material stretching and distribution, optimizes venting for easier shaping, and incorporates an efficient cooling circuit.

The design reduces blowing pressure by up to 20%, leading to energy savings and lower production costs—without sacrificing bottle integrity or performance.

Sidel estimates the solution can cut carbon dioxide equivalent (CO₂e) emissions by approximately 51 tonnes.

It is compatible with existing production lines and supports a range of bottle shapes and sizes—from 250ml to 2.5 litres—in both single- and multi-serve formats.

“The industry is moving toward lightweight, energy-efficient designs that meet both regulatory requirements and consumer expectations,” said Mikael Derrien, Packaging Innovations Manager at Sidel.

“Our technology addresses these needs by reducing production costs and environmental impact while maintaining high-speed output and bottle quality.”

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