ABSTRACT

The development of agriculture was given a high priority by Government during previous development plans, and will continue to play a leading role in the national strategy to diversify the economic base during the Fourth Plan. It has long been recognized that the importance of agriculture to the Kingdom extends beyond that of its contribution to national output alone. At the end of the Third Plan period almost half of the Kingdom’s population was living in rural areas and a significant proportion of total Saudi employment was in agriculture. Apart from the strategic significance of increasing domestic food production for a growing population, the planned development of agriculture fulfils other important roles. It generates employment both within the sector and in closely related agro-industries. It contributes to the diversification of the economic base and to import substitution, while raising income levels and improving rural living standards for both settled and nomadic communities alike. This has a positive influence on the population balance and helps to prevent population drift to urban centres. A further

important aspect of agricultural development in the Kingdom is its role in maintaining the ecological balance through combating desertification.