Riyadh, Saudi Arabia — The Fourth Milling Company announced that the commitment period for Saudi Arabia’s wheat price support policy—based on the June 7, 2020, regulation issued by the General Food Security Authority (GFSA)—ended on July 12. However, no official notice has been issued to change the policy.

In a statement published Thursday on Tadawul Saudi, the company confirmed that wheat price support will remain under the current framework until further notice. It welcomed this continuity as a sign of market stability and government commitment.

The Fourth Milling Company also thanked the GFSA and other authorities for promoting food security and supply chain reliability. The company pledged to continue aligning its operations with national goals and fully utilize the benefits of the existing subsidy policy. Any future updates will be disclosed in line with regulatory requirements.

Moreover, this development highlights Saudi Arabia’s ongoing focus on protecting essential food supplies and maintaining price stability. It also aligns with the Kingdom’s broader food security and economic diversification strategy under Vision 2030.

 

 

THE SAUDI STANDARD’S VIEW: Stable Wheat Pricing Anchors Food Security and Market Confidence

Confirming that Saudi Arabia’s wheat price support policy remains in effect reinforces the Kingdom’s commitment to secure and affordable food for all citizens.

  • Maintaining food price stability: By extending the current pricing mechanism from June 2020, the government provides consumers and suppliers with a stable and predictable market environment. This move reduces uncertainty during a time of global agricultural volatility.
  • Creating a reliable business climate for millers: The absence of sudden policy changes allows millers and suppliers to plan effectively. It supports steady procurement, consistent flour production, and uninterrupted supply for households and industries.
  • Aligning with food security goals: Wheat remains a staple of the Saudi diet. Keeping prices stable through continued support reflects the GFSA’s strategic role in safeguarding essential goods and managing risks tied to global supply disruptions.
  • Strengthening public-private partnerships: The Fourth Milling Company’s public endorsement of the ongoing subsidy reflects a well-aligned relationship between the government and the private sector. This collaboration is vital in a post-privatization food system.

Saudi Arabia’s decision to maintain wheat subsidies shows its ability to balance economic efficiency with social responsibility. Such policies strengthen trust, promote resilience, and reaffirm the Kingdom’s leadership in food security strategy.

 

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