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In arid regions such as Kuwait, protected agriculture (PA) is a feasible option for developing the agricultural sector. In addition to protecting crops in enclosed controlled environment, PA extends the growing season and ensures high profitability and sustainability of an agricultural enterprise. In Kuwait, the protected agriculture sector has witnessed an impressive rebuilding after liberation and with sustained government support it is expected to become an important agribusiness activity with a considerable impact on the national economy. However, production expansions are limited by technical and market constraints resulting in technical and economic inefficiencies. In addition, production technologies are being adopted without considering the soil and water characteristics. This is causing a rise in the groundwater table, groundwater pollution and degradation in the productive capacity of soil as well as affecting plant productivity. Such practices present a threat to the environment and sustainability of the agriculture production activity in Kuwait. Due to low water-use efficiency, the present soil-based greenhouse production system has increased the demand for expensive desalinated water in protected agriculture. To overcome these obstacles a National Agriculture Master Plan, covering a 20-year period from 1995, was developed. This plan identified PA as a priority area for development of the agricultural sector in the country. This plan calls for two- to four-fold enhancements in the productivity levels of selected crops by the year 2015. To do this, introduction, testing and infusion of proven state-of-the-art technologies into the existing cropping system were recommended. The soil survey for the State of Kuwait showed new potential agricultural lands that can be used for expanding protected agricultural areas. Research priorities were also defined to select and modify technologies that are most suitable for the environment of Kuwait.