Modon attracts new investments up to one billion riyals to achieve food security in Saudi Arabia

RIYADH — Saudi Authority for Industrial Cities and Technology Zones (Modon) signed agreements and memorandums of understanding to localize food and beverage industry in Saudi Arabia with investments up to SR1 billion and SR69 million, while revealing the increase of food factories to 1,171 factory with total areas of approximately 10 million m2 by the end of 2022.

This came on the sidelines of the Gulfood Exhibition 2023 in Dubai, United Arab Emirates, from Feb. 20 to 24, where it showcased its industrial environment, services and products that enable localizing food industries to achieve Saudi Arabia’s food security.

This is in line with the objectives of the National Industry Strategy and the initiatives mandated in the National Industrial Development and Logistics Program (NIDLP) in line with Saudi Vision 2030.

As part of its strategy to enable the industry and contribute to increasing local content in vital sectors to diversify the bases of the national economy, and localize 85% of the total demand in the food market in Saudi Arabia.

Modon signed an agreement with “IFFCO” company to allocate new industrial land in Dammam Second Industrial City, within the framework of the company’s plans to expand its current investment activity in the food industry sector and activate the agreement signed between the two parties last year in 2022.

It also signed an agreement with the Kuwaiti Danish Dairy Company (KDD). To invest SR375 million to establish a factory with an area of 100,000 m2 in Sudair City for Industry and Businesses to produce many food and beverage goods, as well as an industrial land allocation agreement with Seniora Food Industries to establish a factory on an area of 25,000 m2 in Jeddah Second Industrial City to produce frozen and refrigerated meat with investments of SR140 million.

In addition it signed an agreement with Jordan Valley Food Industrial Co. “AlBayrouty” to establish a factory in Jeddah Second Industrial City on an area of 15,000 m2 and investments of approximately SR50 million to produce grains and legumes.

Modon also signed an agreement with “Dose Café” company. To allocate a ready factory with an area of 1,500m2 in Sudair City for Industry and Businesses to invest SR4 million in food and beverages production.

It signed a tri-party agreement with “Indeal” and “Foodics” platforms to boost supply chains in the food industry sector by providing technical linkage services between food manufacturers in “Modon” industrial cities and the catering and hospitality chain in Saudi Arabia.

Recently, Modon signed agreements with a number of specialized companies and one of them is “Seara Arabian Food Industries”, the investment arm in the Middle East and North Africa of the Brazilian Group “GBS”, the largest company globally for manufacturing meat products and derivatives.

It signed, as well, with Alshaya Group and IFCCO, to support Modon’s initiative to establish “Food clusters” as part of the initiatives mandated by the National Industrial Development and Logistics Program “NIDLP” to contribute to Saudi Arabia’s food security in line with Saudi Vision 2030

Since 2001, Modon has been developing integrated services industrial lands; It currently oversees 36 industrial cities across Saudi Arabia with more than 5,000 producing factory and under construction, as well as complexes and private industrial cities.

It also works on developing and strengthening its investment ecosystem by the standards of the quality-of-life program to meet the aspirations of its private sector partners, enable women, small and medium enterprises and entrepreneurship. — SG

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