Facility constructed with substantial investment of AED 90 million in Jeddah Industrial City 1
– Enhanced production capacity of more than 9000 tons, spanning over 9000sq.m
– Strategically positions Agthia to meet current and future market demands
Cairo – July 8, 2024: Agthia Group PJSC, one of the region’s leading food & beverage companies, today announced the official opening of its new protein manufacturing facility at the Industrial City 1 in Jeddah, KSA. This strategic investment marks a significant step forward in Agthia’s commitment to Saudi Vision 2030 to elevate the Kingdom’s F&B market, and in line with the Group’s long-term strategy of establishing itself as one of the leaders in the sector in the MENA region and beyond by 2025.
The launch of this new facility, designed to meet the growing demands for Agthia’s key protein brands, highlights the Group’s strategic initiative to tap into the immense growth potential of the largest market in the GCC region. By boosting local production capabilities, the Group aims to leverage favorable economic conditions, enhance its market presence, and solidify its position within this highly rewarding market.
Alan Smith, Chief Executive Officer of Agthia Group, commented: “Our investment in this manufacturing facility in KSA underscores Agthia Group’s unwavering commitment to creating value for our stakeholders and establishing ourselves as the foremost player in the F&B industry across the MENA region by 2025. This project is a testament to our commitment to the objectives of Saudi Vision 2030, particularly in advancing localization and achieving self-sufficiency. By bolstering our presence in KSA’s rapidly expanding processed meat market, we are not only reinforcing our market position but also contributing significantly to the diversification and growth of our regional product portfolio. This facility exemplifies our strategic vision and ambition for the future.”
With a substantial investment of AED 90 million, the new facility spans over 9000 square meters and is designed to achieve an annual production capacity of over 9000 tons. It features two production lines capable of manufacturing more than 50 distinct SKUs, supported by a diverse supply chain of over 69 raw materials. Equipped with in-house microbiology and sensory evaluation laboratories, the facility ensures the highest standards of quality control and product development. Furthermore, the facility is accredited by the Saudi Food & Drug Authority and certified by the BRCGS Global Food Safety Standard, underscoring Agthia Group’s commitment to food safety and regulatory compliance.
Declan Bennett, President of Agthia’s Protein Business, commented: “This comprehensive setup enables Agthia to offer a robust product portfolio tailored to the evolving needs of the Saudi market. This strategic investment addresses the rising demand for our protein and frozen products within the Kingdom, positioning us to effectively meet both current and future market requirements. By bolstering local production capabilities, we are poised to better serve the Kingdom’s growing demand for premium protein products while driving sustainable growth and strengthening our leadership position in the regional F&B industry.”
Employing a diverse team from various backgrounds and disciplines, this facility is well-positioned to drive innovation, optimize operations, and foster a culture of excellence. By exporting to more than 25 countries, this investment further solidifies Agthia’s regional and global footprint, positioning the company as a leading player in the GCC’s fast-growing food and beverage landscape.
Ramy Merdan, Chief Operating Officer of Agthia Group, added: “Agthia’s latest facility marks a significant stride towards operational excellence. With advanced technological capabilities at the forefront, we are poised to maintain unparalleled quality standards while optimizing production efficiency. This advancement not only reaffirms our standing as a trusted leader in the Saudi processed meat market but also creates scope for further efficiencies in our overall supply chain performance. By bolstering end-to-end operational efficiency, we are forging a stronger, more seamless value chain for Agthia’s diverse product range throughout the Kingdom.”
With the KSA processed meat market projected to reach US$7.11 billion by 2030, reflecting a Compound Annual Growth Rate (CAGR) of 5.49%, Agthia’s strategic investment in the manufacturing facility will enable the Group to capitalize on this growth potential, further solidifying its presence within the KSA market and contributing to its long-term goals of regional leadership.
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