RIYADH: Chocolate, yogurt and fish production in Saudi Arabia will increase after investment deals worth SR232 million ($61.8 million) were signed by the Saudi Authority for Industrial Cities and Technology Zones.
The organization, also known as MODON, has awarded seven contracts covering 99,400 sq. meters which will primarily benefit the Kingdom’s food and beverage sector.
In addition to this, MODON also sealed two more agreements to further facilitate financing solutions while supporting and enabling entrepreneurship during the first edition of the “Saudi Food 2023” exhibition.
These agreements fall in line with the objectives of the National Industrial Strategy and Saudi Vision 2023, aimed at achieving food security for the Kingdom and attracting investment projects worth $20 billion into the sector by 2035, according to Executive Vice President of Business Development at MODON Ali Al-Omeir, reported the Saudi Press Agency.
Among the new investment deals is an agreement worth SR140 million for the production of milk and fresh yogurt on industrial land on an area of 27,400 sq. meters in the Third Industrial City in Jeddah.
Furthermore, an area of 25,027 sq. meters have been allocated in the Second Industrial City in Qassim for an investment of SR22 million for the manufacture of cocoa, chocolate and sweets products.
Another SR10 million contract was sealed allocating 11,051 sq. meters in the Third Industrial City in Jeddah to localize the fish preservation industry and fish products, and a separate SR11.8 million deal was signed for an area of 7,400 sq. meters to preserve fish and fish products by drying, smoking and salting.
There was also an agreement worth SR40 million to allocate an area of 16,500 sq. meters for the manufacture of food boxes, medicines, perfumes, dishes, among other things in Sudair City for Industry and Business.
Earlier this year, in February, on the sidelines of the Gulfood Exhibition 2023 in Dubai in the UAE, MODON signed agreements and memorandums of understanding to localize the food and beverage industry in Saudi Arabia with investments up to SR1 billion.
It also revealed the increase of food factories to 1,171 factories with a total area of approximately 10 million sq. meters by the end of 2022.