x

Sohar Port and Freezone signs land lease agreement to establish food manufacturing plant

Business Tuesday 01/October/2024 17:11 PM
By: Times News Service
Sohar Port and Freezone signs land lease agreement to establish food manufacturing plant

Muscat: Sohar Port and Freezone signed a land lease agreement with Dan Foods Industries (a Freezone company), a leading food manufacturing company, to establish a $7 million Food Manufacturing Plant for repackaging essential bulk-imported food items and producing high-quality Meal Ready-to-Eat (MRE) solutions.

The plant will be built on a 15,000 square meter industrial plot, dedicated to repackaging bulk-imported essential food items such as rice, milk powder, and sugar, sourced from major global producers in India, New Zealand, and Canada. These repackaged products will be reexported to markets across the Middle East and North Africa (MENA) countries, boosting regional trade and enhancing supply chain efficiencies. This milestone project represents a new chapter for Sohar Freezone, paving the way for innovation and excellence in Oman’s food industry. It also underscores Sohar Port and Freezone’s ability to attract international investments that drive economic growth and strengthen Oman’s position in the regional market.

Dan Foods Industries is known for its expertise in food repacking in Saudi Arabia and Turkey. With an impressive annual capacity of 5,000 TPA, the new ground-breaking facility in Oman is poised to revolutionize Sohar’s logistics capabilities, streamlining the redistribution of repacked goods to key markets across the GCC, with further reach extending to the African continent. This project is expected to create new employment opportunities, empowering local talent to drive the wheel of economic progress and contribute to a more sustainable future.

Mustafa Mohammed Abdalla Ahmed, Managing Director of Dan Foods Industries, commented, “We are delighted to bring our expertise in food repackaging and producing high-quality Meal Ready-to-Eat (MRE) solutions to Sohar Port and Freezone, a strategic location that offers unparalleled access to key markets in the GCC and beyond. Our investment in this project is a significant milestone for Dan Foods Industries, and we are proud to contribute to the nation’s economic development while expanding our global footprint.”

Mohammed Ali bin Salim Al Shezawi, Acting CEO of Sohar Freezone said, “This agreement embodies our vision for a more diverse, innovative, and sustainable economy. The establishment of Oman’s first food repackaging facility is a testament to our team’s efforts to attract investment and drive growth, create opportunities, and enhance our nation’s role in the global food supply chain. We are confident that this collaboration will have a profound impact on our community, fostering a bright future for generations to come.”

Dan Food Industries is a significant addition to the dynamic business landscape of Sohar Freezone, supporting its ongoing efforts to diversify economic activities and establish itself as a key logistics hub in the Middle East, aligned with Oman Vision 2040. These partnerships will further enhance Oman’s role in the global food supply chain, creating new economic opportunities and highlighting the pivotal role of Sohar Port and Freezone in the region.