Almarai unveils US$4.8B investment in multi-segment expansion plan

SAUDI ARABIA – Almarai, Saudi Arabia’s largest dairy producer, is setting the stage for significant growth with a bold US$4.8 billion investment under its new five-year strategic plan.

The company aims to diversify its portfolio and boost food security within the kingdom by expanding across multiple sectors, including poultry, seafood, and red meat production.

The centerpiece of Almarai’s expansion is a substantial US$1.8 billion allocation to increase poultry production.

The company plans to ramp up production by as much as 70% by 2026, with an ambitious target to process 450 million birds annually, compared to the current output of 250 million.

This investment is a clear reflection of Almarai’s commitment to supporting Saudi Arabia’s Vision 2030 goal of achieving food self-sufficiency and reducing the kingdom’s reliance on imports.

In addition to poultry, Almarai is venturing into new areas by investing in domestic facilities for seafood and red meat production, including beef and lamb.

These facilities are expected to be operational within two years, further bolstering the company’s capacity to meet the growing demand for diverse protein sources.

Almarai’s CEO, Abdullah Albader, emphasized that while dairy remains a core focus, the company sees substantial opportunities in other food categories to serve its consumers more effectively.

The five-year plan, which is set to optimize sales and enhance overall financial performance, also underscores Almarai’s broader strategy for global expansion.

As part of this initiative, the company aims to improve its market reach while strengthening its leadership position in the Middle East.

This massive investment comes at a crucial time as Saudi Arabia looks to increase domestic food production in response to its current reliance on imports, which account for around 80% of the country’s food supply.

The government has also recognized a funding gap of SAR37 billion within the agricultural sector, making private sector investment, like Almarai’s, vital to achieving the kingdom’s long-term food security goals.

As part of its commitment to sustainability, Almarai has also reinforced its long-standing partnership with SIG, a global leader in packaging solutions.

This collaboration, which has spanned two decades, will continue to support Almarai’s operations by aligning packaging innovations with environmental goals and enhancing production efficiency.

With its US$4.8 billion investment, Almarai is positioning itself as a major force in the region’s food industry.

The company’s strategic move to diversify its offerings, coupled with its focus on innovation and sustainability, will play a key role in Saudi Arabia’s pursuit of greater food independence and global competitiveness.