Egyptian Al Fayoum to launch first cream packed in aseptic cartons, Clover SA shuts down facility due to poor service delivery

EGYPT – Egyptian dairy processor, Al Fayoum for Food Industries, is set to expand its product portfolio with a new aseptic line to pack feta cheese in 500g-size bricks and liquid cream in aseptic cartons.

The move makes the company the first in the North African country to pack cream in aseptic cartons.

It is important to note that, Al Fayoum commenced filling and packing Feta cheese in aseptic carton bricks (125 Slim and 250 Standard) designed by IPI in 2016.

IPI supplies systems and materials for the aseptic packaging of UHT milk, beverages and other liquid foods, as well as white cheese.

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The Egyptian company is one of the firms expanding the global market size of aseptic packaging which was valued at US$35,713.7 million in 2018, and is projected to reach US$74,475.5 million by 2026, growing at a CAGR of 9.5% from 2019 to 2026.

“Our products are highly appreciated by consumers, and this makes us proud and willing to expand our cooperation with IPI in cheese and other fields soon.”

Mohamed Ahmed Ramadan Al Sayed – Chairman of Al Fayoum For Food Industries

Al Fayoum started its business in 1998 by producing about five tons a day of various types of cheeses and within a few years it was able to expand its production.

The Egyptian company produces a wide range of cheeses, such as white cheese, Feta cheese, Domiati, Istanbuli, Baramelli, Quraish, low-fat, low-salt and others.

Its Al Wadi-branded products are delivered in many parts of the Arabic Peninsula such as Saudi Arabia, Qatar, UAE and Kuwait, and other countries as well, in addition to distribution across Egypt.

Today Al Fayoum is producing all these types of typical Egyptian cheese in IPI carton packaging, which allow to keep the great traditional taste in safe, long-lasting and nice-looking carton bricks.

“IPI team has shown to have a clear understanding of our requirements to provide a flexible solution that fully addressed our production needs.

“Our products are highly appreciated by consumers, and this makes us proud and willing to expand our cooperation with IPI in cheese and other fields soon,” Mohamed Ahmed Ramadan Al Sayed, Chairman of Al Fayoum For Food Industries, said.

Clover SA shuts down biggest cheese factory

Meanwhile in South Africa, dairy group Clover is closing down its largest cheese factory in Lichtenburg, North West, blaming “ongoing poor service delivery” by the local municipality for the decision.

After large losses due to long-standing water and electricity disruptions, Clover is moving to Queensburgh in Durban, where the company already has a plant, reports Fin24.

While Durban’s eThekwini municipality “has proven to be supportive”, Clover says it has for years tried to engage the Ditsobotla Local Municipality on service delivery – without success.

“For years, the Lichtenburg factory has been experiencing water and power outages and the surrounding infrastructure has not been maintained by the municipality. Despite numerous efforts to engage the municipality on these matters, the issues have not been resolved,” notes Clover.

Disruptions to electricity and water supplies have hit its cheese production hard, especially in the treatment and pasteurisation of milk.

“This has negatively impacted production which requires a continuous process and it is no longer feasible for the business to operate in Lichtenburg,” said Clover.

The company’s move will result in 330 of its people losing their jobs and will cost Clover R1.5 billion (US$110m).

Earlier this year, poultry producer Astral Foods obtained a High Court order against government and the Treasury after the Lekwa (Standerton) municipality failed to delivery basic water and electricity supply services to its factory.

Packaging manufacturer Nampak and food brands group Libstar have also suffered due to poor service delivery at their production plants.

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