Saudi’s Food Development Company to partner Vibra, invest US$150M in the poultry industry
SAUDI ARABIA – Saudi Arabia’s Food Development Company has signed an agreement with Brazilian poultry producer Vibra to invest more than US$150 million in poultry production and processing.
The agreement was formalized by the Saudi Minister of Environment, Water, and Agriculture, Eng. Abdulrahman Al-Fadley, as part of the country’s broader efforts to strengthen food security and achieve greater self-sufficiency in poultry products under Vision 2030.
The investment will focus on expanding the Food Development Company’s processing capabilities and improving operational efficiency to enhance its position in the global poultry supply chain.
Investment in Processing Plants and Expansion
The first phase of the agreement includes Vibra’s investment in the Food Development Company’s poultry processing plants and the acquisition of a poultry processing unit in Brazil.
This investment will support the construction of a new facility designed to expand poultry production and process poultry products using locally sourced chickens.
In the second phase, the two companies will evaluate the possibility of acquiring the assets of another poultry processing facility in Brazil.
By expanding processing capacity for both poultry and beef, the agreement is expected to improve supply chain efficiency, ensuring a stable supply of poultry meat to the Saudi market.
Authorities in Saudi Arabia have emphasized that these investments will contribute to reducing the country’s dependence on imported poultry products and strengthening international partnerships in the agri-food sector.
Growth in Saudi Arabia’s Poultry Industry
The Saudi poultry sector has seen increased investment in recent months as part of efforts to enhance the local industry.
Earlier this year, Tanmiah Food Company announced a partnership with Chinese contractor Chengdu Design & Research Institute (CDI) to build 100 poultry broiler houses across Saudi Arabia.
CDI, a company specializing in engineering, procurement, and construction (EPC) solutions, operates in both China and Saudi Arabia and will play a key role in developing the new poultry facilities.
Tanmiah’s subsidiary, Agricultural Development Company (ADC), will be responsible for overseeing the construction and equipping of the broiler houses, which will integrate automation and Industry 4.0 technologies to improve efficiency, sustainability, and animal welfare.
Construction is scheduled to begin in January 2025, with completion expected by December 2026.
Once the broiler houses become operational, they will significantly increase poultry production capacity, helping Saudi Arabia reduce reliance on imports and move closer to its goal of self-sufficiency in poultry production.
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