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Dubai-based dairy giant Al Rawabi will set up an AED 650 million ($177 million) production facility in Khalifa Industrial Zone Abu Dhabi (KIZAD).
The dairy facility will have 10,000 cows and help increase Al Rawabi’s export efforts across the GCC region, according to a statement from AD-listed AD Ports Group, of which KIZAD is a subsidiary.
The 2 sq.km facility is designed to meet growing consumer demand and could be expanded by a further 3 sq.km, according to a statement from KIZAD.
Abdullah Al Hameli, head of economic cities and free zones cluster, said: “Al Rawabi’s confidence in KIZAD is a testament to AD Ports Group’s commitment to driving the UAE’s National Food Security Strategy through the supply of high-quality dairy and food products, while also contributing to the growth of the nation’s industrial sector.
“In addition to supporting the advancement of local farms and creating job opportunities in the local farming sector, our agreement presents a positive boost for regional consumers by offering easier access to fresh produce.”
Prof. Dr. Ahmed El Tigani, CEO, Al Rawabi, said: “Today, Al Rawabi can look forward to growing market share in the UAE, GCC, and Africa by leveraging the strategic location in KIZAD that offers a fully integrated trade and logistics platform to facilitate export across the emirates and the region.
“We expect to produce 23 million litres in the first operational year out of KIZAD, and to move approximately 1,000 containers of goods annually.”
The plant will include milk parlours, a dairy plant, a mechanic and maintenance workshop, a feed factory, staff accommodation, and a biogas plant, along with fertiliser manufacturing amenities that will also support the wider agriculture ecosystem in Abu Dhabi, the company said in a statement to Abu Dhabi Securities Exchange (ADX).
It will also process waste to produce green energy and have solar panels that will produce 10 megawatts of power, KIZAD said.
(Writing by Imogen Lillywhite; editing by Seban Scaria)
