Four months after signing an agreement between the Algerian Ministry of Agriculture and Rural Development and the Qatari Company Baladna to build the world’s largest integrated dairy to produce Milk Powder in Algeria with an investment of $3.5 billion, the first phase of the project begins today with the drilling of exploratory wells in different parts of the allocated land needed to feed the dairy herd.The commencement of the works was witnessed by the Governor of Adrar province, Mr. Al-Arabi Bahloul, His Excellency Mr. Abdulaziz Ali Al-Naama - Ambassador of the State of Qatar to Algeria, Mr. Kamal Mansouri - Director of the National Investment Fund, Mr. Hamid bin Saed, Secretary General of the Ministry of Agriculture and Rural Development, and Ms. Suad Asous - Director of Agricultural Investment and Real Estate at the Ministry of Agriculture and Rural Development. Mr. Ali Al-Ali, representing the Qatari Company Baladna, and Mr. Aidan Tynan, member of the company’s Board of Directors, also attended.

 

The drilling work aims to study the nature of groundwater to ensure the optimal design of the wells, ensuring the sustainability of groundwater and preserving it for the benefit of the project and for future generations. Baladna will use the most modern technologies to monitor and minimize groundwater consumption by integrating data from meteorological stations and satellite images.

 

Mr. Hamid Ben Saed, Secretary General of the Ministry of Agriculture and Rural Development commented: “The seamless and rapid progress of the project agreed between the project partners in April 2024 is evidence of the seriousness and importance that the country’s highest authorities allocate to the issue of promoting investment to produce national needs for widely consumed materials and reduce imports. In addition to being the fruit of the distinguished partnership between Algeria and the State of Qatar, this project is also a real model for achieving of the strategy set by the Algerian government to enhance food security.”

The Governor of Adrar, Mr. Al-Arabi Bahloul, commented on the launch of the project, saying: “Baladna project will constitute a huge leap for the vital food sectors, as well as dairy products, making it a milestone in achieving food security, in addition to the project’s contribution to reducing the prices of locally manufactured food products, which contributes to raising and developing the national economy and reducing the import bill.”

During the groundbreaking ceremony, Mr. Ali Al Ali delivered a speech representing Baladna, expressing his happiness at the start of the preliminary works for the project. He said: “This desert will transform into a beacon of excellence and innovation, hosting the largest integrated vertical farm in the world, with more than 270,000 heads of cows, producing about 1.7 billion liters of milk annually. We will use the latest technologies, agricultural automation, cow breeding methods and dairy industry, while adhering to the highest standards of quality and environmental sustainability.”

Within the project, Baladna will use the latest irrigation methods such as drip irrigation and pivot irrigation, to reduce water consumption during all phases of the project.

Baladna will also use sensors that measure soil moisture and salinity to determine the exact amount of water needed for each crop.

From Doha, Mr. Ramez Al-Khayat, President of Baladna, stressed the importance of the strategic project, saying: “This pioneering project is a new link that strengthens the bonds of cooperation and collaboration between the two countries, and is the result of our partnership with the National Investment Fund. As we witness today the launch of the first preliminary steps of the project, we emphasize its strategic importance to the company, as we transfer our expertise and leadership in the dairy production sector through it, inline with the vision of the Algerian government to achieve self-sufficiency.”

Baladna had announced earlier this year that it had signed an agreement with the Algerian government through the National Investment Fund to implement the project, which is expected to meet 50% of Algeria’s need from powdered milk.

It is a three-phased project, the first of which is an arable farming operation, then four dairy farms, and a state-of-the-art factory to produce powdered milk.

Furthermore, this pioneering project will create more than 5,000 local jobs and contribute to increasing self-sufficiency in both Powder Milk and Meat.

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