In a significant move to boost local food production, Nestlé has partnered with Saudi Authority for industrial cities and technology zones Modon to construct its first food manufacturing plant in the Kingdom. The agreement, signed on September 15, 2024, in Riyadh, allocates a 117,000 square meter plot in Jeddah city's third industrial city for the facility.
The signing ceremony was attended by Bandar bin Ibrahim Al-Khorayef, Minister of Industry and Mineral Resources and chairman of the board of Saudi Authority for industrial cities and technology zones ‘Modon’. Also in attendance was Majed bin Rafed Al-Argoubi, CEO of Modon, and Robert Helou, CEO of Nestlé Saudi Arabia.
The project aims in its initial stages to produce children’s food and to launch an automated production line with modern technologies for packaging and filling materials, operated by highly skilled and qualified national personnel in the food industry. Moreover, it will create hundreds of direct and indirect jobs. The factory consists of a central warehouse, a building for industrial services and facilities, an advanced laboratory, and an administrative building. The targeted production capacity in the first phase is 15 thousand tons annually.
The project also seeks to achieve sustainable food security in the Kingdom.
In addition, the factory aims to meet local demand for its products within Saudi Arabia while also exporting to other Middle Eastern and North African markets.
Aligned with the national industrial strategy, it is bolstering the food sector by developing food industry clusters in Jeddah's second and third industrial cities. These clusters are designed to reinforce supply chains and boost exports by creating a comprehensive and supportive ecosystem. This initiative is expected to positively impact the growth and advancement of the region's food manufacturing industry.