The Saudi Conglomerate Almarai announces progress in securing 100% of its Alfalfa requirements
In accordance with the terms of the Ministerial Council Resolution no 66 dated December 7 2015, and pursuing the company announcement dated January 10th 2017, Almarai is pleased to announce that significant progresses have been made in securing the supply of quality alfalfa outside the Kingdom of Saudi Arabia to support its dairy business.
These imports are originated from different locations, including the USA, Argentina, Spain and Eastern Europe, from selected third party suppliers or from Almarai run farms.
Since the governmental resolution, Almarai has gradually increased, as announced previously, the percentage of its forage requirement imported from 52% in 2016 to more than 75% in 2017. This importation of forage versus local production in 2017 resulted in an increased costs of SAR 90 million.
In 2018, Almarai is on track to reach 100%. Almarai will comply fully with the governmental Resolution by January 1st 2019.
Source: SyndiGate Media Inc.