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02 Oct, 2024

SOHAR Port and Freezone to host new US$7 million food manufacturing plant

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OMAN - SOHAR Port and Freezone has announced a new partnership with Dan Foods Industries, a prominent food manufacturing company, for the establishment of a US$7 million food manufacturing plant. 

The facility, located within SOHAR Freezone, will focus on repackaging essential bulk-imported food items and producing high-quality Meal Ready-to-Eat (MRE) solutions.

The new plant, set to occupy a 15,000 square meter industrial plot, will handle products such as rice, milk powder, and sugar, sourced from key global markets including India, New Zealand, and Canada. 

These repackaged goods will be reexported to destinations across the Middle East and North Africa (MENA) region, improving trade efficiencies and enhancing supply chain processes. 

SOHAR Port and Freezone’s strategic location is expected to boost regional trade, providing companies like Dan Foods Industries with easier access to crucial markets.

Dan Foods Industries, already recognized for its expertise in food repackaging across Saudi Arabia and Turkey, brings an annual capacity of 5,000 TPA (tons per annum) to its Oman operation. 

This new facility marks an important step for the company as it continues to expand its reach. The SOHAR-based plant will streamline the redistribution of repacked goods to key markets within the Gulf Cooperation Council (GCC) and extend further into Africa. 

The plant's activities are anticipated to support economic growth in Oman by creating job opportunities and developing local talent, helping to diversify the nation’s economy.

Mustafa Mohammed Abdalla Ahmed, Managing Director of Dan Foods Industries, expressed his enthusiasm about the partnership, noting the advantages SOHAR Freezone provides in terms of market access and logistics. 

“Our investment in this project is a milestone for Dan Foods Industries, and we are proud to contribute to Oman’s economic development while expanding our global footprint,” he said.

The agreement represents another achievement for SOHAR Port and Freezone, reinforcing its ability to attract international investment. The Freezone has become a key logistics hub, supporting Oman’s long-term economic goals outlined in Oman Vision 2040. 

SOHAR is increasingly recognized for its role in supporting economic diversification and promoting the country as a vital player in the global food supply chain.

Mohammed Ali bin Salim Al Shezawi, Acting CEO of SOHAR Freezone, highlighted the importance of this new agreement, calling it a step toward creating a more diverse and innovative economy. 

He emphasized that the facility, which will be the first food repackaging plant in Oman, is part of SOHAR’s efforts to generate opportunities that will drive future economic growth.

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