https://arab.news/m2yfc
Saudia Dairy and Foodstuff Company, known as SADAFCO, a manufacturer, seller, and distributor in the Saudi food sector, has signed a long-term lease contract with the Saudi Authority for Industrial Cities and Technology Zones, or MODON, in the city of Jazan for establishing a warehouse over an area of more than 15,000 square meters.
The announcement was made during the Saudi Food Show held recently in Riyadh. The agreement was signed by Talal Alnounou, director of public relations and government relations at SADAFCO, and Majed Rafed Al-Argoubi, CEO of MODON. SADAFCO will expand the company’s facilities by establishing a new warehouse in Jazan to meet the increasing demand from its corporate and consumer clients, reduce costs, and raise the efficiency of its supply chains.
Alnounou said: “This initiative aligns with SADAFCO’s strategy to expand within the Kingdom and operate in additional locations. The company operates world-class manufacturing facilities in the Kingdom and has a wide sales and distribution network extending throughout the region.”
He added: “We are focusing our current efforts on meeting the needs of our customers and expanding our product range in the future with a focus on sustainability, in line with the Kingdom’s Vision 2030 and the National Industrial Development and Logistics Services Program.”
Al-Argoubi, meanwhile, said that the agreement signed between MODON and SADAFCO aligns with plans to attract additional investments in the food industry, in line with the goals of the National Strategy for Industry to achieve food security and enhance exports. He added: “MODON has witnessed significant growth in the number of factories operating in the food industry, reaching 1,300 factories by the end of the first quarter of 2024, representing more than 20 percent of the total number of factories, which exceeds 6,500.”
This announcement coincides with several notable milestones achieved by SADAFCO recently. The company announced a significant enhancement of shareholder returns by doubling the proposed profits for the nine months ending on Dec. 31, 2023. This step confirms SADAFCO’s strong financial performance despite the shortened financial year due to a change in the calendar, demonstrating the strength of its brand. Additionally, the company recently opened a new depot in Makkah, spread over an area of 8,000 square meters.