SÃO PAULO, Brazil – BRF S.A. recently announced the company signed a non-binding Memorandum of Understanding (MOU) with the Saudi Arabian General Investment Authority (SAGIA) to build a chicken processing plant in Saudi Arabia. BRF estimates the project will cost roughly $120 million.
The company plans to produce chicken patties, and breaded and marinated chicken products. “The products will be destined in their majority to the Saudi market, but they can also be exported to other neighboring countries,” BRF said.
The proposed facility will further expand the company’s market share in the Saudi market. BRF already has made significant investments to become a key supplier of halal poultry products in the Middle East. In 2016, the company created Sadia Halal — now known as OneFoods — a subsidiary that produces, distributes and sells products that serve Muslim consumers. Also, in 2016, BRF acquired Al Khan Foodstuff LLC, a frozen food distributor based in Oman, Jordan. And the company operates a processed foods plant in the United Arab Emirates.
Details of the Saudi Arabia plant project — such as location, capacity, investment schedule and capital structure — will be established at a later date.