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Nestlé Signs Agreement with MODON to Establish Its First Food Factory in Saudi Arabia with 270 Million Riyal Investment

Nestlé Signs Agreement with MODON
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Riyadh, KSA

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 His Excellency Mr. Bandar bin Ibrahim Al-Khorayef, Minister of Industry and Mineral Resources and Chairman of the Board of the Saudi Authority for Industrial Cities and Technology Zones "MODON". Also in attendance was Eng. 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, MODON 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.

For more information, please contact: 
Wejdan Sharafaldeen, Nestlé Communications Manager, Central Arabia (Saudi Arabia, Bahrain, and Oman)
Email: [email protected]

Nestlé in Saudi Arabia
Nestlé Saudi Arabia LLC. is the first company established to directly sell and distribute Nestlé Food & Beverage products in the Kingdom of Saudi Arabia in 2011. Nestlé has invested SAR 7 billion in the upcoming few years as per the Memorandum of Agreement signed with the Saudi ministry of Investment in 2022. Saudi Arabia is a leading market for Nestlé in the Middle East and North Africa, a region which encompasses 24 company factories in 19 countries.

Nestlé currently has four offices across Saudi Arabia, including Jeddah, Riyadh, Dammam and Abha, operates seven water factories across the Kingdom and a Food Manufacturing factory in Jeddah. Nestlé employs over 5,000 people and works with thousands of suppliers in Saudi Arabia and retail outlets, including hypermarkets & supermarkets, wholesales, groceries, pharmacies, and foodservices.

Nestlé is also establishing several collaborations with local governments, NGOs, authorities, and the private sector, and aims to Create Shared Value in areas including nutritional education, water stewardship, youth career development, and recycling. One of Nestle’s CSV flagship projects for local youth empowerment is Nestlé Academy which trains several cohorts a year.

To know more, you can visit the following pages: 
Website: www.nestle-mena.com
Facebook: https://www.facebook.com/NestleMiddleeastNorthafrica
Instagram: https://www.instagram.com/nestlecentralarabia/
LinkedIn: https://www.linkedin.com/company/nestle-s-a-