EBRD boosts Egyptian dairy sector
EBRD boosts Egyptian dairy sector
Source : EBRD
19-Nov-2018
Fostering the Egyptian
dairy sector, the EBRD is providing a US$ 7 million loan to support the
expansion plan of Obour Land, a leading Egyptian dairy producer.
The company’s plan includes the establishment of a dairy farm with an estimated production of 60 tonnes of milk per day.
The prospects for expansion are promising. Growth in the dairy products
market – driven by high demand and by consumer preferences shifting
towards packaged milk following increased health and safety awareness in
Egypt – has encouraged dairy farms to expand rapidly.
The EBRD funds will support Obour Land to establish a greenfield dairy
farm, with imported milking equipment and 2,500 dairy cows. The farm
will supply raw milk to newly established ultra-heat treatment (UHT)
packaged milk operations.
In addition, staff will be trained by experts in the latest dairy-milking operational technologies and processes.
Developing the farm will achieve high-quality milk production and
increase the potential for exporting to neighbouring countries.
Under the EBRD Programme for Improving Animal Welfare Standards in
Agribusiness, technical cooperation activity associated with the
investment will help identify suitable animal welfare practices.
Established in 1997, Obour Land for Food Industries is a joint-stock
company incorporated and operating in Egypt and involved in the
production of different types of white cheese, UHT packaged milk and
juice. The company is among the leading players in the local white
cheese market. By the end of 2017, Obour Land’s sales had reached EGP
2.1 billion (US$ 114.8 million equivalent).
Egypt is a founding member of the EBRD. To date, the Bank has invested
over €4.5 billion in 87 projects in the country since it began investing
there in 2012. The Bank has also provided technical assistance to more
than 750 small and medium-sized local enterprises.