Cargill will invest $100m in doubling the capacity of its soybean oil crush operation in Egypt, in a bid to meet increasing domestic demand for soybean meal and vegetable oil.
The expansion of the soybean crush plant will add a 3,000 metric tonne production line to Cargill’s existing facility. It will allow the company to leverage its existing crush capabilities to maximise economies of scale and efficiencies in its production process for both soybean meal and oil, Cargill said.
As well as expanding its facility in Borg El Arab, the company will construct an additional 42,000 metric tonnes of storage capacity within Cargill’s existing premises at the port of Dekheila in Alexandria. The extension of the facility at Dekheila, which discharges, stores and handles imported grains and oilseeds, will enable Cargill to optimise its supply chain, allowing for enhanced efficiency in the timely delivery of grains to its Egyptian customers and to its crush plant at Borg El Arab.
Construction at the soybean crush facility is due to commence in November 2015 and the expanded facility is expected to be operational by mid-2017. Work to increase the storage capacity at the port of Dekheila will also commence in November 2015 and is expected to be completed by the end of 2016.
Cargill’s head of grain and oilseeds in the Middle East and Africa, Johan Steyn, said: “This investment fits with our strategy of growing our business in Africa and the Middle East. The demand for soybean meal and oil continues to grow, and expanding our capabilities in Egypt will enable us to better serve our customers in the local market with high quality products, crushed and produced locally.”
© FoodBev Media Ltd 2024