UAE poultry firm to invest Dh400m in capacity expansion

UAE-based Emirates Modern Poultry Co. is investing Dh400 million in the development of new farms and increasing its production capacity.

Set to invest Dh120 million in the first phase, the company – also known as Al Rawdah – will be raising 80 per cent – or Dh320 million – of the total finance through banks in the UAE to fund the projects, its Chairman Abdalla Al Owais said at a press conference in Dubai on Sunday.

The company also signed contracts with LAE-Anlagenbau GmbH for manufacturing production machinery, Amandus Kahl GmbH & Co. KG for designing and building feed mills, and Prompt Contracting for contractual works.

Abdalla Al Owais said phase 1 of Liwa has already started, and with the completion of the whole project, the farm production will reduce company’s reliance on imported hatching eggs by 50 per cent. The farm will house parent stock comprised of six hen houses with 7,000 birds in each. It will also include a feed mill built to cater to the needs of local farmers’ livestock as well.

Al Rawdah’s turnover hit Dh180 million in 2015, with a 10 per cent increase in sales expected for 2016. A reduction in imports will result in a 20 per cent operating cost reduction.