Americana and Farm Frites' $100 Million Investment Fuels Frozen French Fries Production in Saudi Arabia

Expansion of Frozen French Fries Production in Saudi Arabia

In a significant move to bolster food production and aid the local economy, Americana and Farm Frites have announced a $100 million investment to construct a state-of-the-art Greenfield Frozen French Fries factory in the Kingdom of Saudi Arabia. This ambitious project, set to commence operations in 2026, will be strategically located in Sudair Industrial and Business City near Riyadh, marking the companies’ second joint venture in the MENA region after a successful collaboration in Egypt that began in 1988.

The new facility will not only enhance the production of frozen French fries but also contributes robustly to Saudi Arabia's Vision 2030, targeting economic diversification and food security. This investment is seen as a pivotal step towards increasing local food production capabilities and engaging local agriculture, particularly benefiting local potato farmers by providing them with improved farming practices, better crop quality, and higher yields.

On November 20, 2024, executives from Americana and Farm Frites held a lease-signing ceremony at the MODON Headquarters in Riyadh to commemorate this milestone, attended by various stakeholders including local growers and government officials. Subsequently, a groundbreaking ceremony was held on November 25, 2024, signaling the beginning of construction.

This new manufacturing plant will cover over 100,000 square meters and incorporate advanced technology to ensure high-quality output. The initial production capacity is expected to be around 70,000 metric tons annually, with plans for future expansions as demand grows. This facility solidifies Americana's and Farm Frites' ambitions in the MENA region where Saudi Arabia is one of the largest markets for potato products.

Mohamed Ali Rashid Alabbar, Chairman of Americana, expressed enthusiasm regarding this expansion, highlighting the crucial backing from several Saudi government agencies, including the Ministry of Investment and the Ministry of Industry and Mineral Resources. This collaboration underscores the strategic alignment with national goals of enhancing local production and job creation.

Piet de Bruijne, Owner and Chairman of Farm Frites, echoed this sentiment, emphasizing the shared vision of growth and success that has characterized their long partnership. With approximately 1.2 million tons of potato products processed annually and a presence in over 100 countries, Farm Frites aims to leverage this investment to further boost its footprint in the MENA region.

The factory is expected to serve not only local markets but also act as a hub for exports, further generating employment opportunities and strengthening the local economy. The commitment to innovation and quality will be vital as the companies prepare to unveil a premier range of frozen potato products, proudly produced in Saudi Arabia.

Established in 1964, Americana is one of the key players in the FMCG sector within the MENA region with vast operations across various categories, including frozen food, canned goods, and snacks. Meanwhile, Farm Frites has built an impressive reputation since its inception in 1971, driven by a passion for delivering top-notch food products. Together, they are set to revolutionize the frozen food landscape in Saudi Arabia, aligning with both corporate objectives and national aspirations for economic growth and sustainability.

In conclusion, the investment by Americana and Farm Frites not only marks a significant milestone for both companies but also represents a critical advancement for Saudi Arabia's food production and agriculture sectors. As construction kicks off and operational plans progress, all eyes will be on the impact of this facility in contributing towards a more sustainable and economically diversified kingdom.