Al Rawabi to set up AED650 million dairy production facility in KIZAD

Published: Thursday, May 5, 2022

Abu Dhabi, UAE—KIZAD, part of Abu Dhabi Ports Group’s Economic Cities & Free Zones (EC&FZ) cluster, has signed a lease agreement with leading dairy and juice maker Al Rawabi, to establish its AED650 million (about USD177 million) dairy production at the free zone to meet growing consumer demand for its products.

The dairy farm will be home to 10,000 Al Rawabi cows and increase their export efforts across the wider GCC region. Located near Khalifa Port, KIZAD provides customers with world-class infrastructure, competitive utilities, in addition to direct access to a multimodal transport network with links over the sea, road, and air, as well as rail in the future.

“Al Rawabi’s confidence in KIZAD is a testament to AD Ports Group’s commitment to driving the UAE’s National Food Security Strategy through the supply of high-quality dairy and food products, while also contributing to the growth of the nation’s industrial sector. In addition to supporting the advancement of local farms and creating job opportunities in the local farming sector, our agreement presents a positive boost for regional consumers by offering easier access to fresh produce,” said Abdullah Al Hameli, Head of Economic Cities & Free Zones Cluster.

Prof. Dr. Ahmed El Tigani, CEO, Al Rawabi, said KIZAD’s strategic location will help the company grow its operations long-term, increasing business reach and potential export across markets.

“Today, Al Rawabi can look forward to growing market share in the UAE, GCC, and Africa by leveraging the strategic location in KIZAD that offers a fully integrated trade and logistics platform to facilitate export across the emirates and the region. We expect to produce 23 million litres in the first operational year out of KIZAD, and to move approximately 1,000 containers of goods annually,” said Prof. Dr. El Tigani.

Driven by a workforce of over 200 skilled people, Al Rawabi’s dairy production facility in KIZAD will include milk parlors, a dairy plant, a mechanic and maintenance workshop, a feed factory, staff accommodation, and a biogas plant, along with fertilizer manufacturing amenities that will also support the wider agriculture ecosystem in Abu Dhabi.

Al Rawabi says it will apply the latest technologies in processing waste resulting from the project that will include the production of green energy. Additionally, 10 megawatts of clean power will be generated by equipping a large portion of site assets with solar panels, reducing the operational costs and CO2 emissions at the site.