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UAE's Al Dahra to invest USD 500m in Romanian agriculture
Al Dahra, a company under the control of the Emir of Abu Dhabi, has paid this summer about EUR 250 million to the Romanian entrepreneur Constantin Dulute to buy the Agricost company to take over the concession of the Braila Grand Island, the larger consolidated farm in Europe. Now, Al Dahra has announced it intends to invest further USD 500 million in Romania in the next five years, in various sectors, capital.ro reports in an exclusive feature.
In agriculture, Al Dahra intends to buy another plot of land in Romania and to invest in upgrading the current portfolio of agricultural equipment and technologies. The target is to reach an annual production of one million metric tons of grain and combined fodder by 2022. Concomitantly, a grain collection point will be developed with silos, with capacity of two million metric tons of various cereals from the Romanian farms operated by Al Dahra as well as other farms. This would facilitate the strategic inventory, rotation of stocks and trade on the international market.
In terms of investment in logistics and the supply chain, Al Dahra intends to acquire an operating point at Constanta Port to facilitate grain exports and fertilizer imports. Moreover, it will set up a specialized fertilizer company, responsible for the import of fertilizers in Romania and the marketing on neighbouring markets, with an estimated volume of 350,000 tons per year.
In addition, Al Dahra will invest in the modernization of charging facilities in the port of Braila for increased cargo and vessel traffic.
Al Dahra also plans to invest in the livestock sector by setting up farms with the capacity of 150,000 heads of different species of animals. In addition, Al Dahra will make other investments aimed at creating an efficient network in the agricultural chain on the Romanian market, including factories and packaging points as well as other value-added services, depending on the requirements of the business.
The Al Dahra investment plan will be implemented in several phases in the coming years and will support the Abu Dhabi Government’s strategy of securing long-term food needs, the same source informs.