Baladna Signs USD 500 Million in Initial Contracts for Agri-Industrial Project in Algeria

Baladna Signs USD 500 Million in Initial Contracts for Landmark Agri-Industrial Project in Algeria

✍️ BY: Dr. Hana Saada

Strategic Investment Targets Dairy Self-Sufficiency, Food Security, and Over 5,000 Jobs as Part of USD 3.5 Billion National Project

Algiers, Algeria– Monday, July 28, 2025 | In a significant development for Algeria’s agri-industrial landscape, Baladna Algeria signed initial contracts worth over USD 500 million today with a consortium of Algerian and international suppliers and consultants. The agreements represent the formal launch of the first phase of Baladna’s integrated powdered milk production project in Algeria, a massive investment totaling USD 3.5 billion.

This first wave of contracts signals the operational start of a transformative project designed to bolster food security, reduce dependency on imports, and energize the national economy.

Baladna Algeria, a joint-stock company, was established through a strategic partnership between Baladna Q.P.S.C. (Qatar) and Algeria’s National Investment Fund (FNI).

High-Level Attendance Underscores National Importance

The signing ceremony, held in Algiers, was attended by key Algerian government officials including:

• The Director General of the National Investment Fund

• Ministers of Agriculture, Industry, Environment, Water Resources, Labor

• Secretary of State for the Algerian Diaspora Abroad

• Representatives from the Ministry of Vocational Training and Education

Also present were the Delegate Governor of Adrar Province, the Director General of the National Investment Promotion Agency, the Director General of the National Dairy Office, representatives of national banks, relevant institutional stakeholders, His Excellency the Ambassador of the State of Qatar to Algeria, and His Excellency the Ambassador of Algeria to Qatar.

From Baladna Q.P.S.C., attendees included:

• Mr. Moutaz Al-Khayyat, Chairman of the Board

• Mr. Ramez Al-Khayyat, Board Member and Managing Director

• Mr. Ali Al-Ali, Chairman of Baladna Algeria

• Mr. Saifullah Khan, Board Member and Managing Director of Baladna Algeria

• Representatives of partnering companies

Contracts Span Key Sectors of Implementation

The signed agreements cover a broad spectrum of project components, including:

• Agricultural technologies

• Dairy production lines

• Irrigation equipment and pivot systems

• Water well drilling

• Steel and structural materials

• Consultancy in project management, environmental impact assessments, soil analysis, and surveying

Among the international partners are:

• GEA (Germany) – Experts in dairy processing and automated milking

• Valmont (USA) – Leaders in water-efficient irrigation

• Urbacon UCC – Global contracting firm

• EHAF – Renowned engineering consultancy

Leading Algerian companies include Condor-Travocovia, RedMed Contracting, and EFORHYD (specialized in hydro-drilling).

A Global-Scale Project Rooted in Local Impact

Mr. Moutaz Al-Khayyat, Chairman of Baladna, highlighted the project’s scope and strategic relevance:

“Today, we are taking a critical step in the execution of this integrated agri-industrial project for dairy and powdered milk production in Algeria, which aims to achieve self-sufficiency in one of the country’s most essential and widely consumed food products.
We are proud to bring together top-tier global and national expertise through collaboration with leading companies from the United States, Germany, Qatar, and Algeria. These combined efforts will ensure the project is delivered on schedule and according to the highest international standards—starting with field studies, soil and water analysis, construction, and the design and implementation of world-class irrigation networks and production lines.”

The Baladna Algeria initiative spans 117,000 hectares, making it one of the largest agri-industrial ventures in the world, and the first of its kind in Algeria. It is expected to locally produce 50% of Algeria’s national demand for powdered milk, alongside contributing to red meat supply and creating over 5,000 direct jobs.

Construction Begins, Production to Follow in 2026

Mr. Ramez Al-Khayyat, Managing Director of Baladna, confirmed the project is progressing rapidly:

“We have signed a package of contracts covering critical sectors for this phase of the project—namely the first phase—which includes land preparation and construction work for two out of four farms, one out of two processing plants, and 700 pivot irrigation units out of a total of 1,400. Before the construction phase is completed, production will commence following the establishment of the dairy herd in 2026.”

This milestone marks the beginning of a project expected to revolutionize Algeria’s dairy industry, establish new benchmarks for public-private cooperation, and position the country as a regional model in sustainable, large-scale food production.

 

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