By: Zawya

AD Ports Group, a global enabler of integrated trade, transport and logistics solutions, has announced that it has signed a 50-year land lease agreement with Emirates Food Industries, a member of the National Holding Group. 

This strategic collaboration will initially see the development of silos at Khalifa Port’s South Quay, further enhancing the port's capabilities, reinforcing its position as a premier logistics and trade hub in the region, and strengthening the country’s food security by increasing storage capacity for strategic food commodities. 

Later stages of the project also anticipate the related launch of an advanced grain processing plant, ultimately seeing a fully integrated industrial complex featuring cutting-edge facilities for processing and storing various types of grains, valued at AED2 billion ($544 million).

Lauding the strategic collaboration, Saif Al Mazrouei, CEO of Ports Cluster-AD Ports Group, said: "This 50-year agreement with Emirates Food Industries Group marks a significant step in our ongoing commitment to support the UAE’s food security ambitions."

"By providing access to our advanced infrastructure and integrated logistics solutions, we are creating a robust platform that will enhance the efficiency and resilience of the nation’s food supply chain," he stated.

According to him, the initiative aims to establish a modern and sustainable complex with advanced capabilities for grain storage and processing supported by the latest industrial and operational technologies, this collaboration highlights the commitment of both parties to align with the UAE's resilient vision to ensure strategic grain reserves and sustainable national food supply chains. 

With a robust and stable infrastructure, the complex will enable agile responses to shifting market demands and supply chain dynamics, stated Al Mazrouei.

The 100,000 sq m facility is planned to have a storage capacity of 150,000MT, he added. 

The leased plot is strategically located within Khalifa Port, to provide direct access to deep-water berths which can accommodate full load panamax.

Emirates Food Industries Group CEO Joseph Abdo said: "This project represents a transformative step in significantly enhancing and advancing our industrial and operational capabilities in the food sector. Our long-term collaboration with AD Ports Group is a strategic imperative, which will contribute directly to the UAE’s food security objectives."

"The access to Khalifa Port’s world-class facilities will enable us to optimise our supply chain, expand our storage capacity, and ensure a consistent flow of essential food products to meet the growing regional demand," he added.'