RIYADH, 22 November 2007 — In a major switch to high technology, Absal Group of Companies, joined hands with Saudi French Company (SFC) for the establishment of a tannery and production of leather goods in the Kingdom.
The agreement was signed between Mohammed Al-Shoail, president of Absal Group, and Akram Atik, general manager of Saudi French Company, at a function held at the Riyadh Sheraton Hotel yesterday.
Jean-Claude Daupeyroux, head of the Commercial Section of the French Embassy, and Alexis Lucas, its commercial attaché, were also present along with Saudi businessmen at the function.
Speaking to Arab News following the signing ceremony, Al-Shoail said the new venture will function under the banner of Safy Universal Company which is designed to manufacture wet blue leather sheets.
He said the new company will collect the animal hides from slaughter houses spread all over the Kingdom.
He added that 70 percent of the manufactured items would be exported to countries such as France, Italy and Germany, while supplying a substantial quantity to the local market.
Manufactured wet blue leather sheets are used to produce all types of leather products including shoes, bags, handbags and raincoats. Under the joint venture, the new company plans to cover 60 percent of the local market on leather products.
It will also open sales outlets in some of the European capitals, he added.